$25 Billion to Promote Electric Cars Is Untouched
March 1, 2009 by editor
Filed under Electric Cars, Technology
A123 Systems, a battery maker in Massachusetts, is seeking $1.8 billion.
WASHINGTON - The future of the American auto industry is getting off to a slow start.
The Energy Department has $25 billion to make loans to hasten the arrival of the next generation of automotive technology - electric-powered cars. But no money has been allocated so far, even though the Advanced Technology Vehicles Manufacturing Loan program, established in 2007, has received applications from 75 companies, including start-ups as well as the three Detroit automakers.
With General Motors and Chrysler making repeat visits to Washington to ask for bailout money to stave off insolvency, some members of Congress are starting to ask why the Energy Department money is not flowing yet. The loans also are intended to help fulfill President Obama’s campaign promise of putting one million electric cars on American roads by 2015.
“Politicians are breaking down the door asking why the money isn’t being sent out,” said Michael Carr, counsel to the Senate Energy Committee, which oversees the Energy Department. Read more
