This is great news for the UK skills base of sustainable energy technologies.
Tata Motors, owner of Jaguar Land Rover, is putting £25m into its West Midlands-based European Technical Centre (TMETC) to develop and manufacture "green" vehicles.
This is the sort of government investment which will build a low-carbon engineering skills base in the UK.
This is something which will become vital to all aspects of engineering over the next decade.
The government plans for green investment were announced earlier in the year at the depths of the downturn, and now the commitment is being fulfilled.
It is part of a £2bn fund ear-marked for investment in the car sector. We can only hope that there are similar sustainable engineering initiatives in the pipeline.
The Indian car maker has already created a 65mph our-seater electric car with a range of up to 125 miles, which goes into production before the end of the year.