PSA Peugeot Citroen has been boosted by a €200million loan agreement with the European Investment Bank for the development of plug-in hybrid vehicles.
A total of €400million will be poured into the plug-in hybrid programme with the aim of developing multi-purpose vehicles that combine the advantages of a diesel engine on the highway with those of an electric motor for city driving. Around 500 PSA Peugeot Citroen employees will work on the project at the Velizy Technical Centre in France.
The European Investment Bank aims to contribute towards the balanced development and economic cohesion of EU member states and has granted the funding support under the European Clean Transport Facility programme, which is one of its measures aimed at stimulating the European economy.
It is hoped the programme can significantly reduce carbon dioxide emissions through research and development and innovation, as well as encouraging the production of cleaner and more fuel-efficient vehicles.
Since December 2008, the European Investment Bank has committed around €8.6billion in loans to car manufacturers and automotive equipment manufacturers with €6.7million awarded under the European Clean Transport Facility programme.
