After a spate of accidents, the US Department of Transportation has issued a $1.3 billion plug-in hybrid car subsidy program that is meant to encourage more people to get into electric cars.
This is the third time that the US has allocated $1 billion in plug-ins to plug-vehicle manufacturers and dealerships, after the first round in 2012 and 2013.
This program has helped plug-infused vehicles to the tune of $1,300 million per year.
While the government has allocated a certain amount per car for each manufacturer, manufacturers can choose how much to invest in plug ins, and the subsidies will likely end up being far less than the $1 million a year that the manufacturers would have paid otherwise.
The $1 Billion Plug-in Hybrid Vehicle Program is the latest to benefit from a US government subsidy program, as manufacturers have been working on plug ins for years.
A program like this would not only allow plug-inc and plug-drive cars to compete with gas-powered vehicles, but also give the manufacturers incentive to produce the cars in a way that is more efficient than the current vehicles.
The US Department for Transportation estimates that plug-IN hybrids will be in cars by 2020.
The first ones will likely come from GM, with a hybrid version of the Chevrolet Bolt due to launch in 2019.
But the program is likely to have a larger impact than that.
The Chevy Bolt is expected to be the first car to use a hybrid drivetrain.
And the fact that GM and Ford are expected to make the Chevy Bolt as well could help encourage more plug-electric cars, especially with a Ford subsidiary working on a plug-hio hybrid version.
GM is also rumored to be working on the next-generation Fusion, which will be a plug in hybrid.
While plug-charging the Chevy will be possible, the only plug-up in this program will be the Nissan Leaf, which is currently on sale in the US.
And while plug-ing-in hybrids will not be on the market in the United States for another five years, the government expects the plug-ups to be available by 2020, as the US is expected hit its peak demand for plug-power.
One of the problems with the US government subsidizing plug-battery cars is that the subsidy will end up paying for a portion of the cost of the vehicle, which could mean that plug ins will be cheaper than gas cars in the future.
“There’s a long way to go before these batteries get to the point where they can compete with gasoline vehicles in the market,” said David Weick, director of electric vehicle research at the automotive consultancy Battery Research.
For example, the battery capacity of a plug inset battery is typically much lower than the lithium-ion battery capacity that will be used in a gas car.
A gasoline car will have a theoretical peak capacity of approximately 1.4 kilowatt-hours (kWh) per kilogram (kg) of vehicle weight, which equates to about 10,000 miles of driving range.
Plug-ins, however, are expected in the range of 300-500 kWh per kilowatthour (kW/kWh).
The batteries are much more compact, which can make them a better fit for electric vehicles.
As the subsidies end, the cost per kilo of vehicle battery could fall by 50%, which would make them much cheaper for plug ins to compete against gas cars, which have a higher theoretical capacity.
The price per kilawatt-hour of battery power, however could also drop significantly.