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Volkswagen agreed to spend $1.2 billion nationally and $800
million more in California on electric vehicle technology as
penalties for equipping hundreds of thousands of diesel vehicles
sold in the United States with software designed to cheat
tailpipe emissions tests.
The letter from Representative Anne Eshoo comes ahead of an Oct.
18 hearing at which a federal judge will consider whether to
give final approval to $15.3 billion in settlements for owners,
state and federal regulators or require changes and
renegotiation.
A provision "of particular concern" allows VW to make "possible
investments in its own proprietary technology and subsidiaries,"
Eshoo, a Democrat, said in the Oct. 4 letter to Environmental
Protection Agency (EPA) Administrator Lisa McCarthy.
The EPA declined to comment. VW was not immediately available
for comment. It has urged the court approve the deal.
Eshoo's fears mirror those raised by electric car-charging
station companies in August.
Four members of the California state legislature, in comments to
the U.S. Department of Justice, also urged independent oversight
and administration of the VW funds "to ensure that multiple
vendors with cutting-edge technology are able to enter the
market."
The Justice Department said last month it received 1,195
comments period from private citizens, state and local
government offices and agencies, businesses, and institutions
and associations. The DOJ urged the agreements be approved with
only minor changes.
Objectors face an uphill battle since U.S. courts generally give
the government significant latitude to negotiate settlements.
The Justice Department said nearly half of the comments were
submitted on behalf of a company that provides truck-stop
electrification services to long-haul truck drivers, IdleAir,
urging that the VW program be allowed to fund such projects.
(Editing by Peter Henderson and Leslie Adler)
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