General Motors has agreed to pay a $145.8 million penalty following a U.S. government investigation that uncovered excess emissions from approximately 5.9 million GM vehicles, federal agencies announced on Wednesday.
The Environmental Protection Agency (EPA) revealed that GM will forfeit approximately 50 million metric tons of carbon allowances after a multi-year investigation found that vehicles from the 2012-2018 model years were emitting, on average, more than 10 percent higher carbon dioxide levels than reported in GM’s initial compliance reports.
“EPA’s vehicle standards depend on strong oversight in order to deliver public health benefits in the real world,” said EPA Administrator Michael S. Regan. “Our investigation has achieved accountability and upholds an important program that’s reducing air pollution and protecting communities across the country.”
In addition, the National Highway Traffic Safety Administration (NHTSA) stated that GM will pay a $145.8 million penalty for fuel economy compliance issues and cancel more than 30.6 million fuel economy credits for the 2008-2010 model years to resolve issues identified by the EPA’s light-duty vehicle in-use testing program, Reuters news report said.
In a statement, GM maintained that it “has at all times complied with and adhered to all applicable laws and regulations in the certification and in-use testing of the vehicles in question.” However, the company acknowledged that it believes “this is the best course of action to swiftly resolve outstanding issues with the federal government regarding this matter.”
Unlike the 2015 Volkswagen diesel emissions scandal, the EPA is not alleging that GM used a defeat device to intentionally reduce emissions during testing. Additionally, the EPA is not seeking a recall of the GM vehicles that produced excess emissions.
“EPA’s vehicle standards depend on strong oversight in order to deliver public health benefits in the real world,” said EPA Administrator Michael Regan in a statement. “Our investigation has achieved accountability and upholds an important program that’s reducing air pollution and protecting communities across the country.”
The affected vehicles include 4.6 million 2012-2018 full-size pickups and SUVs, and approximately 1.3 million 2012-2018 midsize SUVs.
In June 2023, the NHTSA reported that GM paid $128.2 million in fuel economy penalties for failing to meet requirements for 2016 and 2017. GM, which sells Chevrolet, Buick, GMC, and Cadillac vehicles in the United States, had not previously paid a fine in the 40-year history of the fuel economy program. The company initially planned to use credits to meet its compliance shortfall but ultimately decided to pay penalties, according to the NHTSA.