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The Obama administration finalized new fuel economy rules Tuesday that within 12 years will almost double today's standard for cars and light trucks to 54.5 miles per gallon.

The rules, which have been in the works for several years, will add thousands of dollars to the cost of new cars. But in the long run, regulators say, drivers will spend less on gas, outweighing the additional cost at the dealership. They say the rules will also help reduce the nation's oil imports. The standard takes effect in 2024 when 2025 model-year cars begin to hit dealer lots.

Major automakers such as General Motors (GM, Fortune 500) and Ford Motor (F, Fortune 500), which agreed to the new fuel standards when they were proposed by the Obama administration last year, are investing billions to develop new fuel-efficient cars and electric vehicles.

"What we know is that consumers want higher fuel efficiency in their cars and trucks and GM is going to give that to them," said a statement from GM on Tuesday. "While the requirements are aggressive, we intend to pursue them vigorously."

But the rules have some critics, including many conservative members of Congress. They object to the higher vehicle cost, what they say will be reduced vehicle choices for drivers who want large cars or trucks, and say safety will suffer as a result of new lighter vehicles.

The current mileage rules run through the 2016 model year. The new rules will gradually start to take effect with the model year 2017 cars and raise the mileage standards from there.

"We know that these standards are both achievable and cost-effective," said Environmental Protection Agency Administrator Linda Jackson during a press call Tuesday.

But if the industry has problems meeting the new standards, the rules do have a review process built in that could reduce the fuel efficiency target. http://money.cnn.com/2012/08/28/autos/fuel-economy-rules/index.html?ii
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