Energy Dept to Grant $187M for Fuel Efficiency Projects

Energy Secretary Steven Chu has announced more than $187 million in grants for nine projects selected to improve motor vehicle fuel efficiency.

"Improving the efficiency of our vehicles is critical to reducing America's dependence on foreign oil and addressing climate change," said Secretary Chu. "Today's awards will help demonstrate the potential benefits for long-haul trucks and passenger vehicles and will play an important role in building a more sustainable transportation system for the country."

"By investing Recovery dollars in next generation fuel efficient trucks here at home, we're not only creating new job opportunities now, but helping lay a new foundation to keep American auto manufacturers competitive in the 21st century global marketplace," added Vice President Biden. "Through strategic public-private investments like these, the Recovery Act is helping lay the groundwork for an expansion of our clean energy economy."

The project funding includes more than $100 million from the American Recovery and Reinvestment Act (ARRA) and will support nearly $375 million in total research and development and demonstration. The selected projects will create more than 500 jobs, with about 6,000 in various fields expected by 2015.

The transportation sector accounts for 28 percent of U.S. energy use, making the new projects of special importance. New vehicle technologies could reduce transportation emissions by 20 percent by 2030.

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