Michigan Legislature Authorizes $30M for Centers of Energy Excellence

To attract additional federal funds and boost job creation, Michigan legislators passed a bill authorizing the state to spend another $30 million on a program to create alternative energy clusters and support technology commercialization.

The Centers of Energy Excellence program was enacted last year as part of Gov. Jennifer Granholm’s overall job creation and economic stimulus package proposed during her 2008 state of the state address (see the July 7, 2008 issue of the Digest). The Centers, which are administered through the Michigan Economic Development Corporation, match base companies with universities, national labs and training centers to accelerate next-generation research, workforce development and technology commercialization. Lawmakers capitalized the program with $45 million for FY 2008-09.

capitalized the program with $45 million for FY 2008-09.

SB 418 authorizes the Michigan Strategic Fund to spend up to $30 million through FY11 out of the appropriations received from the 21st Century Jobs Fund, reports Crain’s Detroit Business. The bill stipulates that all funds allocated to the program are required to be used to match federal funding. A previous requirement mandated that grants be used to match funding for projects that include federal, foundation or international investments.

The grants are only available to for-profit companies with participation from at least one qualified business and one institution of higher education. Initial projects supported under the program include a center to manufacture rechargeable lithium batteries, a biorefinery at a hardwood plant, and a cellulosic ethanol center that will produce fuel from wood.

More information regarding the Centers of Energy Excellence Program is available at: http://www.michiganadvantage.org.

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