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A 1999 Range Rover will qualify for a $4,500 voucher if the owner agrees to scrap it and buy a new, more fuel-efficient vehicle.
The U.S. Senate late Thursday approved a $1 billion “cash for clunkers” program that will pay $3,500 to $4,500 to owners of gas-guzzling cars and trucks who trade them in for more fuel-efficient new vehicles.
The measure was part of a $105.9 billion bill that funds the wars in Iraq and Afghanistan through Sept. 30. President Obama is expected to sign it.
Previously passed by the U.S. House, the program will allow car owners to get a voucher worth $3,500 if they trade in a vehicle getting 18 miles per gallon or less on one that gets at last 22 miles per gallon. The voucher grows to $4,500 if the mileage of the new car is 10 mpg higher than the old vehicle.
Owners of pickup trucks, minivans and sport-utility vehicles that get 18 mpg or less will receive a $3,500 voucher if a comparable new vehicle averages at least 2 mpg more than the old one. A $4,500 voucher will be paid if the mileage of the new truck, minivan or SUV were at least 5 mpg higher than the older one.
To qualify, the participant must own the vehicle for a year and the vehicle will have to be crushed. The program will last for one year or until the funding runs out.
Proponents maintained that the bill will stimulate the sales of new vehicles. Critics argued that the measure will do little to cut down on fuel consumption or help the environment because not many owners who have vehicles worth less than $4,500 also have the funds to buy a new one.
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