Analysis: State can become alternative energy leader

The University Research Corridor announced investments in two new energy initiatives and released an independent analysis showing Michigan is ready to “become a leader in alternative energy.”

“The University Research Corridor will play a vital role in making alternative energy an important driver of economic growth in the state,” said Patrick Anderson, CEO of Anderson Economic Group LLC (AEG) and a co-author of the report.

AEG found the URC received more than $79.5 million in alternative energy research grants in 2007, with 77 percent coming from federal grants and 11 percent from business, which currently invests $16.7 billion in Michigan R&D each year, more than any state except California. The preliminary report was made public May 29 to advance ongoing conversations at the Detroit Regional Chamber Mackinac Policy Conference.

URC leaders also announced the winners of a URC grant competition seeking “revolutionary but feasible” energy ideas from researchers at member institutions U-M, Michigan State University and Wayne State University. The winners are two joint collaborations aimed at efficient development of cheaper forms of electricity and fuel.

Out of 13 proposals, URC provosts and vice presidents of research chose:

• A team involving the three URC universities plans to develop far more efficient low-cost thermoelectric materials with industrial applications. The technology could be used for power generation and environmentally friendly heating and cooling systems.

• A U-M and MSU project with Lansing-based Technova Corp. that will develop revolutionary nano-biocarriers to rapidly and efficiently produce cheaper, more plentiful ethanol from switchgrass or corn stover (the leaves and stalks that make up about half of a corn crop). Production facilities would require a much smaller footprint than current ethanol plants.

“The ability of the URC universities to blend innovative research and education makes them national leaders in advancing alternative energy technology that we can put into use immediately right here in our state,” Anderson said. “The participation in this research by a number of our state’s major employers demonstrates that they see the immediate benefits of this research to their ability to compete in the world economy.”

The study also cited the importance of the existing relationships between the automotive industry and the URC for making Michigan a leader in alternative energy.

The URC universities regularly work with the auto industry, which carries out more R&D in Michigan than in the nation’s other 49 states combined. R&D by the URC and industry, as well as the state’s massive engineering talent pool, experienced work force and natural resources make the state fertile ground for a growing energy industry, the study concluded.

With gas prices now topping or near $4 per gallon, energy R&D is expected to grow rapidly as the URC partners, the federal government and the auto industry each ramp up research and development efforts.

Incoming WSU President Jay Noren made the Mackinac meeting his first university trip beyond the campus, appearing with MSU President Lou Anna Simon and President Mary Sue Coleman through much of the three-day Mackinac conference.

“We established the URC to tackle big issues, and what bigger technological challenge is there than rising oil prices, which create a burden on the national economy and particularly Michigan’s economy. We must act,” Coleman said.

For a copy of the report go to www.urcmich.org.

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