This latest investment forms part of the Department’s EV Everywhere Grand Challenge, which aims for cost parity between petrol and plug-in vehicles by 2022. Road vehicles are being targeted as they account for 55% of total oil use in the United States, and more than the volume produced domestically.

Projects funded will cover 12 areas of interest across five areas of research, including lightweight materials, batteries, power electronics, fuels and lubricants and more efficient cabin temperature control systems. The Department said simply lowering vehicle weight 10% could offer fuel efficiency improvements of between 6% and 8%.

An additional $3.5m (£2.3m) of co-funding is also available through the Army, where there are joint development opportunities. Applications are being accepted from industry, national laboratories and university-led research teams working towards new innovations in vehicle design.