U.S. Senate repeals California’s gas car ban; impacts New Jersey

Wayne Staub Chief Business Relations Officer - New Jersey Business & Industry Association
Wayne Staub Chief Business Relations Officer - New Jersey Business & Industry Association
0Comments

The U.S. Senate has voted to repeal an Environmental Protection Agency (EPA) waiver that allowed California to ban the sale of new gas-powered passenger vehicles by 2035. This decision effectively nullifies the rule adopted by New Jersey’s Murphy administration, which had followed California’s lead.

Both chambers of Congress have passed a Congressional Review Act resolution to overturn the Biden-era EPA waiver that authorized California’s Advanced Clean Cars II (ACCII) ban on sales of new gas, diesel, and traditional hybrid vehicles. The resolution is now headed to President Trump’s desk for signing. Ending electric vehicle mandates in the United States was a campaign promise made by President Trump.

For New Jersey, one of 12 states that adopted the ACCII rule, this repeal means there will be no ban on gas-powered cars by 2035 in the state. Ray Cantor, Deputy Chief Government Affairs Officer at NJBIA, expressed gratitude toward Senate members who voted against California’s ban: “We thank the members of the Senate who voted pragmatically and with common sense to overturn California’s ban on sales of new gas cars.”

Cantor argued that following California’s mandate would restrict consumer choice, increase income inequality in New Jersey, and exacerbate affordability issues. With the waiver overturned, all states are expected to align with the less stringent EPA standard that still sets emissions targets requiring some level of EV mandates.

It is anticipated that under President Trump’s administration, the EPA will collaborate with auto manufacturers and business communities to update these standards. Cantor stated: “We are confident that EPA will work with industry on a workable rule that will allow for the natural growth of the EV market and hopefully allow for other lower carbon options to be deployed.” He also noted New Jersey could continue incentivizing electric vehicle purchases and charging station installations.

NJBIA has opposed the gas-car ban since its adoption nearly two years ago by Governor Murphy’s administration due to concerns about increased costs for consumers and inadequate infrastructure for supporting an EV mandate.

Last year saw a bipartisan coalition rallying at Trenton’s Statehouse against this policy change. “New Jersey has been working toward reducing carbon emissions,” said Cantor. “But continuing efforts to mandate a ban of new gas-powered cars in such an expedited time frame ignores feasibility, practicality and affordability.”

Senate Republicans moved forward with a simple majority vote bypassing Democrats’ calls for adherence to filibuster rules during this contentious session. Despite warnings from Democrats regarding potential precedents set by bypassing these rules—potentially turning future Senate operations into majority-vote bodies—Senate Majority Leader John Thune maintained his stance while Minority Leader Chuck Schumer cautioned about future repercussions when Democrats regain control.

This story continues to develop as it progresses through legislative channels.



Related

Ed Potosnak, Commissioner of the New Jersey Department of Environmental Protection

DEP opens nominations for 2026 New Jersey Recycling Awards

The Department of Environmental Protection is accepting nominations for its annual Recycling Awards program recognizing achievements across multiple sectors. Submissions are open until July 24 with winners honored later this fall. State officials say these efforts both protect natural resources and support jobs.

Chrissy Buteas President and Chief Executive Officer

HealthCare Institute of New Jersey comments on Assembly passage of PBM reform bill

The HealthCare Institute of New Jersey responded after lawmakers passed A-1502 in the General Assembly. The group says this legislation could help lower drug costs by addressing pharmacy benefit manager practices.

Mikie Sherrill, Governor

Sherrill administration’s statewide business tour reinforces its focus on economic growth

The New Jersey Chamber of Commerce announced its participation in Governor Mikie Sherrill’s statewide business outreach tour. The initiative aims to gather direct feedback from employers about opportunities and challenges facing businesses in New Jersey.

Trending

The Weekly Newsletter

Sign-up for the Weekly Newsletter from New Jersey Review.