This is an excerpt from EERE Network News, a weekly electronic newsletter.

August 07, 2007

DOE to Award up to $21.5 Million for Vehicle Efficiency Research

DOE announced on August 7th that it will award up to $21.5 million to 11 cost-shared research and development projects with a goal of improving the fuel efficiency of light-duty vehicle engines. Light-duty vehicles include cars, vans, pickup trucks, and sport utility vehicles. When combined with the industry cost-share, the investment will total nearly $43 million, with funding expected to begin this fiscal year and continue through fiscal year 2010. The 11 projects will focus on optimizing fuel economy in ethanol-powered engines; developing advanced lubrication systems; and exploring high-efficiency, clean-combustion diesel engines.

Seven of the projects will aim to improve the fuel economy in light-duty vehicles that operate on E85 (a blend of 85% ethanol and 15% gasoline) and in flex-fuel vehicles, which burn either E85 or gasoline. Five companies in Michigan and one each in Virginia and Massachusetts will receive a total of $15.3 million in DOE funding for the projects. One company in Illinois will receive $491,000 from DOE to develop an environmentally friendly lubricant that will improve an engine's fuel efficiency. Two companies in Michigan and one in Indiana will receive up to $5.7 million to develop advanced diesel engines for light-duty vehicles. See the DOE press release.