The DOE ruled last year that Aptera’s 2e did not qualify under the $25 billion loan program because a three-wheeled vehicle doesn’t meet the definition of an automobile under federal law.

A spending bill, passed by the House prior to the August recess, expanded eligibility for the DOE loan program to include any fully enclosed vehicle that can carry two adults and averages at least 75 mpg. The bill, which still must be reconciled with a Senate bill before facing President Obama, also stipulates that the DOE reconsider applications that were rejected based on not qualifying as an automobile.

Aptera’s quest for federal help raises a bigger question about Washington’s effort to subsidize fuel-efficient vehicles: How much of the money should go to traditional companies with the most customers, versus start-ups with unorthodox ideas?

“Novelty vehicles are not really the ones that will help the US address the growing concern over US oil consumption,” said General Motors Co. spokesman Greg Martin. GM, majority-owned by the government, is awaiting a decision from the DOE on three loan applications totaling more than $10 billion.

Earlier in August, XP Vehicles, a California electric-car startup that had also had its loan application rejected by the DOE, began trying to organize its supporters to contact their legislators to pressure the DOE.

It is well known that a DOE funding cannot be surpassed in terms by any current bank or investor in this economy. That is why XP Vehicles and several other advanced technology electric car companies were the first to apply for these loans which the major car companies were not able to do. However, the rules were changed midway through the process to allow these late entrants. Now XP Vehicles has learned that almost all the federal money is going to “Detroit” companies or companies closely aligned with Detroit.

While XP has absolutely no problem with funding going to our traditional automotive industry, XP cannot believe that no funding will be given to small, advanced technology companies trying to move us even further from our dependence on oil. After all, isn’t that what President Obama intended with his energy independence program and support for high technology companies?

—XP Vehicles press release, 27 August

(A hat-tip to Joe!)