I’m a huge believer in the market, policy and clean energy potential of electric vehicles. Prior to my time in the Legislature I served on the board of advisors for V2Green, Inc., a Seattle-based startup that designs the software to enable real-time, smart grid management of electrical power in vehicles. The company was purchased by GridPoint soon after its founding. (Disclosure: I currently have no financial interest in the companies mentioned)

In 2009 the legislature adopted a watered-down bill that became more of a hodge podge of policies, but at least it set the tone for moving forward from a policy perspective.

Today’s announcement that Tesla will move into mass production of low cost electric vehicles in partnership with Toyota is a reflection that the long term prospects are tremendous. It shows the value as part of the long term transportation policies of the future.

And a reminder that the danger surfaces in a political sense when government tries to pick and choose winners and losers.

The legislation in 2009 was originally drafted and lobbied by Better Place, an Israeli-based company that is taking the global market by storm. Fortunately for the public, state Rep. Deb Eddy (D-48) was the prime sponsor and she ensured that the integrity of public policy was protected and strengthened by her fierce independence and policy wisdom. So while the bill started out as a sweetheart deal for Better Place, it ended up as an objective, technology-neutral policy for electric vehicle development in Washington. The bill accomplishes little at this point but it does provide the framework for a bolder approach in the years to come.

Today’s Tesla announcement is a “giant leap” forward in progress not because of public policy or politics at the city, state or federal level but because of the value driven to consumers in the marketplace of ideas. It shows that it’s the marketplace that innovates new technologies.

Yes we all feel tension and rage at BP for the oil spill, yes we all feel deeply justified anger at Wall Street for obnoxious abuse of power and unleashed greed, but let’s remember too that the private marketplace of ideas is the driver of innovation that fuels our nation’s long term economic growth. Much of the tremendous R&D produced by our nation is publicly funded, and much is not. But innovation in all corners is the key to our future.

Through innovation like electric vehicles, we as a nation will continue to change the world.

Your partner in service,

Reuven.