General Motors Co. believes that the Chevrolet Volt, arguably its most important product launch in decades, could help jump-start Michigan’s battered economy. But projects like it will need help from academia and the government.

GM’s chief powertrain engineer, Tim Grewe, told an audience at the University of Michigan Ross School of Business Monday evening that the pioneering plug-in vehicle is unique in having been designed, engineered and manufactured almost entirely within the state. At the same time, the vehicle is packed with customer-friendly features that Grewe said make him confident of its ultimate success among car buyers.

“Very few companies could do it,” Grewe said, praising the talent of employees and students alike. “Michigan could do it.”

A home-grown, public-private partnership theme underpinned the sixth annual economic symposium organized by the Phi Chi Theta professional fraternity. With three Volt models displayed outside, Grewe and U.S. Sen. Debbie Stabenow, a Michigan Democrat, stressed the importance of Michigan capitalizing on clean energy technology.

The Volt, first unveiled as a concept at the Detroit auto show in 2007, goes on sale later this month. Roughly 500 models are currently undergoing on-road testing by GM employees.

The compact sedan marries a lithium-ion battery-powered drivetrain with a small gasoline-powered generator that kicks in when the batteries are depleted. While GM rates the Volt as delivering 40 miles in all-electric mode, its range can vary depending on weather and other factors. (Grewe said he’s realized 65 miles in electric-only driving.)

The 2011 vehicle will be priced at $41,000, but $7,500 in federal tax incentives will help drive down the cost. It can be leased for as low as $350 a month.

Despite earning largely complementary reviews from the automotive press, some have expressed confusion about how the Volt works or questioned whether it can truly be labeled as an electric car because of its unique propulsion system. For its part, GM maintains that the vehicle cannot operate without power from its electric motors and has labeled the vehicle as an extended-range electric vehicle.

Grewe led the largely business-school crowd through a slideshow that demonstrated the car’s made-in-Michigan ethos: The vehicle was developed and engineered at the GM Tech Center in Warren. Its battery pack is to be assembled at a plant in Wayne County’s Brownstown Township, and the batteries themselves will be built at a plant in Holland in 2013. The car itself is being built at a GM plant that straddles the Detroit-Hamtramck border.

“I think that’s a big win and government has been a catalyzing role in making that happen,” Grewe said.

Stabenow, who has championed the auto industry and clean energy technology in the Senate, called the vehicle an “energy revolution” that capitalizes on Michigan’s strengths. But she cautioned that the U.S. cannot rely solely on being a nation of inventors.

“Making sure we have all this incredible technology is important. It’s also important where it’s made,” Stabenow said.

Much of the Volt technology itself has benefited directly from federal investment in advanced manufacturing and university research under the Recovery Act and President Obama. Asked by a student how that strategy would fare now that Republicans who want to slash spending are poised to take control of the House in 2011, Stabenow said the U.S. can’t afford to let other countries pass it by.

“We’re going to have to decide if we are willing to invest in order to grow the economy,” she said.

“No business cuts its way completely into prosperity. You make strategic investments.”

Contact Sven Gustafson at sventg123(at)gmail(dot)com, or follow him on Twitter @sveng