Senior government officials and ministers have announced an agreement to commit to increasing the energy efficiency of transportation, including the promotion for electric vehicles, lithium batteries, biofuels and natural gas vehicles minimizing oil demand for transport.
ETF Trends reports that on Monday, lithium ETF's rose after A123 Systems (NASDAQ:AONE) shares rallied about 13%.
With lithium ion batteries as stationary energy storage for the power grid emerging rapidly as a growing market, manufacturers may be challenged with the prospects of redistributing capital from the potential of electric vehicle battery manufacturing to grid oriented energy solutions.
Performance of the lithium business beat original company expectations for 2010, and the segment posted record sales volumes. The lithium market improved strikingly over 2009 lows, and the company estimates that total demand for lithium in 2010 was greater than in 2008, the previous record year for demand.
With the potential of providing energy densities up to three times that of the conventional lithium ion batteries, lithium-air batteries are currently under research at Massachusetts Institute of Technology, and companies like IBM and General Motors.
A lithium-ion battery from A123 Systems (NAS:AAONE) will power the world's first premium plug-in hybrid electric vehicle (PHEV), the Fisker Karma. The Karma will begin a two-month program that will stop in three Canadian provinces and 26 US states targeting 42 cities.
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