U.S. Government Orders 14,105 More Fuel-Efficient Vehicles

June 17, 2009

The U.S. General Services Administration (GSA) ordered 14,105 fuel-efficient vehicles on June 1, using $210 million in funds from the American Recovery and Reinvestment Act. Combined with an April purchase of 3,100 hybrid sedans, the new purchase increases the total number of new fuel-efficient vehicles purchased with Recovery Act funds to 17,205, at a total cost of $287 million. The vehicles will be used in federal fleets, and they include 2,933 Chrysler vehicles, 7,024 Ford vehicles, and 6,348 General Motors vehicles. Each new vehicle purchased by the GSA has a higher fuel economy than the one it replaces.

The purchase of 17,205 new vehicles falls just short of a commitment made in April by President Barack Obama for the GSA to purchase about 17,600 fuel-efficient vehicles by June 1, in part because the GSA purchased more hybrid vehicles than it originally intended. The GSA had planned to order 2,500 hybrid sedans, but ended up ordering 3,100 hybrids. Hybrids are generally more expensive than conventional fuel-efficient vehicles, so buying more of them leaves less money for ordering other vehicles. By September 30, the GSA will spend another $15 million to order advanced technology buses and electric vehicles for use in the federal fleet. See the GSA press release and the article from this newsletter on the previous purchase.