A proposed vehicle scrappage proposal recently failed in the Senate, after attempts to add the legislation to a tobacco regulation bill, according to news reports.
The proposal, which would offer drivers vouchers to replace their less fuel efficient vehicles with more fuel efficient cars, was met with objections from the Senate Appropriations Committee to using money from the $787 billion economic stimulus package.
White House and industry officials are quoted as saying they have faith that the bill, also known as Cash for Clunkers, could achieve passage on its own or with accompanying legislation.
A similar measure in the House, which was part of an energy and climate bill, also has failed to gain traction.
The legislation, also referred to as “fleet modernization,” would scrap the older car, rendering it obsolete. The program would run for four years with the intention of removing 1 million vehicles each year from the car parc, with an expectation of saving 40,000 to 80,000 barrels of transportation fuel per day.
Used car dealers and aftermarket associations say these proposals, known as scrappage bills, would remove perfectly drivable cars from the vehicle population and put aftermarket distribution and repair at a distinct disadvantage.
