Legislation seeks to expand vehicle loan program

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Recently introduced legislation would expand the U.S. Department of Energy’s Advanced Technology Vehicles Manufacturing Loan Program to cover all types of zero-emission vehicles and reform the loan-application process.

The program was established in 2007 to encourage domestic manufacturing of next generation of light-duty automobiles.

“Our country should be a leader in zero-emission vehicle manufacturing, but we are currently falling behind our international competitors in this growing market,” Rep. Julia Brownley (D-CA), who introduced the bill, said. “I introduced this bill to ensure the federal government is giving zero-emission vehicle manufacturing the necessary boost so that America can become a world leader in this space. This will not only be good for the U.S. economy, but it is also a necessary component of tackling the global climate crisis.”

In addition to covering all types of zero-emission vehicles, the Advanced Technology Vehicles Manufacturing Program Reform Act reforms the financial requirements for loan applicants to put them in line with the Department of Energy’s larger Title XVII loan-guarantee program.

The act also directs the U.S. Government Accountability Office to conduct a study on the program to determine what other reforms are needed in the approval process. The Department of Energy will then be required to follow the recommendations.