The EPA announced on Tuesday, June 30, 2009, it will now grant California's waiver request, enabling the state to enforce its greenhouse gas emissions standards for new motor vehicles, beginning with the current model year. The waiver was originally turned down in March under Bush Administration EPA Chief Stephen L. Johnson, but sought new life after President Obama took office. Shortly after taking office in January, President Barack Obama directed the EPA to assess the appropriateness of denying the waiver. The agency received a letter from California on Jan. 21, 2009, raising several issues for Administrator Lisa Jackson to review regarding the denial.

The Clean Air Act, as interpreted by the new Administration, gives the EPA the authority to allow California to adopt its own emission standards for new motor vehicles.

Last month, President Obama announced a national policy aimed at both increasing fuel economy and reducing greenhouse gas pollution for all new cars and trucks sold in the United States. The new standards would cover model years 2012-2016. When the national program takes effect, California has committed to allowing automakers who show compliance with the national program to also be deemed in compliance with state requirements.

"EPA finds that California continues to have a need for its motor vehicle emissions program, including the greenhouse gas standards," the agency announced in a press release.

"This decision puts the law and science first. After review of the scientific findings, and another comprehensive round of public engagement, I have decided this is the appropriate course under the law," said Jackson. "This waiver is consistent with the Clean Air Act as it's been used for the last 40 years and supports the prerogatives of the 13 states and the District of Columbia who have opted to follow California's lead. More importantly, this decision reinforces the historic agreement on nationwide emissions standards developed by a broad coalition of industry, government and environmental stakeholders earlier this year."