Global Warming Solutions Reports
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Executive Summary
Environment America is the new home of U.S. PIRG's environmental work. In 2000, Ford CEO and chairman,
Bill Ford, Jr., acknowledged the growing scientific consensus around global
warming and the role the automobile industry plays in the problem. Ford also
began a public relations campaign to color Ford as a good corporate citizen
and an environmentally-friendly company. Yet, so far, the green marketing is
far outpacing the manufacturing of green vehicles.
Despite Bill Ford’s statements
about global warming, Ford’s 2003 vehicles ranked second highest in carbon emissions
and are responsible for five million metric tons of carbon (MMTc) annually,
totaling 22.9 percent of all emissions from vehicles sold in the United States
in 2003. Ford’s total carbon burden (the predictable amount of carbon from vehicle
emissions) for vehicles sold between 1990 and 2000 amounts to 210.3 MMTc annually—the
equivalent in weight of more than 100 million Ford Explorers.
Moreover, Ford’s corporate
average fuel economy (CAFE) average is the lowest in the industry. Ford vehicles
consume more than 1.5 million barrels of oil per day, three times more oil than
we imported from Iraq last year. Ford promised to increase the fuel economy
of its SUV fleet by 25 percent by 2005, but withdrew the commitment in 2003.
Ford has introduced a new hybrid SUV, but will manufacture only 20,000 this
model year – less than one-half of one percent of Ford’s product line.
Meanwhile, Ford has spent
millions of dollars to lobby Congress and the Bush administration on a range
of consumer and environmental issues, including lobbying against federal fuel
economy requirements. Between 1998 and 2003, Ford spent more than $45 million
on in-house lobbying alone.
As the second largest automobile manufacturer, Ford should lead by example and
take meaningful action consistent with its green statements. In an era of escalating
gas prices and growing concern about global warming and oil dependence, Ford
needs to position itself in the marketplace as a company that addresses these
problems head-on. To do otherwise could compromise the company’s brand reputation,
shareholder value and bottom line. Ford should increase the fuel economy of
its fleet to 40 mpg by 2015 using both conventional and hybrid technologies.
Moreover, Ford should stop lobbying against a federal increase in fuel economy
standards.
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