The Demo Site

President Barack Obama this week kept a campaign promise that could potentially allow California and other states to set their own fuel economy and vehicle emissions standards by signing a memorandum to the Environmental Protection Agency requiring it to reconsider California's application for a waiver of federal law on the issue. Now a meeting between mid-level auto industry officials, California legislators and environmental policymakers is believed to be planned for later this week in an attempt to work out a compromise solution. If the EPA grants that waiver from federal standards, as it is expected to do, it could create a situation where carmakers will have to tailor vehicles to meet the standards of each individual state, or meet standards so high that only small cars could be legally sold, reports The New York Times.