Two utilities have agreed to develop a mass-production electric car and put 1,000 of them on the streets of the nation's smoggiest city by late 1992.

The $7 million project would produce as many as 10,000 electric vehicles for car-crazy Los Angeles by 1995, the city Department of Water and Power and Southern California Edison Co. say.The car will be designed by Clean Air Transport, a firm based in Sweden that beat 18 American and foreign bidders for the contract.

Dubbed the "LA 301," the clean machine would carry four passengers, have a range of 150 miles between charges and a top speed of 70 mph. Designers say it will accelerate from zero to 30 mph in nine seconds.

In passenger sedan and quarter-ton minivan models, the vehicles initially would cost $25,000 each, a price officials said would drop with large-scale production.

The first cars will be produced in England. Henry Munkevik, managing director of Clean Air Transport, said production eventually could be transferred to Los Angeles.