The New York Times reports that California will penalize automakers who do not produce electric vehicles.
Liane Randolph, chairwoman of the California Air Resources Board (CARB), stated that the state will compensate automakers up to $20,000 for each electric vehicle (EV) that falls short of production goals. By 2035, the state intends to prohibit the sale of gasoline-powered automobiles. As California phases out gas-powered automobiles, the state's new limits are intended to push the auto industry to produce more electric vehicles to satisfy consumer demand.
According to the Fresh York Times, if the auto market fails to perform as expected, the state may propose new adjustments and sales goals.
Randolph acknowledged to the New York Times that not everyone will be buying a very expensive, brand-new car.
According to Kelley Blue Book, electric cars cost $66,000.
The CARB Advanced Sustainable Cars II standard will define clean transportation and set an example for the United States, according to Ford's chief sustainability officer.
Ford invests more than $50 billion annually to produce 2 million electric vehicles. Alliance for Automotive Innovation, which consists of Ford and other major automakers, warned that supply chain and material shortages may make it challenging to meet California's criteria.
John Bozzella, president and chief executive officer of the Alliance for Automotive Innovation, told the Daily Caller News Foundation, "These are complex, intertwined, and global issues that are well beyond the control of CARB and the car industry."
According to the New York Times, 16% of California's cars are electric vehicles. The state anticipates that these measures will increase the number of electric cars (EVs) on the road in order to reduce emissions and accelerate its energy transition, which aims to produce all of its energy from "clean" sources by 2045 via renewables and the phasing out of fossil fuels.
The $7,500 tax credit for new EVs included in the $369 billion climate bill proposed by the Democrats supports President Biden's climate agenda. According to Reuters, less than 1% of the 250 million automobiles in the United States in February were electric.
The CARB and Newsom's office did not reply promptly to the DCNF.
The preceding is a summary of an article that originally appeared on WND.