Chrysler Submits EV Development Plans

As part of its restructuring campaign, American manufacturer Chrysler has submitted to the Department of Energy (DoE) three proposals outlining a $448 million plan to "rapidly bring Electric Vehicles (EV) and Plug-in Hybrid-electric Vehicles (PHEV) to market." The company has applied for two initiatives established by the DoE--the Electric Drive Vehicle Battery and Component Manufacturing Initiative and the Transportation Electrification Initiative.

"These initiatives represent how government and the automotive industry are answering the challenge of reaching common goals and demonstrate how rapidly this type of advanced technology can be brought to market in a collaborative environment,"John Bozzella, Chrysler vice president said upon announcing the plan "Without U.S. innovation and production capacity, we will simply trade batteries for oil in the pursuit of transportation energy."

The DoE initiatives call for a 50/50 cost-share between the manufacturer and the Department of Energy, aimed at accelerating the introduction of such vehicles. If its proposals are approved, Chrysler will build a demonstration fleet of PHEVs and EVs, as well as create a new-vehicle electrification technology and manufacturing center in Michigan.

"These proposals present a win-win situation for Chrysler and, most importantly, our customers," Frank Klegon, Chrysler Product Development vice president added. "This plan will accelerate our efforts to develop and manufacture electric and plug-in hybrid-electric vehicles, which will reduce the amount of time it will take to get these vehicles on the road."

Chrysler in already on the right path, at least as far as this type of vehicles are concerned. The manufacturer already established a lithium-ion battery production partnership with A123Systems. The company will focus primarily on state fleets, like the ones used by the U.S. Postal Service, who is already using the Chrysler Town and Country EV Cargo minivan.