(The Center Square) – The Illinois Pollution Control Board is considering a proposal to ban most new non-electric vehicle sales in the state by 2035.
Environmental groups have proposed adopting some of California’s vehicle emissions standards, which include phasing out the sale of new gasoline and diesel-powered vehicles and a complete ban on the sale of most new non-electric vehicles in 2035.
National Federation of Independent Business Illinois State Director Noah Finley said small businesses in Illinois overwhelmingly oppose the proposed requirements.
“We did a survey of our small business member earlier this year, and 99% of them oppose the adoption of these new mandates. They’re concerned that it could really have a detrimental impact on their small businesses,” Finley told The Center Square.
The mandates would also impose new testing and emissions standards on new heavy-duty trucks.
Finley said businesses would be forced to operate more large trucks and hire more drivers.
“Employers are already having a hard time finding these drivers. This is going to drive up the cost of transporting goods, and we’re all going to pay more at our local store,” Finley said.
National Federation of Independent Business Illinois State Director Noah Finley
Finley explained that raising the cost of transportation would impact just about every small business.
“That is going to raise costs for them. They’re going to have to pass it on to their customers. That’s bad for the small business, it’s bad for their employees, and it’s bad for their communities at large,” Finley said.
Finley said the regulations would put Main Street businesses in Illinois at a disadvantage compared to those in neighboring states.
“Many of our members have indicated they would consider just moving their business across state lines to avoid these mandates,” Finley said.
More than a dozen people expressed support for the proposed requirements this week with public comments submitted to the Illinois Pollution Control Board via electronic filing.
Activist groups in favor of the stricter vehicle emissions standards include the Sierra Club Illinois Chapter, the Chicago Environmental Justice Network and the Environmental Defense Fund.
A similar proposal failed to advance in 2023.
Evidence presented to the IPCB Tuesday included a study contracted by The Clean Freight Coalition with Roland Berger to examine the added costs to the freight industry and utilities if commercial vehicles reach 100% electrification.
The findings released in March of 2024 include estimated freight-industry investment of $620 billion nationwide in charging infrastructure alone. Utilities would have to invest $370 billion to upgrade grid networks.
“This nearly $1 trillion expenditure does not account for the cost of purchasing new battery-electric trucks,” the report concludes.
A Ryder System, Inc. report published as evidence Tuesday estimated that higher costs associated with mandated electric vehicles could add approximately 0.5% to 1% to overall inflation.
“Ryder’s analysis underscores the reasons EV adoption for commercial vehicles remains in its infancy. In addition to the limited support infrastructure and EV availability, the business case for converting to EV for most payload and mileage applications is extremely challenging,” the report concluded.
