California Air Resources Board Revisits Advanced Clean Fleets Rule Through Formation of Truck Regulation Advisory Committee
In April 2023, the California Air Resources Board (CARB) passed its Advanced Clean Fleets (ACF) rule, which will require California medium- and heavy-duty truck and bus fleet owners with over $50 million in annual revenue to transition to zero emission vehicles through a phaseout of their existing internal combustion engine–powered vehicles by 2045. On July 26, 2023, while the ACF rule was pending with the California Office of Administrative Law for a final determination prior to release, CARB withdrew the regulatory package with the intention of resubmitting it “at a subsequent date.” CARB is now forming a Truck Regulation Advisory Committee and, on August 22, 2023, will host a public meeting to discuss and solicit feedback on future efforts to implement the ACF rule. Instructions for participation in this public meeting can be found here.
U.S. EPA Memo Offers Direction on Lithium Battery Recycling—Essential to the Future Supply Chain for Battery Electric Vehicles
Lithium-ion batteries are commonly used in a wide variety of applications, from medical devices to laptops — and now, increasingly, in electric vehicles (EVs). With the market for personal and commercial EVs growing, it is essential for U.S. manufacturers to have a secure, reliable supply chain of the critical minerals needed to produce EV batteries, including lithium, cobalt, nickel, and copper. Indeed, a recent study highlights the growing demand for these minerals — and the challenges the U.S. faces to meet this demand from mined sources.
Joint Office of Energy and Transportation Names Electric Vehicle Working Group Members
On August 3, 2023, the Joint Office of Energy and Transportation — created through the Bipartisan Infrastructure Law to facilitate collaboration between the U.S. Departments of Energy (DOE) and Transportation (DOT) — officially announced the members of its Electric Vehicle (EV) Working Group, an independent advisory board. Parties interested in the growth of EVs in the United States should take note of the group, which will coordinate and consult on the development, adoption, and integration of EVs into the transportation and energy systems of the United States.
Best Practices For Auto Boards During Industry Revolution
The Nikola case stands at the intersection of several emerging risk areas in the automotive industry. For example, as regulators in the U.S. and European Union continue to ratchet up the pressure on climate change goals, and environmental, social and corporate governance, boards need to be extra careful about their companies’ commitments to going carbon neutral and the efficacy of electric vehicles.
That means putting clear plans and metrics in place to ensure appropriate follow-through and effective communications with investors so that they are well-informed about the caveats, risks and limitations.
U.S. Senate Advances Bipartisan Infrastructure Package
This week, the U.S. Senate advanced a much-anticipated bipartisan infrastructure bill. After months of negotiations and a failed procedural vote last week, the White House and a bipartisan group of Senators unveiled a bipartisan infrastructure deal to provide $550 billion in new spending on July 28. That same day, in a 67-32 vote, 17 Republicans joined all 50 Democrats to invoke cloture on the motion to proceed to the bill. Today, the Senate passed another bipartisan procedural vote to officially consider the bill on the Senate floor. While the Senate continues to work on finalizing the legislative text, the following topline funding provisions were released:
California “GO-Biz” Unveils Zero-Emission Vehicle Market Development Strategy
On Wednesday, February 17, the California Governor’s Office of Business and Economic Development (GO-Biz) hosted a live streaming event to unveil its Zero-Emission Vehicle (ZEV) Market Development Strategy rolled out earlier this month. The 100-page strategy is one of the state’s first steps in implementing Democratic Gov. Gavin Newsom’s Executive Order N-79-20, signed on September 23, 2020, and discussed in a prior blog post, which sets ambitious targets phasing out new sales of internal combustion engine vehicles.