It follows the US Supreme Court ruling in April that the administration had failed to follow the requirements of the Clean Air Act when it refused to regulate greenhouse gas emissions from motor vehicles.
The proposal, which was sent to Congress earlier this week, directs four federal agencies – the US Environmental Protection Agency, the Department of Transportation, the Department of Energy and the Department of Agriculture – to regulate greenhouse gas emissions from motor vehicles, non-road vehicles and non-road engines.
Bush told media the move would get the US on track with his “20-in-10 plan” announced in January, which aims to cut America’s petroleum use by 20% over the next 10 years.
He also said the US should replace more than 75% of its oil imports from the Middle East by 2025.
The announcement came as US petrol prices hit a new record high, with the average national price reaching $US1.02 a litre on Monday.
The move will also force petrol stations to offer ethanol and other renewable fuels.
