A folding electric microcar. Photo: Robert Hextall via Wikicommons.

CTech – City Transformer, an Israel-based company developing an ultra-light electrical vehicle capable of folding its chassis at a push of a button, has recently received an NIS 2 million grant ($570,000) from the Israeli government. The foldable electric car company  is one of several green companies benefiting from a new government initiative to promote sustainable technology. The Energy and Water Resources Ministry of Israel, in conjunction with the Prime Minister’s Office’s national program for fuel alternatives and smart mobility, is set to invest NIS 22 million (approximately $6.32 million) in selected energy and transportation projects.

The grant will cover half of the investment required by the developers, up to a maximum threshold of NIS 3 million ($860,000) per company for each project.

Other projects selected to participate include a hydrogen gas station, to be set up by public transportation company Metropoline in collaboration with Israeli fuel company Sonol Israel. The two companies will jointly receive NIS 4 million ($1.15 million).

ESave, a company developing electricity-saving systems, will receive NIS 2 million ($570,000) to develop a vehicle-mounted portable power storage battery capable of providing several hours of electricity to areas affected by natural disasters or other reasons.

The grants are intended to raise renewable electricity production levels to about 30% of the country’s total electricity production by 2030, Israel’s Minister of Energy Yuval Steinitz said in a statement.