EPA approves California fuel efficiency rule to cut greenhouse gases from vehicles

California has been fighting the federal EPA over the issue for years.

The EPA decision Tuesday to granted California a formal waiver clears the way for the state to implement a 2004 state pollution law to combat global warming. The Bush administration repeatedly rejected the waiver request, which was required by the federal Clean Air Act.

The California regulation requires automakers to increase the fuel economy of cars and trucks sold in the state by 40 percent over the next seven years, to an average of 35.5 miles per gallon by 2016.

The EPA decision had been expected since President Barack Obama in May announced plans to implement a national requirement similar to the one in California. But the federal waiver for California sets the stage for the national program. At least 14 states already have said they want to follow California's lead once the EPA gives a green light.