European Investment Bank and PSA Peugeot Citroën Sign €200M Loan Agreement for the Development of Plug-In Hybrids
16 July 2010
The European Investment Bank and PSA Peugeot Citroën signed a €200-million (US$259-million) loan agreement to finance the carmaker’s program to develop plug-in hybrid vehicles.
Representing a total outlay of €400 million (US$518 million), the plug-in hybrid program aims to develop multi-purpose vehicles that combine the advantages of a diesel engine on the highway and those of an electric motor for city driving. Five hundred PSA Peugeot Citroën employees are working on the project, which will be developed entirely in France, at the Velizy Technical Centre.
The loan was granted under the European Clean Transport Facility (ECTF) financing program, one of the EIB’s measures for stimulating the European economy. The ECTF aims to significantly reduce automotive CO2 emissions through R&D and innovation and encourage the production of cleaner, more fuel-efficient cars, trucks and other vehicles.
Since December 2008, the EIB has granted €8.6 billion in loans to carmakers and automotive equipment manufacturers. Of that figure, €6.7 million was granted under the ECTF financing programme, including €600 million to PSA Peugeot Citroën.
The European Investment Bank was created by the Treaty of Rome in 1958 as the European Union’s long-term lending bank. The Bank’s objective is to contribute towards the integration, balanced development and economic and social cohesion of the EU Member States. The EIB raises funds on the capital markets, which it lends on favorable terms to projects furthering EU policy objectives. The EIB continuously adapts its activity to developments in EU policies.
This little idea started by the Volt serial hybrid seems to have caught fire all over the world. Could this be the industry that rebuilds the global economy? Along with non-fossil energy? Lots of untapped energy out there waiting to empower the people. Lovely.
Posted by: Reel$$ | 16 July 2010 at 08:35 AM
the loan was granted under the European Clean Transport Facility (ECTF) financing program, one of the EIB’s measures for stimulating the European economy. The ECTF aims to significantly reduce automotive CO2 emissions through R&D and innovation and encourage the production of cleaner, more fuel-efficient cars, trucks and other vehicles.it's quite intresting and useful for us.
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StructuredInvestments
Posted by: Account Deleted | 16 July 2010 at 08:58 AM
It is good stuff, diesels are very efficient for long runs, but not so good and very polluting in cities.
If they could run them electrically in town, it would save a lot of fuel and pollution (and noise).
Peugeot (and many Eu companies) have excellent diesel technology, the trick will be to hybridize it at a reasonable cost (and time).
They might find that they can build a useful PHEV with quite a small ( < 2KWh) battery if they have the efficiency of diesel to fall back on.
Posted by: mahonj | 16 July 2010 at 09:57 AM
Fuel efficient PHEVs must have adequate batteries to run a high percentage of the time in e-mode. Something like 10 Kwh to 20 Kwh (usable), depending on the average trip, is needed. However, the genset (deisel of gasoline or NG or FC) god be rather small.
Posted by: HarveyD | 16 July 2010 at 12:52 PM
Correction....... However, diesel, gasoline, NG or FC gensets could be smaller to further reduce fuel consumption.
Posted by: HarveyD | 16 July 2010 at 01:39 PM
For heavens sake thanks for the correction Harvey!
Posted by: Reel$$ | 17 July 2010 at 04:11 AM