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The program, proposed by the governor in her State of the State
address in January and signed into law this summer, is designed
to bring companies, academic
institutions and the state together to support
cutting-edge research and development and
pioneer new alternative-energy
technology.
“Centers of Energy Excellence will enable innovative companies
to partner with our world-class universities to help make
Michigan a leader in the alternative
energy industry,” Granholm said. “This new program is
part of our aggressive strategy
to diversify our economy, create new jobs, and be the state that
helps end our nation’s dependence on
foreign oil.”
In July, legislation was enacted with overwhelming bipartisan
support, authorizing the Michigan MSF to allocate up to $45
million to establish and administer the COEE program, which will
support the development, growth and sustainability of
alternative energy clusters by
identifying and/or locating a base company with the necessary
business and supply-chain infrastructure.
The COEE program will match the base companies with
universities, national labs, and training centers to accelerate
next-generation research, workforce
development, and commercialization.
The Centers of Energy Excellence announced are:
• A123Systems, Inc. – This Boston-based company with an
office in Ann Arbor will receive $10 million from the COEE
program to establish a center focused on the manufacture of
rechargeable lithium batteries for the transportation and
alternative energy sectors. The
project leverages the state’s automotive assets.
The University of Michigan will
contribute research on manufacturing system design, performance
and processes; and Michigan State
University will contribute research on battery materials
and electrode designs.
• Working Bugs LLC – This company with operations in
East Lansing, Webberville, and
Sweden will receive $2 million from the COEE program to
establish a biorefinery that will produce high-value specialty
and fine biochemicals and biofuels from natural feedstocks.
Technology developed at this center can be applied to existing
biomaterial processing facilities across the state such as
corn ethanol plants, beet sugar
refineries, and pulp mills to produce new, higher margin
products. Michigan Technological
University will contribute research toward the supply
chain for biomass feedstock that will be delivered to the
biorefinery.
• American Process Inc. – The Atlanta-based company, in
partnership with San Antonio ’s Valero
Energy Corporation, will receive $4 million from the COEE
program to establish a pilot scale biorefinery at the Decorative
Panels International hardwood plant in Alpena. The biorefinery
will convert the process waste effluent from the plant into
cellulosic ethanol, sodium acetate and clean, warm water. The
project has potential for replication across the state in other
biorefineries, pulp and paper mills,
and food and agricultural processing plants. Michigan
Technological University will contribute research to improve
fermentation processes and also
on the use of sodium acetate for novel anti-icing applications.
“The Centers of Energy Excellence program is a powerful tool
that will help grow alternative energy
companies and make Michigan a major player in the
alternative energy sector,” said
Epolito, who is also chair of the MSF board.
“I also want to thank the University of Michigan, Michigan State
University, Michigan Technological University, and all of our
local economic development
partners in Ann Arbor, East Lansing , Webberville, and Alpena
for joining with these innovative companies to launch these
cutting-edge projects.”
The COEE designees were subject to a formal review process that
included an oral interview and a written review of their
application. To be considered for COEE program funding,
candidates submitted a letter detailing the project and amount
of funding requested, a business plan or proposal, and a letter
of support from the university involved with the project. For
complete details on the application process, visit
www.michiganadvantage.org/21CJF .
Today’s actions follow designations of the first three Centers
of Energy Excellence on September 24, when the MSF authorized
alternative energy partnerships in Ann Arbor, Flint, and Kinross
in the eastern Upper Peninsula .
Mascoma, of Cambridge, Massachusetts, received $20 million to
support its Kinross cellulosic ethanol production facility in
collaboration with Michigan State and Michigan Tech
universities. Sakti3 was awarded $3 million to develop its
proprietary next-generation lithium battery technologies and
processes in collaboration with the
University of Michigan. Swedish
Biogas International will utilize $4 million to create a
waste-to-energy/biomethane center at the city of Flint
waste water treatment facility
with research assistance from
Kettering University.
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