Dearborn, MI - Congressman John D. Dingell (D-MI15) praised the Obama Administration for investing a large portion of the available $2.4 billion dollars in grant money to companies in Michigan working to make our nation the world leader in advanced battery and electric vehicle technology. Vice President Joe Biden announced American Recovery and Reinvestment Act (ARRA) grants would go to 20 Michigan projects involving research and development of batteries and vehicles designed for the 21st Century. Included in this list are four projects that Congressman Dingell and the other 16 Members of the Michigan delegation asked the Department of Energy to invest in this past May. Those projects are:
- A123 Systems, together with Chrysler LLC (the company started in Ann Arbor and will open project locations in Romulus and Brownstown, received $249 million)
- Johnson Controls-Saft Advanced Power Solutions (JCS), together with Ford Motor Company (received $299 million for facility to be located in Holland)
- KD Advanced Battery Group, a joint venture of The Dow Chemical Company, Kokam America, Inc and Townsend Ventures LLC (received $161 million for a facility to be located in Midland, MI)
- LG Chem-Compact Power, together with General Motors (locations in St. Clair, Pontiac and Holland received $151 million)
At these locations, the companies will begin work, which includes the assembly of complete battery pack systems for hybrid and electric vehicles. The purpose of this funding is to invest in vital home-grown technologies and job creation in a new industry which is essential to jump start the development of a U.S. manufacturing base for batteries and to accelerate development and commercialization of reliable, safe and affordable electric drive vehicle systems.
“Today’s grant announcements are wonderful news for the State of Michigan,” Dingell said. “We’ve always had the people and the resources needed to become the world’s leader in advanced battery storage and technology. The State possesses the nation’s 4th-largest high-tech workforce and boasts the country’s 3rd-highest engineering graduate population. With this investment from the White House as well as our State, these facilities will go from a vision to reality. Michigan has provided manufacturers with research and development grants, as well as made heavy investments in workforce development. Governor Granholm and the Michigan Economic Development Corporation are to be commended for their fore-thought and hard work.”
These four companies announced plans in the spring to invest more than $1.7 billion to launch advanced battery manufacturing in Michigan. To bring these companies here, Governor Granholm led a bipartisan effort, providing incentives including $700 million in state tax credits for battery pack manufacturing, research and development, engineering and construction of production-scale battery plants. The State of Michigan has already provided up to $555 million in tax incentives for designing and building advanced batteries in Michigan.
The Congressman praised A123 Systems, a company with roots in the 15th District: “I’m very pleased to see that A123 Systems, a company with a strong history in Ann Arbor, will receive today a federal grant to further its work in advanced battery development at locations in Romulus and Brownstown. In view of other countries’ efforts to assist their domestic manufacturers, I feel it imperative that we do the same in the United States. A123 will play a key role in Michigan’s transformation into a high-tech economic powerhouse, and I would hope that today’s grant announcement is the first of many for this company.”
Another 15th District project received critical investment – General Motors’ Brownstown facility, which will produce high-volume battery packs of Chevrolet’s Volt, will receive $105 million.
“This is a great day for our State and I can’t say enough good things about our Governor. I believe there will come a day when Michigan will be lined with these and other facilities working on advanced technology for fuel-efficient, environmentally friendly automobiles. When that day comes, people will be able to look and say ‘Jennifer Granholm got those facilities here.’”
The Congressman will continue to work for grants for Sakti3, another advanced battery manufacturer which has also applied for grant funds. “I am hopeful we will have more good news in the future on that application,” Dingell said. “The groundbreaking work these companies are doing is, and will remain, indispensible to Michigan’s future.”
