Contact:

James Robbins, Director
Environmental Business Cluster
(408) 938-3921

Environmental Cluster and City of San José Launch Partnership for Innovative Clean Energy Electronic Vehicle Technology Program

$400,000 federal grant and matching local investments will support new clean energy development initiative

October 25, 2006

San José — With the active participation from local business and the federal government, San José is investing in another emerging industry by bringing together start-ups and established Silicon Valley technology companies to address national and local environmental and homeland security opportunities.

The San Jose Redevelopment Agency has received a $200,000 grant from the U.S. Economic Development Administration (EDA) for the planning, development and design of the San Jose Electronic Transportation Development Center (ETDC). The EDA grant is the first funding award that San José has received from the EDA in almost 25 years. Matching funds provide a total grant of $400,000.

The ETDC is aimed at stimulating the growth of an advanced transportation industry in San José. At the ETDC, the Environmental Business Cluster and Silicon Valley companies will collaborate on the design, development, prototype fabrication, and commercialization of clean energy hybrid commercial vehicles, such as buses and trucks, while incorporating Silicon Valley electronics, making the vehicles cleaner, safer, and more secure.

Over the next nine months, the Redevelopment Agency and the Environmental Business Cluster will lead the effort to survey and select Silicon Valley companies to participate in the ETDC’s pilot project, which will be a demonstration bus to showcase clean energy hybrids and electronic security systems.

In 2004, the San Jose Redevelopment Agency commissioned a business plan for the creation of the Electronic Transportation Development Center from the Environmental Business Cluster and Synergy EV. The study indicated that San José is poised to take the lead in clean energy advanced transportation, an emerging industry sector in the United States.

“Silicon Valley companies have existing technologies that can be applied to the design and development of cleaner and safer commercial vehicles,” said San Jose Mayor Ron Gonzales. “Because of our innovative community, we are in a strong position to lead the development of advanced transportation technologies that will benefit business and the people of our region, and the nation.”

“The ETDC project will help reduce America’s dependence on foreign oil and make transportation safer, two key national priorities. The federal government is pleased to support San Jose in this endeavor,” said U.S. Congressman Mike Honda, whose district includes part of San José.

Matching support for the ETDC is provided from a $90,000 commitment from the Redevelopment Agency, along with $110,000 in assistance from the San Jose State University Foundation, San Jose Environmental Business Cluster, and sponsors including Applied Materials, Pacific Gas & Electric Company, Citibank, Cooley Godward Kronish, LLP and SynergyEV.

— The Environmental Business Cluster is a clean energy technology commercialization center located in San Jose, CA. The Environmental Business Cluster assists emerging clean energy technologies in reaching the market. It provides programs to assist both resident and non-resident companies overcome the barriers to commercialization and assists with the formation of technology partnerships and industry networks. For further information, contact James Robbins at the Environmental Business Cluster at 408-938-3921 or visit the website at www.environmentalcluster.org.

— The San Jose Redevelopment Agency is dedicated to improving the quality of life for all who live and work in San José. Governed by the San José City Council, the Agency facilitates and oversees comprehensive programs for development to revitalize the City’s Downtown, neighborhoods, and industrial areas. For more information on the ETDC, contact Julie Amato at the San Jose Redevelopment Agency at (408) 535-8500.