Feds lend Tesla $465 million to build electric car (WIRED/CNN)

[eppur_se_muova]

By Chuck Squatriglia


(WIRED) -- The Obama Administration will lend Tesla Motors $465 million to build an electric sedan and the battery packs needed to propel it. It's one of three loans totaling almost $8 billion that the Department of Energy awarded Tuesday to spur the development of fuel-efficient vehicles.

Energy Secretary Steven Chu announced that the Department of Energy is also lending $5.9 billion to Ford to retool factories in five states. Nissan will receive $1.6 billion to refurbish a factory in Tennessee to produce electric cars.

The loans are the first awarded under the $25 billion Advanced Technology Vehicle Manufacturing Program to help automakers offset the cost of retooling to build eco-friendlier cars that are at least 25 percent more fuel-efficient than 2005 models.

"We have a historic opportunity to help ensure that the next generation of fuel-efficient cars and trucks are made in America," the president said in a statement. "These loans -- and the additional support we will provide through the Section 136 programs -- will create good jobs and help the auto industry to meet and even exceed the tough fuel-economy standards we've set while helping retain our competitive edge in the world market."

The Obama Administration announced last month that it is raising fuel-efficiency standards from the current average of 27.5 miles per gallon to 35 miles per gallon by 2016. Chu said the loans will help automakers achieve that goal.
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more: http://www.cnn.com/2009/TECH/06/23/tesla.electric.cars/index.html

[TheWraith]

1. YEEEE HAAAAAAAH! Kicked and recommended! nt

[Ikonoklast]

2. They might be able to get their sedan to market quicker than scheduled.

Ramp up production and get economies of scale going for them.

I wish them every success.

[Nihil]

3. Good news! K&R (n/t)

[TheWraith]

4. Kicking this again, just because it's such good news. nt