Smoke And Mirrors? Projects Wither As Federal Loans For Fuel-Efficient Vehicles Never Materialize

Automakers, suppliers, start-up companies and members of Congress are frustrated that the government is sitting on billions of dollars in untapped loans intended to nurture the next generation of clean, fuel-efficient vehicles.

More than 100 applicants initially requested about $42.7 billion from the $25 billion Advanced Technology Vehicles Manufacturing Loan program since its launch in September 2008. But the Department of Energy has awarded less than $8.5 billion.