U.S. Department of Energy Removes Fuel Content Factor from EV Fuel Economy Calculations

The U.S. Department of Energy (DOE) announced it is rescinding the fuel content factor, a rule that granted electric vehicles (EVs) higher fuel economy credits by overstating their energy savings. This decision follows a September appeals court ruling deeming the factor unlawful. Initially set for gradual elimination by 2030, the DOE plans to remove it immediately and propose further revisions. Environmentalists have criticized the rule for inflating EV fuel economy values used in federal Corporate Average Fuel Economy calculations.