The United States government has already committed $25 billion to the development of green vehicle technology, with the Department of Energy pledging an addition $2.4 billion on Thursday. The initiative is intended to create thousands of jobs, as well as keep hybrid and battery development here in the U.S.
Under the new program, the Department of Energy will offer up to $1.5 billion in grants to U.S.-based companies that develop new battery and battery component technology. Another $500 million will be available to American companies working on electric motors and their components, with the final $400 million set aside for those U.S.-based companies working on plug-in hybrid vehicles and the infrastructure they require.
The Obama administration hopes to see 1 million plug-in hybrids on U.S. roads by 2015, with the latest initiative being a major part of that push. However, the goal of 1 million plug-in hybrids on the roads by 2015 is one tall order, with mass production of such vehicles not likely to ramp up until at least 2011. Of note, it took Toyota just under nine years to sell 1 million hybrids in the U.S.
