President Barack Obama will call on Congress today to approve $2 billion in funding for advanced vehicle technologies by tapping funds generated from oil and gas exploration on federal waters, the latest in a series of proposals to boost the nascent market for alternatively powered cars and trucks.
Obama will make the proposal at an appearance at the Argonne National Laboratory in suburban Chicago, the White House said in a fact sheet released ahead of his speech.
He will call on Congress to set aside $2 billion over the next decade for research, including electric vehicles, batteries, compressed natural gas and biofuels. Obama proposed the idea in his State of the Union address last month, when he called for taking a share of revenue from oil and gas leases on federal lands and placing it in an “Energy Security Trust” fund, but didn’t put a price tag on it.
The White House said the “funds would be set aside from royalty revenues generated by oil and gas development in federal waters of the Outer Continental Shelf.” The administration would fund the program as “revenues are projected to increase over the next several years based on a combination of leasing, production and price trends, with additional revenues potentially generated as a result of reforms being proposed in the (Fiscal Year) 2014 Budget.”
The trust “is designed to invest in breakthrough research that will make the technologies of the future cheaper and better — technologies that will protect American families from spikes in gas prices and allow us to run our cars and trucks on electricity or homegrown fuels,” the White House said.
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