Here is the breakdown for the funding released by the Obama initiative:
- $2 billion from the stimulus plan pushed through earlier in the year is set aside for electric-vehicle production.
- Out of that package, $1.5 billion is for battery manufacturing within the U.S.
- The remaining $500 million is slated for related technologies that compliment these vehicles, such as electric motors.
- The Department of Energy (DOE) is setting aside a further $400 million for the infrastructure of plug-in automobiles.
One of the stated goals of these initiatives is to propel the United States position in plug-in battery technology, where it lags several countries in the industrialized world. President Obama’s long-term vision is to have one million plug-in vehicles on the road by the year 2015, and the hope is that by then U.S. manufacturers will excel in their production designs and components.
“Every company that wants a shot at these tax dollars has to prove their worth,” were the president’s comments aimed at plug-in manufactureres. Battery producers Ener1, and A123 Systems have already applied for DOE loans.
To spur demand on the consumer side, the stimulus plan is offering up to $7,500 in tax credits towards the purchase of plug-in electric vehicles. With the infrastructure being built, the media and Uncle Sam churning up the appetite for hybrid vehicles, and the overall push for greener technology, the foundation is being laid for the president to meet or exceed his vision of one million, six years from now.
To read more about the plan, read the CNET article here.
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