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Alliance Commends California Air Resources Board Decision to Reduce Sulfur Levels in Gasoline

15 December 1999

Alliance Commends California Air Resources Board Decision to Reduce Sulfur Levels in Gasoline

    WASHINGTON, Dec. 14 -- The Alliance of Automobile
Manufacturers today signaled its support for the California Air Resources
Board (CARB) decision to reduce sulfur levels in gasoline sold in California
as part of the phaseout of the additive MTBE.
    "The decision by the Air Resources Board to cut sulfur content in
California gasoline in half is a positive step for cleaner air," said
Josephine S. Cooper, President of the Alliance of Automobile Manufacturers.
"We are also encouraged by the Board's intention to look at lowering sulfur
levels even further in the next year or two.  The adopted sulfur reduction was
referred to as an interim step towards reaching near zero sulfur fuels.  This
sends an important signal to oil refiners, as well as the U.S. Environmental
Protection Agency (EPA), that refiners will be asked to do even more to help
the state meet its clean air goals," Cooper said.  CARB reduced sulfur content
from 30 parts per million (ppm) to 15 ppm for the benefit of clean air, with
an expected cost of less than a penny a gallon.
    In March, Governor Gray Davis ordered the ban of MTBE by December 31, 2002
while directing CARB to maintain current air quality benefits from cleaner
burning gasoline.  This fall, CARB staff responded by proposing lower sulfur
fuel as part of its plan to phaseout MTBE while preserving clean air.  The
Board met to review the proposal on December 9, and its decision facilitates
the Governor's executive order to ban MTBE.
    Sulfur inhibits the effectiveness of the catalytic converter in today's
vehicles that have more advanced pollution prevention technology.  Reducing
the amount of sulfur in gasoline enables the catalytic converter to work more
efficiently and results in lower emissions and cleaner air.  Low sulfur fuels
also would provide immediate clean air benefits when used by the 200 million
vehicles on U.S. roads.  More information on the growing momentum around the
globe toward low sulfur fuel is available at http://www.lowsulfurfuel.com.
    Additionally, CARB set caps for parameters on the Distillation Index (DI)
curve, which will result in limiting the DI.  The DI affects engine air/fuel
calibration that regulates emissions and has an impact on vehicle performance.
(The DI is a numerical representation of the evaporation characteristics of
fuel and describes the likelihood of the gasoline to burn completely in the
engine.)
    "We're glad that CARB's decision results in effectively limiting the
Distillation Index at 1200 and we support CARB's recommendation that EPA do
likewise," said Cooper.  The Alliance filed a petition in January 1999 urging
EPA to take similar action.  A national DI would allow automakers to optimize
vehicle calibrations and provide clean air benefits.
    In May 1999, EPA proposed its Tier 2 rule, which the agency has called its
biggest clean air decision in the next decade.  This "clean autos and fuel"
rule, which the agency says it will finalize before the end of 1999, would
reduce tailpipe emissions of hydrocarbons and nitrogen oxides from cars, sport
utility vehicles, minivans and pick-ups, plus reduce sulfur in gasoline to
produce a cleaner burning fuel.

    The Alliance of Automobile Manufacturers is a coalition of car and light
truck manufacturers, representing BMW Group, DaimlerChrysler, Fiat, Ford,
General Motors, Isuzu, Mazda, Nissan, Toyota, Volkswagen, and Volvo.  It was
formed in January 1999 and serves as a leading advocacy group for the
automobile industry on public policy matters.  Alliance member companies have
approximately 600,000 employees in the United States, with more than 250
facilities in 35 states.  Alliance members represent more than 90 percent of
U.S. vehicle sales.