AZEqualizer
08-25-2008, 10:43 AM
Big Three Seek $50 Billion in Low-Cost Federal Loans for Green-Car Development
This according to an article on Green Car Advisor - I encluded the whole article here since it was short.
"Detroit's Big Three automakers have begun lobbying Congress hard for up to $50 billion in low-cost loans they say they'd put toward development and production of fuel-efficient vehicles. Congress authorized $25 billion in low-interest loans in last year's energy bill, but the auto industry's allies on Capitol Hill (above) thus far have been unable to get that amount funded.
The automakers say the loans would provide low-interest credit for up to 30 percent of the cost of retooling facilities to build hybrids, electric cars and other "green" vehicles.
Word of the stepped-up lobbying effort came only days after GM announced (http://blogs.edmunds.com/greencaradvisor/2008/08/general-motors-to-spend-500-million-to-launch-fuel-efficient-cruze-in-us.html) it will invest $500 million in the U.S. to build the Chevrolet Cruze, an all-new fuel-efficient global compact car.
The three American carmakers are under pressure to produce gas-stingy automobiles or lose more market share to foreign companies.
The energy bill authorized $25 billion in direct loans to the Big Three specifically to help them meet new federal fuel-economy standards.
The lobbying drive gained ground Friday when likely Republican presidential nominee John McCain, who had opposed a government bailout, did an abrupt U-turn, saying he was now in favor of it. However, the senator for Arizona did not specify a funding amount.
McCain's flip-flop occurred the same day a new poll showed him losing ground with Michigan voters to presidential rival Barack Obama.
The senator for Illinois, who last month said he would support a $25 billion bailout, on Friday said he would support the $50 billion request."
Scott Doggett, Contributor -Green Car Advisor
This according to an article on Green Car Advisor - I encluded the whole article here since it was short.
"Detroit's Big Three automakers have begun lobbying Congress hard for up to $50 billion in low-cost loans they say they'd put toward development and production of fuel-efficient vehicles. Congress authorized $25 billion in low-interest loans in last year's energy bill, but the auto industry's allies on Capitol Hill (above) thus far have been unable to get that amount funded.
The automakers say the loans would provide low-interest credit for up to 30 percent of the cost of retooling facilities to build hybrids, electric cars and other "green" vehicles.
Word of the stepped-up lobbying effort came only days after GM announced (http://blogs.edmunds.com/greencaradvisor/2008/08/general-motors-to-spend-500-million-to-launch-fuel-efficient-cruze-in-us.html) it will invest $500 million in the U.S. to build the Chevrolet Cruze, an all-new fuel-efficient global compact car.
The three American carmakers are under pressure to produce gas-stingy automobiles or lose more market share to foreign companies.
The energy bill authorized $25 billion in direct loans to the Big Three specifically to help them meet new federal fuel-economy standards.
The lobbying drive gained ground Friday when likely Republican presidential nominee John McCain, who had opposed a government bailout, did an abrupt U-turn, saying he was now in favor of it. However, the senator for Arizona did not specify a funding amount.
McCain's flip-flop occurred the same day a new poll showed him losing ground with Michigan voters to presidential rival Barack Obama.
The senator for Illinois, who last month said he would support a $25 billion bailout, on Friday said he would support the $50 billion request."
Scott Doggett, Contributor -Green Car Advisor