According to The Aspen Institute, members of the Natural Resources Defense Council, the Sierra Club and the Union of Concerned Scientists, along with the California Air Resources Board, have met to hash out their differences with representatives from Ford, General Motors, Honda and Toyota. The topic is the proposed carbon emissions standards . We don't know much about how the talks are proceeding because all parties have decided to keep the discussions confidential. They have only released the following statement: "The parties succeeded in developing an enhanced understanding of each others' perspectives and concerns."
The issue of whether California even has the right to set its own air quality standards instead of going along with national policies for fuel efficiency has been a hot topic since the Bush Administration denied California the waiver it would need. Shortly after taking office, President Obama urged the EPA to reconsider California's waiver.

If California is granted this right, a large group of states are expected to adopt the legislation as well, which would have the effect of raising fuel efficiency requirements without actually modifying them, as carbon dioxide is one of the byproducts emitted through the burning fossil fuels in our automobiles. Expect to hear plenty more on the issue in the coming weeks.

[Source: The Aspen Institute via Automotive News - sub. req'd]

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