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Obama’s energy plan could boost business in area
Planned ZAP plant in Franklin, if all goes well, would be beneficiary

By JENNA MINK, The Daily News, jmink@bgdailynews.com
Saturday, November 8, 2008 11:59 PM CST

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As the nation waits for President-elect Barack Obama to settle into office, some local businesses wait to see if his commitment to energy conservation will hold true.

Obama’s platform includes an extensive energy plan, which promises investments of $150 billion in renewable energy over the next 10 years. But what some area companies are carefully watching is Obama’s commitment to fuel-efficient vehicles. His plan includes putting 1 million electric hybrid cars on U.S. roadways by 2015 and offering $7,000 in tax credits to consumers who purchase fuel-efficient vehicles.

And officials at the ZAP electric vehicle plant, which is slated to locate in Franklin, are counting on federal funding to help get their productions off the ground.

Waldman said he is applying for a federal loan that could put up to $200 million into the plant’s wallet - that’s more than enough money to build the facility, which is estimated to cost more than $80 million. If plant officials hire the number of workers they have promised - they say the plant will eventually employ 4,000 - the company will not have to repay the loan.

“It’s an energy office loan for companies doing fuel-efficient vehicles,” said Randall Waldman, CEO of Integrity Manufacturing, the company that will produce ZAP vehicles and own a majority of the Franklin plant. “The beauty of that is we fall right into it.”

But Obama’s plan to repair the ailing economy is just as important to the ZAP facility as the president-elect’s commitment to electric cars, Waldman said.

“It’s very difficult to say (if Obama’s energy plan will make a difference) because you can’t get a car right now, because you can’t get a loan,” Waldman said. “It doesn’t matter what he wants to do if he can’t get it done.”

Waldman said plant officials have applied for funding through six other sources, but with lending tight and financial confidence shattered, he is not sure when, or if, the plant will receive those funds.

“The problem is nobody moves fast (to lend money),” he said. “But we’re doing everything we possibly can to bring (the plant) to Franklin as fast as we can.”

Similarly, while General Motors officials are encouraged by Obama’s commitment to fuel-efficient vehicles, they are focused on landing government aid to keep the faltering auto company afloat during tough economic times.

“I think we’re encouraged (by Obama’s energy platform), but it’s a tough situation,” said Tom Wilkinson, a spokesperson for General Motors. “And it would help to have something happen sooner than later.”

General Motors is still going forward with plans for the Chevy Cruz and Chevy Volt - fuel-efficient vehicles that are slated to hit the market in the next two years. But other plans for fuel-efficient vehicles might be put on hold for a short time while the company tries to weather the economic storm.

“We’re going forward with most of those, but we are re-timing some of those programs,” he said.

Still, Obama’s energy plan might encourage local residents to invest in renewable energy, said Nancy Givens, co-chair of BG Green.

“The ideas he has presented are very strong, but he can’t do the job alone; he needs people helping” she said. “The focus of energy and attention comes with investment of dollars, and this community is so well-positioned.”

Givens said that while Bowling Green is behind in renewable energy efforts compared to other parts of the country, she is encouraged by Western Kentucky University’s research and programs dedicated to energy efficiency and the city’s support of “green” initiatives.

“Our community has a potential to capitalize on that once the correct signals are in place,” she said.

Bowling Green does not house a myriad of businesses that sell energy-efficient products, although some businesses are beginning to invest in renewable energy.

For example, Capitol Windows and Doors, which operates in Bowling Green, replaces old windows with energy-efficient windows that help the home naturally heat and cool itself.

“They continue to gain popularity,” owner Alan Cannon said. “In addition to being better for the environment and saving heating costs, they also extend the life of those units.”


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