U.S. Energy Department Funds $96 Million to Support Clean Automotive Technology

The U.S. Energy Department’s Office of Fossil Energy and Carbon Management on July 21 announced a funding of US $96 million allocated for projects aimed at developing clean automotive technologies that can reduce carbon dioxide emissions from the domestic transportation industry. The investment complements the $5 billion National Electric Vehicle Infrastructure Formula Program, or NEVI, under the 2021 Infrastructure Investments and Jobs Act.

The above investment will largely focus on electric vehicle infrastructure expansion projects, electrification, and usage of alternative fuels in agricultural and construction equipment, marine, rail, and aviation segments. As per President Biden’s Justice40 Initiative, the applicants for the above funding must submit proposals on how their projects would benefit disadvantaged communities, which do not  have access to clean energy resources. This will help the country to lessen its dependency on fossil fuels and reduce energy costs while supporting the President’s ambitious goal to attain a decarbonized economy by 2050.

The three main focus areas of the initiative are described below:

Electric Vehicle Infrastructure Project Expansion

One of the major focus areas is to expand regional charging networks in order to achieve reliable, convenient, and reasonable charging for all. The department will also invest in transport infrastructure for medium- and heavy-duty vehicles powered by electricity and hydrogen fuel.

Innovation in electric drive systems and materials for electric vehicles

This area involves research and development in electric drive systems that will give access to full battery electric and fuel cell electric vehicles at an affordable price. The agency will also fund research projects in the development of multi-functional composite materials.

Investing in non-road engine technologies

Thirdly, the department will invest in non-road engine technologies that are friendly to the environment and develop engines powered by natural gas, electricity, and other alternative fuels. It is backed by $5 billion, under the NEVI program, which boosts national electric vehicle charging-point infrastructure. Therefore, charging would become easier and more affordable for electric vehicles compared to fossil fuel vehicles.

Key features of the NEVI Program are based on

• EV Charging Station Infrastructure Location
• State plan for fund usage
• Participation of private market players
• Designation of national EV charging corridors to support logistics operations at planned locations
• Fulfilment of Title 23 requirements
• Establishment of a Joint Office of Transportation and Energy

Concept papers from the applicants are due by Aug. 25 and the full proposals are due by Nov. 10.