NJ Finalizes $72 Million VW Settlement: DEP Will Administer

Governor Christie has formally accepted the $72 million settlement from the Volkswagen Mitigation Trust. This is on top of the $69 million previously awarded by the Volkswagen Group of America. The funds settle allegations that Volkswagen “violated New Jersey’s clean air statutes and defrauded consumers by selling diesel vehicles equipped with “cheat” software that deactivated their on-board emission controls except during emissions testing.” The New Jersey Department of Environmental Protection (DEP) has been named lead agency in administering the funds. The state must submit a “Beneficiary Mitigation Plan” that explains how the funds will be used. Comments on how the funds should be used may be submitted by January 31, 2018 to VWComments@dep.nj.gov.

“It’s important that we’ve accepted the $72 million, on top of the other $69 million, and assigned the DEP as lead agency to make sure the funds are administered properly. It’s also important that the public has time and the ability to comment on how these funds should be used, including electrifying our ports and incorporating environmental justice. Volkswagen is paying for the damage they’ve done to New Jersey’s environment and public health. What we need to do now is make sure that these settlement funds are spent correctly; on mitigating for those affects by implementing clean air and electric vehicle programs. We must use the Volkswagen settlement funds for the right purposes and not just subsidizing private truckers,” said Jeff Tittel, Director of the New Jersey Sierra Club. “We’re glad Governor Christie is going forward with the settlement without diverting the funds. This is critical to jumpstart EV’s. He’s assigned the DEP as lead agency which is good because they are the most qualified to deal with clean air and greenhouse gas issues.”

The biggest source of air pollution and greenhouse gases NJ comes from automobiles. Each year, American passenger vehicles spew upwards of three trillion tons of carbon pollution into the air by burning about 121 billion gallons of gasoline. Air pollution is especially dangerous in many of our cities and ports. Newark and Camden are some of the worst polluted cities nationwide. Switching to EV busses and trucks without tailpipes will eliminate much of that dangerous smog and contaminates, but also help fight climate change.

“This $141 million would help New Jersey move forward on electric vehicles. This could jumpstart our clean transportation system. We need to make sure that that funds go to the right places including to plug-ins and helping urban areas where air pollution is worst. This will help create jobs and move our state forward with an automobile that has zero emissions and decrease fossil fuels. The biggest source of air pollution and greenhouse gases in our state comes from automobiles, which is why we need to increase electric vehicles to clean our air. We need to install plug-in stations along with providing things like zip cars, ride shares, and taxis to encourage EV’s that everyone can afford,” said Jeff Tittel. “We need to get these plans in place now; this can’t wait until the next Governor.”

A fully electric vehicle uses electricity to power a battery. This means no gasoline, no dirty oil changes, and no internal combustion engine. Thanks to rebates and tax credits, decreasing prices in EV technology, and the much cheaper price of electricity vs. gasoline, the cost of owning and operating an electric vehicle is now notably lower than that of many conventional vehicles. There are currently more than 20 fully electric and plug-in hybrid vehicles available at US dealerships. GM is discussing new models and some states want to phase out gasoline-cars altogether. New Jersey must continue to support the sale of electric vehicles, install charging stations, and commit to a more sustainable transportation future if we want to meet California’s goals.

“Our state hasn’t even gotten out of the starting gate on electric vehicles because Christie’s policies have slowed us down and we need this money to move forward. We really need these settlement funds as a jump start on electric vehicles. We only have about 10,000 electric vehicles, but we should have had 30,000 by now to reach our 2050 goal to meet California’s Clean Car Standards. We cannot do this, however without major incentive programs, education, or program to build charging stations,” said Jeff Tittel. “New Jersey is one of the best states to utilize electric vehicles since most of our energy is already carbon-free. Electric vehicles not only reduce greenhouse gas emissions from cars, but can help stop future drilling, pipelines, and oil bomb trains. If we are able to charge electric vehicles with renewable energy like solar, it is even better for the environment.”

Electric vehicles will help grow our economy as well as protect our environment. EVs are more than five times more efficient than standard vehicles; the average gas automobile is 15% efficient while EVs are 80%. EVs use electricity to power a battery, the technology of which continues to get cheaper and better. By increasing electric vehicle sales, it will help car dealers in selling more fuel efficient cars, help New Jersey companies who are part suppliers for these car parts, and even bring in new companies since we may be the first state on the east coast to implement these practices.

“We need the Governor to spend these settlement funds in way that help drive our vehicles in the 21st century. This means following California’s lead for strong clean car goals. We need to stop the gridlock with electric vehicles. While Trump is rolling back CAFE standards, it makes it even more important for New Jersey to be a leader in electric vehicles and the infrastructure to support them,” said Jeff Tittel, Director of the New Jersey Sierra Club. “We’re calling on Governor Christie to dedicate these funds to moving New Jersey forward with electric vehicles. We can see the benefits of clean air and clean jobs if we put this money to good use. We can build a state-wide network of charging stations, create green jobs, save people money on gas, and reduce air pollution.”