[Federal Register Volume 79, Number 34 (Thursday, February 20, 2014)]
[Proposed Rules]
[Pages 9792-9815]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-02957]



[[Page 9791]]

Vol. 79

Thursday,

No. 34

February 20, 2014

Part II





Department of Transportation





-----------------------------------------------------------------------





National Highway Traffic Safety Administration





-----------------------------------------------------------------------





49 CFR Part 575





Alternative Fuel Vehicle Badging, Fuel Compartment Labels and Consumer 
Information on Alternative Fuel Usage; Proposed Rule

  Federal Register / Vol. 79 , No. 34 / Thursday, February 20, 2014 / 
Proposed Rules  

[[Page 9792]]


-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

49 CFR Part 575

[NHTSA-2010-0134]
RIN 2127-AK75


Alternative Fuel Vehicle Badging, Fuel Compartment Labels and 
Consumer Information on Alternative Fuel Usage

AGENCY: National Highway Traffic Safety Administration (NHTSA), 
Department of Transportation (DOT).

ACTION: Notice of proposed rulemaking (NPRM).

-----------------------------------------------------------------------

SUMMARY: NHTSA is proposing to require badges, labels and owner's 
manual information for new passenger cars, low speed vehicles (LSVs) 
and light-duty trucks rated at not more than 8,500 pounds gross vehicle 
weight in order to increase consumer awareness regarding the use and 
benefits of alternative fuels. In the Energy Independence and Security 
Act of 2007 (EISA), Congress directed the Secretary of Transportation 
to develop and implement varied and wide-ranging consumer information 
and education initiatives related to fuel economy, greenhouse gas, 
alternative fuels and thermal management technologies. NHTSA is 
implementing these new information and education initiatives through 
several different rulemakings.
    This proposed rule would implement specific statutory mandates that 
manufacturers be required to: Identify each vehicle capable of running 
on an alternative fuel by means of a permanent and prominent display 
affixed to the exterior of the vehicle; add proposed text describing 
the capabilities and benefits of using alternative fuels to the owners' 
manuals provided for alternative fuel vehicles; and identify each 
vehicle that is capable of running on an alternative fuel by means of a 
label in the fuel filler compartment.

DATES: Comments must be received on or before April 21, 2014. See the 
SUPPLEMENTARY INFORMATION section on ``Public Participation'' for more 
information about written comments.

ADDRESSES: You may submit your comments, identified by Docket ID No. 
NHTSA-2010-0134, by any of the following methods:
    http://www.regulations.gov: Follow the online instructions for 
submitting comments.
    Fax: NHTSA: (202) 493-2251.
    Mail: Docket Management Facility, M-30, U.S. Department of 
Transportation, 1200 New Jersey Avenue SE., West Building, Ground 
Floor, Rm. W12-140, Washington, DC 20590, Attention Docket ID No. 
NHTSA-2010-0134.
    Hand Delivery: Department of Transportation, 1200 New Jersey Avenue 
SE., West Building, Ground Floor, Rm. W12-140, Washington, DC 20590, 
Attention Docket ID No. NHTSA-2010-0134 between 9 a.m. and 5 p.m. 
Eastern Time, Monday through Friday, except Federal holidays.
    Instructions: Regardless of how you submit comments, you should 
mention Docket ID No. NHTSA-2010-0134 or the Regulatory Identification 
Number (RIN) 2127-AK75 for this rulemaking. You may call the Docket 
Management Facility at 202-366-9826. For detailed instructions on 
submitting comments and additional information on the rulemaking 
process, see the Public Participation heading of the SUPPLEMENTARY 
INFORMATION section of this document. Note that all comments received 
will be posted, except as noted below, without change to http://www.regulations.gov, including any personal information provided.
    Docket: All documents in the dockets are listed in the http://www.regulations.gov index. Although listed in the index, some 
information is not publicly available, e.g., confidential business 
information (CBI) or other information whose disclosure is restricted 
by statute. Publicly available docket materials are available either 
electronically in http://www.regulations.gov or in hard copy at the 
Docket Management Facility, M-30, U.S. Department of Transportation, 
1200 New Jersey Avenue SE., West Building, Ground Floor, Rm. W12-140, 
Washington, DC 20590. The Docket Management Facility is open between 9 
a.m. and 5 p.m. Eastern Time, Monday through Friday, except federal 
holidays.
    Privacy Act: Anyone is able to search the electronic form of all 
comments received in any of our dockets by the name of the individual 
submitting the comment (or signing the comment, if submitted on behalf 
of an association, business, labor union, etc.). You may review DOT's 
complete Privacy Act Statement in the Federal Register published on 
April 11, 2000 (65 FR 19477-78) or you may visit http://www.dot.gov/privacy.html.

FOR FURTHER INFORMATION CONTACT:
    For technical issues: Gregory Powell, National Highway Traffic 
Safety Administration, 1200 New Jersey Avenue SE., Washington, DC 
20590. Telephone: (202) 366-5206.
    For legal issues: Lily Smith, National Highway Traffic Safety 
Administration, 1200 New Jersey Avenue SE., Washington, DC 20590. 
Telephone: (202) 366-2992.

SUPPLEMENTARY INFORMATION: 

List of Acronyms and Abbreviations

AFDC Alternative Fuels and Advanced Vehicles Data Center
Alternative Fuel Motor vehicle fuel defined by 49 CFR 32901(a)(1)
B20 Biomass-based diesel blend or biodiesel blend that contains a 
mixture of not more than 20% biodiesel in volume and 80% petroleum-
based diesel
B100 100% biodiesel
Biodiesel A fuel comprised of mono-alkyl esters of long chain fatty 
acids derived from vegetable oils or animal fats and which meets the 
specifications of ASTM D 6751
BEV Battery electric vehicle
CAFE Corporate average fuel economy
CBI Confidential business information
CFR Code of Federal Regulations
CNG Compressed natural gas
DOE Department of Energy
DOT Department of Transportation
DVD Digital video disc
E85 A mixture of 85% ethanol and 15% gasoline
EISA Energy Independence and Security Act of 2007
EO Executive order
EPA Environmental Protection Agency
EREV Extended range electric vehicle
EV Electric vehicle
FCV Fuel cell vehicle
FE Fuel economy
FFV Flexible fuel vehicle
FHWA Federal Highway Administration
FTC Federal Trade Commission
GHG Greenhouse gas
GVWR Gross vehicle weight rating
HEV Hybrid electric vehicle
ISO International Organization for Standardization
LPG Liquefied petroleum gas
LSV Low speed vehicle
MPG Miles per gallon
MY Model year
NAICS North American Industry Classification System
NFPA National Fire Prevention Association
NHTSA National Highway Traffic Safety Administration
NPRM Notice of proposed rulemaking
NTTAA National Technology Transfer and Advancement Act of 1995
OCR Optical character recognition
OMB Office of Management and Budget
PHEV Plug-in hybrid electric vehicle
PRA Paperwork Reduction Act
RFA Regulatory Flexibility Act
SAE Society of Automotive Engineers

Table of Contents

I. Executive Summary................................................   8
II. What research did the Agency conduct regarding possible options   13
 for this proposal?.................................................
III. What is the Agency proposing?..................................  30
IV. What are the estimated costs and benefits of the proposal?......  60
V. Enforcement and Compliance.......................................  76
VI. Public Participation............................................  78

[[Page 9793]]

 
VII. Regulatory Notices and Analyses................................  82
VIII. Regulatory Text...............................................  92
 

I. Executive Summary

    In this notice, NHTSA is proposing to require badges, labels and 
owner's manual information for new passenger cars, low speed vehicles, 
and light-duty trucks rated at not more than 8,500 pounds gross vehicle 
weight in order to increase consumer awareness regarding the use and 
benefits of alternative fuels, as required by the Energy Independence 
and Security Act of 2007 (EISA).\1\ The overarching goal of EISA is to 
move the United States toward greater energy independence and security, 
given that the United States imports a substantial amount of its 
petroleum, two-thirds of which is used to fuel vehicles in the form of 
gasoline and diesel, which can be vulnerable to supply disruptions and 
price volatility. Renewable alternative fuels produced in the United 
States are less vulnerable to the supply disruptions and price 
variability associated with imported fuels. Helping the public to 
better understand the benefits of these alternative fuels and to better 
recognize the vehicles that use them should increase their use, thereby 
replacing petroleum use and increasing national and energy security. 
Thus, in EISA, Congress directed the Secretary of Transportation, in 
consultation with the Secretary of Energy and the Administrator of the 
Environmental Protection Agency (EPA), to develop and implement 
consumer information and education initiatives related to fuel economy, 
greenhouse gas (GHG), alternative fuels and thermal management 
technologies, all aimed at reducing our nation's dependence on imported 
petroleum. This requirement has been codified at 49 U.S.C. 32908(g), 
hereafter referred to as simply ``32908(g).'' The Secretary's authority 
to develop and implement these programs is delegated to the 
Administrator of NHTSA.\2\
---------------------------------------------------------------------------

    \1\ 49 U.S.C. 32902(g), Public Law 110-140.
    \2\ 49 CFR 1.95; CFR 501.2(a)(8).
---------------------------------------------------------------------------

    32908(g) requires the agency to undertake rulemaking to address 
consumer information on automobile fuel economy and the use of 
alternative fuels in three different ways, which the agency is 
implementing in three distinct phases.
    In the recently-completed first phase, NHTSA established 
requirements for automobile manufacturers to label new automobiles sold 
in the United States with information about their performance in terms 
of fuel economy, greenhouse gas emissions, and smog-forming emissions, 
with rating systems to help consumers compare automobiles in terms of 
this performance at the point of purchase. NHTSA established these 
requirements in a joint rulemaking with the EPA,\3\ which also has 
authority (under 49 U.S.C. 32908(b)) to regulate new automobile fuel 
economy labels. The agencies sought in that joint rulemaking both (1) 
to implement NHTSA's 32908(g) authority by providing the new rating 
system to help consumers compare vehicles' fuel economy, GHG, and other 
emissions performance at the point of sale, and (2) to implement 
revisions sought by EPA and NHTSA to update the existing labels and 
help them better convey information for advanced technology vehicles 
entering the marketplace, such as compressed natural gas vehicles 
(CNG), plug-in hybrid electric vehicles (PHEV), battery electric 
vehicles (BEV), and fuel cell vehicles. The final rule establishing the 
new labeling requirements was published on July 6, 2011,\4\ and can be 
found on NHTSA's Web site at http://www.nhtsa.gov/fuel-economy.
---------------------------------------------------------------------------

    \3\ 79 FR 39478, July 6, 2011
    \4\ 76 FR 39478. The NPRM for this rulemaking was published at 
75 FR 58708 and the rulemaking docket number is NHTSA-2010-0087, 
which can be accessed at regulations.gov.
---------------------------------------------------------------------------

    This notice initiates the second phase of rulemaking to implement 
the EISA requirements for consumer information and education about 
alternative fuels. 32908(g) requires NHTSA to develop regulations to 
require new automobiles to display certain information about their 
capability to operate on alternative fuels. First, NHTSA must require 
vehicle manufacturers to affix new automobiles sold in the United 
States with a ``permanent and prominent display'' that indicates the 
vehicle is capable of operating on an alternative fuel; \5\ second, 
NHTSA must require manufacturers to attach a label to the fuel tank 
filler compartment of vehicles capable of operating on alternative 
fuels that indicates the form of alternative fuel that the vehicle is 
capable of operating on; and third, NHTSA must require manufacturers to 
include in the owner's manual, of vehicles that are capable of 
operating on alternative fuels, information which describes that 
capability and the benefits of using alternative fuels, including their 
renewable nature and environmental benefits.\6\
---------------------------------------------------------------------------

    \5\ As defined by 49 U.S.C. 32901(a)(1).
    \6\ 49 U.S.C. 32908(g)(1).
---------------------------------------------------------------------------

    NHTSA is therefore proposing the following specific requirements in 
this rulemaking, as directed by EISA. To implement the permanent and 
prominent display mandate, the rule proposes to require a badge 
specifying in natural language which alternative fuel the vehicle is 
capable of operating on. The badge would be positioned on the rear of 
the vehicle, either directly below or to the right of the vehicle model 
name. To implement the fuel compartment label mandate, the rule 
proposes to require a label on the exterior of the fuel cap or fuel 
compartment access door that clearly states the alternative fuel type, 
and depending on the type, the proper/safe capacities for replenishing 
the fuel supply. To implement the owner's manual mandate, the rule 
proposes to require manufacturers to include standardized text that 
describes the capabilities and benefits of using alternative fuels. 
Sections II and III of this proposal provide more detailed information 
about each of these requirements.
    The agency has estimated the total costs of the proposal in Table 
I-1 and Table I-2 below.

  Table I-1--Estimated Industry Costs for Proposal in First Model Year
                                 (2012$)
------------------------------------------------------------------------
                                           Low                High
------------------------------------------------------------------------
Permanent and Prominent Display            $6,713,112        $13,292,937
 Badge............................
Tooling (all fuel types)..........             41,064            284,287
Fuel Compartment Label............  .................            827,436
Owner's Information...............  .................            348,352
                                   -------------------------------------
    Total.........................          7,929,963         14,753,011
------------------------------------------------------------------------
* Values derived from Projected MY2017 Industry Volume of Alternative
  Fuel Vehicles (Including LSVs)


[[Page 9794]]


 Table I-2--Estimated Annual Industry Costs for Proposal After the First
                           Model Year (2012$)
------------------------------------------------------------------------
                                           Low                High
------------------------------------------------------------------------
Permanent and Prominent Display            $6,713,112        $13,292,937
 Badge............................
Fuel Compartment Label............  .................            827,436
Owner's Information...............  .................            328,081
                                   -------------------------------------
    Total.........................          7,868,629         14,448,453
------------------------------------------------------------------------
* Values derived from Projected MY2017 Industry Volume of Alternative
  Fuel Vehicles (Including LSVs)

    The agency believes that the benefits of this proposal will be 
higher than the costs, as the national and energy security benefits 
gained from even a modest increase in consumer purchases of alternative 
fueled vehicles would likely outweigh the relatively low anticipated 
cost of the proposed requirements. As information on the effects of 
these badges on consumer purchases is not available, a quantitative 
assessment of the benefits was not possible at this stage. Further 
discussion of the anticipated costs and benefits of the proposal can be 
found in Section IV.
    In the subsequent third phase of implementing the 32908(g) 
requirements, NHTSA will develop a consumer information campaign to 
improve understanding of automobile performance in terms of fuel 
economy, GHG and other pollutant emissions, as well as to inform 
consumers of the benefits of using alternative fuels and where fueling 
stations are located. Given the complexity of the consumer research 
needed to implement this provision, the agency anticipates that this 
rulemaking will be proposed in 2015, after NHTSA completes research 
about appropriate and effective consumer messaging.

II. What research did the Agency conduct regarding possible options for 
this proposal?

    As part of the development of this NPRM, NHTSA sought and 
considered available existing information and research from federal 
agencies, automotive manufacturers and suppliers. NHTSA made several 
visits to passenger car and light truck retailers and public auto shows 
to learn more about how individual manufacturers already use badges and 
labels to identify alternative fuel vehicles. In addition, NHTSA 
conducted online research of currently available manufacturer 
production labels, badges, consumer education materials and information 
provided to owners. NHTSA staff also held discussions with 
manufacturers, trade groups and suppliers to increase agency awareness 
and understanding of existing materials.\7\ Some manufacturers also 
directed the agency to industry label and badge suppliers for 
additional information.
---------------------------------------------------------------------------

    \7\ NHTSA's records of these meeting are available in the docket 
for this rulemaking.
---------------------------------------------------------------------------

    Additionally, in order to benefit from the expertise of other 
federal agencies active in alternative fuel vehicle issues, NHTSA 
consulted with the Federal Highway Administration (FHWA), the Federal 
Trade Commission (FTC), and the Department of Energy (DOE). The agency 
discussed potential content of proposed owner's manual information with 
the FTC to understand further the requirements and content of the FTC 
(until recently) required \8\ alternative fuel point of sale label 
found on all new alternative fuel vehicles sold in the U.S. The agency 
believes it may be helpful to consumers to provide consistency with 
information contained on the FTC Alternative Fuel label. The agency 
discussed the required content of the FTC label, including what points 
of the label were important for the consumer, with the intent of 
including similar information where possible. Consultation with the 
FHWA focused on current symbols used for alternative fuels.
---------------------------------------------------------------------------

    \8\ In April of 2013, the Federal Trade Commission issued final 
amendments to the Alternative Fuels Rule, eliminating the point of 
sale labels that were previously required by the FTC on alternative 
fuel vehicles (AFVs), citing that similar information is 
incorporated on recently revised fuel economy and emissions point of 
sale labels required by the U.S. Environmental Protection Agency 
(EPA) and the U.S. Department of Transportation. (``FTC Amends 
Alternative Fuels Rule to Make Compliance Easier'' last accessed: 
January 2, 2014)
---------------------------------------------------------------------------

    Finally, the agency also consulted with DOE regarding content of 
the DOE/EPA fueleconomy.gov \9\ Web site and the DOE alternative fuels 
and advanced vehicles data center \10\ Web site. While most of the 
experience that these agencies have accumulated does not relate 
directly to the issues in this NPRM, NHTSA has done its best to 
extrapolate from the experience of these agencies to our current 
rulemaking. The interactions with FHWA gave NHTSA an improved 
understanding of approved symbols as described in greater detail in 
Section II.A. Regarding consultation with DOE, the agency was informed 
of many useful tools and information that were determined to be more 
applicable to the consumer education campaign, which will constitute 
the third phase of implementing the 32908(g) requirements.
---------------------------------------------------------------------------

    \9\ www.fueleconomy.gov (last accessed January 27, 2014).
    \10\ www.afdc.energy.gov/afdc/ (last accessed January 27, 2014).
---------------------------------------------------------------------------

    The agency notes that it did not conduct original research on 
consumer messaging in developing the proposal for this phase of the 
EISA consumer information requirements. The EISA requirements for 
badging, fuel tank compartment labeling, and owner's manual information 
are fairly straightforward. Unlike the fuel economy labeling 
requirements, the requirements being proposed in this rulemaking are 
not intended to facilitate direct consumer comparison of multiple 
vehicles or pieces of vehicle equipment; instead, they are simply 
intended to inform consumers about the alternative fuel capabilities of 
the vehicles already in front of them. Because the agency is trying to 
provide clear, basic information through this rulemaking and not trying 
to aid or influence consumer choice, the agency concluded that original 
research would not contribute sufficiently to improving the usefulness 
of the required information in order to justify the expenditure of 
resources.
    NHTSA has identified several states at the time of this proposal 
\11\ that promote the use of alternative fuel vehicles. Some have 
implemented programs, such as California's Clean Air Vehicle program, 
that provide High Occupancy Vehicle (HOV) lane access for labeled or 
specially plated alternative fuel vehicles. These programs often 
require the vehicle owner to apply a badge, sticker, or special license 
plate that identifies the vehicle as an alternative fuel, low emission, 
or ``clean-'' vehicle, but do not regulate the manufacturers of 
alternative fuel vehicles or provide consumer information on specific 
types

[[Page 9795]]

and benefits of alternative fuel vehicles. However, states may have an 
interest in this proposal, and we welcome comment from state and local 
officials and other interested persons.
---------------------------------------------------------------------------

    \11\ The states include Arizona, California, Colorado, Florida, 
Georgia, Hawaii, Maryland, New Jersey, New York, North Carolina, 
Tennessee, Utah and Virginia.
---------------------------------------------------------------------------

    Further, several there are several Federal requirements regarding 
the acquisition of alternative fuel vehicles for Federal vehicle 
fleets. Specifically, Energy Policy Act (EPAct) 1992 sets statutory 
requirements for the acquisition of AFVs by Federal agencies. Executive 
Order 13423 directs Federal agencies to use PHEVs when commercially 
available at a cost reasonably comparable to non-PHEVs, while Executive 
Order 13514 establishes vehicle sustainability goals that encourage the 
purchase of AFVs. As with the state programs noted above, these and 
similar programs may benefit from vehicle badging, and we welcome 
comment from relevant officials and other interested persons.
    The sections below describe in more detail how NHTSA developed this 
proposal. The agency seeks comments on the information presented in 
this proposal and whether other relevant information should be 
considered for the final rule. We encourage the submission of comments 
to the docket. For comments that recommend additional information be 
considered, it is requested the commenter include an explanation of how 
the agency should incorporate that information into the final rule.

A. Alternative Fuel ``Permanent and Prominent Display''

    Based on the information gathered by the agency, manufacturer-
specific alternative fuel vehicle badges vary widely in design from 
manufacturer to manufacturer, sometimes as a result of the efforts to 
link the badging with overarching corporate goals regarding advanced 
technologies and alternative fuel usage.
    After identifying that some manufacturers have already invested 
substantially in developing badges to help establish and promote a 
positive image for their companies and to promote the use of 
alternative fuels, the agency next assessed whether standardization of 
existing labels or badging for alternative fuel vehicles would in fact 
be beneficial, and if so, what form that standardization should take.
    As one example, Ford uses a ``Road and Leaf'' symbol that depicts, 
as the title implies, a road leading to a green leaf. The symbol may 
appear on their vehicle's lift-gates, front doors and engine appearance 
covers, or on other areas of the vehicle. Ford then incorporates this 
symbol into many other badges on vehicles across its model line-up that 
are equipped with different ``environmentally-conscious'' technologies. 
Some examples of this include: The ``Road and Leaf'' incorporated into 
a ``Flex-Fuel'' badge to indicate ethanol-operating capability; a 
``B20'' badge to indicate that a diesel vehicle is capable of operating 
on a small percentage of biodiesel; and an ``Ecoboost'' badge to 
indicate that a vehicle uses direct-injection, turbocharging and 
downsizing engine technologies to deliver performance similar to a 
larger displacement engine with the higher fuel efficiency of a smaller 
displacement engine. In addition, the symbol is applied to its hybrid 
and battery electric vehicles. (See Figures II.A-1 through II.A-6 in 
``Examples of Existing Alternative Fuel Badges and Symbols,'' in Docket 
NHTSA-2010-0134).
    Another example of a corporate-wide program is the ``Flex Fuel'' 
badge used by GM. In 2006, GM conducted an extensive E85 awareness 
campaign promoting the ethanol capabilities of its vehicles under the 
banner of ``Live Green, Go Yellow.'' The ``Live Green, Go Yellow'' 
campaign kicked off during Super Bowl XL in television ads promoting 
the use of the clean, alternative fuel in GM's flexible fuel vehicles. 
In conjunction with this campaign, GM began applying ``Flex Fuel'' 
badges to vehicles capable of ethanol operation and using yellow-
colored fuel filler caps for those vehicles as a tie-in to the larger 
campaign.\12\ (See Figures II.A-7 through II.A-8 in ``Examples of 
Existing Alternative Fuel Badges and Symbols,'' in Docket NHTSA-2010-
0134).
---------------------------------------------------------------------------

    \12\ ``GM: ``Live Green Go Yellow''; http://www.greencarcongress.com/2006/01/gm_live_green_g.html (last 
accessed January 27, 2014).
---------------------------------------------------------------------------

    Ford and GM explained to NHTSA in meetings with the agency that 
they undertake these cross-product campaigns to promote their 
investment in environmentally friendly and alternative fuel 
technologies, which they believe will help foster consumer enthusiasm 
for their vehicles with these technologies. If consumers are more 
likely to purchase these vehicles as a result of this marketing 
investment, then manufacturers will be more likely to recoup their 
investment in technologies that reduce petroleum consumption (and 
increase their perception as a socially-responsible corporation), 
potentially leading to more investment in technologies that reduce 
petroleum consumption and benefiting the U.S. through reduced petroleum 
consumption.
    In addition to the examples from Ford and General Motors, the 
agency also learned of campaign-derived, exterior badges used by 
manufacturers such as Hyundai and Nissan. The ``Blue drive'' exterior 
badge was developed in support of Hyundai's corporate branding campaign 
to represent ``Hyundai's comprehensive overhaul of thinking green.'' 
\13\ (See Figure II.A-9 in ``Examples of Existing Alternative Fuel 
Badges and Symbols,'' Docket NHTSA-2010-0134). At its April 2011 
introduction, the redesigned MY 2012 Versa was ``the first Nissan model 
in the U.S. to use the new Nissan ``Puredrive'' designation. The 
automaker will put that label onto models that use Nissan's most 
advanced technologies to promote eco-friendly driving and to cut CO2 
emissions.'' \14\ (See Figure II.A-10 in ``Examples of Existing 
Alternative Fuel Badges and Symbols,'' in Docket NHTSA-2010-0134).
---------------------------------------------------------------------------

    \13\ Hyundai Bluedrive campaign information http://www.hyundaiusa.com/about-hyundai/environment/ (last accessed January 
27, 2014)
    \14\ ''Nissan Versa gets radical new look, better gas mileage'' 
USA Today.  http://content.usatoday.com/communities/driveon/post/2011/04/nissan-versa-radical-new-style-11000-july-sale-new-platform/1 (last accessed: January 27, 2014).
---------------------------------------------------------------------------

    Other alternative fuel vehicle manufacturers appear to take a less 
comprehensive approach or may do very little in regard to badges. For 
example, Honda currently applies labeling in response to the 
requirements of some states for manufacturers of gaseous fueled 
vehicles, which are based on recommendations developed by the National 
Fire Protection Association (NFPA).\15\ (See Figure II.A-11 in 
``Examples of Existing Alternative Fuel Badges and Symbols,'' in Docket 
NHTSA-2010-0134).
---------------------------------------------------------------------------

    \15\ NFPA 52: Vehicular Gaseous Fuel Systems Code. http://www.nfpa.org/aboutthecodes/AboutTheCodes.asp?DocNum=52 (last 
accessed January 27, 2014).
---------------------------------------------------------------------------

    Some manufacturers do not produce any alternative fuel vehicles for 
sale in the United States. These manufacturers do not have any current 
campaigns to promote alternative fuels technologies.
    The agency also conducted additional research regarding vehicle 
badge text sizing and coloring. The agency took a closer look at these 
two design aspects to obtain a better understanding of how they may 
factor into this proposal. The agency surveyed a collection of twenty 
vehicles with unique vehicle model and technology-related badges. This 
collection included badges dedicated to differing technologies such as 
stability control, engine size or type, driveline or

[[Page 9796]]

alternative fuel capability. In all, 34 badges were evaluated 
representing 19 different vehicle models and nine different vehicle 
brands.
    Overall, the agency learned the average size of text found on 
vehicle badges across both model and technology specific badges was 
approximately 18.4 millimeters. The text sizes ranged from 
approximately 4.75 millimeters to 31 millimeters for technology-
specific badges with an average of approximately 16.4 millimeters. 
Model name badges were slightly more consistent with a range of 15 
millimeters to 42 millimeters and an average of approximately 20.3 
millimeters. Please see Table II-1 for badge and measurement details.

                                Table II-1--Vehicle Badge Text Approximate Sizes
----------------------------------------------------------------------------------------------------------------
                                                            Model name     Technology badge
                                                        ------------------------------------
               Make                        Model           High     Low      High     Low          Comment
                                                           (mm)     (mm)     (mm)     (mm)
----------------------------------------------------------------------------------------------------------------
Audi.............................  Q7..................       35       27       23       23  TDI (Diesel) Badge.
BMW..............................  530i................       22       22      (*)      (*)  No Technology
                                                                                              Badge.
Chevrolet........................  Malibu..............       17       17       31       17  Hybrid badge.
Chevrolet........................  Express (Van).......       26       26       13       13  Stabilitrak--Foil
                                                                                              with Overlay.
Chevrolet........................  Uplander............       20       20       17     4.75  Flex Fuel (yellow).
Chevrolet........................  Express (Van).......    ** 26    ** 26       27       27  Standard CNG
                                                                                              Diamond Symbol.
Chevrolet........................  Suburban............       20       20      (*)      (*)  Flex Fuel (green).
Chevrolet........................  Impala..............       20       20    ** 17  ** 4.75  Flex Fuel (yellow)
                                                                                              overall badge
                                                                                              height is
                                                                                              approximately 21
                                                                                              mm.
Dodge............................  Caravan.............       20       20       11        5  Flex Fuel with E85
                                                                                              Ethanol.
Dodge............................  Avenger.............       15       15    ** 11     ** 5  Flex Fuel--same as
                                                                                              Caravan. Badge
                                                                                              height is 15 mm.
Ford.............................  Fusion..............       15       15       15       15  Hybrid badge
                                                                                              letters. Road and
                                                                                              Leaf symbol is
                                                                                              approximately 50
                                                                                              mm.
Ford.............................  Focus...............       15       15      (*)      (*)  Height is based on
                                                                                              sub-model ``SE''
                                                                                              designation.
Ford.............................  Explorer............       22       22       14       14  Size is for roll
                                                                                              stability control
                                                                                              (RSC) designation--
                                                                                              Advance Trac text
                                                                                              above RSC is 10
                                                                                              mm.
Ford.............................  F-150...............       18       18       10       10  Flex Fuel--Two Rows
                                                                                              of 10 mm text.
Honda............................  Accord..............       22       15       25       25  V6 Badge.
Honda............................  Insight.............       15       15       14       14  Hybrid badge--
                                                                                              overall height is
                                                                                              ~20 mm.
Jeep.............................  Liberty.............       42       32       21       21  Height is based on
                                                                                              ``3.7L'' engine
                                                                                              designation--4x4
                                                                                              badge same.
Toyota...........................  Camry Hybrid........       15       15        5        5  Three rows of 5 mm
                                                                                              text--Hybrid
                                                                                              Synergy Drive.
Toyota...........................  Highlander..........       23       23       20       19  4WD Badge.
Volkswagen.......................  Jetta...............       17       17       17       17  2.5L Engine
                                                                                              designation.
----------------------------------------------------------------------------------------------------------------
* Indicates no badge.
** Duplicate measurement not included in calculations.


----------------------------------------------------------------------------------------------------------------
 
----------------------------------------------------------------------------------------------------------------
                                            Average Text Height (mm)
----------------------------------------------------------------------------------------------------------------
Ranges Model and Technology Badges--High to Low.            21.0            19.7            17.5            15.3
                                                 ---------------------------------------------------------------
Averages Model and Technology Badges............               20.3
                                                               16.4
                                                 ---------------------------------------------------------------
Overall.........................................                               18.4
----------------------------------------------------------------------------------------------------------------

    With respect to badge color, the agency found that most badges 
surveyed had a chrome or silver finish. Most of the badges surveyed had 
letters (particularly the vehicle model names) finished in chrome. The 
majority of the technology badges consisted of chrome letters; however, 
in some cases the text was displayed in a dark color, usually black, 
recessed into a chrome background.
    Based on information obtained from manufacturers and through 
research as part of the development of this proposal, NHTSA learned 
that some vehicle manufacturers have made significant investments in 
promoting alternative fuel and other advanced technologies that reduce 
petroleum consumption. These manufacturers view their efforts as 
contributing positively to their brand image, through both traditional 
campaigns and, in some cases, tying-in those campaigns by applying 
badges to their vehicles. The agency believes that, based on 
manufacturers' experience with how badging designs deliver alternative 
fuel information to consumers, it is important to carefully consider 
the views of the manufacturers, as well as their investments developing 
and promoting alternative fuel usage.
    NHTSA also conducted research on whether widely-accepted symbols 
exist for alternative fuels that the agency might consider for use in 
alternative fuel vehicle badging. This included investigation of 
symbols used by the FHWA and those defined jointly by the International 
Organization for Standardization (ISO) and the Society of Automotive 
Engineers (SAE).
    The FHWA currently specifies symbols associated with alternative 
fuels as part of their ``General Service Signs'' included in the Manual 
on Uniform Traffic Control Devices.\16\

[[Page 9797]]

These symbols are intended for application to official interstate 
signage typically found in advance of interstate highway exit ramps, 
and include symbols (and sometimes supporting language) for vehicle 
electricity charging stations, and ethanol (E-85 in particular) and 
propane fueling stations, among others. However, the FHWA's General 
Service Signs symbols do not cover all alternative fuels. (See Figure 
II.A-12 in ``Examples of Existing Alternative Fuel Badges and 
Symbols,'' in Docket NHTSA-2010-0134).
---------------------------------------------------------------------------

    \16\ The National Manual on Uniform Traffic Control Devices 
(MUTCD) defines the standards used by road managers nationwide to 
install and maintain traffic control devices on all public streets, 
highways, bikeways, and private roads open to public traffic. See 23 
CFR Part 655, Subpart F. The MUTCD is also available at http://mutcd.fhwa.dot.gov/index.htm (last accessed January 27, 2014). 
Within the MUTCD, FHWA prescribes a number of standardized symbols 
for highway signs referring to alternative fuel availability, as 
discussed above. See http://mutcd.fhwa.dot.gov/htm/2009/part2/part2i.htm (last accessed January 27, 2014).
---------------------------------------------------------------------------

    ISO and SAE have developed a fuel symbol for use on vehicle 
controls, indicators, and warning lamps in passenger cars, light and 
heavy commercial vehicles, and buses, to help standardize fuel 
identification and increase consumer understanding. The symbols depict 
a typical fuel station pump and guidelines for specifying the fuel type 
that should be represented at the base of the symbol. There are SAE/ISO 
symbols for multiple fuel types, including some, but not all, of the 
alternative fuels covered by this proposal (e.g., liquefied petroleum 
gas (LPG), CNG, diesel, hydrogen, etc.).\17\ (See Figure II.A-13 in 
``Examples of Existing Alternative Fuel Badges and Symbols,'' in Docket 
NHTSA-2010-0134).
---------------------------------------------------------------------------

    \17\ See SAE J2402: ``Road Vehicles--Symbols for Controls, 
Indicators, and Tell-tales'', published January 2010, symbols 
number(s) G.09, Z.03. SAE J2402 is available on file with the agency 
and can be purchased at http://standards.sae.org/j2402_201001/ 
(last accessed January 2, 2014).
---------------------------------------------------------------------------

    NHTSA and the EPA jointly required symbols designating vehicle fuel 
type on the new fuel economy and environment labels discussed above. 
These symbols identify seven different vehicle technologies: gasoline, 
diesel, ethanol flexible fuel vehicles, compressed natural gas, battery 
electric, fuel cell, and plug-in hybrid vehicles, and theoretically 
could be used as a starting point for badging purposes. However, as 
with the FHWA symbols, some potential alternative fuels are not 
currently addressed.
    The National Fire Protection Association (NFPA) currently provides 
guidance on labeling of compressed natural gas vehicles that has been 
incorporated into some state laws, as noted in the Honda labeling 
discussed previously. (See Figure II.A-11 in ``Examples of Existing 
Alternative Fuel Badges and Symbols,'' in Docket NHTSA-2010-0134). The 
NFPA-recommended label has the letters ``CNG,'' in white or silver, 
centered in a diamond shape with blue background. The NFPA label is 
intended to inform first responders (and others that may come in 
contact with or attempt to repair a damaged vehicle) that a vehicle may 
carry different fire risks than that of a conventional-fuel vehicle, 
and should be handled with those different risks in mind. Some states 
mandate the use of the ``blue diamond,'' presumably to maximize the 
safety of crash response by assisting first responders, who have been 
trained to recognize the meaning of the symbol. It would presumably 
also assist first responders if manufacturers added the label to their 
vehicles voluntarily. NHTSA recognizes that there may be safety 
benefits associated with standardizing the use of such symbols.
    However, NHTSA believes the purpose of the EISA requirement is to 
inform the general public of the type of alternative fuel the vehicle 
uses regardless of their level of familiarity with alternative fuels. 
While the use of an acronym in the NFPA labels is sufficient for first 
responders because they are already familiar with this fuel type and 
its shorthand, we are not convinced that it would effectuate EISA's 
goal of consumer education better than the natural language ``natural 
gas'' badge proposed here. NHTSA therefore believes the ``natural gas'' 
badge proposed in this rule will provide consumer education benefits 
not currently provided by the NFPA label. NHTSA also believes the 
standardization provided by the proposed ``natural gas'' badge is an 
additional benefit not served by the NFPA label, which is not mandatory 
in most states.
    NHTSA seeks comment on any potential overlap or conflicts between 
the proposed badge for natural gas and the existing NFPA ``CNG'' label. 
Specifically, NHTSA seeks comment on whether the existing NFPA label 
already serves the consumer education purpose of this proposal due to a 
high level of consumer familiarity with the ``CNG'' acronym. If 
commenters support NHTSA considering the existing NFPA label for 
consumer education purposes, NHTSA requests that commenters provide 
data that shows existing consumer familiarity with the NFPA label and 
the CNG acronym.
    In summary, the agency found that, while there appear to be 
consensus standards for symbols for some alternative fuels, those 
standards do not cover the range of fuels that NHTSA believes it needs 
to address in this proposed rulemaking. Moreover, the agency is not 
persuaded at this time that the symbols required by those standards, 
even if they did cover the full range of alternative fuels, would 
necessarily be complementary to the exterior vehicle appearance. The 
FHWA General Service Signs symbols are used for fuel and charging 
stations and might not integrate well with existing exterior badges if 
placed on a vehicle. Further, both the FHWA symbols and the SAE/ISO 
fuel symbols may not clearly communicate the differences between 
alternative fuels beyond the short and standardized acronyms located on 
the fuel pump symbol. As a result, the agency does not believe that the 
symbols established by the consensus standards are particularly useful 
for adoption as permanently affixed vehicle badges in this proposed 
rulemaking, as these symbols were not developed for use on vehicle 
exteriors and/or as a component of larger campaigns. After assessing 
whether standardization of existing manufacturer labels or badging 
would best serve the informative purpose of this proposal, the agency 
concluded that the existing market examples do not lead to a clear 
conclusion that one approach is superior to another.

B. ``Owner's Manual Information'' for Alternative Fuel Capable Vehicles

    While reviewing information currently provided to owners, the 
agency learned that vehicle manufacturers producing vehicles capable of 
operating on alternative fuels provide owners with information 
regarding the alternative fuel capability, typically in the owner's 
manual. Manufacturers generally provide information that they believe 
is important for owners to understand regarding safe operation and 
maintenance of their alternative fuel vehicles. However, the agency 
found that manufacturers currently provide very little to no 
substantive information regarding the energy security and environmental 
benefits of alternative fuels.
    In looking for information that could be required for inclusion in 
owner's manuals, NHTSA also considered alternative fuel information 
developed by other federal government agencies. The agency found 
various forms and depths of alternative fuel information from federal 
agencies. Federally-developed alternative fuel information is 
disseminated through agency Web sites and printed materials. This 
information can be highly scientific or very cursory depending on the 
target audience or the message conveyed.
    The DOE's Alternative Fuels and Advanced Vehicles Data Center

[[Page 9798]]

(AFDC),\18\ for example, describes itself as ``a comprehensive 
clearinghouse of information related to advanced transportation 
technologies'' and states that it ``offers transportation decision 
makers a collection of unbiased alternative fuel information, 
publications, data, and tools.'' NHTSA believes this could be a useful 
source for information to describe a vehicle's capability to operate on 
alternative fuels and the benefits of using alternative fuels, 
including their renewable nature and environmental benefits, given that 
agency's expertise in these issues.
---------------------------------------------------------------------------

    \18\ http://www.afdc.energy.gov/afdc/about.html (last accessed: 
January 2, 2014).
---------------------------------------------------------------------------

    Until April 2013, the FTC required vehicle manufacturers to affix a 
label to new alternative fuel vehicles offered to consumers for sale or 
lease. This label contained a series of key points to inform consumers 
about alternative fuels either prior to or at the point of vehicle 
purchase or lease. Vehicle dealers were required to keep the label on 
the vehicle until it was either sold or leased.
    Some vehicle manufacturers provide training information to dealer 
sales personnel regarding alternative fuels. For example, Chrysler 
produces information intended as an aid in answering questions 
consumers may have regarding alternative fuel vehicles, in order to 
ease pre-purchase concerns or correct possible misinformation.

C. Fuel Compartment Label for Alternative Fuel Vehicles

    The agency gathered and identified many examples of fuel 
compartment labeling including labels for ethanol, hydrogen, compressed 
natural gas and electricity. The labeling ranged from an adhesive label 
with text, an adhesive label containing text and a graphic symbol, to a 
fuel tank ``cap'' which is labeled with text indicating the appropriate 
fuel type, and sometimes combinations of those elements. (See Figures 
II.C-1 through II.C-2 in ``Examples of Existing Fuel Compartment 
Labels,'' in Docket NHTSA-2010-0134).
    In addition to the adhesive label examples and text on the fuel 
cap, the agency found that in some cases, if a vehicle is alternative 
fuel capable, a specific, colored fuel tank cap is used. For the most 
part, these caps were colored yellow to indicate ethanol 
capability.\19\ (See Figures II.C-3 through II.C-4 in ``Examples of 
Existing Fuel Compartment Labels,'' in Docket NHTSA-2010-0134).
---------------------------------------------------------------------------

    \19\ While not an alternative fuel, the agency also received 
examples showing the color green used to indicate a vehicle operates 
on diesel fuel. Fieldwork performed by the agency confirmed 
inconsistent use of color for fuel filler caps for diesel fuel 
across various vehicle manufacturers. In some cases, the cap was 
colored green, but in most cases the cap color was black.
---------------------------------------------------------------------------

    In discussions with manufacturers,\20\ the agency learned that, at 
the time this proposal was developed, some do not provide any labeling 
information at the fuel compartment filler (i.e., charge port) for 
electric vehicles. One manufacturer of electric vehicles indicated 
that, while not currently present, labeling at the charge port may be 
necessary to assist consumer understanding of connection type and 
ratings.
---------------------------------------------------------------------------

    \20\ NHTSA's records of these meetings are available in the 
docket for this rulemaking.
---------------------------------------------------------------------------

    Fuel compartment labels for compressed natural gas and hydrogen 
vehicles in production today, or planned for near-term introduction, 
were similar in nature to the NFPA-recommended labels found on the 
exterior of the vehicles that were described in Section II.A. 
Manufacturers using labels for these gaseous fuels derived the labels 
from standards to promote safety in fuel handling for owners and, 
potentially, emergency responders.
    For more traditional liquid fuel types like gasoline and diesel, 
manufacturers provided labels and colored fuel caps, with the intention 
to reduce the likelihood of a vehicle being fueled with an incorrect or 
incompatible fuel type, which could lead to possible severe damage to a 
fuel or exhaust system, or engine.

III. What is the Agency proposing?

A. Who would be affected by this Proposal?

    This proposal would affect companies that manufacture in the U.S. 
market automobiles rated at not more than 8,500 pounds gross vehicle 
weight \21\ which are capable of operating on the following alternative 
fuels: \22\
---------------------------------------------------------------------------

    \21\ 49 U.S.C. 32908 (a)(1).
    \22\ As defined by 49 U.S.C. 32901 (a)(1).

 Methanol \23\
---------------------------------------------------------------------------

    \23\ Note: To be considered an alternative fuel, alcohol derived 
fuels need to be blended at levels of at least 85 percent of the 
total mixture when blended with gasoline or other fuels.
---------------------------------------------------------------------------

 Denatured ethanol \23\
 Other alcohols \23\
 Natural gas
 Liquefied petroleum gas
 Hydrogen
 Coal-derived liquid fuels
 Fuels (except alcohol) derived from biological materials
 Electricity (including electricity from solar energy)

    This proposal would apply to manufacturers of new vehicles 
(passenger cars, low speed vehicles, and light-duty trucks). As the 
purpose of these provisions arguably is to provide information on all 
alternative fuel capable vehicles on the road, regardless of their 
origin, NHTSA believes that it may also be appropriate to apply these 
requirements to vehicle alterers.\24\ However, the agency has limited 
information on the universe of alterers that could be subject to this 
rule, including how the inclusion of alterers might affect the cost-
benefit and small business impact analyses. The agency therefore seeks 
comment on the all aspects of the appropriateness, potential benefits, 
and practicability of extending these requirements to alterers.
---------------------------------------------------------------------------

    \24\ An alterer in this context would be someone that converts 
for sale or re-sale a conventional-fueled vehicle to one capable of 
operating on an alternative fuel.
---------------------------------------------------------------------------

B. Alternative Fuel ``Permanent and Prominent Display''

    EISA states that the Department of Transportation (by delegation, 
NHTSA) shall develop requirements for vehicle manufacturers to label 
vehicles with a ``permanent and prominent display that an automobile is 
capable of operating on an alternative fuel.'' To meet this statutory 
requirement, NHTSA considered how manufacturers will meet the 
requirement that the display be ``permanent and prominent,'' and also 
the content of the display. According to Merriam-Webster Online 
dictionary,\25\ ``permanent'' means ``continuing or enduring without 
fundamental or marked change,'' while ``prominent'' means ``standing 
out or projecting beyond a surface or line,'' and ``display'' means 
``to put or spread before the view'' or ``to make evident.'' For 
purposes of this proposal, the agency is interpreting ``permanent and 
prominent display'' as a display that is intended to be affixed to a 
vehicle for the vehicle's entire useful life while providing clear, 
visible information that the vehicle is capable of operating on an 
alternative fuel.
---------------------------------------------------------------------------

    \25\ http://www.merriam-webster.com/ (last accessed January 27, 
2014).
---------------------------------------------------------------------------

    NHTSA seeks comment on the assumptions, reasoning, and conclusions 
described in this section as underlying this proposal.
    In terms of ``permanence,'' manufacturers currently develop badges 
for vehicle model names, manufacturer brand logos and other vehicle 
information to specifications intended to allow the badge to remain 
attached to the vehicle over its useful life. NHTSA would expect that 
any badges developed

[[Page 9799]]

for this proposal, or that already meet this proposal, would be of 
similar specifications and able to last for the vehicle's useful life 
without specifying actual test procedures to measure this requirement.
    In terms of ``prominence,'' NHTSA is proposing to require the 
alternative fuel badge to be on the vehicle exterior, at the rear of 
the vehicle and in proximity to the vehicle model name or model 
designation. In terms of proximity, NHTSA proposes the badge be 
positioned either directly below or to the right of the vehicle model 
name or model designation found on the rear of the vehicle. In the case 
where no model name or designation is intended for the rear of the 
vehicle, NHTSA proposes the badge be placed at the lower right corner 
of the vertical trunk lid, closeout panel, rear hatch or rear 
fender,\26\ depending on the vehicle type and configuration. NHTSA does 
not intend to require that the proposed badges take visual or physical 
precedence over existing vehicle manufacturer brand logos, model names, 
or designations. Vehicle manufacturers have demonstrated expertise in 
the design of badges and the placement of badges such that they provide 
clear and visible identification of the company logo. NHTSA considered 
whether to propose less obtrusive displays, such as clear-background 
adhesive window labels, but has tentatively concluded that such 
displays would be insufficiently ``prominent'' to fulfill EISA's 
intent. If commenters suggest that an approach other than exterior 
vehicle badging should be used, NHTSA requests that they provide 
specific detail on what their preferred approach would entail and why 
exterior vehicle badging would be less permanent than the commenter's 
preferred approach, less informative for consumers than the commenter's 
preferred approach, or more burdensome for manufacturers than the 
commenter's preferred approach.
---------------------------------------------------------------------------

    \26\ Specifically in the case of LSVs where there may be no 
trunk, closeout panel or rear hatch as part of the vehicle design.
---------------------------------------------------------------------------

    The next question that NHTSA considered was the content of the 
display--whether NHTSA should require vehicles to be labeled generally 
as simply ``alternative fuel'' or ``alternative fuel capable,'' whether 
vehicle labels should reference the specific alternative fuel, and 
whether the display should consist of a symbol (or symbols) or in the 
form of natural language.\27\ These are not questions answered directly 
by Congress in EISA.
---------------------------------------------------------------------------

    \27\ Webster's Third New International Dictionary: Natural 
language: A language that is the native speech of a people.
---------------------------------------------------------------------------

    NHTSA does not believe that Congress intended for vehicles to be 
labeled generally as ``alternative fuel'' or ``alternative fuel 
capable.'' 49 U.S.C. 32901(a)(1) has long enumerated specific 
alternative fuels, which were already defined when Congress created the 
``permanent and prominent display'' requirement. Thus, NHTSA believes 
that, rather than repeating the existing enumerated list of alternative 
fuels in 32908(g), Congress intended for that list to be referenced by 
32908(g). Additionally, if the purpose of EISA is to promote energy 
conservation and the use of non-petroleum fuels, NHTSA does not believe 
that a generic alternative fuel vehicle label would promote the same 
level of consumer understanding about the variety of alternative fuel 
options available to consumers. NHTSA believes that more specific 
labels would clearly differentiate among technologies and specifically 
identify advanced technologies, such as BEVs, PHEVs, and FCVs, for 
which manufacturers generally have made significant investments in 
research development, capital equipment and facilities. While some 
manufacturers do currently incorporate similar label elements in a 
variety of alternative fuel or advanced technology vehicles, they also 
typically include distinctive elements for each technology to identify 
and promote those technologies. Because of these considerations, NHTSA 
tentatively concludes that vehicle labels should specify which 
alternative fuel a vehicle is capable of, rather than simply 
identifying it as ``alternative fuel.''
    The agency has developed a lead proposal and one alternative 
proposal that use natural language. The agency considered an 
alternative that used symbols, but is not proposing that option. The 
agency assessed the natural language approach and approaches using 
symbols and recognizes there are advantages to both approaches.
    Existing symbols, for the most part and regardless of source, 
having already endured development and approval processes, are 
generally accepted in certain contexts to represent alternative fuels. 
They are relatively design-neutral, which should help them to harmonize 
better with manufacturer-developed designs that manufacturers may wish 
to continue applying. They also may help consumers' recognition of 
alternative fuel symbols insofar as they may already be used at fueling 
stations, in roadside signage, and at other locations on an alternative 
fuel capable vehicle.
    Based on the finding that there is not a single source for widely-
recognized alternative fuel symbols for vehicles, NHTSA considered 
whether to try to develop a set of symbols for badging purposes. If the 
agency attempted to specify a set of symbols for the variety of 
alternative fuels, we believe that it would need to be accompanied 
either by evidence that the symbols were intuitively comprehended by 
most people, or by a significant education effort to inform consumers 
of their meaning. The variety of fuels covered by the term 
``alternative fuel'' imposes educational challenges, and the agency 
believes that the fact that Congress mandated educational efforts in 
EISA regarding the use and benefits of alternative fuels points to a 
general lack of public knowledge about alternative fuels.
    Even if the symbols were developed and consumer research indicated 
there was general comprehension of the symbols, the agency is concerned 
that there is a risk that a significant number of consumers will not 
interpret the symbols consistently if they were eventually implemented. 
At this time, the agency believes a considerable amount of research 
would be required to develop symbols representing alternative fuels 
that are easily comprehended by most people. The agency believes that 
even if considerable research was conducted to develop the symbols, 
consumers still would not interpret them consistently, and therefore 
the agency does not believe that symbols for alternative fuel vehicle 
badging are the best solution for meeting the EISA requirement. 
Additionally, as discussed above, many manufacturers have already 
invested considerable resources in developing their own symbols, and 
the agency does not wish to impact that investment unnecessarily by 
requiring manufacturers to replace their symbols with standardized ones 
if the agency is not confident that consumers will be able to determine 
what standardized symbols mean.
    Natural language, on the other hand, should be more readily 
understandable for consumers (even if some of the alternative fuels 
remain somewhat limited in vehicle use and not commonly seen on the 
roads), and less subject to inaccurate interpretation. Manufacturers 
already employ natural language in many cases to identify vehicle model 
names, vehicle manufacturer names, and unique vehicle model 
designations. In addition, because natural language is straightforward, 
research would not be required. Natural language would meet EISA 
statutory requirements. However, the agency seeks comment on this

[[Page 9800]]

assessment and the proposal to require natural language descriptions.
    With these tentative conclusions in mind, NHTSA's proposal for a 
``permanent and prominent display'' is as follows:
1. ``Permanent and Prominent Display'' Content Proposal
    Based on the available badging and consumer information reviewed by 
the agency, there appear to be virtually no standardized practices 
associated with displaying a vehicle's alternative fuel capability. 
Some vehicle manufacturers have developed unique badges, and in some 
cases consumer campaigns, to promote alternative fuel capability for 
their specific, advanced technologies that decrease petroleum 
consumption. Through this proposal NHTSA remains committed to promoting 
manufacturer investment in alternative fuel vehicles and to avoid the 
redundancy of both manufacturers and NHTSA investing time and effort in 
developing alternative fuel-specific symbols for each vehicle. Based on 
the agency findings, all fuel types may not be represented in a 
symbolic form and, over time, new alternative fuel types may be 
introduced to the market. Adding new fuel types may involve revisiting 
and republishing standards, a time consuming process. In addition, the 
symbols identified while researching this proposal were fundamentally 
developed for use on controls, the vehicle instrument cluster, and road 
signs, versus the vehicle exterior. The agency believes the symbols may 
have taken a different form if designed from the outset as an exterior 
badge, where aesthetics and complementing an overall theme may take a 
higher priority than they would for controls, warning lamps or road 
signs. Overall, this proposal is intended to provide a degree of 
standardization across the industry without encroaching on manufacturer 
investment, creativity and resources utilization in promoting 
alternative fuels.
    In order to accomplish these goals, NHTSA is proposing as follows: 
The agency has tentatively concluded that the regulation should specify 
that manufacturers must provide a ``permanent and prominent display,'' 
as discussed above, which includes in some form the alternative fuel 
type in natural language. The required natural language terms for 
alternative fuels are defined in the following table. NHTSA believes 
that this requirement to standardize terminology for alternative fuel 
vehicles (and to label all alternative fuel vehicles) could be easily 
implemented by manufacturers, and would foster consumer recognition of 
alternative fuel vehicles on the roads without encroaching on existing 
programs that promote vehicles capable of operating on alternative 
fuels or established brand equity, since manufacturers will still be 
able to incorporate the natural language into their own preferred 
designs/branding. This approach is also consistent with the agency's 
interpretation of EISA that, at minimum, the type(s) of alternative 
fuel on which a vehicle is capable of operating should be identified. 
Table III-1 provides detail of the proposed natural language text 
associated with the alternative fuels covered by this proposal.

   Table III-1--Proposed ``Permanent and Prominent Display'' Language
------------------------------------------------------------------------
                                         Proposed badge natural language
         Alternative fuel \28\                 minimum description
------------------------------------------------------------------------
Methanol \29\..........................  Methanol.
Denatured Ethanol \29\.................  Ethanol.
Other Alcohols \29\....................  Name of other alcohol derived
                                          fuel.
Natural Gas............................  Natural Gas.
Liquefied Petroleum Gas................  Propane.
Coal Derived Liquid Fuels..............  Coal to Liquid.
Hydrogen...............................  Hydrogen.
Fuels (except alcohol) derived from      Biodiesel \30\ or name of other
 biological materials.                    fuel derived from biological
                                          materials.
Electricity (Battery Electric Vehicle).  Electric.
Electricity (Plug-In Hybrid Electric     Plug-In Hybrid Electric.
 Vehicle).
------------------------------------------------------------------------

    As identified, the proposed badge natural language description is 
the minimum language to be included and does not preclude the inclusion 
of other information related to the alternative fuel capable vehicle 
such as dual-fuel capability or acceptable blend level such as E85, if 
applicable.
---------------------------------------------------------------------------

    \28\ As defined by 49 U.S.C. 32901(a)(1).
    \29\ Note: To be considered an alternative fuel, alcohol derived 
fuels need to be blended at levels of at least 85 percent of the 
total mixture when blended with gasoline or other fuels.
    \30\ The agency notes that it recognizes only `neat' biodiesel 
(B100) as an alternative fuel. 63 FR 15322 (Mar. 31, 1998).
---------------------------------------------------------------------------

    In surveying current production vehicle badge designs, the agency 
does see the need to propose a minimum letter height measurement and to 
have the alternative fuel name presented in a manner providing clear 
contrast between the letters and their background color in order to 
ensure readability.
    Based on the survey of current production vehicle model and 
technology badges, the agency proposes a minimum for the defined 
``natural language minimum description'' be no less than 15 
millimeters. This fundamentally aligns with the minimum average text 
size found on technology related badges currently in production and is 
intended as a minimum size when the ``natural language minimum 
description'' is presented as a standalone badge containing no other 
text. In cases where the ``natural language minimum description'' is 
accompanied by other language, as one badge, the agency proposes a 
minimum text size of 5 millimeters for the ``natural language minimum 
description'' and the accompanying text with an overall minimum badge 
height of 15 millimeters. The agency proposes these minimum sizes to 
help ensure readability, based on the precedents set by the survey of 
current production vehicle badges (which are assumed, for the most 
part, to include readability from a reasonable distance as design 
criteria), while still providing ample latitude in the overall badge 
design.
    In addition, the agency proposes the defined ``natural language 
minimum description'' is presented with a clear difference, or the use 
of differences, between the lightest and the darkest parts of the fuel 
name. While conducting research for this proposal, the agency observed 
that current production vehicle model names and manufacturer brand 
logos are predominantly finished in chrome or, in some cases, shades of 
silver; a trend that applies historically as well. The agency presumes 
these finishes and colors provide maximum flexibility for application 
to the wide array of vehicle

[[Page 9801]]

colors available to consumers without hindering readability or 
attractiveness. With this in mind and to align with vehicle badging 
trends, the agency proposes the letters of the alternative fuel name to 
be finished in chrome or a silver color. If the alternative fuel name 
in the badge contains a background color independent of the vehicle 
color, the agency proposes this background color should provide clear 
contrast to the alternative fuel name.
    As proposed, the minimum size and letter finish are applicable to 
only the alternative fuel badge ``natural language minimum 
description'' and not applicable to any other text that may be included 
on the badge.
    As an example of what this might look like, during research for 
this proposal, the agency identified a current production flex-fuel 
badge at a retailer location where, along with the prominent ``flex-
fuel'' designation, the badge included the word ``ethanol'' in the 
overall badge design. The agency would consider that badge to meet the 
minimum requirements of the proposed regulation. (See Figure III.B-1 in 
``Examples of Existing Alternative Fuel Badges and Symbols,'' in Docket 
NHTSA-2010-0134).
    The agency believes that this approach would both permit and 
promote manufacturer investment in their own badging and brand equity 
for alternative fuel vehicles, and would not interfere with broader 
manufacturer campaigns to promote both alternative fuel vehicles and 
vehicle petroleum consumption-reducing technologies. Any activity, 
whether required by the government or undertaken voluntarily by the 
industry, which promotes the benefits and availability of these 
vehicles, could help to drive sales and reduce the overall consumption 
of petroleum-based fuels.
    However, there is still some risk that despite standardization of 
the natural language designation for the alternative fuel type, other 
inconsistencies across manufacturers' representations could slow 
consumer understanding about different alternative fuel vehicles. In 
addition, NHTSA has evaluated all the existing or planned vehicle 
manufacturer badges and is aware that some of these badges may still 
require some re-tooling to incorporate the specific fuel type in 
natural language. Despite these issues, the agency has tentatively 
decided that this approach is preferable to a more prescriptive 
approach, some of which are discussed below as regulatory alternatives.
2. Alternative Display Content Considered by the Agency
    NHTSA also considered whether to specify a standardized word or 
symbol design for each type of alternative fuel and require that the 
applicable design be used on all alternative fuel capable vehicles sold 
in the United States, supplanting any existing manufacturer-applied 
badging for alternative fuel capability. NHTSA considered three 
different ways to develop the standard design for each alternative 
fuel, as discussed below.
    For the first alternative, NHTSA considered using and/or adapting 
the FHWA or SAE/ISO symbols discussed above in a way that could make 
them more applicable for automobile badging. These symbols, having 
already been through development and approval processes, are generally 
accepted in certain contexts to represent alternative fuels. They have 
the benefit of being relatively design-neutral, which could help them 
harmonize better with manufacturer-developed designs, and they could 
also help consumers' recognition of alternative fuel symbols, insofar 
as they may already be used at fueling stations, in roadside signage, 
and at other locations on an alternative fuel capable vehicle (See 
Figures II.A-9 & 10 in ``Examples of Existing Alternative Fuel Badges 
and Symbols,'' in Docket NHTSA-2010-0134).
    However, because symbols do not exist for some of the fuel types in 
either the FHWA or the SAE/ISO set of symbols, the agency would still 
need to develop symbols for those other fuel types, similar to the 
other alternatives discussed below. In addition, because the symbols 
were developed for use on controls, the vehicle instrument cluster and 
road signs, rather than for use as a vehicle badge, the agency remains 
concerned that the symbols may have taken a different form if designed 
from the outset as an exterior badge, where aesthetics and 
complementing an overall vehicle theme may take a higher priority, and 
specified guidelines for application to controls, warning lamps and 
road signs are not applicable.
    For the second alternative, NHTSA considered developing new symbol 
designs to represent each of the alternative fuel vehicle types covered 
by this proposal. This approach could be used to fill in the gaps in 
the approach above, or to start from scratch developing designs 
specific to this application. However, NHTSA is concerned that 
significant new research would be necessary for such an approach, which 
could lead to additional delay in the development of this regulation. 
In addition, the approach would need to be coupled with a customer 
education program in order for it to be effective, creating further 
delay, and without the guarantee that the symbols developed would ever 
be immediately recognizable by consumers.
    For the third alternative, NHTSA considered soliciting proposed 
designs for each alternative type from interested parties, and choosing 
one of those particular designs as the standard design for each type of 
alternative fuel vehicle. This approach could significantly benefit a 
manufacturer whose existing design was chosen, as they would have 
already invested in tooling and would have significant lead time and 
cost advantage over other manufacturers. This approach would also 
eliminate the effort, and associated cost, for any other manufacturers 
who do not currently have such a program, as they would not have to 
invest in development of their own design. However, NHTSA is concerned 
that a design-mandated approach may not be compatible with future ideas 
that manufacturers may develop regarding exterior design and may limit 
creativity in their advertising approaches for alternative designs.
    All of these alternatives could potentially create burden for 
manufacturers who have made efforts to develop brand equity for their 
own alternative fuel strategies including the use of symbols to provide 
a representative meaning or to represent something abstract through 
their vehicle badges. In addition, some manufacturers have even 
obtained trademark rights to these symbols and names, so selecting a 
single manufacturer design as the standard could introduce the need for 
potential trademark and copyright arrangements among manufacturers, 
which could be exceedingly burdensome for other manufacturers whose 
design was not chosen. It may be inappropriate for NHTSA to give 
manufacturers the advantage of being ``ahead'' of other manufacturers 
if their symbol is the one chosen. NHTSA does not wish to discourage 
vehicle manufacturers from investing in promoting alternative fuel 
vehicle technologies and other petroleum-fuel consumption reduction 
technologies; doing so would not be consistent with the agency's and 
EISA's goals.
    The agency seeks comment generally on this aspect of the proposal 
and these alternatives, and specifically on the following questions:
     Do commenters believe that the proposed natural language 
descriptions for the alternative fuels covered by this

[[Page 9802]]

proposal are appropriate and recognizable? If not, what do commenters 
suggest, and why?
     Do commenters believe the agency should conduct research 
regarding the potential advantages of using symbols instead of natural 
language (after finalization of natural language badging in the current 
rulemaking) to develop a new series of symbols for alternative fuel 
vehicles, that might be included in a later rulemaking? If so, why? 
What research should the agency undertake? How far in the future should 
the agency be aiming to develop and promulgate such a series of symbols 
for this requirement, if the agency chose to pursue this path?
     Do commenters believe the agency should require additional 
labels/badges and/or other locations to enhance the information being 
presented for the use and safety of first responders. In particular, to 
address potential badge illegibility in the event of rear impact crash.

C. ``Owner's Manual Information'' on Alternative Fuel Capability and 
Benefits

    EISA requires DOT (by delegation, NHTSA) to develop regulations to 
require vehicle manufacturers producing vehicles capable of operating 
on alternative fuels to include text in the vehicle owner's manual 
information describing the capability and benefits of using alternative 
fuels, such as their renewable nature and environmental benefits. 
According to Merriam-Webster Online dictionary,\31\ ``capability'' 
means ``the facility or potential for an indicated use or deployment,'' 
``benefits'' means ``something that promotes well-being'' and 
``renewable nature'' suggests ``capable of being replaced by natural 
ecological cycles or sound management practices.'' In the context of 
owner's manual information regarding alternative fuel vehicles and 
alternative fuels generally, manufacturers currently appear to locate 
most of the information that they provide in the owner's manual in text 
format, but the information provided on alternative fuels generally 
does not address the topics enumerated by EISA. For purposes of this 
proposal, the agency is interpreting ``owner's manual . . . information 
that describes [the] capability and the benefits of using alternative 
fuels, including the renewable nature and environmental benefits of 
using alternative fuels,'' as requiring more owner's manual text than 
what is currently provided by the majority of manufacturers who produce 
alternative fuel vehicles.
---------------------------------------------------------------------------

    \31\ http://www.merriam-webster.com/ (last accessed January 2, 
2014).
---------------------------------------------------------------------------

    As for the ``permanent and prominent display'' of alternative fuel 
capability, NHTSA considered whether it should simply create general 
guidelines for these topics and allow manufacturers to develop their 
own text, or whether the agency should specify the text that 
manufacturers would be required to use. NHTSA has tentatively concluded 
that specifying required text rather than simply providing guidelines 
for manufacturers to develop their own text would be the best approach. 
Manufacturers would be required to include the NHTSA-specified text 
with the owner's manual information of every alternative fuel vehicle 
that they produce for sale in the United States, but would also be 
permitted to develop additional text to describe their own vehicles if 
they choose. NHTSA believes that this approach will help to ensure that 
the owner's manual information for all alternative fuel vehicles covers 
the required topics as thoroughly and accurately as NHTSA believes is 
necessary to implement EISA's intent, and will also avoid the potential 
for gaps in information that might occur if the agency simply 
prescribed guidelines. NHTSA recognizes that this approach may reduce 
some amount of flexibility for manufacturers, but we believe that the 
benefits of standardization, in this case, likely outweigh the 
drawbacks.
    Thus, assuming that NHTSA will specify required owner's manual 
text, the second question that NHTSA considered was whether the 
required text should be general enough to cover all alternative fuel 
vehicles, or whether it should be specific to each individual type of 
alternative fuel vehicle. NHTSA has tentatively concluded that 
requiring generic text to cover all alternative fuel vehicles rather 
than specifying individualized text for each type of alternative fuel 
vehicle would be the best approach. Again, manufacturers would be 
permitted to develop additional text to describe their own vehicles if 
they choose.
    NHTSA believes that this approach should benefit both consumers and 
vehicle manufacturers by maintaining consistent owner's manual 
information across all alternative fuel types in print form and 
reducing complexities associated with specific text for an individual 
fuel type, while still allowing alternative fuel information to evolve 
as new fuels become more prominent in the marketplace, production 
processes change or alternative fuel generation methods transform 
technologically and/or regionally. Using standardized, somewhat generic 
text with references to additional, more dynamic sources like internet 
Web pages avoids published information becoming obsolete and less 
useful to consumers. And again, we anticipate that standardized generic 
text describing the benefits of alternative fuels will reduce the 
burden on manufacturers, who would not be required to develop, or seek 
approval for, their own alternative fuel owner's manual information.
    Additionally, in order to benefit from the expertise of other 
federal agencies active in alternative fuel vehicle issues, NHTSA 
consulted with the FTC to discuss potential alignment of content for 
proposed owner's manual information with the (until-recently) required 
\32\ FTC-alternative fuel label found on all new alternative fuel 
vehicles sold in the U.S. The agency believes it may be helpful to 
consumers to provide information that is consistent with the FTC label 
which was in the marketplace between 1995 \33\ and April 2013.
---------------------------------------------------------------------------

    \32\ In April of 2013, the Federal Trade Commission issued final 
amendments to the Alternative Fuels Rule, consolidating the point of 
sale labels required on alternative fuel vehicles (AFVs) with those 
required by the U.S. Environmental Protection Agency (EPA), 
eliminating the need for two different labels and reducing the 
burden of complying with the Rule. (``FTC Amends Alternative Fuels 
Rule to Make Compliance Easier'' last accessed: January 2, 2014).
    \33\ http://www.ftc.gov/news-events/press-releases/1995/05/alternative-fuels-final-rule-issued (last accessed: January 2, 
2014).
---------------------------------------------------------------------------

    The agency recognizes that there are many details and unique 
characteristics associated with each of the alternative fuels covered 
by this proposal, and that some consumers may prefer additional 
information specific to their type of alternative fuel vehicle. 
However, we believe that requiring all of that information to be 
provided in the owner's manual may not be necessary, as the extent and 
depth of this information for each of these fuels is vast, and can 
change over time. Therefore, the agency believes that giving a 
foundation of more generic alternative fuel vehicle information to 
consumers, while providing a reference to government-funded and 
supported sources of additional information, is a better approach to 
implementing this statutory obligation.
    Therefore, the agency is proposing to require the following 
standardized text, largely derived from the FTC developed alternative 
fuel label,\34\ to be included in the owner's manual information of all 
vehicles which are capable of operating

[[Page 9803]]

on any of the alternative fuels covered by this proposal:
---------------------------------------------------------------------------

    \34\ 16 CFR 309.20.

``{Section Heading:{time}  Capabilities and Benefits of Using 
---------------------------------------------------------------------------
Alternative Fuels

    This vehicle is recognized by the U.S. Department of Transportation 
as an alternative fuel vehicle, because it is capable of operating on a 
biofuel, electricity, hydrogen, natural gas, propane or other fuel that 
is not derived primarily from petroleum. Alternative fuel vehicles may 
provide benefits both to their users and to the nation as a whole over 
their useful lifetime by operating on non-petroleum-based alternative 
fuels. Some of the benefits of alternative fuel usage in this vehicle 
may include:
    Energy and National Security: Driving this vehicle on alternative 
fuels may help to reduce our country's dependence on foreign oil. The 
United States imports a substantial amount of its petroleum, the 
majority of which is used to fuel vehicles in the form of gasoline and 
diesel. Petroleum imports can be vulnerable to supply disruptions and 
price shocks depending on conditions in the countries that supply us 
with oil. By using alternative fuels, you may be helping the country be 
less vulnerable to the supply disruptions and price variability 
associated with imported oil, and supporting U.S. alternative fuel 
producers.
    Environmental Benefits--Renewability and Emissions: Many 
alternative fuels are renewable, which means that their sources can be 
replenished--like plant-based ethanol, or solar-powered electricity. 
Renewable fuels may have less environmental impact than conventional 
fuels. Additionally, compared with vehicles fueled by conventional, 
petroleum-derived diesel and gasoline, many alternative fuel vehicles 
are estimated to reduce the life cycle greenhouse gas emissions of 
carbon dioxide.
    Fuel Type and Availability: Alternative fuels are increasing in 
availability. To learn more about the availability of alternative fuel 
that can power this vehicle, please visit the Department of Energy's 
Alternative Fueling Station Locator at http://www.afdc.energy.gov/afdc/locator/stations/ to determine the location of refueling and/or 
recharging facilities that meet your driving needs.
Additional Information Resources
    For more information about alternative fuels and alternative fuel 
vehicles, please visit the Department of Energy's Alternative Fuels & 
Advanced Vehicles Data Center at http://www.afdc.energy.gov.
    For information about vehicle safety, please visit 
www.safercar.gov.
    The agency proposes that this text follow the same font and type 
size specification as other standard ``body'' text found throughout the 
owner's manual. In addition, the agency proposes that the text be 
located inside a text box, bordered with a 1-pt. solid black line, with 
no other text in box. We believe that this will help the text stand out 
to consumers and encourage them to review it.
    The agency seeks comment on this proposed text with regard to 
whether it meets the EISA statutory requirements, whether the depth of 
the information is sufficient, whether the fuel type should be 
specified, and whether the references to other government Web sites for 
the most up-to-date information regarding alternative fuels are 
helpful. Should the agency require the inclusion of more or less 
information on alternative fuel capability and benefits in the 
standardized text? Are there additional benefits that should be added 
directly in the text? Should the text vary (in part or in its entirety) 
depending on the type of alternative fuel? If so, how should the text 
vary? Should the agency include different or additional references to 
Web sites or link technology such as the QR\TM\ code found on the 
recently revised fuel economy label? If so, what type of technology and 
to what Web sites? Commenters should include specific suggested changes 
(and their reasons for the suggested changes) for the agency's 
consideration.

D. Fuel Compartment Alternative Fuel Identification

    EISA requires DOT (by delegation, NHTSA) to develop regulations to 
require a label to be attached to the fuel compartment of vehicles 
capable of operating on alternative fuels, with the form of alternative 
fuel stated on the label. EISA adds that a label attached in compliance 
with the requirements of 49 U.S.C. 32905(h) would be deemed to meet the 
requirements. According to Merriam-Webster Online dictionary,\35\ 
``attached'' means ``permanently fixed,'' while ``compartment'' 
suggests ``a separate division or section.'' In the context of this 
requirement, most manufacturers offering alternative fuel vehicles 
either already have or intend to have, in the near future, some form of 
labeling plan in place for the fuel compartment of those vehicles. 
These labeling plans may be driven by one or multiple reasons. In some 
cases, vehicle manufacturers are labeling the fuel filler compartment 
in order to obtain dual-fuel vehicle credits under 49 U.S.C. 
32905(h).\36\ In other cases, the labeling may be to provide key safety 
information to consumers or first responders. And in yet other cases, 
fuel cap coloring may be employed to indicate the vehicle's fuel-type 
compatibility to avoid miss-fueling. However, not all alternative fuel 
vehicles currently have such labeling, and not all manufacturers have 
plans to add such labeling. Of the manufacturers who do provide labels, 
the labeling is not consistent in either content or location. For 
purposes of this proposal, the agency is interpreting ``a label . . . 
attached to the fuel compartment of vehicles capable of operating on 
alternative fuels, with the form of alternative fuel stated on the 
label,'' as requiring greater consistency than what the majority of 
manufacturers are currently providing for their alternative fuel 
vehicles.
---------------------------------------------------------------------------

    \35\ http://www.merriam-webster.com/ (last accessed January 2, 
2014).
    \36\ We note that because the 32905(h) requirement does not 
apply to dedicated alternative fuel vehicles (such as, e.g., pure 
NGVs or BEVs), manufacturers have no specific incentive to ensure 
fuel compartment labeling for these vehicles under the current 
requirements.
---------------------------------------------------------------------------

    The agency considered whether it should develop specific labels for 
manufacturers to employ, or simply provide general guidelines like 
those of 32905(h) and 32908(g)(3) that direct manufacturers to attach 
labels indicating which alternative fuel a vehicle can operate on, but 
do not otherwise specify the content or form of the label. NHTSA has 
tentatively concluded that the label can take the form of an adhesive-
type label or language ``screen-printed'' directly on the exterior of 
the fuel cap or the fuel compartment access door, in a similar style to 
those found in production today to meet the 32905(h) requirement, that 
is specified and designed to remain affixed to the inside of the fuel 
compartment access door or fuel cap over the entire useful life of the 
vehicle. NHTSA believes this will best fulfill EISA's intent to provide 
consumers with clear, consistent and useful information. The labeling 
should clearly state the specific alternative fuel type(s) and, for 
gaseous or electrically fueled vehicles, the proper/safe capacities for 
replenishing the fuel supply.
    If a manufacturer is already applying labeling pursuant to 
32905(h), NHTSA would not require an additional separate label for 
compliance, but existing labels may require modification to comply with 
the proposed label content.
    The agency is proposing a list of content requirements for the 
label. Table

[[Page 9804]]

III-2 represents the proposed label content requirements that must be 
included for each alternative fuel type:

                 Table III-2--Proposed Fuel Filler Compartment Alternative Fuel Labeling Content
----------------------------------------------------------------------------------------------------------------
                                                                                                     Charging
        Defined alternative fuel \37\           Alternative fuel name for use    Maximum blend       voltage
                                                         in labeling             level (liquid)      level(s)
----------------------------------------------------------------------------------------------------------------
Methanol \38\................................  Methanol.......................               X   ...............
Denatured Ethanol \38\.......................  Ethanol........................               X   ...............
Other Alcohols \38\..........................  [Name of Alcohol Derived Fuel].               X   ...............
Natural Gas..................................  CNG............................  ...............  ...............
Liquefied Petroleum Gas......................  LPG............................  ...............  ...............
Coal Derived Liquid Fuels....................  Coal Derived Liquid Fuels......               X   ...............
Hydrogen.....................................  Hydrogen.......................  ...............  ...............
Fuels (except alcohol) derived from            Biodiesel or [Name of other                   X   ...............
 biological materials.                          Biologically derived fuel].
Electricity (Battery Electric Vehicle).......  Electricity....................  ...............               X
Electricity (Plug-In Hybrid Electric Vehicle)  Electricity/[Other Fuel                      X*                X
                                                Type(s)].
----------------------------------------------------------------------------------------------------------------
* For dual fuel capable non-electric power source.

    The agency is providing the following discussion points regarding 
Table III D-1 in an effort to provide clarity of the proposed label 
content.
---------------------------------------------------------------------------

    \37\ 32901(a)(1).
    \38\ Note: To be considered an alternative fuel, alcohol derived 
fuels need to be blended at levels of at least 85 percent of the 
total mixture when blended with gasoline or other fuels.
---------------------------------------------------------------------------

    The ``Alternative Fuel Name for Use in Labeling'' is the text that 
must appear in the labeling.
    The ``Maximum Blend Level (Liquid)'' is intended to identify the 
appropriate maximum acceptable mixture levels of liquid fuels that may 
contain a blend of fuel types such as ethanol or biodiesel.
    The ``Charging Voltage Level(s)'' is intended to indicate both the 
recommended charging voltage and additional voltage levels that can be 
used for recharging an electric vehicle: battery only or plug-in 
hybrid.
    The agency developed this table of proposed label content based on 
alternative fuel labeling currently being applied pursuant to 32905(h) 
and existing requirements for gaseous fuel vehicles. NHTSA believes 
that this meets the statutory intent of EISA.
    Like the alternative fuel permanent and prominent display, in order 
to ensure readability, the agency is proposing a minimum letter height 
measurement and to have the alternative fuel name along with any 
supporting information presented in a manner that provides clear 
contrast between the letters and their background color.
    Based on the survey of current production fuel filler compartment 
adhesive labels and information found on fuel caps, the agency proposes 
a minimum for the text height of 5 millimeters and ``bold face'' when 
applying language to an adhesive label or a fuel filler cap.
    In addition, the agency proposes that the fuel filler compartment 
information is presented with a clear difference between the lightest 
and the darkest parts of information. Ideally, this would be black text 
on a white background, white text on a black background or a 
combination of colors very similar in contrast.
    The agency is not currently proposing, but does seek comment on, 
whether we should also, or alternatively, require vehicle manufacturers 
to color-code the fuel cap (or charging port, or other equivalent) for 
a specific alternative fuel type. If commenters believe that such an 
additional or alternative requirement would be beneficial, we ask that 
they provide specific rationale for the benefits of adding this 
requirement, and quantify the benefits to the extent feasible; we also 
ask that commenters provide specific recommendations as to what color 
coding for each fuel they believe would be helpful and why.
    We also seek comment on the above proposal for fuel compartment 
alternative fuel identification, and whether commenters believe that 
there may be more effective or helpful ways to implement this 
requirement while still meeting the language and intent of EISA.

E. When does NHTSA propose that the new requirements would be 
implemented?

    NHTSA proposes that all components of this NPRM would apply to 
vehicles manufactured on or after the first September 1 that is at 
least six months after the publication date of a final rule 
implementing this proposal. This proposed timing is intended to allow a 
minimum of six months lead time for implementation. The agency 
anticipates finalizing this proposal in the first quarter of 2015. 
Therefore, we expect that the effective date of this proposed rule 
would be September 1, 2016, which would provide manufacturers 
additional lead time. The agency believes the lead time proposed may be 
necessary; however the agency intends to allow optional early 
compliance if a manufacturer wishes all vehicles from an affected model 
year (MY) to be badged and/or labeled the same because we understand 
that manufacturers may produce MY 2017 vehicles as early as January 1, 
2016. This proposed timing would allow for these vehicles to be 
introduced to the market with the proposed badges in place.
    With regard to badging, the agency learned from one badging 
supplier that the lead time associated with the tooling and production 
of an externally applied badge is approximately 16 to 18 weeks from 
design to vehicle production application.\39\ In addition, the agency 
believes that the flexible nature of the proposal for a permanent and 
prominent display for alternative fuel capability would require little 
design effort even among vehicle manufacturers that do not currently 
badge their vehicles. Moreover, since the agency is aware that all 
vehicle manufacturers currently have business relationships with badge 
suppliers to produce ``permanent and prominent displays'' of 
manufacturer names, model lines and other unique model designations, 
some of which are related to alternative fuel capabilities, as part of 
their regular production and marketing strategies, the agency does not 
anticipate that manufacturers will need to develop or seek out new

[[Page 9805]]

relationships, which might otherwise create a need for additional lead 
time.
---------------------------------------------------------------------------

    \39\ Based on discussion with Douglas Corporation, January 22, 
2010. A record of this discussion is available in the docket for 
this rulemaking.
---------------------------------------------------------------------------

    With regard to owner's manual information, the Alliance of 
Automobile Manufacturers suggested that a two full model year lead time 
could be necessary for incorporation of this information.\40\ The 
agency believes this amount of lead time is more than should be 
necessary in this situation. First, the agency is proposing 
standardized language that all vehicle manufacturers producing vehicles 
capable of operating on the alternative fuels covered by this proposal 
will be required to include. Standardized language should alleviate the 
lead time that might be required for ``clean sheet'' development by 
each manufacturer of owner's manual information language if the agency 
provided only guidelines for what the language should contain rather 
than specifying it directly.
---------------------------------------------------------------------------

    \40\ Alliance letter to NHTSA RE: NHTSA Consumer Information 
Rulemaking, June 25, 2010. Available at Docket No. NHTSA-2010-0134.
---------------------------------------------------------------------------

    Additionally, the agency believes that a somewhat shorter time 
frame for incorporation than that suggested by the Alliance can be 
achieved. Today, in most cases, owner's manual information is 
developed, reviewed and approved in an entirely digital environment, 
which significantly reduces lead time. Moreover, the agency is aware 
that some manufacturers have moved, or are in the process of moving, to 
completely digital delivery of owner's manual information, where 
owner's manual information is delivered via a digital video disc (DVD) 
or some other digital format.\41\ In some of these cases, official 
vehicle manufacturer owner's manual information is available via the 
internet.\42\
---------------------------------------------------------------------------

    \41\ ``Chrysler Phases Out Paper Owner's Manual'' http://wheels.blogs.nytimes.com/2009/09/23/chrysler-does-away-with-paper-owners-manual/ (last accessed January 2, 2014).
    \42\ ``Owners Manuals for Ford Vehicles,'' https://owner.ford.com/servlet/ContentServer?pagename=Owner/Page/OwnerGuidePageVehicleLookup&BackToLogin=Owner/Page/OwnerGuidePage⩝=14632762 (last accessed December 9, 2013).
---------------------------------------------------------------------------

    For fuel compartment labeling, the agency believes the proposed 
time frame to be reasonable for two reasons. First, as discussed above, 
in developing this proposal the agency discovered that many 
manufacturers producing alternative fuel vehicles already label their 
fuel compartments in order to obtain dual-fuel vehicle credits, 
pursuant to the requirements in 49 U.S.C. 32905(h). In this NPRM, the 
agency is simply proposing to require manufacturers to do what many 
manufacturers are already doing--thus, for the manufacturers already 
labeling their vehicles, no lead time should theoretically be required. 
For the manufacturers not currently labeling their alternative fuel 
vehicles, a supply base for meeting the requirements of 49 U.S.C. 
32905(h) is already established, so those manufacturers should be able 
to leverage this existing supply base and thus mitigate lead time 
needs.
    Further, manufacturers not already in compliance with this 
component of this proposal are, for the most part, not producing 
alternative fuel capable vehicles at the present time. The agency 
recognizes, however, that some vehicle manufacturers will begin 
production of alternative fueled vehicles during the proposed optional 
and required compliance time frame.
    The agency seeks comment on whether the proposed lead time for each 
of the requirements is reasonable. If a commenter wishes the agency to 
provide additional lead time, the agency requests that the commenter 
provide specific explanations for which elements and why more lead time 
might be needed. For example, if a commenter sought more lead time for 
the owner's manual requirements, the agency would be seeking details of 
the owner's manual publication process and associated timing, along 
with current and future media that will be used for the owner's manual 
information.

IV. What are the estimated costs and benefits of the proposal?

    In determining estimated industry costs associated with this 
proposal, the agency first set out to determine a projected MY 2017 
volume for vehicles capable of operating on the alternative fuels 
covered by this proposal. Next, the agency investigated potential 
``ball-park'' piece cost and labor cost for labels and exterior vehicle 
badges. And finally, the agency looked at labor rates for personnel 
that may be involved with the development of owner's manual 
information.
    To develop a projected alternative fuel vehicle volume for the U.S. 
market, we used specific data from NHTSA's Corporate Average Fuel 
Economy (CAFE) program database, current and historical industry 
volumes from Wards Auto (online), sales outlooks from Pike Research for 
low speed vehicles (LSVs) and the Energy Information Administration's 
2012 Annual Energy Outlook for light duty vehicles. Finally, the agency 
considered public announcements from manufacturers regarding 
anticipated future volumes of alternative fuel vehicles such as FFVs, 
PHEVs, BEVs and FCVs.
    For label and badge piece cost and labor costs, the agency spoke 
with suppliers of both badges and labels currently used in vehicle 
production. These suppliers have continued and wide-ranging label and 
badge supply experience inside and outside the automotive industry. In 
some cases, the suppliers currently produce either badges or labels for 
multiple vehicle manufacturers.
    The agency seeks comment on all cost estimates developed for this 
proposal; specifically, the estimated piece costs for alternative fuel 
badges and labels, the estimated costs associated with producing pages 
of owner's manual information, and any additional costs which may not 
be included in these estimates. Specific citations to sources for 
comments on cost estimates would be most helpful to NHTSA.

A. How did NHTSA project alternative fuel vehicle volumes?

    As part of the research conducted for development of this proposal, 
the agency attempted to determine a projected volume of MY 2017 
alternative fuel vehicles that could be affected by this proposal. The 
agency utilized the overall industry sales projections of light duty 
cars and trucks developed by the Energy Information Agency (EIA) for 
its 2012 Annual Energy Outlook (AEO) Early Release reference case.\43\ 
When needed, the agency evaluated and applied manufacturer or specific 
vehicle model market share to further refine MY 2017 projections for 
specific alternative fuels; an example being E85 capable or ``flex-
fuel'' vehicles. A summary of the volume projections by alternative 
fuel type can be found in Table IV-1.
---------------------------------------------------------------------------

    \43\ AEO2012 Early Release Overview--http://www.eia.gov/forecasts/aeo12/er/ (last accessed: January 2, 2014).
---------------------------------------------------------------------------

    Using the CAFE program database, the agency learned that the vast 
majority of FFVs are produced by General Motors, Ford and Chrysler with 
very few other manufacturers producing FFVs. The agency used this 
finding to develop an estimated volume for MY 2017 ethanol capable 
flex-fuel vehicles and based the estimate primarily on announced volume 
projections from Ford, General Motors and Chrysler where these 
manufacturers indicated 50 percent of their fleet will have E85 flex-
fuel capability by 2012.\44\
---------------------------------------------------------------------------

    \44\ ``Detroit Three's Flex-Fuel Builds Increasing'' Wards Auto, 
October 27, 2011 http://wardsauto.com/news-amp-analysis/detroit-three-s-flex-fuel-builds-increasing (last accessed: January 2, 
2014).
---------------------------------------------------------------------------

    To develop projected volume for these manufacturers, the agency 
applied market share values of 18 percent for General Motors, 15.5 
percent for Ford and 11 percent for Chrysler, taken from

[[Page 9806]]

Wards Auto for MY 2011-13, to the total MY 2016-17 industry sales 
projected by the 2012 Annual Energy Outlook (AEO) Early Release 
reference case \45\ yielding a projected MY 2017 market volume for 
these manufacturers. The agency then applied the 50 percent FFV fleet 
value to each manufacturer's projected market-share based volume to 
determine a projected MY 2017 FFV volume. To prevent double-counting, 
the agency excluded the volume of other alternative fuel vehicles 
covered by this proposal and produced by these manufacturers.
---------------------------------------------------------------------------

    \45\ DOE Annual Energy Outlook Early 2012 Release--http://www.eia.gov/oiaf/aeo/tablebrowser/#release=EARLY2012&subject=15-EARLY2012&table=48-EARLY2012&region=1-0&cases=early2012-d121011b 
(last accessed: January 2, 2014).
---------------------------------------------------------------------------

    The agency also included MY 2017 projections for several current 
vehicle models that are E85 capable, that are produced by other vehicle 
manufacturers, and that have production volumes greater than 2000 
units. For the most part, these vehicles were large pickup truck and 
SUV FFV models from Nissan and Toyota. Recognizing that the MYs 2012-
2025 Corporate Average Fuel Economy (CAFE) and Greenhouse Gas (GHG) 
Emission standards become progressively more stringent each model year 
and that both programs provide incentives for FFVs, it is probable that 
manufacturers will increase the number of FFV vehicles that they 
produce in MY 2017 compared to MY 2012. To avoid underestimating cost 
in this proposal, the agency increased the projected number of vehicles 
that might be affected by the proposed rule by the equivalent of 50% of 
the projected MY 2017 production volume of Toyota and Nissan large 
pickups and SUVs. To estimate the projected MY 2017 production volume 
of Toyota and Nissan large pickups and SUVs, the agency applied the MY 
2013 market share of these vehicles to the projected MY 2017 total 
industry volume projections.\46\ The agency notes that it is not aware 
of any announcement by either of those companies to produce this 
quantity of FFVs. Nevertheless, the agency believes that adding the 
equivalent of 50 percent of Toyota's and Nissan's volume is a 
reasonable approach for estimating the additional number of vehicles 
that might be affected by this proposal, because other manufacturers 
may choose to produce FFVs.
---------------------------------------------------------------------------

    \46\ Ibid.
---------------------------------------------------------------------------

    Overall, using the market share based methodology brings simplicity 
and allows any industry-wide volume increase or decrease to be easily 
reflected. Using this projection methodology, the agency predicts 
almost 98 percent of the overall projected MY 2017 alternative fuel 
vehicle fleet will be E85 capable with an estimated 3,818,555 vehicles 
produced that year.
    In addition to ethanol capable vehicles, cost estimates for this 
proposal also need to account for the number of vehicles capable of 
operating on other alternative fuels covered by this proposal. For the 
U.S. market, this primarily includes compressed natural gas, liquefied 
petroleum gas, hydrogen and electricity fueled vehicles. Through its 
research, the agency is not aware of any manufacturers planning to 
produce a significant number of vehicles capable of operating on 
alternative fuels such as methanol, coal-derived liquid fuels or fuels 
(except alcohol) derived from biological materials.\47\
---------------------------------------------------------------------------

    \47\ The agency notes that it recognizes only `neat' biodiesel 
(B100) as an alternative fuel. 63 FR 15322 (Mar. 31, 1998).
---------------------------------------------------------------------------

    The agency did employ a different methodology for developing volume 
projections of alternative fuel vehicles covered by this proposal that 
use fuels other than ethanol. The agency utilized published sales data 
for battery electric vehicles (BEV) and plug-in electric vehicles 
(PHEV), as these vehicles have entered commerce and accumulated at 
least one year of sales data.\48\ In addition, the agency incorporated 
the sales volume of electric low speed vehicles (LSVs) into the volume 
projections for BEV as these are covered by this proposed rule.\49\
---------------------------------------------------------------------------

    \48\ For reference, the agency used sales information from Wards 
Auto for these vehicle types.
    \49\ For LSVs, the agency utilized sales and project data 
available from a report developed by Pike Research titled, 
``Neighborhood Electric Vehicles: Low-Speed Electric Vehicle for 
Consumers and Fleet Markets: Demand Drivers and Barriers, 
Technology, Key Industry Players and Market Forecasts,'' Published 
2Q 2011.
---------------------------------------------------------------------------

    The agency also evaluated and utilized manufacturers' revised or 
publicly announced projected vehicle volumes for alternative fuel 
vehicles powered by electricity, compressed natural gas, liquefied 
petroleum gas and hydrogen. As a result, the agency utilized a 
``projected volume'' approach instead of the market share approach that 
is used for ethanol vehicle volumes. This projected volume approach is 
believed to be more practicable as the market share of current models 
are likely to change as other competitive models enter the market, and 
because future models currently have no market share. However the 
agency did project slight increases for vehicles already entered into 
commerce, such as BEVs and PHEVs, based on expanding regional 
availability in the United States and increased production volumes.
    Therefore, the cost estimates in this proposal are based on the 
alternative fuel vehicle volumes represented by fuel type in the 
following table.

                         Table IV-1--MY 2017 Alternative Fuel Vehicle Volume Projection
----------------------------------------------------------------------------------------------------------------
                                                                                                      Percent
                            Fuel type                                 Volume        Percent alt      industry
                                                                                    fuel volume       volume
----------------------------------------------------------------------------------------------------------------
Ethanol.........................................................       3,818,555           97.77          22.428
Natural Gas.....................................................           4,300            0.11           0.025
Electric (BEV) *................................................          32,209            0.82           0.189
Electric (PHEV/EREV)............................................          47,639            1.22           0.280
Hydrogen........................................................             274            0.01           0.002
LPG.............................................................           2,750            0.07           0.016
Biodiesel **....................................................  ..............            0.00           0.000
                                                                 -----------------------------------------------
    Total.......................................................       3,905,727          100.00          22.940
----------------------------------------------------------------------------------------------------------------
* Includes LSVs.
** DOT only considers B100 to be an Alternative fuel.


[[Page 9807]]

    As discussed, these volumes are estimates based on varied sources 
of information; some historical and some forward-looking. The agency 
acknowledges that actual production volumes in the future are likely to 
be different than the projections developed for this proposal, however, 
the agency believes the projections have been developed using the best 
available information at the time of development of this proposal; for 
example AEO vehicles sales projections and Wards Auto data. The agency 
notes that the forecast information is from the same sources that have 
been used in other agency rulemakings and the sources are recognized 
and used by industry in developing future projections.
    The agency also recognizes the many factors that will affect these 
volume projections some of which include prices of petroleum and non-
petroleum derived fuels, infrastructure for alternative fueling 
accessibility, overall consumer acceptance of alternative fuel vehicle 
characteristics and finally, the need for vehicle manufacturers to meet 
more stringent CAFE and greenhouse gas emissions standards.
    In light of these many significant variables, the agency seeks 
comment on these volume projections, including alternative fuel type 
applications, for MY 2017 and any subsequent model years to gain 
potentially better information to the overall costs and production-
intent alternative fuel type applicability associated with this 
proposal.

B. What total costs does NHTSA estimate for the proposal?

    The agency has estimated the total costs of the proposal in Table 
IV-2 and Table IV-3 below.

  Table IV-2--Estimated Industry Costs for Proposal in First Model Year
                                 (2012$)
------------------------------------------------------------------------
                                                Low            High
------------------------------------------------------------------------
Permanent and Prominent Display Badge...      $6,713,112     $13,292,937
Tooling (all fuel types)................          41,064         284,287
Fuel Compartment Label..................  ..............         827,436
Owner's Information.....................  ..............         348,352
                                         -------------------------------
    Total...............................       7,929,963      14,753,011
------------------------------------------------------------------------
* Values derived from Projected MY2017 Industry Volume of Alternative
  Fuel Vehicles (Including LSVs).


Table IV-3--Estimated Annual Industry Costs for Proposal After the First
                           Model Year (2012$)
------------------------------------------------------------------------
                                                Low            High
------------------------------------------------------------------------
Permanent and Prominent Display Badge...      $6,713,112     $13,292,937
Fuel Compartment Label..................  ..............         827,436
Owner's Information.....................  ..............         328,081
                                         -------------------------------
    Total...............................       7,868,629      14,448,453
------------------------------------------------------------------------
* Values derived from Projected MY2017 Industry Volume of Alternative
  Fuel Vehicles (Including LSVs).

    The estimated costs per requirement are described in detail in the 
following discussion.
1. What costs does NHTSA estimate for the proposal for ``Permanent and 
Prominent Display'' of Alternative-Fuel capability?
    The agency spoke with a supplier of badges to the automotive 
industry to gain a better understanding of badge development and 
implementation options, along with potential piece costs for those 
options.\50\ During the discussion, the supplier suggested multiple 
options that could align with the lead and alternative proposals for 
meeting the statutory obligations of a ``permanent and prominent 
display'' of a vehicle's capability to operate on an alternative fuel.
---------------------------------------------------------------------------

    \50\ NHTSA's records of these meetings are available in the 
docket for this rulemaking.
---------------------------------------------------------------------------

    The first consisted of plastic molded into a specified design. This 
molded part would be chrome plated and finished with additional 
decorative or colored aspects per the specified design. Some key 
aspects of this design are its durability and commonality with model or 
brand badges found on vehicles in production today. A key consideration 
for this badge technology is the need to ensure that the rear surface 
of the badge, the surface that would adhere to a vehicle via an 
adhesive, has a contour that would be adaptable to most any vehicle due 
to the rigidity of the plastic molded part.
    Another badge technology option is a foil-type material containing 
the natural language or design, which is covered in a protective 
urethane coating. The urethane coating provides thickness to the badge 
and could provide some limited contouring on the surface to add 
emphasis to components of the design or language contained on the 
urethane encased foil. The urethane-coated design does provide some 
cost and tooling advantages over the chrome-plated, ABS plastic molded 
part, albeit at the possible expense of attractiveness or readability 
as a badge employing these materials typically results in the text 
being ``protected'' by a relatively thick layer of material. In either 
of the two material approaches, the badge is intended to remain affixed 
and readable over the useful life of the vehicle.
    Consistent with the proposal for application of a badge containing 
natural language, the agency has developed estimated costs associated 
with the projected alternative fuel vehicle volume for MY 2017 as the 
basis for annual costs. These costs are considered annual costs with 
the potential to increase linearly with an increase of alternative fuel 
vehicles in the marketplace.

[[Page 9808]]

    The following table contains estimated aggregated labor cost for 
affixing badges to vehicles in a production environment. The labor 
value was estimated at $0.35 per badge based on a labor rate of 
approximately $21 per hour \51\ and allowing for one minute of time to 
apply the badge to the vehicle in the production environment, 
parameters which the agency considered reasonable for the labor 
involved.
---------------------------------------------------------------------------

    \51\ United States Bureau of Labor Statistics, May 2012, 
Production Occupations, 51-2099 Assemblers and Fabricators, All 
Other, hourly mean wage: $21.14 per hour. http://www.bls.gov/oes/current/oes512099.htm (last accessed January 27, 2014).

          Table IV-4--Potential Badge Labor Cost MY2017 (2012$)
------------------------------------------------------------------------
                   Fuel type                     Labor cost  Labor hours
------------------------------------------------------------------------
Ethanol.......................................   $1,336,494    63,642.58
Natural Gas...................................        1,505        71.67
Electric (BEV)................................       11,273       536.81
Electric (PHEV/EREV)..........................       16,674       793.98
Hydrogen......................................           96         4.57
LPG...........................................          963        45.83
                                               -------------------------
  Total.......................................    1,367,004    65,095.44
------------------------------------------------------------------------

    The following table shows estimated tooling costs for badges based 
on information provided by an automotive industry badge supplier.\52\ 
The costs are shown as low and high range values for each badge 
material type (urethane and ABS plastic/chrome). The estimated tooling 
costs are expected to be a one-time cost for developing the tooling 
required to produce either badge type versus a continuous year-over-
year aggregated piece cost because, once developed, the designs are not 
intended to change over time.\53\ In addition, these tooling costs 
would also apply to any future alternative fuel badges that would enter 
the U.S. market as tooling development is required for each badge 
design.
---------------------------------------------------------------------------

    \52\ Conversation between NHTSA staff and a representative of 
the Douglas Corporation, December 22, 2010. A record of this meeting 
is available in the docket for this rulemaking.
    \53\ However, the agency acknowledges production tooling does 
have a limited useful life and can require maintenance during this 
useful life. For purposes of this proposal, the agency is 
recognizing the initial cost to develop tooling to produce badge 
designs. Any subsequent costs are dependent on factors involving 
production techniques, machine tool maintenance and other variables 
across, potentially, multiple suppliers that the agency is not able 
to estimate for this proposal.

                            Table IV-5--MY 2017 Estimated Badge Tooling Cost (2012$)
----------------------------------------------------------------------------------------------------------------
                                                                    Foil/urethane          ABS plastic/chrome
                                                             ---------------------------------------------------
                                                                  Low          High         Low          High
----------------------------------------------------------------------------------------------------------------
Per Fuel Type...............................................       $6,844       $8,950      $31,587      $47,381
----------------------------------------------------------------------------------------------------------------

    The following table shows estimated annual aggregate industry 
material cost for manufacturing badges in a production environment 
(without labor cost). The ranges of costs were developed based on 
information provided by an automotive industry badge supplier.\54\ The 
low and high cost range values for manufacturing the two types of badge 
materials (foil/urethane and ABS plastic/chrome) are multiplied by the 
estimated alternative fuel vehicle volumes to arrive at an annual 
aggregate ``permanent and prominent display'' cost. The potential 
estimated labor values discussed in Table IV-4 would need to be 
combined with these values to arrive at total estimated annual cost.
---------------------------------------------------------------------------

    \54\ Conversation between NHTSA staff and a representative of 
the Douglas Corporation, December 22, 2010. A record of this meeting 
is available in the docket for this rulemaking.

  Table IV-6--MY 2017 Estimated ``Permanent and Prominent Display'' Aggregated Industry Material Costs (2012$)
----------------------------------------------------------------------------------------------------------------
 
----------------------------------------------------------------------------------------------------------------
                                                                    Foil/urethane
                                                                 ABS plastic/chrome
----------------------------------------------------------------------------------------------------------------
Ethanol.....................................................   $5,226,788   $9,247,395   $7,639,152  $11,659,758
Natural Gas.................................................        5,886       10,413        8,602       13,130
Electric (BEV)..............................................       44,087       77,999       64,434       98,347
Electric (PHEV/EREV)........................................       65,208      115,367       95,303      145,463
Hydrogen....................................................          375          664          548          837
LPG.........................................................        3,764        6,660        5,501        8,397
Biodiesel...................................................  ...........  ...........  ...........  ...........
                                                             ---------------------------------------------------
    Totals..................................................    5,346,108    9,458,498    7,813,542   11,925,932
----------------------------------------------------------------------------------------------------------------

2. What costs does NHTSA estimate for the ``Owner's Manual 
Information'' on alternative fuel capability and benefits?
    The agency generated the following cost estimates for the 
development and implementation of the owner's manual information 
describing the capabilities and benefits of alternative fuel usage.

[[Page 9809]]



Table IV-7--Estimated Alternative Fuel Owner's Manual Information Annual
                          Printing Cost (2012$)
------------------------------------------------------------------------
 
------------------------------------------------------------------------
          Startup Costs                Rate        Hours         Cost
------------------------------------------------------------------------
Entry Level Technical Writer.....       $22.60        16.00         $362
Supervisory Technical Writer.....        33.59         8.00          269
Associate General Counsel........        99.17         5.00          496
Labor Cost.......................  ...........  ...........        1,126
Number of Manufacturers (est. 18)  ...........  ...........       20,271
------------------------------------------------------------------------
           Annual Costs                Rate        Pages         Cost
------------------------------------------------------------------------
Printing--per page...............       $0.042         2.00       $0.084
Printing per pagex vehicle volume  ...........  ...........      328,081
 Table IV-1......................
                                  --------------------------------------
    Total Cost...................  ...........  ...........      348,352
------------------------------------------------------------------------

3. What costs does NHTSA estimate for fuel compartment alternative fuel 
identification?
    The agency is proposing the application of an adhesive label to the 
inside of the fuel compartment door or ``screen-printing'' language to 
the fuel filler cap for vehicles capable of operating on an alternative 
fuel. The fundamentals of this proposal are consistent with labeling 
currently in production from some manufacturers producing alternative 
fuel capable vehicles.
    To develop cost estimates for this proposal, the agency spoke to 
suppliers of the fuel compartment alternative fuel labels currently in 
production to learn more about lead time and piece cost pricing.\55\ 
Using the estimated MY 2017 alternative fuel vehicle volume discussed 
above as a basis, the agency developed the following industry annual 
cost estimate including and excluding labor.
---------------------------------------------------------------------------

    \55\ Conversation with Whitlam Label Company, Inc., November 11, 
2010. A record of this meeting is available in the docket for this 
rulemaking.
---------------------------------------------------------------------------

    For purposes of this cost estimate, the agency estimated the cost 
associated with producing a separate, adhesive-type label. The agency 
believes this provides an upper bound estimate as an alternative to 
implement a ``screen-printed'' label on the fuel filler cap which could 
potentially be implemented at no piece cost increase because printing 
information on the fuel tank cap is nearly standard industry practice. 
In addition, there would be no additional assembly labor cost for 
attaching the fuel filler cap.
    For estimates involving an adhesive label, the agency assumed a 
per-label cost of $0.037 and used the labor value of $0.175 per label. 
The labor value is one-half the labor value used for the cost estimate 
for a ``permanent and prominent display.'' The agency views the fuel 
tank compartment label application as a less precise labor operation, 
yielding a reduced estimated labor cost. Based on discussion with 
industry, NHTSA believes that this is an appropriate value for 
application of the label as proposed.\56\
---------------------------------------------------------------------------

    \56\ These cost estimates do not exclude the volume of vehicles 
with voluntary labeling at the fuel filler compartment that 
identifies the alternative fuel type, as an unknown percentage of 
that voluntary compliance may be due to the labeling requirement of 
32905(f) to receive credits under 32906(a). As those credits 
decrease after 2017 and expire after 2019, current estimates of 
voluntary compliance may be misleading beyond the first years of 
this program.

     Table IV-8--MY 2017 Fuel Compartment Adhesive Label Aggregated
                     Incremental Annual Cost (2012$)
------------------------------------------------------------------------
            Fuel type                Vehicles   $ w/o labor   $ w/labor
------------------------------------------------------------------------
Ethanol..........................    3,818,555     $140,721     $808,968
Natural Gas......................        4,300          158          911
Electric (BEV)...................       32,209        1,187        6,823
Electric (PHEV/EREV).............       47,639        1,756       10,092
Hydrogen.........................          274           10           58
LPG..............................        2,750          101          583
                                  --------------------------------------
    Totals.......................    3,905,727      143,934      827,436
------------------------------------------------------------------------

    The agency notes these estimates are based on a piece cost for a 
label production run of approximately 25,000 labels that include setup 
and the batch printing run. As defined by the estimated MY 2017 
alternative fuel vehicle production volume estimates developed for this 
proposal, some alternative fuel types will not achieve this volume for 
the single 2013 model year. The agency acknowledges that this condition 
may exist for some time regarding specific fuel types, which could 
require a smaller batch-run of labels that increases piece cost. 
However, the agency does not foresee these smaller batch runs having a 
significant effect on the overall cost estimates associated with the 
proposed label. Conversely, in some cases, a single production run of 
25,000 labels would enable a sufficient supply to cover four or five 
model years without the need for additional sourcing.

C. What benefits does NHTSA estimate for this proposed rule?

    As information on the effects of these badges on consumer purchases 
is not available, a quantitative assessment of the effects of the 
impacts of badges would be highly speculative. Therefore, NHTSA was not 
able to quantitatively assess the benefits of this rule. NHTSA notes 
that the statutory mandate of EISA does not require NHTSA to justify 
the benefits of the rule as outweighing its costs. However, the agency 
believes that it is important to recognize the

[[Page 9810]]

anticipated qualitative benefits of this action.
    The primary benefits associated with this proposed rule come from 
any improvements in consumer decision-making that stems from helping 
consumers identify which vehicles run on alternative fuels.
    The current widespread presence of badges on vehicles, such as 
make, model and dealership information, supports that external badges 
influence consumers. The proposed external badges identifying vehicles 
that are capable of operating on an alternative fuel will heighten 
awareness of alternative fuel vehicles, thereby making potential 
consumers more aware of the diverse vehicles choices available on the 
market. NHTSA believes that this rule will help alternative fuel 
vehicle deployment by identifying early adopters of these technologies. 
New technologies, regardless of their relative benefits to previous 
technologies, are likely to face a slow diffusion process.\57\ As part 
of the ``diffusion of innovations'' \58\ process, the dissemination of 
information on early adopters of a particular innovation is a key 
component of that innovation's market success.\59\
---------------------------------------------------------------------------

    \57\ See Timothy F, Malloy and Peter Sinsheimer, Innovation, 
Regulation, and the Selection Environment, 57 Rutgers L. Rev 183, 
189 (2004).
    \58\ See Everett M. Rogers, Diffusion of Innovations (5th ed. 
2003).
    \59\ See Malloy & Sinsheimer, supra, at 188.
---------------------------------------------------------------------------

    Vehicles currently in production with alternative fuel capabilities 
may not be readily distinguishable from their conventional fuel 
counterparts absent an identifying badge. Greater exposure to the 
available vehicle choices before making purchasing decisions will 
complement enhanced consumer information on energy costs and savings on 
the dealer lot (such as information provided through the recently 
adopted fuel economy labels).\60\ NHTSA also believes that informed 
choice, while not quantifiable, is an end in itself.
---------------------------------------------------------------------------

    \60\ 76 FR 39478.
---------------------------------------------------------------------------

    Another anticipated benefit is a decrease in fueling mistakes that 
could occur with an increased volume and diversity of alternative 
fueled vehicles on the road along with a potential expansion of fueling 
options at conventional fueling stations. The agency is not aware of a 
quantification of safety or economic costs associated with these 
mistakes, and seeks comment on this issue.
    The agency believes that the benefits of this proposal will be 
higher than the costs. NHTSA requests comment on the benefits described 
here, and on any additional benefits and/or ways to quantify benefits.

V. Enforcement and Compliance

    In adding the 32908(g) requirements, which apply to automobiles, 
Congress did not amend the existing compliance and civil penalty 
provisions for automobiles in 49 U.S.C. Chapter 329; therefore, NHTSA 
tentatively concludes that those provisions apply for regulations 
promulgated under 32908(g).

A. What compliance provisions govern regulations promulgated under 
32908(g)?

    49 U.S.C. 32911(a) states, in relevant part, that a person commits 
a violation of Chapter 329 if the person fails to comply with 
regulations and standards prescribed under Chapter 329, except sections 
32902 (fuel economy standards), 32903 (fuel economy credits), 32908(b) 
(EPA's fuel economy labeling requirements), 32917(b) (fleet-average 
fuel economy standards for executive agency automobiles), and 32918 
(retrofit devices) and regulations and standards prescribed under those 
sections. 32908(g) does not fall within those exceptions. Therefore, a 
violation of 32908(g) is a violation of Chapter 329, thereby subjecting 
the person to penalties under 32912 as discussed below. A failure to 
comply with the proposed regulations might include, but would not be 
limited to, failing to affix a required badge or label, failing to 
include required text in an owner's manual or including incorrect text, 
or affixing a badge that does not meet the useful life requirements 
specified by the agency.
    We note that 32911(a) also states that the Secretary of 
Transportation (by delegation, the Administrator of NHTSA) shall 
conduct a proceeding, with an opportunity for a hearing on the record, 
to decide whether a person has committed a violation, and that any 
interested person may participate in that proceeding. NHTSA has 
established rules of practice and procedures for adjudicative 
proceedings conducted pursuant to the Motor Vehicle Information and 
Cost Savings Act (now codified in relevant part at 49 U.S.C. Chapter 
329) which require a proceeding on the record after opportunity for a 
public hearing. These rules of adjudicative procedure are set forth at 
49 CFR Part 511. These procedures would apply to proceedings conducted 
to determine violations of the regulations proposed today.

B. What is the penalty for non-compliance with regulations promulgated 
under 32908(g)?

    49 U.S.C. 32912(a) states that a person who violates 32911(a) is 
liable to the United States Government for a civil penalty of not more 
than $10,000 (now $16,000 as adjusted for inflation) \61\ for each 
violation, and that a separate violation occurs for each day the 
violation continues. Thus, if, following the procedures laid out in 49 
CFR Part 511, NHTSA finds that a person has committed a violation of 
any of the regulations proposed today, that person would be subject to 
civil penalties under 32912(a). 32912(d) states further that penalties 
shall be imposed under this section by written notice. 49 U.S.C. 32913 
(compromising and remitting civil penalties), 32914 (collecting civil 
penalties), and 32915 (appealing civil penalties) would also apply to 
civil penalty actions for violations of the regulations proposed today.
---------------------------------------------------------------------------

    \61\ We note that the amount of $10,000 prescribed by 32912(a) 
has been updated by regulation for inflation. Per 49 CFR 
578.6(h)(1), a person that violates 32911(a) is liable to the United 
States Government for a civil penalty of not more than $16,000 for 
each violation, and a separate violation occurs for each day the 
violation continues.
---------------------------------------------------------------------------

    NHTSA seeks comment on whether the agency should consider any 
additional information with respect to enforcement and compliance.

VI. Public Participation

    NHTSA requests comment on all aspects of this proposed rule. This 
section describes how you can participate in this process.

A. How do I prepare and submit comments?

1. Further Instructions for Submitting Comments to the NHTSA Docket Are 
Described Below
    Your comments must be written and in English. To ensure that your 
comments are correctly filed in the docket, please include the Docket 
Number NHTSA-2010-0134 in your comments. Your comments must not be more 
than 15 pages long.\62\ NHTSA established this limit to encourage you 
to write your primary comments in a concise fashion. However, you may 
attach necessary additional documents, which are not subject to the 
page limit, to your comments.
---------------------------------------------------------------------------

    \62\ 49 CFR 553.21.
---------------------------------------------------------------------------

    If you are submitting comments electronically as a PDF (Adobe) 
file, we ask that the documents submitted be scanned using the Optical 
Character Recognition (OCR) process, thus allowing the agency to search 
and copy

[[Page 9811]]

certain portions of your submissions.\63\ Please note that pursuant to 
the Data Quality Act, in order for the substantive data to be relied 
upon and used by the agencies, it must meet the information quality 
standards set forth in the OMB and DOT Data Quality Act guidelines.
---------------------------------------------------------------------------

    \63\ Optical character recognition (OCR) is the process of 
converting an image of text, such as a scanned paper document or 
electronic fax file, into computer-editable text.
---------------------------------------------------------------------------

    Accordingly, we encourage you to consult the guidelines in 
preparing your comments. OMB's guidelines may be accessed at http://www.whitehouse.gov/omb/fedreg_reproducible (last accessed January 2, 
2014), and DOT's guidelines may be accessed at http://regs.dot.gov 
(last accessed January 2, 2014).
2. Tips for Preparing Your Comments
    When submitting comments, please remember to:
     Identify the rulemaking by docket numbers and other 
identifying information (subject heading, Federal Register date and 
page number).
     Follow directions--the agencies may ask you to respond to 
specific questions or organize comments by referencing a Code of 
Federal Regulations (CFR) part or section number.
     Explain why you agree or disagree, suggest alternatives, 
and substitute language for your requested changes.
     Describe any assumptions and provide any technical 
information and/or data that you used.
     If you estimate potential costs or burdens, explain how 
you arrived at your estimate in sufficient detail to allow for it to be 
reproduced.
     Provide specific examples to illustrate your concerns and 
suggest alternatives.
     Explain your views as clearly as possible, avoiding the 
use of profanity or personal threats.
    Make sure to submit your comments by the comment period deadline 
identified in the DATES section above.

B. How do I submit confidential business information?

    Following are specific instructions for submitting confidential 
business information (CBI) to the agency.
    If you wish to submit any information under a claim of 
confidentiality, you should submit three copies of your complete 
submission, including the information you claim to be confidential 
business information, to the Chief Counsel, NHTSA, at the address given 
above under FOR FURTHER INFORMATION CONTACT. When you send a comment 
containing CBI, you should include a cover letter setting forth the 
information specified in our CBI regulation.\64\ In addition, you 
should submit a copy from which you have deleted the claimed CBI to the 
Docket by one of the methods set forth above.
---------------------------------------------------------------------------

    \64\ 49 CFR Part 512.
---------------------------------------------------------------------------

C. Will the Agency consider late comments?

    NHTSA will consider all comments received before the close of 
business on the comment closing date indicated above under DATES. To 
the extent practicable, we will also consider comments received after 
that date. If interested persons believe that any new information the 
agency places in the docket affects their comments, they may submit 
comments after the closing date concerning how the agency should 
consider that information for the final rule.
    However, the agency's ability to consider any such late comments in 
this rulemaking will be limited due to the time frame for issuing a 
final rule. If a comment is received too late for us to practicably 
consider it in developing a final rule, we will consider that comment 
as an informal suggestion for future rulemaking action.

D. How can I read the comments submitted by other people?

    You may read the materials placed in the docket for this document 
(e.g., the comments submitted in response to this document by other 
interested persons) at any time by going to http://www.regulations.gov. 
Follow the online instructions for accessing the dockets. You may also 
read the materials at the NHTSA Docket Management Facility by going to 
the street address given above under ADDRESSES.

VII. Regulatory Notices and Analyses

A. Executive Orders 12866 and 13563 and DOT Regulatory Policies and 
Procedures

    NHTSA has considered the impact of this rulemaking action under 
Executive Orders 12866 and 13563 and the Department of Transportation's 
regulatory policies and procedures. This action is not significant and 
therefore was not subject to review by OMB under Executive Order 12866. 
The benefits and costs of this proposal are described above in Section 
IV. Because the proposed rule would, if adopted, not be economically 
significant, the agency has not prepared a Preliminary Regulatory 
Evaluation.

B. Regulatory Flexibility Act

    Pursuant to the Regulatory Flexibility Act (5 U.S.C. 601 et seq., 
as amended by the Small Business Regulatory Enforcement Fairness Act 
(SBREFA) of 1996), whenever an agency is required to publish a notice 
of rulemaking for any proposed or final rule, it must prepare and make 
available for public comment a regulatory flexibility analysis that 
describes the effect of the rule on small entities (i.e., small 
businesses, small organizations, and small governmental jurisdictions). 
The Small Business Administration's regulations at 13 CFR part 121 
define a small business, in part, as a business entity ``which operates 
primarily within the United States.'' \65\ No regulatory flexibility 
analysis is required if the head of an agency certifies the rule will 
not have a significant economic impact on a substantial number of small 
entities. It is hereby certified that this proposed rule would not have 
a significant economic impact on a substantial number of small 
entities. The following is NHTSA's statement providing the factual 
basis for the certification (5 U.S.C. 605(b)).
---------------------------------------------------------------------------

    \65\ 13 CFR 121.105(a).
---------------------------------------------------------------------------

    If adopted, the proposal would directly affect motor vehicle 
manufacturers and final-stage manufacturers that manufacture or are 
planning to manufacture alternative fuel vehicles. There are an 
estimated nine large single stage motor vehicle manufacturers and about 
three small U.S. manufacturers of light plug-in hybrid and electric 
vehicles that would be subject to the requirements of this 
proposal.\66\ Similarly, there are at least six manufacturers of low-
speed vehicles that are small businesses.\67\
---------------------------------------------------------------------------

    \66\ Phoenix, Tesla, and Via Electric Vehicles.
    \67\ Club Car LLC, Columbia ParCar Corporation, Cruise Car Inc., 
STAR Electric Car Sales, Tomberlin, and Wheego Electric Car, Inc.
---------------------------------------------------------------------------

    A single stage automobile or light truck manufacturer (NAICS code 
336111, Automobile Manufacturing; 336112, Light Truck and Utility 
Vehicle manufacturing) must have 1,000 or fewer employees to qualify as 
a small business.\68\ We believe that all of the U.S. small vehicle 
manufacturers have fewer than 1,000 employees. We estimate these 
proposed requirements would cost each small vehicle manufacturer 
approximately $1.89 to $3.49 per vehicle, or far less than 1% of the 
cost of one of these vehicles, and would therefore not appear to 
constitute a significant economic impact. NHTSA seeks comment on this 
proposed certification.
---------------------------------------------------------------------------

    \68\ 237 According to the Small Business Administration's small 
business size standards (see 13 CFR 121.201).

---------------------------------------------------------------------------

[[Page 9812]]

C. Executive Order 13132 (Federalism)

    Executive Order 13132 requires NHTSA to develop an accountable 
process to ensure ``meaningful and timely input by State and local 
officials in the development of regulatory policies that have 
federalism implications.'' ``Policies that have federalism 
implications'' is defined in the Executive Order to include regulations 
that have ``substantial direct effects on the States, on the 
relationship between the national government and the States, or on the 
distribution of power and responsibilities among the various levels of 
government.'' Under Executive Order 13132, the agency may not issue a 
regulation with federalism implications, that imposes substantial 
direct costs, and that is not required by statute, unless the federal 
government provides the funds necessary to pay the direct compliance 
costs incurred by state and local governments, or the agency consults 
with state and local officials early in the process of developing the 
proposed regulation, provides a federalism summary impact statement to 
the Office of Management and Budget (OMB) in the preamble, and makes 
any written communications to the agency from state and local officials 
available to the director of OMB. NHTSA also may not issue a regulation 
with federalism implications and that preempts state law unless the 
agency consults with state and local officials early in the process of 
developing the proposed regulation, provides a federalism summary 
impact statement to OMB in the preamble, and makes any written 
communications to the agency from state and local officials available 
to the director of OMB.
    NHTSA has identified several states \69\ that promote the use of 
alternative fuel vehicles. Some have implemented programs, such as 
California's Clean Air Vehicle program, that provide High Occupancy 
Vehicle (HOV) lane access incentives for labeled or specially plated 
alternative fuel vehicles. These programs often require the owner to 
apply a badge, sticker, or special license plate that identifies the 
vehicle as an alternative fuel, low emission, or ``clean-'' Vehicle. 
This rule is not intended to preempt or in any way affect such 
programs, as the state programs do not regulate the manufacturers of 
alternative fuel vehicles or provide consumer information on specific 
types and benefits of alternative fuel vehicles. NHTSA does not believe 
that this proposed rule would have ``substantial direct effects on the 
States, the relationship between the national government and the States 
or on the distribution of power and responsibilities among the various 
levels of government'' as described in Executive Order 13132.
---------------------------------------------------------------------------

    \69\ The states include Arizona, California, Colorado, Florida, 
Georgia, Hawaii, Maryland, New Jersey, New York, North Carolina, 
Tennessee, Utah and Virginia.
---------------------------------------------------------------------------

    EISA does not expressly preempt state laws regarding consumer 
information or education on alternative fuel vehicles. Under Executive 
Order 13132, where a federal statute does not expressly preempt state 
law and there is no clear evidence that Congress intended for 
preemption to exist, the agency may find that its regulations preempt 
state law ``only when the exercise of State authority directly 
conflicts with the exercise of Federal authority under the Federal 
statute.'' When an agency foresees the possibility of a conflict 
between state law and federally protected interests, the agency shall 
attempt to avoid such a conflict through consultation with the 
appropriate state and local officials. NHTSA is unaware of any state 
laws regarding consumer information or education on alternative fuel 
vehicles that would directly conflict with the exercise of Federal 
authority in this proposed regulation.
    NHTSA tentatively concludes that this proposed action would not 
likely have federalism implications. However, we are aware that some 
states may have an interest in this proposal, and we welcome 
information that may help the agency more fully understand how our 
efforts may coordinate or conflict with state programs and policies. We 
therefore solicit comment on this proposal from state and local 
officials and other interested persons.

D. National Environmental Policy Act (NEPA)

    For the purposes of the National Environmental Policy Act, NHTSA 
has determined that implementation of this rulemaking action would not 
have any significant impact on the quality of the human environment.

E. Executive Order 12988 (Civil Justice Reform)

    Pursuant to Executive Order 12988, ``Civil Justice Reform,'' \70\ 
NHTSA has considered whether this rulemaking would have any retroactive 
effect. This proposed rule does not have any retroactive effect.
---------------------------------------------------------------------------

    \70\ 61 FR 4729 (Feb. 7, 1996).
---------------------------------------------------------------------------

F. Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4) requires 
agencies to prepare a written assessment of the costs, benefits, and 
other effects of proposed or final rules that include a Federal mandate 
likely to result in the expenditures by States, local or tribal 
governments, in the aggregate, or by the private sector, of more than 
$100 million annually (adjusted annually for inflation with base year 
of 1995). Adjusting this amount by the implicit gross domestic product 
price deflator for 2012 results in $136 million (115.381/81.606 = 
1.41). The assessment may be included in conjunction with other 
assessments, as it is here. This proposal will not result in consumer 
costs of more than $141 million.

G. National Technology Transfer Advancement Act

    Section 12(d) of the National Technology Transfer and Advancement 
Act (NTTAA) requires NHTSA to evaluate and use existing voluntary 
consensus standards in its regulatory activities unless doing so would 
be inconsistent with applicable law (e.g., the statutory provisions 
regarding NHTSA's vehicle safety authority) or otherwise impractical.
    Voluntary consensus standards are technical standards developed or 
adopted by voluntary consensus standards bodies. Technical standards 
are defined by the NTTAA as ``performance-based or design-specific 
technical specification and related management systems practices.'' 
They pertain to ``products and processes, such as size, strength, or 
technical performance of a product, process or material.''
    Examples of organizations generally regarded as voluntary consensus 
standards bodies include the American Society for Testing and Materials 
(ASTM), the Society of Automotive Engineers (SAE), and the American 
National Standards Institute (ANSI). If NHTSA does not use available 
and potentially applicable voluntary consensus standards, we are 
required by the Act to provide Congress, through OMB, an explanation of 
the reasons for not using such standards.
    For this proposal, the only applicable voluntary consensus 
standards that NHTSA discovered are the joint SAE/ISO standards 
mentioned above in the context of research and as a potential 
alternative proposal. Following the path of using these standards in 
the context of this proposal poses challenges. The agency believes all 
fuel types may not be appropriately represented by these symbols and 
currently some symbols do not exist for specific fuel types. Adding new 
fuel types may involve revisiting and republishing standards; a time

[[Page 9813]]

consuming process. In addition, the symbols were fundamentally 
developed for use on controls, the vehicle instrument cluster and road 
signs versus the application as an exterior badge. The agency believes 
the symbols, possibly, would have taken a different form if designed 
from the outset as an exterior badge, where aesthetics and 
complementing an overall theme may take a higher priority, versus being 
developed to specified guidelines for application to controls, warning 
lamps and road signs. Finally, as discussed elsewhere in this proposal, 
NHTSA remains concerned that following this approach would discourage 
manufacturer investment in promoting alternative fuel vehicles, and 
that the redundancy issue (of both manufacturers and NHTSA investing 
time and effort in developing alternative fuel-specific symbols for 
each vehicle) make it not the best option.

H. Executive Order 13211 (Actions That Significantly Affect Energy 
Supply, Distribution or Use)

    Executive Order 13211 \71\ applies to any rule that: (1) Is 
determined to be economically significant as defined under E.O. 12866, 
and is likely to have a significant adverse effect on the supply, 
distribution, or use of energy; or (2) that is designated by the 
Administrator of the Office of Information and Regulatory Affairs as a 
significant energy action. If the regulatory action meets either 
criterion, we must evaluate the adverse energy effects of the proposed 
rule and explain why the proposed regulation is preferable to other 
potentially effective and reasonably feasible alternatives considered 
by us.
---------------------------------------------------------------------------

    \71\ 66 FR 28355 (May 18, 2001).
---------------------------------------------------------------------------

    The proposed rule seeks to establish alternative fuel vehicle 
labeling and information requirements that aim to promote the use of 
alternative fuels and reduce consumption of petroleum. We have 
tentatively concluded that this proposed rule will not have any adverse 
energy effects but will instead have positive effects. Accordingly, 
this proposed rule is not designated as a significant energy action.

I. Regulatory Identifier Number

    The Department of Transportation assigns a regulation identifier 
number (RIN) to each regulatory action listed in the Unified Agenda of 
Federal Regulations. The Regulatory Information Service Center 
publishes the Unified Agenda in April and October of each year. You may 
use the RIN contained in the heading at the beginning of this document 
to find this action in the Unified Agenda.

J. Department of Energy and Environmental Protection Agency Review

    In accordance with 49 U.S.C. 32908(g)(1), we submitted this 
proposed rule to the DOE and the EPA for consultation and review.

K. Plain Language

    Executive Orders 12866 and 13563 require each agency to write all 
rules in plain language. Application of the principles of plain 
language includes consideration of the following questions:
     Have we organized the material to suit the public's needs?
     Are the requirements in the rule clearly stated?
     Does the rule contain technical language or jargon that is 
not clear?
     Would a different format (grouping and order of sections, 
use of headings, paragraphing) make the rule easier to understand?
     Would more (but shorter) sections be better?
     Could we improve clarity by adding tables, lists, or 
diagrams?
     What else could we do to make the rule easier to 
understand?
    If you have any responses to these questions, please include them 
in your comments on this proposal.

L. Privacy Act

    Anyone is able to search the electronic form of all comments 
received into any of our dockets by the name of the individual 
submitting the comment (or signing the comment, if submitted on behalf 
of an organization, business, labor union, etc.). You may review DOT's 
complete Privacy Act statement in the Federal Register published on 
April 11, 2000 (Volume 65, Number 70; Pages 19477-78) or you may visit 
http://www.dot.gov/privacy.html (last visited January 10, 2011).

M. Paperwork Reduction Act

    Under the procedures established by the Paperwork Reduction Act of 
1995 (PRA), a person is not required to respond to a collection of 
information by a federal agency unless the collection displays a valid 
OMB control number.
    As described throughout this notice, NHTSA is proposing to require 
badges, labels and owner's manual information for new passenger cars 
and light trucks weighing less than 8,500 pounds in order to increase 
consumer awareness regarding the benefits and use of alternative fuels. 
In general, the proposed rule would require manufacturers to disclose 
information supplied by NHTSA to consumers, and these requirements 
would not be considered a ``collection of information'' under the 
Paperwork Reduction Act.\72\ However, for certain types of alternative 
fuel vehicles, manufacturers would be required to affix a badge to the 
vehicle, but NHTSA has not supplied the exact language to be used on 
the badge. These include vehicles operating on alcohol other than 
ethanol or methanol and vehicles operating on fuel derived from 
biological materials other than biodiesel. Additionally, for certain 
types of alternative fuel vehicles, manufacturers would be required to 
disclose additional information on the proposed fuel filler compartment 
label to assist consumers. For vehicles using liquid fuels, 
manufacturers would be required to include the appropriate maximum 
acceptable mixture levels of fuels that may contain a blend of fuel 
types, such as ethanol or biodiesel. For battery-only electric vehicles 
and plug-in hybrids, manufacturers would be required to include the 
recommended charging voltage and additional voltage levels that can 
used for recharging the vehicles. NHTSA will seek approval of any 
information collection requirements proposed in this NPRM from OMB.
---------------------------------------------------------------------------

    \72\ 5 CFR 1320.3(c)(2)
---------------------------------------------------------------------------

List of Subjects in 49 CFR Part 575

    Consumer protection, Motor vehicle safety, Reporting and 
recordkeeping requirements, and tires.

    For the reasons set forth in the preamble, NHTSA proposed to amend 
49 CFR part 575 as follows:

0
1. Revise the authority citation to read as follows:

    Authority: 49 U.S.C. 32302, 32304(A), 30111, 30115, 30117, 
30123, 30166, 30168, and 32908, Pub. L. 104-414, 114 Stat. 1800, 
Pub. L. 109-59, 119 Stat. 1144, Pub. L. 110-140, 121 Stat. 1492, 15 
U.S.C. 1232(g); delegation of authority at 49 CFR 1.95.


0
2. Add Sec.  575.402 to read as follows:


Sec.  575.402  Alternative Fuel Vehicle Identification and Owner's 
Manual Information.

    (a) Purpose and scope. The purpose of this section is to inform 
consumers which vehicles are capable of operating on alternative fuels 
and the benefits of using alternative fuels, including their renewable 
nature and environmental benefits, by conveyance through a permanent 
and prominent display, a label attached to the fuel tank filler 
compartment, and standardized owner's manual information.

[[Page 9814]]

    (b) Application. This section applies to automobiles rated at not 
more than 8,500 pounds gross vehicle weight with the capability to 
operate on the alternative fuels as defined by 49 U.S.C. 32901(a)(1).
    (c) Definitions. (1) Alternative fuel has the same meaning as 
defined in 49 U.S.C. 32901(a)(1).
    (2) Permanent and prominent display means a badge affixed to the 
exterior of an automobile, designed for and applied with the ability to 
remain readable, and attached to the automobile throughout its entire 
useful life. The badge should be covered by the automobile manufacturer 
warranty during the automobile's warranted period.
    (3) Fuel compartment label means text printed on the exterior of 
the fuel filler cap or an adhesive label affixed to the inside of an 
automobile refueling compartment, electrical charge port or connection 
point access door.
    (d) Requirements. (1) Required permanent and prominent display. 
Prior to being offered for first retail sale, each manufacturer shall 
affix or cause to be affixed, and each dealer shall maintain or cause 
to be maintained, an exterior badge on each applicable automobile 
capable of operation on alternative fuel.
    (i) Location. The exterior badge shall be located and readily 
visible at the rear of the vehicle within close proximity to the 
vehicle model name, model designation and/or additional environmental/
advanced technology badging, if applicable. If a vehicle is not 
equipped with a model name, model designation and/or additional 
environmental/advanced technology badging, the exterior badge shall be 
placed in the lower right corner of the vehicle's rear trunk-lid, 
closeout panel, rear hatch or rear fender depending on vehicle type 
body configuration.
    (ii) Content. The badge shall reflect, at the minimum, in natural 
language the type of alternative fuel the vehicle is capable of 
operating on in accordance with the following table:

------------------------------------------------------------------------
                                         Proposed badge natural language
           Alternative fuel *                   minimum description
------------------------------------------------------------------------
Methanol **............................  Methanol.
Denatured Ethanol **...................  Ethanol.
Other Alcohols **......................  Name of other alcohol derived
                                          fuel.
Natural Gas............................  Natural Gas.
Liquefied Petroleum Gas................  Propane.
Coal Derived Liquid Fuels..............  Coal to Liquid.
Hydrogen...............................  Hydrogen.
Fuels (except alcohol) derived from      Biodiesel *** or name of other
 biological materials.                    fuel derived from biological
                                          materials.
Electricity (Battery Electric Vehicle).  Electric.
Electricity (Plug-In Hybrid Electric     Plug-In Hybrid Electric.
 Vehicle).
------------------------------------------------------------------------
* As defined by 49 U.S.C. 32901(a)(1).
** Note: To be considered an alternative fuel, alcohol derived fuels
  need to be blended at levels of at least 85 percent of the total
  mixture when blended with gasoline or other fuels.
*** The agency notes that it recognizes only `neat' biodiesel (B100) as
  an alternative fuel. 63 FR 15322 (Mar. 31, 1998).

    (iii) Minimum letter height. The defined natural language minimum 
description letter size shall be no smaller than 15 millimeters in 
height when the ``natural language minimum description'' is presented 
as a standalone badge containing no other text and no smaller than 5 
millimeters when the ``natural language minimum description'' is 
accompanied by other text.
    (iv) Letter finish. The defined natural language minimum 
description shall be finished in chrome or silver. If the alternative 
fuel name in the badge contains a background color independent of the 
vehicle color, this background color shall provide clear contrast to 
the alternative fuel name.
    (v) Minimum badge height. The badge used for ``permanent and 
prominent'' display shall be no less than 15 millimeters in height.
    (2) Required owner's manual information. The owner's manual of each 
vehicle capable of operating on alternative fuels shall contain the 
following text in the same font and type size specification as other 
standard text found throughout the owner's manual. In addition, the 
text shall be located within a box, bordered with a 1-pt. solid black 
line, with no other text inside the box.

{Section Heading:{time}  Capabilities and Benefits of Using Alternative 
Fuels

    This vehicle is recognized by the U.S. Department of Transportation 
as an alternative fuel vehicle, because it is capable of operating on a 
biofuel, electricity, hydrogen, natural gas, propane or other fuel that 
is not derived primarily from petroleum. Alternative fuel vehicles may 
provide benefits both to their users and to the nation as a whole over 
their useful lifetime by operating on non-petroleum-based alternative 
fuels. Some of the benefits of alternative fuel usage in this vehicle 
may include:
     Energy and National Security: Driving this vehicle on 
alternative fuels may help to reduce our country's dependence on 
foreign oil. The United States imports a substantial amount of its 
petroleum, the majority of which is used to fuel vehicles in the form 
of gasoline and diesel. Petroleum imports can be vulnerable to supply 
disruptions and price shocks depending on conditions in the countries 
that supply us with oil. By using alternative fuels, you may be helping 
the country be less vulnerable to the supply disruptions and price 
variability associated with imported oil, and supporting U.S. 
alternative fuel producers.
     Environmental Benefits--Renewability and Emissions: Many 
alternative fuels are renewable, which means that their sources can be 
replenished--like plant-based ethanol, or solar-powered electricity. 
Renewable fuels may have less environmental impact than conventional 
fuels. Additionally, compared with vehicles fueled by conventional, 
petroleum-derived diesel and gasoline, many alternative fuel vehicles 
are estimated to reduce the life cycle greenhouse gas emissions of 
carbon dioxide.
     Fuel Type and Availability: Alternative fuels are 
increasingly in availability. To learn more about the availability of 
alternative fuel that can power this vehicle, please visit the 
Department of Energy's Alternative Fueling Station Locator at http://www.afdc.energy.gov/afdc/locator/stations/ to determine the location of 
refueling and/or recharging facilities that meet your driving needs.
Additional Information Resources
     For more information about alternative fuels and 
alternative fuel

[[Page 9815]]

vehicles, please visit the Department of Energy's Alternative Fuels & 
Advanced Vehicles Data Center at http://www.afdc.energy.gov.
     For more information about vehicle safety, please visit 
www.safercar.gov.
    (3) Required fuel filler compartment label. Prior to being offered 
for first retail sale, each manufacturer shall affix, or cause to be 
affixed, and each dealer shall maintain, or cause to be maintained, a 
label that complies with the requirements of 49 U.S.C. 32905(g)(3) on 
each applicable automobile capable of operation on an alternative fuel, 
as defined under 49 U.S.C. 32901(a)(1).
    (i) Location. The label shall be located within the fuel filler 
compartment in the form of an adhesive label or as text on the exterior 
of the fuel filler cap.
    (ii) Content. For each type of alternative fuel, the label shall 
include the content indicated in the following table:

----------------------------------------------------------------------------------------------------------------
                                                                                         Maximum      Charging
           Defined alternative fuel *              Alternative fuel name for use in    blend level     voltage
                                                               labeling                 (liquid)      level(s)
----------------------------------------------------------------------------------------------------------------
Methanol **.....................................  Methanol..........................            X   ............
Denatured Ethanol **............................  Ethanol...........................            X   ............
Other Alcohols **...............................  [Name of Alcohol Derived Fuel]....            X   ............
Natural Gas.....................................  CNG...............................  ............  ............
Liquefied Petroleum Gas.........................  LPG...............................  ............  ............
Coal Derived Liquid Fuels.......................  Coal Derived Liquid Fuels.........            X   ............
Hydrogen........................................  Hydrogen..........................  ............  ............
Fuels (except alcohol) derived from biological    Biodiesel or [Name of other                   X   ............
 materials.                                        Biologically derived fuel].
Electricity (Battery Electric Vehicle)..........  Electricity.......................  ............            X
Electricity (Plug-In Hybrid Electric Vehicle)...  Electricity/[Other Fuel Type(s)]..        X ***             X
----------------------------------------------------------------------------------------------------------------
* 49 U.S.C. 32901(a)(1).
** Note: To be considered an alternative fuel, alcohol derived fuels need to be blended at levels of at least 85
  percent of the total mixture when blended with gasoline or other fuels.
*** For dual fuel capable non-electric power source.

    (iii) Minimum letter height and style. The defined minimum letter 
size shall be no smaller than 5 millimeters in height and in ``bold-
face'' type.
    (iv) Letter contrast. The fuel compartment labeled text shall be 
presented in high contrast to the background color of the material the 
text is printed on.

    Issued in Washington, DC, under authority delegated in 49 CFR 
part 1.95.
Christopher J. Bonanti,
Associate Administrator for Rulemaking.
[FR Doc. 2014-02957 Filed 2-19-14; 8:45 am]
BILLING CODE 4910-59-P