Nissan's $1.1 billion loan likely to be approved by DOE

The DOE loan that Nissan applied for to help it build electric cars and advanced batteries is likely to be approved for $1.1 billion, according to a report that cited "unidentified sources" in Kyodo News. The loan will probably speed up Nissan's already fast-moving electric car program that is moving forward across the globe. Some of the U.S. city and state governments that are working with Nissan on EVs include Raleigh, Phoenix, Tucson, California; Tennessee; and Seattle. The DOE money would be used to upgrade the company's Smyrna, Tenn., assembly plant and build a new facility for battery production.

The loan would come from the Advanced Technology Vehicle Manufacturing Incentive Program (AVTM) fund, a $25 billion pot that the DOE set aside to help automakers get more efficient vehicles to market. Green Car Advisor says that Nissan is also asking the Development Bank of Japan for another $1.1 billion loan and has already borrowed half that much from the Japanese government.

[Source: Green Car Advisor]