The federal government and some states are plugging into the future of electric cars with subsidies to develop charging stations -- but their plans are generating opposition.

The Department of Energy (DOE) awarded $2.4 billion in stimulus money in August to build electric vehicles and support them with charging stations. The goal is to promote clean energy and reduce U.S. dependence on oil, says David Sandalow, assistant secretary of Energy for policy and international affairs.

The largest of 48 approved projects -- out of 250 proposals for stimulus grants -- is with Arizona-based Electric Transportation Engineering Corp. (eTec), which signed a $99.8 million contract with the Energy Department last month.

Nissan is partnering with ECOtality, eTec's parent company, on its project and will make 4,700 Nissan Leafs available in 11 cities by working with dealerships, says Colin Read, vice president of corporate development for ECOtality. The Nissan Leaf, scheduled to be released late next year, is an all-electric vehicle capable of getting 100 miles on a single charge, Read says.

Some of the contract money will pay for charging stations in 11 cities in five states by 2011, according to Read.

The cities are Portland, Salem, Eugene and Corvallis in Oregon; Seattle; San Diego; Phoenix and Tucson; and Nashville, Chattanooga and Knoxville in Tennessee.

In addition, Chrysler, General Motors and Ford received DOE grants, ranging from $30 million to $70 million, to manufacture plug-in hybrids and electric cars, according to the Energy Department.

The projects come as there are only about 1,000 plug-in hybrids on the road and major auto companies do not plan to release their plug-in or fully electric models for another year, says Mark Duvall, director of electric transportation at the Electric Power Research Institute, an independent, non-profit organization that conducts research about the generation, delivery and use of electricity.

Opposing views

Tom Schatz, president of Citizens Against Government Waste, a non-partisan organization with more than 1 million members, says the government should not spend taxpayers' dollars to push a technology but should let the private sector develop it. "Why is the government picking and choosing which type of technology will be best for the country?" Schatz asks. "Maybe someone will come up with another idea."

A report released in October by the National Research Council, a government-chartered agency, questioned whether electric and plug-in vehicles' impacts are better or worse than those from conventional gasoline vehicles.