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The DOE’s continued support of advanced vehicle technology research, development, and demonstration projects helps expand offerings, cut costs, and improve sales.

On January 22, 2015, the Department of Energy (DOE) announced more than $55M to develop and deploy advanced vehicle technologies aimed to improve fuel efficiency and reduce petroleum consumption. The funding opportunity announcement (FOA) supports DOE’s 2012 EV Everywhere Grand Challenge, which requires dramatic improvements in plug-in electric vehicle (PEV) performance and cost and has specific technical targets to make PEVs as affordable and convenient as existing gasoline vehicles by 2022. Year 2022 targets include $125/kWh battery cost, $8/kW electric drive system (inverter) cost, and a 30 percent overall vehicle weight reduction.

Electric vehicles face many barriers to entry including, but not limited to cost, convenience (need for charging station infrastructure), design diversity (fewer than 20 models offered in the U.S.), and the the public’s general resistance to change. DOE funding and an up-to $7,500 EV purchase tax credit has helped reduce these barriers. The Department notes that PEV market sales doubled from 2012-2013 and have a higher sales growth rate compared to hybrids; PEV battery costs have dropped approximately 50 percent to $325/kWh since 2010; and there are now approximately 7,000 public and 19,000 total charging stations in the U.S.

Adding to the federal efforts, the Multi-State ZEV Action Plan was announced in May 2014 to put 3.3 million zero-emission vehicles (ZEVs) on the road by 2025. The Action Plan covers plug-in hybrids, battery electric and hydrogen-powered fuel cell electric vehicles, and participating states include California, Connecticut, Maryland, Massachusetts, New York, Oregon, Rhode Island, and Vermont. The state efforts will largely consist of ZEV marketing, standardized charging station codes, increased government ZEV fleet purchases, and consumer purchase incentives.

Despite the progress, domestic gasoline prices reaching six-year lows of $2 per gallon, if sustained, could challenge EV sales growth. Continued federal and state efforts aim to mitigate gasoline economics to reach the DOE goal of cost and convenience parity with existing gasoline vehicles by 2022.

AdvancedAltFuelVehicles
The DOE will fund cost-shared projects with private industry, national laboratories, and university-lead teams. Focus FOA funding areas include:

  • Advanced battery material manufacturing processes and power module R&D
  • Lightweight materials — Ultra-light door design, manufacturing, and demonstration (42.5 percent less than baseline); and joining of carbon fiber composites to lightweight materials
  • Advanced heavy-duty combustion engine and enabling technologies
  • Fuel technologies – dedicated or dual-fuel natural gas engine technologies

Among recent FOAs, DOE’s Vehicle Technologies Office (VTO) announced a $14M “Incubator” funding opportunity on January 16 to support new and innovative technologies and solutions that support VTO program goals but are not substantially represented in the current research portfolio. The Incubator FOA targets projects aimed to develop and deploy efficient highway transportation technologies that will reduce petroleum use and support environmental quality. It also supports technology-specific goals pertinent to the EV Everywhere Grand Challenge, Multiyear Program Plan, U.S. DRIVE Partnership Plan, and 21st Century Truck Partnership. In August 2014, DOE announced more than $55M in funding for 31 projects focused on two major areas – critical vehicle technologies to meet the EV Everywhere Grand Challenge and fuel efficiency improvements in passenger vehicles and commercial trucks.

In early February, DOE will announce an additional $35M funding opportunity to advance fuel cell and hydrogen technologies, including enabling early adoption of fuel cell applications, such as light-duty EVs. Each DOE FOA supports the broad July 2011-announced national goal of achieving a nation-wide car and light-duty vehicle fuel efficiency standard of 54.5 miles per gallon (mpg) by 2025.

Originally published by EnerKnol.

EnerKnol provides U.S. energy policy research and data services to support investment decisions across all sectors of the energy industry. Headquartered in New York City, EnerKnol is proud to be a NYC ACRE company.