Follows similar moves in France and Norway to replace internal combustion engines with electric and hybrid options.
Survey finds positive shift in consumer attitude towards hybrid and electric vehicle use.
Fuel-thrifty vehicle ranks third best in fuel economy among plug-in hybrids and 10th best among non-plug-in hybrids.
Funded projects focus on emissions reduction, electric vehicle efficiency, and vehicle safety.
Move will save taxpayers up to $12,000 per vehicle over a 10-year period.
Partnership will develop battery packs for electric and hybrid cars.