Allison Transmission Inc. is getting a $62.8-million grant from the Department of Energy (DOE) to help further its efforts to design and produce a cost-competitive hybrid drive system for commercial-duty trucks.

The company said that since 2003 it has produced nearly 2,300 hybrid propulsion systems for use in transit buses operating in 126 cities, accumulating – according to its calculations – over 143 million miles, saving an estimated 7.6-million gallons of fuel while eliminating 75,000 metric tons of carbon dioxide emissions.

Lawrence Dewey, Allison chairman & CEO, noted that the next step is to modify this hybrid drive system for commercial trucks. "The successful completion and launch of the Allison Transmission Commercial Truck Hybrid Program will directly support our nation's strategic energy goals while protecting our environment, creating new jobs and reducing our dependence on foreign oil," he said.

Dewey added that Allison will produce its new commercial-duty truck hybrid system in Indianapolis and will collaborate with U.S.-based suppliers to produce the energy storage systems and other hybrid system components needed for the project.