LANSING - Governor Jennifer Granholm and Michigan Economic Development Corporation (MEDC) President and CEO James C. Epolito today announced that the MEDC will receive nearly $2.5 million in federal funding to build upon work launched through Michigan's Centers of Energy Excellence (COEE) program.

"The Centers of Energy Excellence program is a powerful tool in our mission to help break our nation's dependence on foreign oil and make Michigan a leader in the renewable energy sector," Granholm said.  "Thanks to Senator Carl Levin and Senator Debbie Stabenow, as well as Representative Dale Kildee and Representative Bart Stupak; these critically needed funds will help advance our overall strategy to diversify our economy and create new jobs."

The COEE program, which is bringing companies, academic institutions and the state together to support cutting-edge research and development and pioneer new alternative-energy technology, was appropriated the funding in the federal omnibus budget bill signed by President Obama today.

In July, legislation was enacted with overwhelming bipartisan support, authorizing the Michigan Strategic Fund to allocate up to $45 million to establish and administer the COEE program, which supports the development, growth and sustainability of alternative energy clusters by indentifying and/or locating a base company with the necessary business and supply-chain infrastructure.  The COEE program also matches the base companies with universities, national labs, and training centers to accelerate next-generation research, workforce development, and commercialization.

The recipients of appropriations announced today are:

- The Biogas Center of Excellence, in Flint, which supports work by Kettering University to advance the use of biogas.  The FY09 federal appropriation of $951,500 builds upon the MEDC's earlier award of $3 million to Swedish Biogas International for the biogas production facility at Flint Township's wastewater treatment plant.  

- The Forestry Biofuel Statewide Collaboration Center, in Escanaba, which supports work by Michigan State University and Michigan Tech to improve the feedstock availability for
 biofuel facilities.

The FY09 appropriation of $1.4 million builds upon the MEDC's earlier award of $20 million to Mascoma Corporation.  This also enables this project to be expanded to have a statewide, rather than regional, focus. 

"A key component of the Centers of Energy Excellence program has been its ability to bring much-needed federal dollars to the state," Epolito said.  "The additional federal funding to the program will help Michigan to sustain long-term economic growth and job creation." 

For complete details on the COEE program, visit www.michiganadvantage.org/21CJF.

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