Appeals court sides with 5 states on fuel economy standards

NEW YORK (AP) — An appeals court has said the federal government can’t delay plans to more than double penalties automakers pay when they fail to meet fuel economy standards.

The 2nd U.S. Circuit Court of Appeals sided on Monday with a lawsuit brought last year by California, Maryland, New York, Pennsylvania, Vermont and environmental groups, which were seeking to have a new rule about penalties enforced.

The Department of Justice hasn’t commented.

New York Attorney General Eric Schneiderman (SHNEYE’-dur-muhn) says the ruling means the government no longer can delay implementation of the higher penalties. He says higher penalties will reduce carbon emissions and save consumers on average $1,650 annually in fuel costs.

A government lawyer argued this month the penalties will be changed again later this year.