Energy Secretary implements fast-track changes; Fisker and Tesla might benefit quickly
When Steven Chu was nominated to be the new Secretary of Energy, the general sense was that it was great to have a scientist making some decisions about energy policy. Some, though, questioned whether he had the skills to run the bureaucracy that is the Department of Energy. After a month or so on the job, the answer seems to be yes. At the very least, it looks like Chu is ready to scrap the parts of the bureaucracy that prevent things from getting done. Yesterday, the DOE announced it would make changes in the way it approves money for various programs. Most importantly for us here at AutoblogGreen, the cash fast-tracking will be applied to the Advanced Technology Vehicles Manufacturing Loan Program. That's the program that will provide $25 billion in low-interest loans to companies that are building or want to build cleaner cars. Remember, Tesla's Elon Musk said recently that he expects the DOE to "disburse funds from our $350M Model S loan application within four to five months." Fisker Automotive is also rearing to go on that low-cost model should the DOE money come through.
Gallery: Fisker Karma
[Source: DOE via CNN]
Reader Comments (Page 1 of 1)
dotDavid 12:12PM (2/20/2009)
Steven Chu is going to be one of the best thing's that happened to the US transportation system since the freeways were built. I know we're all really excited about seeing the Tesla Model S in the end of March, but this guy is who's really going to make it happen.
Check out this all-manufacturer encompassing roundup of the cleantech automotive industry over the last few weeks here:
http://is.gd/k251
Reply
Ackbar 12:21PM (2/20/2009)
This is exciting. These are the kinds of projects we should be funding to jump start the clean car industry.
Reply
Tim 12:46PM (2/20/2009)
So, the manufacturers will get taxpayer money at low interest to make the cars and the buyers will get tax credit for buying these cars.
I have a question...
Apparently, the banks are using the TARP money to buy each other and increase their cash reserves, but they are NOT using it to make loans.
If we can't get loans (at any interest rate) to buy the new cars, what's the point?
Reply
Max 6:58PM (2/20/2009)
Good point, the issue has been noticed and the banks are going to start loaning soon or lose their bailout money.
jpm 3:39PM (2/20/2009)
Get 'em Chu.
Reply
Prinn 9:10PM (2/20/2009)
Zap had better not get a single penny.
Reply
Adam 2:39PM (4/02/2009)
So true, that company is full of fail.