2nd UPDATE: France Gov't Rolls Out Electric Vehicle Plan
October 01 2009 - 11:46AM
Dow Jones News
The French government Thursday said it plans to spend EUR1.5
billion on creating a battery-charging network for electric
vehicles as part of a broader state strategy to encourage the
development of clean vehicle technology and battery
manufacturing.
It also said it would seek financing of EUR900 million for its
EUR1.5 billion plan from a state loan that will be launched next
year.
The government will make the installation of charging sockets
obligatory in office parking lots by 2015, and new apartment blocks
with parking lots will have to include charging stations starting
in 2012.
A group of public and private fleet operators already has
identified a need to purchase 50,000 electric vehicles through
2015, Environment Minister Jean-Louis Borloo told a reporters, and
the government reckons that by pooling purchasing there is
potential to reach a fleet of 100,000 vehicles by that date.
The plan involves setting up a battery manufacturing factory at
a Renault SA (RNO.FR) facility at Flins, west of Paris, at a cost
of EUR625 million, of which EUR125 million will be contributed by
the French state's strategic investment fund.
The plant will have an annual production capacity of 100,000
batteries and will supply other French electric vehicle
manufacturers, including PSA Peugeot-Citroen (UG.FR).
Peugeot-Citroen Chief Executive Philippe Varin said his company
would have four small electric vehicles ready for sale in 2010,
including two small city cars, one of which will be based on a
vehicle that Peugeot-Citroen will buy in from Japanese partner
Mitsubishi Motors Corp. (7211.TO), as well as small utility
vehicles for both brands.
Renault Chief Operating Officer Patrick Pelata said Renault
would have four mass-market electric vehicles on sale in 2011 and
2012.
He reaffirmed that Renault and alliance partner Nissan Motor Co.
(7201.TO) together plan to invest a total of EUR4 billion in
developing electric vehicle technology.
-By David Pearson, Dow Jones Newswires; +33 1 4017 1740;
david.pearson@dowjones.com