In partnership with fellow Central Indiana Corporate Partnership organization Conexus Indiana, I penned the following column -- now appearing on the Inside Indiana Business website -- highlighting some of the monumental clean-tech energy and Indiana advanced manufacturing success stories coming out of the first 45 days of 2010.

 

About Conexus: Conexus Indiana is the state’s advanced manufacturing and logistics initiative, dedicated to making Indiana a global leader in these high‐growth, high‐tech industries. Conexus is focused on strategic priorities like workforce development, creating new industry partnerships and marketing our competitive advantages.

Here is the column as it appears on insideindianabusiness.com:



2010 Off to a Fast Start in Green Manufacturing Success Stories

What do you get when you combine cutting edge technologies, a legacy of engineering expertise, and a rich manufacturing heritage? A flurry of good news that puts central Indiana in the driver's seat of activity to put more electric vehicles on our highways and make renewable energy a practical reality. And if the rest of the year looks anything like the first few weeks, 2010 will be known as the Year of Clean-Tech here at the Crossroads of America.

Let's run down a few of the highlights:

In Anderson, Ind., Remy International announced a new business unit dedicated solely to the development and manufacturing of electric and hybrid motors. Remy is already the largest U.S. producer of hybrid motors, and last year earned a $60 million grant from the U.S. Department of Energy as part of an initiative to fuel development of electric vehicle batteries and components.

The move could spur significant investment and create hundreds of new jobs over the next few years, and appears to already be paying dividends – Remy just announced a major contract to supply Mercedes with hybrid motors.

When it comes to electric vehicles, the "green-tech" juggernaut known as EnerDel continues to produce new jobs and investment in the Indianapolis Region, along with cutting-edge batteries. As the only U.S. manufacturer of the lithium ion batteries that power hybrid and plug-in electric vehicles, EnerDel has tapped the rich reservoir of engineering talent that created General Motors' EV1 and other groundbreaking projects here in the region. EnerDel just announced a major new manufacturing facility in Greenfield, Ind., that will ultimately employ 1,100+ -- thus expanding a footprint in greater Indianapolis that includes its northeast Indy headquarters and a battery pack assembly facility in Noblesville, just north of the city.

Throughout the state, tremendous wins are being registered in attracting clean tech manufacturing. Think North America, an electric car manufacturer, has chosen Elkhart as the site of its first U.S. manufacturing plant, joining Electric Motors Corp and NaviStar as the hub of a growing green vehicle cluster along Indiana's northern border.

Brevini Wind (in Muncie, Ind.) has earned $12.8 million in federal tax credits to manufacture gear boxes and other technologies for its massive wind turbines. Just a few weeks ago, U.S. Secretary of Energy Chu visited Columbus, Ind., to announce $54 million in federal stimulus grants to Cummins to increase engine fuel efficiency.

Like any high-tech, innovation-driven industry, the clean tech sector demands a skilled workforce. Here too, Indiana is making great strides, as the state's Department of Workforce Development recently secured a $6 million grant from the U.S. Department of Labor to help workers from other manufacturing sectors take advantage of new jobs in the clean tech space.

The Indy Partnership has aggressively pursued companies in the energy innovation and green manufacturing arenas, both here and abroad – including multiple visits to Europe and China. We plan to continue these recruiting efforts in the years to come, and the level of activity so far in January tells us that our hard work is paying off.

Download our Indiana Clean-Tech Energy Industry Report.

Central Indiana has a long-term strategy designed to strengthen our world-class clean tech sector and re-energize our manufacturing base. Our sister initiative, Energy Systems Network, is playing a leading role in making Indiana a center for energy innovation. The success stories that have marked the start of 2010 are early dividends, but we're confident the best is yet to come.

As the economic development arm for the Central Indiana Corporate Partnership (CICP) and the 10-county Indianapolis Region, Indy Partnership will be doing its part to tell this story and maximize our potential in this booming area of cutting-edge clean technology industries. In Indiana, green tech means green jobs; in other states, they're just green with envy at our success.

Indiana Governor Mitch Daniels recently made the claim, "Indiana is becoming a location of choice for companies in the renewable energy industry." As a director of research, I reject broad, sweeping claims -- particularly those made by politicians -- unless they are backed up with credible data. It's a "show me the numbers" approach that would make any high school forensics/debate teacher proud.

Governor Daniels, it seems, has the numbers on his side. Hoosiers are already benefiting from an emphasis on alternative fuel vehicles and clean-tech or renewable energy. From 1998 to 2007, the number of sustainable energy jobs in Indiana grew by 17.9 percent, nearly double the growth rate of the rest of the United States, according to The Pew Charitable Trust.

PHOTO CAPTION: Indiana Governor Mitch Daniels (left) and Charles Gassenheimer, chairman and CEO of Ener1, the parent company of Indiana company EnerDel, pause for a photo together inside one of EnerDel's manufacturing facilities. Gassenheimer is holding one of the company's lithium-ion battery cells.

Furthermore, consider these recent announcements:

• Lithium-ion battery maker EnerDel will locate its newest manufacturing operation in Hancock County (within the 10-county Indianapolis region) and create hundreds more jobs than originally projected. EnerDel, a developer of batteries and energy storage systems for hybrid, plug-in electric and electric vehicles, will soon have more than 1,400 employees working at three Indianapolis region locations.
   
• THINK, a leading international manufacturer of pure electric vehicles, plans to locate its North American production facility in Elkhart, Ind., creating more than 400 jobs by 2013.
   
• Delphi Corp., a global electronics maker, will establish a new production facility in Kokomo, Ind. (just north of the Indianapolis metro) to manufacture products for the electric drive vehicle market, creating an estimated 190 new jobs by 2014.
   
• White Construction Inc., a contractor for renewable energy projects throughout North America, will expand operations and build its new headquarters in Clinton (between Indianapolis and Chicago), creating up to 70 new jobs by 2012.
   
• According to the American Wind Energy Association, Indiana is a leading state in adding new wind capacity -- ranking second in the nation in 2009 and first in 2008.

Google introduced its Nexus One wireless phone last week at the Consumer Electronics Show (CES) in Las Vegas, and that's good news for Brightpoint North America, a global leader in the distribution of wireless devices. Brightpoint is located in Plainfield, Indiana, near the Indianapolis International Airport.

Through an agreement with Taiwan's HTC Corp. -- the original equipment manufacturer of the Nexus One -- Brightpoint will provide logistics services supporting Google's web store channel, including bundling and shipping the Nexus One to end users.

I personally worked in the consumer electronics industry for close to a decade, attended and exhibited as a manufacturer at CES, and helped to launch hundreds of consumer electronics products. In my experience, nothing kills a product faster than a.) too many bugs or outright product failures, and b.) poor logistics.

Google has a lot riding on its first foray into the wireless hardware marketplace. I would imagine bringing the Nexus One phone itself to market was a monumental challenge for an on-line, software-centric company with little experience in manufacturing (even with the help of an OEM).

With resources focused on launching a product intended to compete with the iPhone, issues with availability, fulfillment or shipping could be disastrous, since Apple has such an exemplary reputation for customer satisfaction and overall product experience.

It's testament to the strength of Indiana transportation logistics and especially to Brightpoint North America that Google and its partner HTC Corp. have chosen a company located in the Indianapolis region to play such a pivotal role in the launch of a make-or-break product.

For those unaware of the transportation, distribution and logistics prowess of the Indianapolis Region, here are a few of the more salient details:
 

• More than 50% of the U.S. and Canadian populations lie within a day’s truck drive of Indiana
• About 75% of the U.S. and Canadian populations lie within one and a half day's drive of Indiana
• The Indianapolis Region ranks first among metro areas in interstate access with four intersecting interstate highways
• Indianapolis International Airport is home to the world's second-largest FedEx hub
• Indianapolis International Airport is the eighth-largest cargo airport in North America.

LEARN MORE about transportation, distribution and logistics in the Indianapolis Region.
Read the logistics FEATURE STORY from the Indianapolis Region magazine.

Photo courtesy of Banayote Photography.

INDIANAPOLIS (Dec. 24, 2009) -- The Indianapolis region has been chosen as one of three finalists for the new world headquarters of a multi-billion dollar international toy manufacturer and distributor, the Indy Partnership announced today. 

                "While we can't publicly identify the company, due to a clause in our confidentiality agreement, we can tell you that we're thrilled to have ended up on the company's 'nice' list," said Indy Partnership President and CEO Ron Gifford.  

                The company realized last year that it had outgrown its existing location in the northern hemisphere. "Twas the night before Christmas, which is traditionally our busiest time," said Will "Buddy" Keebler, director of Elfonomic Development and company spokesman for the project.  " It became clear that our current facilities were like a bag of misfit toys."

                To find a new home, Keebler said the company made a list, checked it twice, and relied heavily on the Indy Partnership's award-winning website to find out which places would be nice.

                The Indianapolis region presented several assets that could meet the company's unique manufacturing and logistics needs.  "We operate an extensive global logistics operation,"  noted Rudy Cervidae, team leader for the company's extensive global logistics operation. "If you ask me, with jewels like the world's second-largest FedEx hub, major distribution centers like Amazon.com, and a great airport, Indianapolis is likely to nose out the competition." 

                Rudy's face also lit up when he talked about being so close to Purdue's Veterinary School. "Although I can't disclose why, some of our team were prancin' and dancin' when they heard about that," he glowed.

                The toy maker was also impressed that central Indiana is home to the most productive manufacturing workforce in the Midwest. "While our workforce might look small, they are extremely talented and efficient, " Keebler observed. "You certainly have an abundant supply of talent to join our workshop associates."

                Indianapolis has some unique characteristics that favor it. "When you spend as much time in shopping malls as our boss does, you can't underestimate the value of being down the street from the headquarters of the Simon Property Group," Keebler said. "Plus, the whole 'World's Largest Christmas Tree' thing on the Circle -- talk about brand alignment!" 

                Easy access to southern Indiana's plentiful coal supplies also caught the company's eye. "Sadly, coal delivery has been a growing part of our business," Keebler lamented.

                The State of Indiana has put together a very attractive incentive package in an attempt to lure the company here, according to Indiana Secretary of Commerce Mitch Roob. "While I can't talk about what's on the company's wish list, let's just say we put out some serious cookies and milk on this one," Roob noted.  Governor Daniels also met privately with the company's founder and chairman, but Roob would not disclose what the Governor asked for. Roob also denied that the Governor sat on the old man's lap, noting that the Governor hasn't done that since he was 9 years old.  

                The company expects to make a final decision after the holiday season. The other two finalists for the site are Santa Claus, Indiana and Bethlehem, Pennsylvania.   Although Santa Claus is considered a sentimental favorite, most observers are skeptical about the Pennsylvania site. According to local site consultant Larry Grinch, "It would take a miracle for this baby to end up in Bethlehem."  

Published: Friday, 6 Nov 2009 -  CNBC just completed a study on "Best Cities to Find a Job" and Indianapolis is ranked 8th.  CNBC specifically highlights central Indiana's Life Sciences and Medical Device Manufacturing industries as bright spots.

The report, released by employment Web site CareerBuilder.com, ranked the top metro areas with the most job postings on the site between January and October 2009.

 “The cities that are more economically diverse and have a variety of industries” have the most jobs available, said CareerBuilder.com spokesperson Jennifer Grasz.

"The Indianapolis Region also has and advantage from the perspective of employers in clean energy, defense, automotive, and information technology," said Matt Waldo, Director of Research and Information for Indy Partnership.  "More highly skilled workers are available now in central Indiana than ever before, and at a competitive cost - and we'll quantify that for you," he continued. 

Check out all that the Indianapolis Region has to offer here.

The CNBC report may be accessed here.

• Largest Life Sciences Companies (Statewide) - Available as point data on "Map Overlays"
• Manufacturing Employment (Region) - Available as county-level thematic layer
• Logistics Employment (Region) - Available as county-level thematic layer
• 2007-2008 Population Change (Region) - Available as county-level thematic layer

• Allison Transmission
• Delphi
• EnerDel
• Magna E-Car
• Remy

When compared to all other states, Indiana ranks in the top 10 in 33 logistics-related categories and in the top five for almost half of those.  Maybe "Will.I.Am" from the Black-Eyed Peas was really singing about us, after all.
 

Indiana Rankings:

• 1st in pass-through interstates
• 1st in shortest distance to median center of U.S. population
• 1st in rail tons of primary metals originated
• 1st in rail tons of primary metals terminated
• 2nd in rail tons of petroleum products terminated
• 2nd in rail tons of waste and scrap material terminated
• 2nd in world's largest FedEx air hubs (Indianapolis)
• 2nd in pass-through truck tonnage
• 3rd in local freight railroads
• 3rd in total freight railroads
• 4th in Class I railroads
• 5th in local rail mileage
• 5th in rail carload
• 5th in truck tonnage
• 6th in rail tons of waste and scrap material originated
• 6th in largest cargo airports (Indianapolis)
• 6th in rail tons of farm products originated
• 6th in regional railroads
• 7th in domestic waterborne shipping
• 7th in rail tons of food products originated
• 7th in number of airports
• 8th in trucking employment
• 8th in rail tons of coal terminated
• 8th in rail tons of coal originated
• 8th in rail mileage
• 8th in rail tons of transportation equip. originated
• 8th in NAFTA exports
• 9th in freight shipped out of state
• 9th in Class I rail mileage
• 9th in rail tons carried
• 9th in freight rail employment
• 10th in rail tons received
• 10th in number of trucking companies
• 11th in rail tons originated
• 11th in rail tons terminated in NAFTA trade dollars
• 12th in transportation-warehousing employment
• 12th in interstate miles
• 15th in total foreign/domestic waterborne shipping

Check out www.Indianalogistics.com for more details about Indiana transportation logistics.

LEARN MORE ABOUT LOGISTICS IN CENTRAL INDIANA

What do you hope to accomplish as a result of this trip? (any tangible ROI in mind?)

We decided to invest in this trip so we could begin building relationships in those Chinese business sectors that are on the verge of making significant investments in the United States -- sectors such as advanced automotive and life sciences, for example. Chinese companies will begin investing in the U.S. for one of three reasons: access to technologies and innovation; access to customer markets; and access to a better platform for global marketing (in other words, "Made in the USA" carries more brand value than "Made in China.")

In China, business opportunities are driven by "guanxi" -- that is, relationships. If there's no guanxi, there's no deal. So we see this as a long-term investment. People have asked me if we're going to bring any new deals home, or have any new business announcements from this trip. As much as we wish that the world worked that way, frankly, that's just wishful thinking. Deals don't happen from one-time visits in the States, and they certainly don't happen that way in China. This is a long-term strategy, not unlike the successful strategy that the state has followed in attracting Japanese investment. Contacts originally made back in the 1980's have borne recent fruit; and we plan to cultivate long term relationships that we hope will eventually lead to a series of "overnight" successes.

Our specific strategy is to create a network of business and government contacts in these key sectors; keep those business advisors, officials and other "influencers" well-informed about the opportunities in the Indianapolis region; and invite Chinese business leaders to visit our community to experience its assets first hand.

(It's 3:00 a.m. and I should be asleep; unfortunately, I think my bio-rhythms have finally figured out that I've been tricking them for the past couple days. So, as long as I'm up, I might as well tell you about my adventures in making new friends (or not) this evening. A word of caution: I'll have to cut this short if I get that phone call that Hillary Clinton warned us about.)

So, for awhile tonight, I was the most popular guy on Nanjing Road East.

It had been an awfully full day. If you've been following my tweets (I'm sure I've never used that phrase in a sentence before), you know that I bummed a ride with Governor Daniels early this morning (technically, I guess, yesterday morning as I write this) and headed over to the Shanghai World Financial Center for the second day of "Greentech: A Call to Action" -- a summit on clean tech issues sponsored by the American Chamber of Commerce in Shanghai and others. (You can read more about that in a separate blog post I'll put up, probably sometime after I take a nap today).

I went straight from the conference to the "Friends of Indiana" reception here at the hotel. Yes, the name aptly describes the event. Folks with a connection to our great state joined our delegation for some good old fashioned gripping and grinning (for some, the connection may simply have been the open bar and good hors d'oeuvres; they were gripped and grinned at nonetheless).

Anyway, as the reception wound up, I decided I needed to do some shopping for my two daughters. While others headed out to dinner, I headed to the concierge to get a recommendation for where to shop. "Bao Da Xiang Children's Store," came the reply -- a store just a short cab ride from the hotel in the midst of a shopping district. I knew this area had to be the place when I looked at the map the concierge gave me: the primary landmark marked on Nanjing Road East was "No. 1 Department Store." Hard to argue with that.

The cab ride took 10 minutes and cost 12 yuan -- about two bucks US. The streets were bustling as I hopped out of the cab and walked a block over to Nanjing Road East. It's a wide pedestrian mall, with ornate historic facades interspersed with sleek modern buildings lit up like the Las Vegas strip. As I stood in the street, looking at the card from the hotel and up at the signs, it occurred to me that reading Mandarin would have been a handy talent just about then.

"You looking for something?" I looked down at the young woman who had just asked me the question while invading my personal space just a bit too much. Oh well, they told us in our trip orientation that the Chinese tended to do that. "Yeah, I'm looking for this children's store . . . ."

"Oh, you don't want to shop," she interrupted. "You should buy me coffee."

Hmmm.   No, I don't want to buy you coffee.

"How about you buy me dinner and then I help you shop."

No, I'm not buying you dinner and you're not going shopping with me.

"Why, what's wrong with you? Don't you want to be my friend?  I just want to be friends. We have good time."

Okay . . . buh-bye! A few quick strides and I was about half a block away (one advantage of being 6 feet tall) when a young man grabbed my arm. "You need a new watch." Uh, no, no new watch. "How about a bag for your lady?"  No.  "You need a CD? DVD? Your shoes ugly; you need new shoes."

Nope, don't need anything; xie xie,  thanks for asking, gotta go now. And I left him in the wake of my quickening pace.

So I'm standing at a cross street, waiting to cut through the motorbikes and cabs like a contestant in a human Frogger game, when I feel another presence at my elbow. Different young woman, same spiel.   "You want to buy me coffee?"

No.

"I just want to be friends. Don't you want to be my friend? If we be friends, we have good time."

No, not happening, not interested in being your friend . . . . hey, you see those German guys over there, I bet they want to be friends. And off I go; but guess who I run into?

"Hey, mister, you need a new watch. Wow, those some ugly shoes."

THEY ARE NOT UGLY SHOES, THANK YOU VERY MUCH, AND NO, I DON'T NEED A WATCH.

"Don't have to be cranky about it." You're right; sorry. "You need CDs? DVDs? How about some shoes or cute girl?" Arrrggghhhh.

It pretty much went on like this for 4 or 5 blocks; I kept wondering, am I wearing some logo that translates as "Easy Mark" in Chinese?

Maybe the deepening scowl on my face dissuaded them from coming up to me anymore. The last young woman who wanted to be my friend kind of took the brunt of it.

"Look, lady, unless you're the CEO of a major life science research firm or the majority shareholder in an advanced technology company, no, I do not want to buy you coffee, have dinner with you, let you shop for me or be your friend. GOT IT?"

"Wow, you crazy man."

You better believe it, kiddo; go tell all your friends.
 

• Experienced several new and interesting food dishes, some of which I can't describe more specifically than animal, vegetable or mineral.
   
• Learned that you apparently cannot get Chinese food in China: sweet and sour chicken has not been served at any meal.  I wonder if these banquets have a takeout menu . . . .
   
• Discovered that the ritual of offering formal toasts can get you pretty toasted if you aren't careful -- and that was just at lunch.

• Met incredibly interesting people at the Cummins supplier conference, the Zhejiang Chamber of Commerce in Shanghai, and the Hoosier Club reception.  Significant follow up opportunities on numerous deals.
   
• Spent a lot of time driving slowly through crowded Shanghai streets, watching as our bus driver defied the laws of physics to get the bus into places it should not have fit.
   
• Marveled at the growing Shanghai skyline and the Chinese's seeming fascination with building the tallest building in the world. 

If you've spent any time around a swimming pool and kids, you know that inevitably you're going to start hearing "Marco . . . . Polo . . . . Marco . . . . Polo." You know how it goes: one kid closes her eyes while the other kids swim away, and then starts yelling "Marco" in hopes that she can blindly find her buddies as they practice water-ventriloquism while shouting "Polo."

The real Marco Polo, of course, helped introduce Europeans to central Asia and China in the late 13th and early 14th centuries. The Venetian explorer Polo spent 24 years in Asia, and the anecdotes of his adventures were catalogued in the popular book, The Travels of Marco Polo.

So what does the children's pool game have to do with the intrepid explorer and trader? I have no clue. Can't really get a definitive answer on that one (although someone in northern Indiana claims to have invented the game in the 1960's).

But here's something I do know: When you go on a business development trip to China, you really want to be more like the merchants of Venice than the kids in the pool. I suppose you could wander around the country, blindly calling out for deals, hoping to hear a lucky response that would give you something  to take home other than nice pictures of yourself at the Great Wall. But that doesn't seem to be such a good strategy.

So here's the plan as I join Governor Daniels on the state's trade and investment trip to China and Japan, starting tomorrow. In addition to attending several of the substantive meetings and networking events that the state has lined up, I'm going to be meeting separately with Chinese business leaders, investment consultants, development companies, and venture capitalists to talk about business opportunities in our region. We've done our homework and know exactly who we're going to talk to.

My goal is straightforward: target those Chinese business sectors that are on the verge of making significant investments in the United States -- think automotive and life sciences, for starters -- and look for opportunities to work together to establish relationships in China and Indiana. This trip is all about building "guanxi" -- relationships.

I'll be blogging about my meetings, our experiences, our reactions, and whatever else seems appropriate to share. It's my first trip to Asia, which is very exciting, and I promise to avoid most  activities that could create international incidents. And as if that's not enough, I'm going to be tweeting my way through it all:  you can follow me at twitter.com/RDGifford.

We leave Indianapolis at 1:22 p.m. on Saturday, and after a short layover in Detroit, take to the air for 14.5 hours until we land in Shanghai at 7:00 p.m. Sunday evening (7:00 a.m. Sunday for those of you staying here).  As I told my kids, I'm going to the future. And I'm taking two suitcases, but not a single swimsuit. No pool games on this trip for me.

An exceptional editorial appeared in the Indianapolis Star newspaper this morning about clean technology and advanced manufacturing in Indiana. Paul Mitchell, president and CEO of Energy Systems Network (an initiative of the Central Indiana Corporate Partnership), offers an insider's perspective on why Indiana is making so much progress in the clean-tech energy space.

Jump-start for green vehicles

President Barack Obama this month traveled to Northern Indiana to announce $2.4 billion in federal stimulus funds aimed at accelerating the U.S. green vehicle industry -- grants to companies and institutions working on advanced batteries and other components that will make it possible to put more hybrid and plug-in electric cars and trucks on our highways.

The president brought the media spotlight to Wakarusa, but he also came with $416 million in grants to Hoosier companies and universities, making Indiana the second-largest recipient of funding for advanced vehicles, behind only Michigan.

There's always criticism about how federal largess is distributed, and this was no exception: Many said that too much funding went to companies that are large and traditional, not innovative enough, already being bailed out by government. Some of this criticism is certainly valid. But I'd argue that Indiana is taking an approach that is driven by collaboration and innovation, leading to new opportunities that will be accelerated by -- but not dependent on -- federal support.

Here's an example: Six months ago three of Indiana's leading automotive companies -- Delphi, Allison Transmission, and Cummins -- announced an effort to work together to develop and bring to market a suite of technologies for light and heavy trucks. (Trucks are by far the biggest consumers of oil and source of emissions; it's estimated that one hybrid bus can save as much fuel and emissions as 40 hybrid cars.)

Recognizing that no one company has the solution to a major energy challenge like commercializing green trucks, the firms agreed to form the Hoosier Heavy Hybrid Partnership under the auspices of the new Energy Systems Network initiative. Over time this loose partnership expanded to firms including Remy and EnerDel, creating a network of companies with a clear vision and roadmap to remain, or in some cases become, leaders in green cars and trucks.

So when the federal government began investing billions in the next generation of automotive technologies, the Hoosier Heavy Hybrid Partners stood ready to respond. And they won big, with some $320 million among them (the largest share going to newcomer EnerDel, which received $118 million).

Also important is the way these Indiana companies secured their share of federal dollars. In addition to working collaboratively, they also put their own skin in the game (a rarity these days) to cover the nearly 1-to-1 match requirement, making the total win closer to $1 billion in capital invested in engineering and manufacturing. In my mind, this separates Indiana from Michigan, where the money flowed primarily to automakers already being propped up by the federal government or foreign firms being enticed by state tax credits that covered their match with more taxpayer dollars.

Lastly, Indiana's federal payday, while welcomed, is really just a down payment. Building cars and trucks is an expensive business, especially when you add the research and development investment necessary to cut oil use and emissions in half, or completely electrify the vehicles. The $1 billion being invested in Indiana is just the tip of the iceberg. And the follow-on investment isn't just federal money, although there are a number of Indiana firms (including Bright Automotive) that deserve to be on the list of winners being selected by Washington.

Far more important than the federal investment is the private investment that has been waiting on the sidelines for the tsunami of government energy dollars to subside so they can lay their bets likely doubling up on Uncle Sam in many cases. The clean technology sector saw more than $7.7 billion in venture capital investment in 2008. With this round of federal grants in place, this flow of private dollars should resume -- and smart money will find its way to the opportunities fostered by new partnerships here at the Crossroads of America.

In short, it's an exciting time to be involved in the energy and clean technologies sectors in Indiana. When you start with strong call to action from the state and a group of corporate and institutional leaders with a willingness to collaborate, the opportunities for growth and job creation are tremendous. Our recent federal windfall confirms our position as a center of innovation in green vehicles. Now it's up to us to capitalize on Indiana's opportunities across the energy eco-system -- in wind power, smart grid, biofuels, distributed power generation and more -- and stay on the cutting edge of the coming clean tech boom.

• quality of life
• sense of place
• quality of people
• low taxes
• terrific business environment
• arts and culture
• sports (especially motorsports)
• life sciences and quality health care
• ever growing diversity
• proximity to great universities
• location in the country
• availability of real estate
• low cost of housing
• and just a wonderful place to raise a family

Bright Ideas

Bright Automotive is another company trying to get a foothold. Launched by people at the Rocky Mountain Institute, idealistic home to well-known energy guru Amory Lovins, Bright Automotive hopes to market a hybrid-electric van that would get six to eight times the mileage current fleet vans get.

It wants to start production in 2012 and sell 50,000 vans in 2013. Using other companies' components and its own design, Bright says it can make vans that would travel about 30 miles on a battery and as much as 400 miles on a charge and a tank of fuel.

Based in Anderson, Ind., it has collected about $20 million in support from companies like Google, Alcoa and Duke Energy. "We have hundreds of trucks," said Duke Energy spokesman Tom Williams. "We could buy as many as 200 off the bat."

But Bright Automotive, which currently employs more than 30 people, needs much more and is seeking about $450 million in loans from the Energy Department authorized by the 2007 energy bill. If the money comes through, Bright wants to ramp up to a thousand people and will employ many more at supplier companies.

Many of Bright's engineers and executives are bruised veterans of the electric car business. Bright chief executive John E. Waters was the battery pack engineer for GM's EV1, an electric vehicle briefly produced in the 1990s that inspired a loyal band of followers but was eliminated by the company. Waters is proud of the vehicle and said "my phone never rang from one customer complaining about the range or performance of the battery." The disappointment at EV1's cancellation, he said, still stings. "Those of us who lived through that are cautious about experiencing that again."

Since leaving GM, Waters has worked on lithium ion battery technology at auto parts maker Delphi and EnerDel. He developed the lithium ion battery system used in the Segway Human Transporter.

Waters says that Bright's small size is an advantage, not a handicap. He says most major auto companies have relatively small teams of 200 or so people designing cars with parts from disparate suppliers.

In Bright's case, its car's interior will be made by Johnson Controls from recyclable materials. Alcoa will provide aluminum for the rust-free exterior. Door handles and brakes will come from the major manufacturers. Bosch will provide the rear axle. Several companies are hoping to make the batteries.

Keller says Bright's business model has a better chance of success because it is planning to sell to big companies with big fleets, most of them leased. For those companies, buying an electric van is a matter of dollars and cents. And they are easier to service.

Waters adds that once a car battery needs replacing, it can still be used by utilities for the storage of renewable electricity, thus giving the used batteries some value.

"This is a mission-based enterprise that makes environmental sense as well as economic sense," Waters said.

President Obama visited Indiana on August 5, to announce $2.4 billion in high-tech federal grants. It turns out that $400 million is going to six different Indiana companies, the second-largest amount doled out among 25 states. Three of these grant recipients are located in the Indianapolis Region.

There are plenty of high-tech stories to tell relating to clean-technology, renewable energy, and advanced manufacturing operations in the 10-county Indianapolis Region, which is the focus of the grants. And while each individual story is newsworthy, it’s “the sum of the parts” that communicate a compelling message to the rest of the nation and the world.

That message is that Indiana has a great deal of activity going on in major growth industries – namely hybrid-electric cars, lithium-ion batteries, and other components for electric cars and “heavy hybrid” work vehicles.

I spoke with Indy Partnership President and CEO Ron Gifford about the grants this morning and he said it’s fitting that President Obama traveled to Indiana for the announcement because “we’re for real.” Not that other regions and other states don’t have quality projects underway, but few have the advantages that we’re experiencing in the Indianapolis Region.

For example, the electric car was invented in the Indianapolis Region and several of the original GM engineers who worked on the EV1 are now leading hybrid-electric car companies and suppliers making headlines here. The region’s strengths in manufacturing and advanced manufacturing are already nationally recognized as well as our strong competitive position in transportation distribution and logistics. Together with leading research universities and other post-secondary institutions (six of which just received clean-technology stimulus grants of their own) and a trained, available advanced-manufacturing workforce, the Indianapolis Region is “for real.”