GM Requests $2.6 Billion for Hybrids

Seemingly undeterred by the government's rejection of their viability plan, General Motors has requested $2.6 billion more for plug-in hybrids under the Department of Energy's alternative vehicle production loan guarantee program.

This new request, which came on Monday, is GM's third. It's separate from bailout funding and related discussions that are ongoing with the U.S Government. The extra request brings GM's funding requests to a whopping $10.3 billion in aid, all under the $25 billion Advanced Technology Vehicle Manufacturing Program.

You might remember this is the same fund Tesla has applied to for the Model S production plant and advanced batter lab. I hope this doesn't effect anything with that; it shouldn't. Tesla is the one that really deserves to get it though if the government truly wants to foster new industry and make ourselves a leader in electric technology.

The government ought to not put all it's eggs in one basket by granting both large and small requests. I think the program is an excellent idea though that we should continue and do again the future to foster this kind of growth.

Finally some real action is being done and it's good to see!

The request is for 2 variants of the Volt, with one of them potentially being the production Cadillac Converj. GM has considered production of the car if it's a feasible business proposition. There is potential it could be a 4-door though for production, based off the same platform as the Volt.

It would make sense to produce, offering Cadillac a green "halo" vehicle to leapfrog the competition, helping to bring costs down by producing more volume and possibly helping to reduce losses with a higher asking price. People already expect the Volt to be around a certain price; GM would run into no such problem with the Converj.

I'm glad to see the Volt project progressing! It will usher in a new era for GM. Hopefully by the Volt's introduction, GM will be on a sustainable path to recovery.