Earlier today, the White House — along with the EPA and DOT — formally announced their proposal to improve fuel economy over the next decade and a half, with the goal of achieving fuel efficiencies equivalent to 54.5 miles per gallon by 2025.

This proposal, which focuses on vehicles with model years starting in 2017, is the second phase of the administration’s push for more efficient vehicles. The President’s 2009 initiative plans to raise the average fuel economy of passenger vehicles to 35.5 miles per gallon by 2016.

Explains the White House in a statement:

The ambitious goals established in these standards will drive innovation in the manufacturing sector and help create high-quality jobs across the country. Major auto manufacturers are already heavily invested in developing advanced technologies that can significantly reduce fuel use and greenhouse gas emissions beyond the existing model year 2012-2016 targets. A wide range of technologies are currently available for automakers to meet the new standards, including advanced gasoline engines and transmissions, vehicle weight reduction, lower tire rolling resistance, improvements in aerodynamics, diesel engines, more efficient accessories, and improvements in air conditioning systems. The new standards should also encourage manufacturers to explore electric technologies such as start/stop, hybrids, plug-in hybrids, and electric vehicles. Notably, the model year 2017-2025 proposal includes a number of incentive programs to promote early adoption and introduction of “game changing” advanced technologies, such as hybridization for pickup trucks.

The proposal was developed in partnership with 13 major auto manufacturers including Ford, GM and Chrysler, the state of California, the United Auto Workers, and consumer and environmental groups.

“These standards will help consumers save money at the gas pump, cut pollution, and reduce the nation’s dependence on foreign oil,” says Shannon Baker-Branstetter, policy counsel for Consumers Union. “54.5 miles per gallon by 2025 is a strong, achievable target that would save car owners thousands of dollars on gas over the life of the vehicle. Our surveys show car buyers want better fuel standards, particularly because they want to spend less on gasoline. These standards put us on the right track toward the development of affordable, quality cars that use less gas.”

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