Fuel-Efficiency Labels May Display Letter Grades as EVs Hit Market

Just the Facts:

• The U.S. government is considering labeling vehicles with grades ranging from A+ to D based on the vehicle's fuel economy and greenhouse gas emissions.
• The sweeping changes to auto fuel-efficiency labels are coming just ahead of the debut of such alt-fuel vehicles as the 2011 Chevrolet Volt and Nissan Leaf.

WASHINGTON — Auto fuel-efficiency labels are about to get a major makeover, just as alt-fuel vehicles such as the 2011 Chevrolet Volt and Nissan Leaf are ready to arrive in showrooms. One proposed new label would assign letter grades ranging from A+ to D based on the vehicle's fuel economy and greenhouse gas emissions.

The U.S. Department of Transportation and the Environmental Protection Agency also said they may keep the current label design that focuses on miles per gallon and annual fuel-cost projections. DOT and EPA are asking for reaction from the public to the two label designs during a 60-day comment period set to begin this week. Comments can be made on the EPA's Web site.

The changes are prompted by the introduction of such vehicles as the Volt and Leaf. During a telephone press conference on Monday afternoon, officials from the EPA and NHTSA say they still do not have official fuel economy ratings for the Volt or Leaf.

"We have not certified either of those vehicles yet," said Gina McCarthy, EPA assistant administrator. "We don't have a sense of what [letter] grade they would get. We are working with those companies to make sure the labels they come up with are reflective of appropriate greenhouse gas and fuel economy measures."

While not able to pin a letter grade on Volt or Leaf at this time, McCarthy was able to give letter grades to several vehicles. She said "electric vehicles" in general would get an "A+." The Ford Fusion Hybrid, Honda Civic Hybrid and Toyota Prius would receive an "A-" under the proposed rating system.

The Nissan Altima Hybrid, Toyota Corolla 1.6-liter manual and Volkswagen Golf would get a "B+."

The Chevrolet Corvette 6.2-liter manual and Chevrolet Silverado 1500 would get a "C," and the Ferrari 612 Scaglietti would get a "D," McCarthy said.

She said the median grade across all vehicles is a "B-."

The second proposed label does not use a grade and retains the more traditional look and information of the current label. The revised label would go into effect for the 2012 model year, the first major overhaul of the fuel economy label in over 30 years.

"The goal is to find a clear way to give a consumer a strong, informed choice, but not make it so complicated that it becomes meaningless," said NHTSA Administrator David Strickland during the conference call. He also said that the government has no "preferred option" and that "EPA and DOT may put forward a label that may be different from either two."

Inside Line says: Time to put in your two cents on which label works best for you. — Anita Lienert, Correspondent