Navistar Enters 3 Year, $10 Million Deal To Develop Electric Bus


Bus maker Navistar (NAV) is entering into an agreement with the Department of Energy worth $10 million to develop a plug-in hybrid electric bus over the next three years.

This is a cost share agreement, with the $10 million only covering 50% of the project. Navistar will provide the rest of the funding. The money is not coming from stimulus spending but from the normal DOE appropriations, the DOE tells us.

The aim of the project is to “move technologies from the laboratory to the marketplace by improving their durability, reducing their costs, and validating their performance in real-world settings,” says DOE head Steven Chu in the press release.

The agency hopes to deploy 60 vehicles over three years to learn about what’s possible and what’s not. According to the release, “development will include examining hybrid architectures to achieve a 40-mile electric range, evaluating advanced energy storage devices, and operating on an emissions compliant diesel engine capable of running on renewable fuels.” 

NOW WATCH: Briefing videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.