With the $11,160 matching grant, students will optimize the GM-donated vehicle to run on high blend ethanol fuel. Kettering is the former General Motors Institute.

The participants, from 14 nationwide colleges and universities, will be judged on fuel economy, emissions and cold-start performance at the GM Proving Grounds in Milford. The teams then will travel to Washington, D.C., for a finish-line ceremony and display the vehicles on Capitol Hill for Congress.

"Participation in this national event spotlights the importance of ethanol as a vehicle fuel and recognizes Michigan's achievements," Engler said. "Wayne State University won last year's Challenge, while the Kettering vehicle was recognized for having the lowest emissions."

The grant was awarded by the Energy Resources Division of the Michigan Department of Consumer & Industry Services (CIS).

"The Challenge also highlights Michigan's ethanol research," said CIS Director Kathleen Wilbur. "We recently awarded a grant to Central Michigan University to study how efficiently sugar beet pulp can be transformed into ethanol."

The grants are part of more than $100,000 in federal awards to 20 nonprofit and public agencies to educate consumers about energy efficiency and renewable energy options.

Read more Michigan Department of Consumer & Industry Services press releases.