RECENT NEWS

• 08/05/2009 Granholm, Cherry Hail 12 Michigan Projects Awarded Federal Advanced Battery Grants Read the Press release 
• 06/23/2009 Ford wins $5.9 billion in DOE loans Read the Press Release 
• 05/12/2009 Granholm Signs Legislation Authorizing Tax Credit to Support Advanced Battery Project Read the Press Release 
• 04/19/2009 Granholm: Projects Creating Over 6,600 New Jobs Are Result of State's Efforts to Make Michigan Advanced Battery Capital of the World Read the Press Release 

Michigan's Domestic Battery Plan

Three years ago the State of Michigan launched an economic development strategy to identify and capitalize on key industry sectors where the state had unique and certain competitive advantages. One of the sectors identified was Advanced Energy Storage, with an initial focus on transportation. It was clear that Michigan—as home to more than 330 transportation R&D companies, 65,000+ engineers, and world-class engineering schools—was exceptionally positioned to address the critical national need of developing a domestic advanced battery manufacturing industry. To address this need, the State developed two aggressive, first-of-their-kind incentive programs to seed the industry and complement federal funding opportunities:

• Centers of Energy Excellence Program: This $45 Million program funded six centers within the state to commercialize innovative energy technologies, two of which involve advanced battery technologies. A second phase of the program will provide an additional $60 Million to match federal funding opportunities in the advanced energy sector.   
• Advanced Battery Credits Program: Recently expanded to $700 Million, this program provides unprecedented state funding for advanced battery R&D and engineering, pack manufacturing, and cell manufacturing. $400 Million of this program was awarded to four companies to establish commercial-scale cell manufacturing facilities in Michigan, in anticipation of their pursuit of federal funding from the Department of Energy. 

Utilizing these powerful economic tools, Michigan’s strategy for building a domestic battery industry focuses on four main areas:

• Recruiting cell manufacturers: Building a domestic advanced battery industry starts with leading cell manufacturers with fully integrated facilities to act as magnets in the development of the entire value chain. To identify these “best practice” cell manufacturers, the State developed a stringent technical review process using independent scientists. Applicants were reviewed on cell technology, confirmed orders, target market diversification, manufacturing processes, and their technology development pipeline. As a result of this comprehensive review process, four leading cell manufacturers were selected from a candidate pool and awarded a total of $400 million. These funds were intended to complement potential Department of Energy solicitations in the construction of commercial-scale, large format cell production plants. These firms offer unique cells and customers, provide batteries today, and are developing next generation technology now.
• Creating the value chain: The industry will need a strong stable of suppliers in order to thrive. The State invested $135 million toward the establishment of pack manufacturing facilities and expertise to integrate cells into usable power supplies, as well as drive the cost of electric vehicles down in tandem with federal consumer incentives intended to do the same. The State will also look to invest in diversification of incumbent firms as well as attract world-class suppliers in areas such as materials, control electronics, thermal management, and recycling.
• Developing the Workforce: To ensure that the design, engineering, testing, development and deployment of advanced battery technologies happens in the US, the State invested $165 Million to defray automaker costs associated with the hiring, training, and output of highly skilled engineers. In addition, the State invested $2 Million to support the Advanced Battery Coalition for Drivetrains lab, a partnership between the University of Michigan and General Motors for advanced battery simulation and testing. The State also boasts the nation’s first Energy Systems Engineering Masters program at the University of Michigan, which delivers a targeted curriculum toward the development of battery and energy infrastructure engineers.
• Exposure to markets: Sustainability will be achieved through access to diverse markets. As home to the US Army Tank-Automotive Research, Development & Engineering Center (TARDEC), Michigan is uniquely positioned to develop and supply domestic batteries to military markets. Further, through the State’s strong relationship with Oak Ridge National Laboratory and its vehicle technologies experts and other resources, Michigan battery companies will have a conduit for collaboration throughout the entire federal lab system.
  

Coupling the world’s leading transportation research and manufacturing infrastructure with a strategic plan to support the creation of a domestic advanced battery industry, Michigan is aggressively positioning itself as the global capital for vehicle electrification and battery technology. Michigan's Advanced Energy Storage Strategy 

OTHER RELATED NEWS

• 05/14/2009 GM places bet on Ann Arbor's Sakti3 for battery production 
• 05/06/2009 Granholm: Ford Chooses Michigan to Manufacture its First Battery Electric Vehicle, New Fuel-Efficient Cars 

Resource Partners for Advanced Energy Systems Companies

Workforce Education:

• Energy Systems Engineering Masters Degree Program  (University of Michigan)
• Michigan Alternative Energy & Renewable Energy Program  (Grand Valley State University)
• National Alternative Fuels Training Consortium  (Lansing Community College)

Research Universities:

• Kettering University 
• Lawrence Technological University 
• Michigan State University 
• Michigan Technological University 
• University of Michigan 
• Wayne State University 
• Western Michigan University 

Michigan's Position for Business Development:

• Nation's #3 manufacturing state. 
• Nation's 4th largest high-tech workforce -- Center for Automotive Research.  (2002)
• Nation's 3rd largest engineering graduate population -- American Association of Engineering Societies (6,523 in 2006).
• More than 330 automotive R&D centers in Michigan.
• Michigan is home to a majority of the top automotive Tier 1 suppliers.
• The National Venture Capital Association ranks Michigan #16 in attracting venture capital (2008). Through the Governor's 21st Century Investment Fund, the MEDC has seeded over $100 million to venture capitalists to do business in Michigan.
• Nine of 10 top automotive OEMs developing Hybrid Electric Vehicles (HEVs), Plug-In Hybrid Electric Vehicles (PHEVs) and Electric Vehicles (EVs) are in Michigan.
• Home to U.S. Army's R&D and Engineering Center (TARDEC  ) and TACOM , focused on effective armaments and munitions for a lean, lethal and survivable workforce.