Fueling the World

The Iowa Power Fund, Renewable Fuels and the Next Generation of Iowa Jobs and Industries

Introduction

My Keeping Iowa Moving Forward Plan focused on actions that will make sure the Iowa economy thrives by relying on our traditional agricultural, manufacturing and educational strengths while deploying new technologies and attracting new industries and jobs that pay good wages and provide good benefits. The Keeping Iowa Moving Forward Plan set forth four basic principles for doing that:

• Focus on Industries of the Future, but build on our traditional strengths.
• Prepare our people to hold these jobs and excel.
• Provide incentives and reward businesses that create good jobs with good benefits, penalize those that cheat us.
• Make sure the benefits flow to every Iowan.

The Eight Point Culver Plan to Fuel Iowa’s Future

On Labor Day weekend, I proposed several methods by which I will promote the use and production of ethanol and other home grown fuels for cars and vehicles in Iowa and promised to release a comprehensive plan on alternative fuels and renewable energy once I became a candidate for Governor. This Eight Point Plan fulfills that promise. I believe that Iowa has already proven that it has the ingenuity and the ability to build an agricultural industry that could feed the world. Many of the next generation of good jobs and industries that we want to bring to Iowa and help expand in Iowa are those alternative energy and renewable energy industries that will some day - fuel the world. My Eight Point Plan will help us to achieve energy independence from the sheiks, dictators and other sources of foreign oil by helping small energy businesses grow in Iowa and attracting new “Clean Technology” industries and investments to Iowa as soon as possible, and in the long term, help attract the manufacturing jobs of tomorrow.

Culver’s Eight Point Plan to Fuel the Future

1. Make Iowa a National Leader in New Private Sector, Entrepreneurial Investments in Home Grown Power and Clean Technologies

As Governor, I will make Iowa a national leader in job creation and new technology research and development with a, $100 million Iowa Power Fund - to help Iowa’s small, medium and large businesses expand rapidly into the high growth renewable energy, alternative fuel and “Clean Technology” industries. The Fund will help home grown energy businesses get started or expand, and leverage new private sector investments in “Clean Technologies” in Iowa. Over the next four years, My Iowa Power Fund will attract at least 2.5 to 3 times of this $100 million investment in new private sector funding for renewable and alternative energy industries in Iowa.

This will make the Iowa Power Fund the largest of its kind in the nation and will put Iowa on the map for the “Next Generation” power and fuel investors and entrepreneurs. The Iowa Power Fund will require that that the research, construction and manufacturing jobs created provide good wages and good benefits and that any company that misuses Iowa Power Funds or doesn’t provide the jobs promised will have to pay taxpayers back with penalties and interest.

2. Encourage New Energy Technologies and Industries in Iowa by Modernizing State Government and Developing the Next Generation of Utility and Alternative Fuel Regulations in Iowa

As Governor, I will challenge the private sector and encourage the development of new power sources, fuels and clean coal technologies by developing new laws and regulations that encourage innovation and the production and sale of home grown fuels. I believe that we can launch a new growth spurt in Iowa’s wind, solar, biofuels and other renewable power industries by implementing “Next Generation” utility regulations that further encourage innovation with an increased renewable power standard and the increased use of “net metering” for new, innovative power producers. In addition, my administration will provide additional incentives for the production and sale of alternative fuels for our cars and trucks.

Many of Iowa’s laws and regulations were developed at a time when encouraging a diverse, robust and home grown energy industry was not a concern because of cheap supplies of foreign oil. Today’s a new day in which Iowa must fight for its energy independence using home grown products, resources and ingenuity. I believe that now is the time to modernize state laws and regulation on electric utilities and alternative fuels to encourage innovation and investment in Iowa and attract the construction and manufacturing jobs that will equip and supply these industries in the future.

3. Make Iowa State Government a National Leader in Energy Efficiency and Alternative Fuel Cars and Trucks

Iowa state government is the biggest consumer of energy and one of the biggest customers for new cars and trucks, building materials and office space in the state. Iowa state government and Iowa’s High Schools, Colleges and Universities should lead by example in the way they consume energy and foreign imported oil. I will make sure that Iowa state government leads by example in an unprecedented way with the power and products we purchase, the leases we sign, the buildings we build, the higher education courses we offer and the state and federal research dollars we invest.

Under my administration, within four years, every car in the Iowa fleet will be a hybrid or an E-85 Ethanol vehicle, Iowa’s buses will begin shifting to biodiesel and in the meantime - every time the state buys regular gasoline for its existing cars and trucks - we will make sure that the filling stations or oil companies we buy from have already installed an alternative fuel pump (like E-85) right next to the gasoline pump. If they refuse to sell E-85 Ethanol, then we’ll find another seller and another place to buy fuel for our state cars and trucks. We will also make sure that every gallon of regular gasoline sold in Iowa contains 10% ethanol – so it burns cleaner and keeps some of the money spent on energy for gasoline only powered cars and vehicles stays here in Iowa. We cannot sit back, be complacent, and continue to rely on fuels imported from foreign sheiks and dictators.

4. Cut Government Red Tape for New Clean Technology Businesses While Improving Environmental Performance

I will make sure that Iowa state government agencies encourage entrepreneurial investments by streamlining the permitting process for alternative fuels and renewable power industries while providing technical assistance to new “Clean Technology” businesses to make sure they comply with environmental laws as they grow and expand. I believe that by helping these businesses expand and/or get up and running as soon as possible, the economy and the environment will benefit at the same time. This is particularly true when new Clean Technology manufacturing jobs are involved. I believe that Iowa’s home grown fuels will keep Iowa’s energy spending closer to home and at the same time, ethanol and other biofuels will burn cleaner than gasoline.

As Governor, I will cut red tape to get the job done. By establishing a Governor’s Director of Renewable Power, I will work with the private sector and state agencies to make common sense changes to the way we help businesses get started and comply with environmental laws. However, any new businesses - whether they are producing new types of ethanol, biomass fuel, wind turbines or other wind technologies - will have to fully comply with Iowa’s environmental laws. We can cut the red tape and paperwork associated with the permitting process and still demand that businesses achieve better environmental results.

5. Make Sure Iowa Gets Its Fair Share of Federal Energy Dollars – Put a Governor’s Director of Renewable Power to Work to Secure Millions More In Funding

I believe that Iowans are entitled to get every dollar back in their hard earned tax dollars they pay to the federal government. This summer’s federal Energy Bill offers new grants and tax incentives for clean coal, renewable power and alternative fuel technologies. We have to make sure that Iowa’s entrepreneurs and state agencies are maximizing the total amount of federal funding available for alternative and renewable power projects and research. The new and the existing federal energy funding streams are complex and competitive and we must do a better job of getting Iowa’s fair share of funding. By establishing a Governor’s Director of Renewable Power, I will work with the private sector and non-profit foundations to make sure that Iowa taps into tens of millions of new federal funds for alternative energy projects, research and clean coal technologies in Iowa.

6. Attract Millions More in Research and Development Funding to Iowa

As Governor, I will work hard to promote Iowa as a new alternative fuel, renewable energy and Clean Technology incubator for researchers and entrepreneurs. We will leverage the investments associated with the Iowa Power Fund and draw on state and federal research dollars to make our State Universities and Colleges incubators and launching pads for new technologies and new industries.

As we attract more venture capital and institutional investments into emerging technologies and industries in Iowa, we will also target existing state and federal funding for research and development to make sure Iowa is a center for new Clean Technology training, manufacturing and innovation. We know that private sector investments will be the driving force behind the development of new industries and technologies and we will encourage our Colleges and Universities to work closely with investors and innovators to create the right research and training programs and new spin off businesses and industries in Iowa. We want to keep more of Iowa’s best and brightest students working here in Iowa - so we will not continue to export our intellectual capital to other states.

7. Create a Public/Private Partnership to Create Jobs, Target Research Funding and Match Job Training With Emerging Industries – the Iowa Power Fund Partnership

I know that state government cannot and should not try to go it alone when it comes to creating jobs, identifying high priority areas of research and making sure job training programs are focused on the skills most needed in the workforce. As Governor, I will create a public private partnership of academic experts, business leaders, private citizens, government agencies, labor officials and non-profit foundations to advise my administration on the tough technical issues associated with developing new sources of power generation, alternative fuels and improved power technologies.

My Iowa Power Fund Partnership will provide technical assistance to Iowa state government and make certain that the Iowa Power Fund stays focused on creating good jobs with good benefits here in Iowa. In addition, my administration will task the Iowa Power Fund Partnership with special projects when necessary. For example, the development of expanded and improved power transmission lines could help Iowa become an energy exporter to high demand markets like Chicago, Illinois. I will ask my Iowa Power Technology Task Force to develop proposals on how best to improve Iowa’s power transmission infrastructure. Finally, I will make sure that the Iowa Power Fund Partnership will focus its attention on opportunities to attract the manufacturing jobs associated with the Clean Technologies of the future.

8. Make Sure Small Businesses and Consumers Across Iowa Benefit From the Iowa Power Fund and Spin Off Businesses and Industries

As Governor, I will spearhead a public education and awareness campaign to make sure all Iowans can benefit from new alternative fuel and renewable power programs, products and investments. First, we will develop a web site and an 800 call in number so consumers will know where and how they can purchase ethanol, new biofuels and electricity generated by renewable power. Second, we will make sure that Iowa’s farmers know where their new potential customers – are located and how best to obtain the low cost, highly nutritious biofuels bi-products for their farm animals. Third, we will set up training programs and provide instruction kits to Iowa’s small businesses so they will know how to apply for Iowa Power Fund grants. Fourth, we will develop job training programs that prepare students for the new manufacturing jobs of the future to make sure that students across Iowa know what classes they need to take and what skills they need to develop to qualify for the manufacturing jobs of tomorrow.

These and other outreach and education programs will be coordinated through the Governor’s Director of Renewable Power, so information will be easy to find, and easy to use for all Iowans.

Culver’s Eight Point Plan Summary
My Plan Will:

• Double the production of E-85 Ethanol Fuel in Iowa by the end of 2008, adding thousands of new manufacturing jobs.
• Triple the distribution capacity of E-85 Ethanol Fuel in Iowa by the end of 2008. Every Iowan should be free to choose E-85 Ethanol Fuel at their local gas station.
• The Iowa Power Fund will leverage more than $250 - $300 million in private sector investments in Iowa and make Iowa a national leader in developing new technologies, and a national leader in new Clean Technology manufacturing.
• Replace every standard gasoline powered cars and trucks in the Iowa state government fleet with hybrid and E-85 Ethanol cars and trucks by the end of my first term.
• Make every oil company sell a 10% Ethanol blend of gasoline by 2008.
• Triple the number of E-85 cars and trucks on the road in Iowa by 2010 by working with automakers to expand the number of models sold and providing incentives to Iowa consumers to buy E-85 Ethanol vehicles.
• Encourage automakers to develop E-85 Ethanol and biodiesel hybrid cars and trucks to further reduce dependence on foreign oil and provide incentives to manufacture new products and components in Iowa.
• Double the amount of renewable power generated in Iowa by 2010 from wind, solar, biomass and geothermal sources by expanding Iowa’s Renewable Power Standard.
• Double the number of renewable power producers in Iowa by 2010 by establishing a “net metering” power program to allow entrepreneurs to create new sources of energy in Iowa.
• Obtain $25 million in new federal, non-profit and private sector funding for research, development and deployment of new energy technologies in Iowa by 2010 by appointing a Governor’s Director of Renewable Power who will focus on developing the research and manufacturing jobs of the future in Iowa.
• Re-target existing higher education funding and state and federal research dollars towards training, education and manufacturing research related to the Fuels of the Future. This will help keep Iowa’s College and University graduates here in Iowa working on these exciting new technologies and industries.

1. Make Iowa a National Leader in New Private Sector, Entrepreneurial Investments in Home Grown Power and Clean Technologies - the Iowa Power Fund

Governor Vilsack’s economic development programs have made significant headway in attracting private sector investments into Iowa’s economy. However, Iowa still lags behind in attracting new venture capital investments into the state. I want to build on Governor Vilsack’s foundation and go further into new areas.

I will build on Iowa’s traditional strengths of agriculture, manufacturing and education and forge public/private partnerships to build the new, alternative energy and renewable energy industries that will lead the way to energy independence and economic prosperity.

The first step is to move beyond the Iowa Values Fund and create a new, targeted $100 million Iowa Power Fund to provide new investment opportunities and new jobs in the areas that we already know will benefit Iowa in many ways - industries such as wind power, ethanol, bio-diesel, clean coal and other “Clean Technologies.” By the end of 2007, the Iowa Power Fund will begin providing seed funding to leverage private sector investment into new jobs in new industries as well as help small Iowa businesses expand and grow. The Iowa Power Fund will be authorized to spend $25 million per year in its first four years.

The Iowa Power Fund will leverage 2.5 to 5 times of the state investment in private sector matching funds and will be open for a variety of new, innovative energy industries including biomass, wind, solar, landfill methane, energy efficiency technologies, clean coal power and new ethanol refinery projects. Private sector investors will have to compete for Iowa Power Fund resources based on a Request for Proposal process.

In January 2007, I will convene a public/private partnership of academic experts, business leaders, non-profit foundations, small and large Iowa businesses that are investing in new alternative energy and renewable energy technologies and state government economic development officials to work with and administer the new Iowa Power Fund. My Iowa Power Fund Partnership will look to work with new or existing Iowa businesses that pledge to:

• Make significant matching fund investments of venture capital and business start up investments;
• Pay their workers good wages;
• Provide health insurance benefits to their workers; and
• Invest and expand their company’s management functions and manufacturing plants in Iowa.

The Iowa Power Fund Partnership will also be authorized to go after any business that refuses to live up these promises after they receive funding. The Iowa Power Fund Partnership will have the ability to reclaim any state funds invested when a company fails to live up to its part of the bargain. Finally, I will direct the Iowa Power Fund Partnership to work closely with the Iowa Values Fund to make sure that all of their activities are coordinated and compatible.

Targets of Opportunity - Why Iowa Is Poised For Growth

The Iowa Power Fund will seek to leverage private sector investments in alternative, renewable and “Clean Technology” industries that pay good wages and provide good benefits. Although the Iowa Power Fund will be open to all kinds of entrepreneurs and venture capital proposals (not even seasoned venture capitalists can say for sure what tomorrow’s energy industries will look like), we already know that there are great investment opportunities in Iowa. The Iowa Power Fund will help spur economic growth in a number of new and innovative industries - but the Partnership will keep its eye on at least one area that is already emerging as an engine for future economic growth.

Alternative Fuels for Cars and Trucks

After the first oil shock in 1973, President Nixon vowed that there would be U.S. energy independence in a decade and every president since then has promised greater energy security. Yet oil imports that were 35 percent of US oil consumption in 1973 have risen ever since and now account for more than 55% of our gasoline consumption. Even the proponents of drilling in the Alaskan Artic Refuge Areas admit that those domestic oil discoveries would do little to curb the need of imported oil. Since ethanol and biodiesel fuels hold the promise of replacing foreign oil in the near and mid-term as a significant source of energy for our cars and trucks, Iowa should lead the way on developing alternative fuels.

Ethanol and E-85

As of November 2005 - Iowa stood as the nation’s top ethanol producing state with over 1,600 million gallons of ethanol production capacity per year. This is a great foundation upon which to build and those products can and should continue to be grown in rural Iowa - adding an important new source of revenue to the state. The Iowa Power Fund will work with Iowa businesses that want to increase the production of ethanol and E-85 fuels in Iowa and will look to help develop new ethanol technologies and production processes so that productivity and profitability can be increased throughout the industry. One goal of the Iowa Power Fund will be to help Iowa’s entrepreneurs double the production of E-85 ethanol fuel and triple the distribution and sale of E-85 fuel by the end of 2008.

One of the least expensive fuels in the Midwest right now is E-85 - a blend of 85% home grown ethanol and 15% gasoline. As of September 2005, E-85 was costing about 50 cents less per gallon than regular gasoline. Even if gasoline prices drop significantly, ethanol will continue to be a viable alternative product. New technologies will continue to make ethanol fuels cost competitive with gasoline and the fringe benefits of buying a home grown and refined product will become more apparent over time. For example, one recent study in Montana showed that the price of corn is 50 cents per bushel higher in ethanol producing states. In addition, ethanol also burns cleaner than gasoline, reduces air pollution and will help fight global warming by reducing the amount of carbon emissions compared to gasoline. A portion of the Iowa Power Fund will be targeted towards the increased production and distribution of E-85 fuels so that Iowa’s consumers can choose freely between home grown fuels and foreign imports.

Ethanol Plants and Employment Opportunities

While no new oil refineries have been built in the U.S. in nearly three decades, new ethanol-production facilities are coming online at a rate of almost two per month. Today, 92 ethanol plants are operating across the country with a total production capacity of 4 billion gallons of fuel annually. Two dozen more plants are now under construction to provide an additional billion gallons of ethanol. The economic impact of the homegrown ethanol industry already is significant in Iowa, both from a foreign trade standpoint and from an economic development standpoint.

An average-sized ethanol plant costs approximately $65 million to build and will employ nearly 40 people. These positions are good-paying, high-skill jobs--chemists, engineers, managers, marketers. The typical plant’s $56 million in annual operating costs can circulate throughout the community many times, benefiting everyone from the Iowa farmers who provide the corn to make the ethanol fuels to the local businesses that supply goods and services for the production facility. A typical ethanol plant can increase tax revenue for local and state governments by at least $1.2 million annually.

Methanol

Gas prices have brought a new urgency to research and development of methanol (also known as wood alcohol) from natural gas and coal. The commercial feasibility of coal-to-methanol technology was demonstrated as part of the U.S. Department of Energy’s (DOE) “clean coal” technology effort. Currently, DOE is producing methanol and synthetic diesel fuels from coal by DOE on a pilot program basis. However, DOE’s “clean coal” methanol and diesel fuels have not yet been sold commercially on a large scale. The Iowa Power Fund Partnership may receive proposals from methanol producers or researchers, given the promise of low cost production of this alternative to gasoline.

Other Biofuels and Biodiesels

The Iowa Power Fund will be open to a variety of alternative fuel investors and entrepreneurs. In addition to currently competitive biodiesels made from soy and other farm products, new methods of converting cellulose and woody materials into liquid fuels using genetically engineered bacteria and enzymes hold the promise of producing farm based fuels that are cheaper than gasoline and current forms of ethanol. Iowa’s farmers, businesses and universities can play a critical role in developing these new alternative fuel technologies. For example, in a 2004 study, the National Academies' National Research Council concluded that newer state-of-the-art technologies will permit the production of certain biofuels in the next ten to fifteen years at approximately $35 per barrel.

The National Academy study highlighted Brazil's 29-year-old ethanol program as the world's low-cost producer. Using cheap sugar cane, mainly bagasse (cane-waste) for process heat and power, and modern equipment, Brazil produces a 22% ethanol blend used nationwide, plus a 100% ethanol fuel for four million cars. The Brazilian ethanol program has created nearly 700,000 jobs since 1975, and cut oil imports by a cumulative total of $50 billion. Ethanol has replaced about one-fourth of Brazil's gasoline, using only 5% of the land in agricultural production. There’s no reason why Iowa’s farmers cannot do better than Brazil’s sugar growers when it comes to producing home grown fuels.

Although sugar is not a crop that can be grown in Iowa, the Brazilian example is one that shows that existing technologies can be used right now to offset the use of imported oil with profitable alternative biofuels. Part of the Iowa Power Fund’s investments will be targeted towards businesses that are designing, developing and producing home grown Iowa based alternative fuels for cars and trucks.

The Iowa Power Fund Partnership

I will create an Iowa Power Fund Partnership to help administer the Iowa Power Fund. The Partnership will be a public private partnership of academic experts, businesses, private citizens, state government economic development experts, labor officials and non-profit foundations to tackle the tough, complex technology issues such as energy transmission infrastructure development that will play a critical role in Iowa’s energy future.

The types of “Clean Technology” proposals that will be sparked by the creation of the Iowa Power Fund will be numerous and diverse. I do not believe that all of the funding should go towards one single technology or business model. Instead, we should build on Iowa’s traditional strengths of education, manufacturing and farming and forge public/private partnerships to build the new, alternative energy and renewable energy industries of Iowa’s future.

I will also ask for the assistance of existing Iowa institutions and organizations like the Iowa Energy Center (Ames), the Center for Energy and Environmental Education (Cedar Falls), the Center for Global and Regional Research (Iowa City) as well as industry groups like the Iowa Renewable Fuels Association to advise the Iowa Power Fund Partnership. In addition, I will direct the Iowa Power Fund Partnership to work closely with Iowa’s Small Business Development Centers to make sure that small businesses have the access and training they need.

The Partnership will help develop criteria for Iowa Power Fund eligibility and screen through private proposals for funding. Working with the Iowa Power Fund Partnership, my administration will establish procedures and a process for applying for grants, loans and venture capital funding for new and existing alternative energy, renewable energy and “Clean Technology” businesses.

Starting in January 2007, I will require the Iowa Power Fund Partnership to develop a grant application process and selection criteria for small and large business proposals right away – so that new investments can begin as soon as the fiscal year begins on July 1, 2007.

2. Encouraging New Energy Technologies and Industries in Iowa by Modernizing State Government and Developing the Next Generation of Utility and Alternative Fuel Regulations

A. Utility Regulation Reforms

Right now, wind power is the fastest growing source of electricity in the US and with new federal subsidies and a continuation of federal tax credits through December 2007, that growth rate is likely to increase - especially in wind rich Iowa. Several states like Iowa will be moving aggressively into this wind power market as it benefits farmers, investors and consumers and produces clean, inexpensive power. I want to reform the way Iowa regulates utilities, so that power generation can become an economic development tool. I will work to encourage utilities to adopt wind and other promising technologies like solar power, by reforming utility regulations in Iowa in three significant ways.

1) Adopt a Renewable Power Standard

Twenty states have enacted some form of a mandate that anyone who sells electricity must produce (or purchase) a certain percentage of renewable power. Iowa was an early leader in the renewable power standard but we have since fallen behind some of our neighboring states like Minnesota which now has a requirement that 19% of its power be produced from renewable sources by 2015.

My administration will submit a bill to the legislature in January 2007 to get Iowa back on track. I will call for a 10% of all of Iowa’s electric power to come from renewable sources (such as wind, solar, small hydroelectric, biomass or other sources) by 2011 – the end of his first term. This 10% renewable power standard will be one of the first bills that my administration will introduce to the legislature in 2007 and he will work with business leaders, academics, labor leaders, outside experts and the Iowa Power Fund Partnership to determine whether a more aggressive standard after 2011 would better serve Iowa.

A renewable power standard will encourage the growth and development of new technologies and power sources in Iowa, and will help to further expand the development of wind power resources in Iowa. A map of the states with renewable power standards and how Iowa compares to other states appears below.

2) Require “Net Metering” for Power Providers

Ten states have required sellers of electricity to accept and purchase sources of alternative energy on “the electrical grid” they use to send their power to their customers. This encourages entrepreneurs to devise ways to provide alternative sources of electricity and can help power companies to meet peak demand requirements.

Just as utility companies use an “electric meter” to measure how much electricity customers use, businesses or households that decide to produce alternative electric power can use an “electric meter” to measure the amount of power they are putting back into the electrical grid for power companies to use. The “net” of what the business or consumer produces or uses is what they have to pay or be paid.

The benefits of “net metering” inure to both the producer and seller of the power. For example, because wind power may increase or decrease depending on the weather, a small farm windmill owner might benefit when wind power production rates are high and the amount of power generated cannot be stored by batteries. Utilities benefit, as they are able to tap into a diverse source of power generators, they are able to meet peak power demands without having to add new plants or capacity.

By requiring “net metering” for an increased percentage of Iowa’s electrical power, my administration will allow entrepreneurs to develop new, alternative forms of electrical energy production in Iowa without picking a particular technology, business or approach. “Net metering” has helped other states expand and diversify their power base. I believe that “net metering” should be expanded in Iowa right away and I will introduce a bill to the legislature in January 2007 to make an expanded “net metering” requirement the law of the land in Iowa.

B. Encouraging the Use of Iowa Fuels in Cars and Trucks

I believe that there are common sense regulatory reforms that Iowa can undertake to quickly encourage the use and development of alternative fuels for cars and trucks. These reforms will help Iowans make money, improve the environment and create jobs - all without harming the performance of cars and trucks on the road.

1) Require Oil Companies to Sell a 10% Ethanol Blend

All cars can run on a blend of 90% gasoline and 10% ethanol. Ethanol is less expensive than imported oil, it burns cleaner than gasoline and the money paid for ethanol will stay here in Iowa rather than benefiting foreign countries and leaders who criticize U.S. policy and principles. In 2007, my administration will require big oil companies to start producing a 10% ethanol blend of gasoline for sale in Iowa by 2008. As long as there is enough ethanol being produced in Iowa at a fair price, oil companies should be required to sell this cleaner burning fuel.

As soon as Iowa’s production capacity is able to meet demand, I believe that we should require all oil companies in Iowa to sell a blend of 90% gasoline and 10% ethanol. We will provide the oil companies with a reasonable time to comply with this requirement, but the days of selling 100% foreign produced gasoline are over in Iowa. We should buy home

grown fuels instead - especially when they burn cleaner and cost less than the foreign imports.

2) Require Oil Companies to Sell E-85 at Their Gas Stations

There currently are over 5 million cars and trucks on the road in the United States that are able to run on regular gasoline or E-85 - the 85% ethanol & 15% blended fuel. Thousands of Iowans drive cars and trucks that can run on E-85 fuel, but there is one problem - there are less than 25 filling stations where E-85 fuel is available. I believe that we must do better.

I will place a high priority in my first year in office on providing incentives to dealers, retailers and gas station owners to place an E-85 pump in every gas station in Iowa. We will work cooperatively with the oil industry to identify the obstacles to getting E-85 fuel pumps installed across the state. However, if the problem is simply that the oil companies do not want the competition of a non-petroleum based fuel, then my administration will take another approach, if necessary.

In a year of record profits for the oil companies, and a year in which Washington provided a record $8 billion in tax credits and subsidies to oil and gas companies in the August 2005, federal Energy Bill - oil companies should be able to afford the conversion of at least one pump per station to E-85 fuel. Tank conversions are relatively inexpensive and are technically feasible. My administration will put incentives in place right away (drawing on the expertise of the Iowa Power Fund Partnership) to encourage the conversion of gasoline pumps to E-85 fuels.

Iowa’s citizens deserve the freedom to choose between domestic and foreign sources of energy for their cars and trucks. Now that home grown ethanol is less expensive than imported oil, consumer choice is even more important. I will work with oil companies to make sure consumers across the state have that choice. If they are not cooperative and choose self-interest over consumer choice, as a last resort, we will impose a requirement to sell E-85 fuels at all service stations in Iowa. Either way, under my administration, E-85 fuel will be available all across Iowa by 2008. We will triple the distribution of E-85 Ethanol fuels in Iowa by the end of 2008.

3. Create an Energy and Transportation Infrastructure Task Force

I have used new technologies to transform the office of Iowa Secretary of State. For example under my tenure as Secretary of State:

• Corporations can now file their statutory reports and papers electronically - for the first time in the history of the Secretary of State’s office. The Iowa Secretary of State’s office was first in the country to provide on-line filing of Uniform Commercial Code financing statements.
• The Secretary of State’s Office began providing automated services and Internet based services that allow the office to produce do far more with less tax dollars. Services are now available to taxpayers 24 hours per day and seven days per week.
• Created the Online Business Center - which helps our entrepreneurs and other citizens through the process of setting up and maintaining a business in Iowa.

My administration wants will take the same approach of using technology to make government more efficient and lower the cost of doing businesses in Iowa when it comes to alternative fuels and renewable energy. Many of the issues associated with the development of new energy infrastructure in Iowa are complex and will require the cooperation and hard work of a diverse group of stakeholders. My administration will create an Energy and Transportation Infrastructure Task Force that will work closely with and operate as a subset of the Iowa Power Fund Partnership. The Energy and Transportation Infrastructure Task Force will make recommendations to my Cabinet on critical infrastructure issues. Two examples of potential issue areas are:

Example #1 - Electrical Transmission Line Infrastructure

A 2003 National Governor’s Association Report on Energy Infrastructure found that one significant barrier to the sale of power between states is the lack of good transmission lines between states and state based utility systems. This is particularly true in Iowa where the Mississippi River forms a natural barrier to potential energy consuming markets east of the state. The Energy and Transportation Infrastructure Task Force could work on identifying ways to improve Iowa’s ability to export one of its fastest growing resources - wind power - with improved transmission lines.

Example #2 - Flexible Fuel and Hybrid Vehicles

Alternative fuels for the “flexible fuel” cars of the future can and should be grown and refined in Iowa using existing technologies. The “flexible fuel and hybrid vehicles that will be sold in Iowa should be built in Iowa. The Energy and Transportation Infrastructure Task Force could advise my administration on the best approach that Iowa should take with automakers to encourage them to offer more products and build more cars in Iowa.

Most of the cars that are built right now in Brazil by Ford, General Motors and Daimler-Chrysler are able to run on “flexible fuels” or almost any combination of gas and methanol/ethanol. The biggest challenge may be to get carmakers to sell more E-85 cars and more Brazilian style “flexible fuel” cars in the Iowa market, so that Iowan consumers can take advantage of cheaper, home grown fuels in the next few years. A true “flexible fuel” vehicle would allow consumers to switch back and forth between gasoline, ethanol and certain methanol blends depending on the cost of the fuel at the time.

Two existing technologies hold out a great deal of promise for moving towards energy independence and the Energy and Transportation Infrastructure Task Force might help Iowa better position itself to move in the direction of energy independence.

Plug-in” hybrid electric vehicles: Plug-in hybrid electric vehicles are also powered by a combination of electricity and liquid fuel. Unlike standard hybrids, however, plug-ins draw charge not only from the engine and captured braking energy, but also directly from the electrical grid by being plugged into standard electric outlets when not in use. Plug-in hybrids have liquid fuel tanks and internal combustion engines, so they do not face the range limitation posed by electric-only cars. Since fifty-percent of cars on the road in the United States are driven 20 miles a day or less, a plug-in with a 20-mile range battery would reduce fuel consumption by, on average, 85%. Today, plug-in hybrid electric vehicles can reach fuel economy levels of 100 miles per gallon of gasoline consumed.

Flexible fuel vehicles (FFVs): FFVs are designed to burn on alcohol, gasoline, or any mixture of the two. The only difference between a conventional car and a flexible fuel vehicle is that the latter is equipped with a different control chip and some different fittings in the fuel line to accommodate the characteristics of alcohol. The marginal additional cost associated with such FFV-associated changes is currently under $100 per vehicle. That cost would be reduced further as volume of FFVs increases, particularly if flexible fuel designs were to become the industry standard.

Flexible fuel/plug-in hybrid electric vehicles: If the two technologies are combined, such vehicles can be powered by blends of alcohol fuels, gasoline, and electricity. If a plug-in vehicle is also a FFV fueled with 80% alcohol and 20% gasoline, fuel economy could reach 500 miles per gallon of gasoline.

On November 10, 2005 Senators Tom Harkin, Barack Obama and Richard Lugar introduced legislation that would require all new vehicles sold in the United States to be Flex-Fuel Vehicles within the next ten years. Flex-Fuel Vehicles are no more expensive to produce than gasoline-only powered vehicles and are capable of using blends of gasoline and ethanol, gasoline and methanol or other biodiesel fuels. Flex-Fuel Vehicles give their owners more options and choices on fuels, as their owners can always choose to purchase gasoline or decide instead to buy cleaner burning or less expensive alternative fuels. My Energy and Transportation Infrastructure Task Force will work closely with automakers, researchers and legislators to make sure the best Flex-Fuel technologies are included in the products available to consumers in Iowa.

In the short term, my administration will work closely with automakers and the Iowa Power Fund Partnership to: 1) make sure Iowa consumers have more choices when it comes to flexible fuel cars and trucks; and 2) make Iowa a center for the research, development and manufacturing of new flexible fuel technologies and vehicles.

In the longer term, as new technologies such as carbon composite car frames and car bodies (like those currently being adopted by NASCAR racing teams) are incorporated into vehicles and cars, there will be new opportunities to attract new production and manufacturing facilities for these safer and more fuel efficient transportation technologies. I will want to make sure automakers know about Iowa’s manufacturing strengths and cutting-edge research capabilities before they decide where these new products and components are manufactured.

4. Iowa as the Model Consumer - Leading by Example in New Product Purchasing and “Smart Leases and Building Designs”

State government is an enormous purchaser and consumer of goods and services in the Iowa private market place. I believe that Iowa state government should “lead by example” by buying cars and trucks that run only on E-85 fuel blends, buying 20% of its electric power from renewable power sources, signing leases for energy efficient office space, building energy efficient office space along existing transportation lines and encouraging other energy efficient and water saving innovations from its state employees. Governor Vilsack has taken several significant first steps by signing Executive Order 41 in April 2005 - but I want to go further. The following are some of the ways that my administration will lead by example.

E-85 Fleet for Iowa

State government agencies purchase thousands of vehicles for state use each year. All state agencies should be purchasing E-85 vehicles and trucks. If there are no vehicles currently available that meet the technical requirements of the State Police, they should be exempt from this requirement, but I will meet with US automakers to make sure an E-85 vehicle suitable for State Police work gets on the market as soon as possible. The days of doing taxpayer work by driving around on foreign oil should be over as soon as possible.

We will also encourage agencies to take their vehicles that run on gasoline out of commission as soon as it is economically feasible. In some instances, it may be appropriate to renegotiate leases and demand E-85 automobiles, in other instances, it may be appropriate to auction off gasoline-powered cars and buy E-85 replacements. Although state agency procurement officers will be provided flexibility in how they can get the best deal for taxpayers, they will be encouraged to make the switch to E-85 vehicles as soon as E-85 possible. I will replace the entire state fleet of gasoline-powered vehicles with E-85 and hybrid cars and trucks by the end of my first term. I will also negotiate with automakers to develop E-85 Ethanol Hybrid cars and trucks to further reduce our reliance on foreign oil.

E-85 and Gasoline Fuel Purchases

As a large purchaser of gasoline in Iowa, state government should use that buying power to encourage service stations and oil companies to install E-85 ethanol tanks by making state gasoline purchases contingent upon whether the seller offers E-85 ethanol at its gas stations. By steering its business towards those service station operators that sell E-85 ethanol and/or ethanol blend fuels, state government can reward those businesses that are helping to make E-85 available across the state.

E-85 Ethanol Pumps at State Facilities

I will make sure that E-85 fuel pumps are installed as soon as possible at state facilities. Universities, state facilities and local government facilities should all be encouraged to make E-85 fuels available right away at their existing filing stations. State government should be at the forefront of creating a market for E-85 fuels – a valuable state resource.

Bulk Diesel Fuel Purchases

As a large purchaser of biodiesel fuel, state agencies should use that buying power to encourage the production of biodiesel fuels to replace petroleum based imported diesel whenever possible. I will make state agencies move aggressively to implement the 20% renewable diesel requirements of Executive Order #41 ahead of the current schedule of 2010. In addition, I will work closely with Iowa producers of soy biodiesel and other biodiesel products to see whether a more aggressive transition to renewable biodiesel fuels in the state fleet is possible.

Electric Power Purchases

As a large purchaser of electric power in Iowa, state government should use that buying power to encourage utilities and power generators to develop alternative and renewable fuel sources for power. I will require state agencies to move beyond the requirements of Executive Order 41 and purchase at least 25% of their electric power from renewable, alternative or “clean coal” sources by the end of my first term. This type of state based demand for renewable power will help jump-start the production of wind power, “clean coal” and other renewable power sources across Iowa.

Guidance for New Office Leases and/or Construction

State government has full control over the types of leases it enters into and the type of office space it chooses to lease and build. As Governor, I will sign an Executive Order directing all agencies under my jurisdiction to immediately put a hold on new construction or new leases that are not for energy efficient office space. New leases and construction should be selected based on criteria that include: access to downtown areas, access to public transportation, use of redeveloped brownfield properties, potential job creation through neighborhood revitalization and other energy efficient and job creating criteria.

As one of the state’s largest consumers of office building space, state government can have a significant role in changing the market for office building space generally. New state office buildings should be required to be energy efficient and conform to “smart building codes.” In addition, state agencies should be encouraged, if not required, to move into retrofitted building space rather than newly constructed offices. Iowa should take the position that lessors and sellers of office space that it rents should try to “fix it first” before beginning construction on former farmlands or open spaces. If new building office space cannot be avoided, then high efficiency, “Green Building” construction plans should be required for state offices.

Smart Schools for Iowa

For several decades, there has been a nationwide trend toward construction of larger schools and requirements for large campuses. Guidelines, recommendations, and standards that encourage or require building new schools on new campuses or discourage renovation are embedded in a variety of state and local regulations, laws and funding formulas. Building new and larger schools has an enormous impact on how children get to school. School siting and design can affect choices of walking, biking, or driving. In turn, these changes in travel choices could affect traffic congestion, air pollution, and school transportation budgets at a new school.

In October 2003, EPA released "Travel and Environmental Implications of School Siting" and found that:

• School proximity to students matters. Students with shorter walk and bike times to school are more likely to walk or bike.
• The school environment influences travel choices. Students traveling through pedestrian-friendly environments are more likely to walk or bike. Children that walk or bike to school are less likely to have problems of obesity.
• Because of travel behavior differences, school location has an impact on air emissions. Centrally located schools that can be reached by walking and bicycling result in reduced air emissions from driving.

I will help to reverse this trend towards big schools by signing an Executive Order on school renovations and school siting. My “Smart Schools” Executive Order will encourage school districts and local governments to locate new, smaller schools in centralized locations near neighborhoods, bus lines and other infrastructure. In addition, my “Smart Schools” Executive Order will try to reverse the imbalance towards building new schools over renovating older schools. Iowa should adopt a “fix it first” approach towards elementary and high schools. That will help save money and energy at the same time while ensuring a superior educational environment for our kids.

Community College and University Curriculum

As a primary funding source for Iowa’s Community College system and State University system, Iowa state government is in effect - the largest financier of College and University courses in Iowa. As will be discussed more fully in another Chapter of the Culver Plan, I believe that higher education can and should be an economic development force in what has already become a knowledge-based economy. My administration will use its financial leverage to encourage Community Colleges and the University System to offer students courses on renewable power, alternative fuels and other next generation technologies. Iowa should become a national leader in the design, production, maintenance and repair of alternative fuel and renewable energy production facilities. Tomorrow’s energy factories and refineries should be engineered and designed by Iowa’s College and University graduates. My higher education plan will outline my other ideas and proposals for creating jobs and keeping our best students to stay and work in Iowa.

Advanced Research on Alternative and Renewable Energy Technologies

As a primary funding source for Iowa’s Community College system and State University system, Iowa state government is also the largest financier of academic research in Iowa. I believe that Iowa can do a better job of drawing down available federal research and development funds. I will work closely with the Iowa Power Fund Partnership, Iowa’s Community College system and State University system to identify available federal, state, local and non-profit foundation funding available for advanced technology research and make sure the most relevant and practical research projects are funded in Iowa. As with curriculum development, the Culver administration will use its financial leverage to encourage Community Colleges and the University System to offer students and professors the opportunity to be engaged in the types of research projects that will lead the nation towards energy independence.

5. Coordinating Federal, State and Local Research Funds for Iowa

I believe that Iowa taxpayers deserve to receive every dollar of federal program funding to which they are entitled. However, in a large and unruly federal bureaucracy and with an ever-changing funding scheme for federal grants and aid programs for energy infrastructure, Iowa loses out on some alternative fuel and renewable energy research and technology deployment funding each year. I believe that a new Governor’s Director of Renewable Power will help Iowa obtain tens of millions of extra federal dollars for Iowa’s renewable energy and alternative fuel programs. As will be explained in Section Six below, the Governor’s Director of Renewable Power will also make presentations to private investors and non-profit foundations to help boost the level of private sector venture capital and non-profit foundation funding for new technologies and research in Iowa.

My Director of Renewable Power will be charged with:

• Coordinating state agency activity to identify and win competitive federal energy grants consistent with the policy goals of the Governor's Office.
• Reviewing federal energy grant criteria at the time of Congressional action on legislation to ensure that Iowa receives an appropriate share of funding.
• Assisting local governments, small businesses and community-based organizations in identifying federal grant opportunities, while also making sure these groups are aware of assistance that may be available through state or private foundation grants.
• Providing grant-writer training and technical assistance to state agency staff and other interested organizations to help boost the amount of funding obtained for alternative energy, renewable energy and clean technology investments.
• Make presentations to private investors, non-profit foundations and industry associations on Iowa programs for new energy technologies and investment opportunities in research and technology deployment in Iowa.

I believe that the federal Energy Bill is a prime example of why Iowa could profit from appointing a Governor’s Director of Renewable Power right away. President Bush signed the Energy Policy Act of 2005 into law on August 8, 2005. The Act will implement new investments in national energy projects over a decade and includes billions of dollars in tax incentives targeting the clean coal, alternative fuels and renewable power sectors. The heart and soul of the bill are the tax breaks through which Congress hopes to provide incentives for new renewable energy production and - to a much smaller degree - conservation. The law contains an $8.4 billion package of clean coal, renewable energy and alternative fuel tax incentives that include:

Renewable and "Clean Energy" Incentives ($2.9 billion)

• $2.8 Billion for the extension and modification of the renewable electricity “Section 45” production credit for two years, through December 2007, for electricity produced from wind, closed- and open-loop biomass, geothermal, small irrigation power, landfill gas and trash combustion facilities over a 10-year period.
• “Section 45” tax credits for rural cooperatives.
• $411 million in clean renewable energy bonds.

Clean Coal Incentives ($2.9 billion)

• $1.6 Billion for tax credits for investments in clean coal facilities at 20% for integrated gasification combined cycle projects, 15% percent for other advanced coal projects and 20% for industrial gasification projects
• $1.2 billion for an 84-month amortization for pollution control facilities.
• $88 million for modifying the credit for producing fuel from a non-conventional source.
• $101 million for an extension of credit for producing fuel from a non-conventional source for facilities producing coke or coke gas.

The bulk of federal funding in the Energy Bill is devoted to energy production instead of energy efficiency programs. However, some energy efficiency funding is in the federal Energy Bill. The bill includes:

Energy Efficiency and Conservation ($1.7 billion)

• Alternative technology vehicle credits for fuel cell, alternative fuel and hybrid and advanced technology vehicles - $874 million.
• Small producer biodiesel and ethanol credits - $181 million.
• Credits for installing alternative fuel refueling property - $71 million.
• Diesel water fuel emulsion, excise tax extensions and income tax credits for biodiesel and similar incentives for renewable diesel - $194 million.
• Credit for residential energy-efficient property purchases - $31 million.
• Credit for business installation of qualified fuel cells, stationary microturbine power plants and solar power - $222 million.
• Credit for energy efficient existing homes - $556 million.
• Energy efficient commercial building deduction - $243 million.
• Energy efficient appliances - $180 million.
• Research and development credits - $92 million.

My Governor’s Director of Renewable Power will help Iowa draw down additional job creating funding from the federal Energy Bill as well as other federal sources. Iowa state government should have experts in place to make sure that Iowa’s businesses, citizens and state agencies are drawing down every available federal dollar. By creating the Governor’s Director of Renewable Power, my administration will make sure that Iowa’s taxpayers receive their fair share of federal funding.

6. Streamline the Permit Process for Alternative Fuel and Renewable Energy Entrepreneurs

Streamlined Permit System

I believe that Iowa should develop an alternative permitting system that will relieve the regulatory burden of state government on alternative fuel and renewable energy businesses – while promoting environmental performance. In other words, Iowa should pursue a “next generation” regulatory approach towards alternative fuel and renewable energy businesses to make state government more efficient, reduce the time and costs associated with the permitting process and achieve better (and demonstrable) environmental results. This approach would provide a striking opportunity for the Iowa to achieve both objectives - increased economic growth and environmental protection.

These “Next Generation” permit reforms – one of the few areas where business groups and environmentalist agree that significant environmental benefits would reduce the administrative time and cost associated with the current permitting system for alternative fuel and renewable energy businesses. By helping these businesses get into operation faster, Iowa will begin realizing the benefits of their clean energy and clean fuels faster than under the normal permitting process.

Improved Compliance and Enforcement

A few of the new ethanol refineries that have grown up in Iowa in recent years have been found to be operating in violation of Iowa’s environmental laws. My administration will develop training and compliance programs targeted towards alternative fuel and renewable energy businesses - particularly those companies that are new to the environmental permitting process - start up businesses and small business expansion.

First, Iowa will provide training to these new and expanding businesses on how best to comply with Iowa’s environmental laws. These programs will be similar to Iowa’s existing Pollution Prevention programs for small businesses but will be tailored specifically to alternative fuel and renewable energy businesses.

Second, Iowa will shift existing resources to expand its ability to conduct compliance inspections for these new businesses in Iowa. There will be no free pass for alternative fuel and renewable energy businesses when it comes to pollution and discharges. Like any other businesses in Iowa, I will make sure that these new alternative fuel and renewable energy businesses comply with environmental laws.

7. Bring More Green Energy Investments to Iowa

Two great untapped sources of investment power for alternative fuels and renewable energy technologies are the states’ pension funds and “state energy funds.” My administration will take a number of steps to attract more venture capital into Iowa - but one area of focus will be on attracting new investments into the alternative fuel and renewable power industries. I will call on the Iowa Power Fund Partnership and the Governor’s Director of Renewable Power to sell Iowa’s strengths in education, manufacturing and agriculture and in the emerging alternative fuels and renewable energy industries to at least two rapidly expanding investment groups.

A. Investor Network on Climate Risk (INCR)

Many state retirement programs are now investing more of their money into alternative energy, renewable energy and “clean technologies” as these stocks and companies have outperformed traditional energy companies in recent years and as perceived liabilities for “greenhouse gas emissions” around the world has shifted investor interest. Several of these state retirement funds have adopted a very broad definition of “Clean Technologies” or “Cleantech” as more efficient and less polluting.

The largest association of pension funds is the Investor Network on Climate Risk (INCR). Created in November 2003, INCR seeks to identify investment opportunities posed by climate change and educate investors about the disclosure and regulation of climate change. INCR believes that prudence, common sense, fiduciary responsibility and legal duty should compel most institutional investors to examine the financial ramifications of climate risk, and where appropriate, to invest based upon those risks and opportunities.

In May 2005, the INCR issued a “call to action” for investors. Signatories included an expanded group of institutional investors and stakeholders that included:

State Treasurers
Phil Angelides, Treasurer, State of California
Randall Edwards, Treasurer, State of Oregon
Nancy Kopp, Treasurer. State of Maryland
David Lemoine, Treasurer, State of Maine
Denise Nappier, Treasurer, State of Connecticut
Jeb Spaulding, Treasurer. State of Vermont
Robert Vigil, Treasurer, State of New Mexico

State and City Comptrollers
Alan G. Hevesi, Comptroller. State of New York
William C.Thompson, Jr., Comptroller, New York City
Steve Westly, Controller, State of California

Public Pension Funds
Jack Ehnes, CEO, California State Teachers’ Retirement System
Rob Feckner, President, California Public Employee Retirement System
George M. Philip, Executive Director, New York State Teachers’ Retirement System
Edward Smith, Chairman, Illinois State Board of Investment

Labor Pension Funds
Steve Abrecht, Service Employees International Union (SEIU)
William J. Boardman, Chairman - CWA/ITU
R. Thomas Buffenbarger, International Association of Machinists
M. Benny Hernandez - Sheetmetal Workers Pension Fund
C. Thomas Keegel - International Brotherhood of Teamsters Pension Plan
Gerald McEntee - American Federation of State, County and Municipal Employees (AFSCME)
Bruce Raynor - UNITE HERE

Foundations
Stephen B. Heintz, President, Rockefeller Brothers Fund
Lance F. Lindblom, President and CEO, The Nathan Cummings Foundation

Religious Institutional Investors
General Board of Pension & Health Benefits - United Methodist Church
William Somplatsky-Jarman - Presbyterian Church

My Administration will make also certain that the INCR and its members are aware of the Iowa Power Fund and the progress Iowa is making (and will continue to make) on alternative fuels and renewable energy. I will make sure that INCR and its members understand that Iowa will be “open for business” for their venture capital and long term investments.

B. Clean Energy State Alliance

The Clean Energy State Alliance (CESA) refers to the “Clean Energy Funds" or "State Funds" - a growing number of funds in the United States whose objective is building markets for renewable energy and clean energy resources. In 2003, there were 17 such state-level funds in 12 states. Combined, these Clean Energy Funds programs will make available nearly $3.5 billion to promote renewable and clean energy over the next decade.

CESA is a non-profit organization created to expand the use of clean energy by supporting solar, wind, fuel cells and other clean energy projects and companies. The seventeen organizations forming CESA are:

• California Energy Commission
• Connecticut Clean Energy Fund
• Energy Trust of Oregon
• Illinois Clean Energy Community Foundation
• Long Island Power Authority - Clean Energy Initiative
• Massachusetts Renewable Energy Trust
• Pennsylvania Electric Company Sustainable Energy Fund of The Community Foundation for the Alleghenies (Western Pennsylvania)
• Metropolitan Edison Company Sustainable Energy Fund of The Berks County Community Foundation (Eastern Pennsylvania)
• New Jersey Clean Energy Program
• New York State Energy Research & Development Authority
• Ohio Energy Loan Fund
• Rhode Island Renewable Energy Fund
• Sustainable Development Fund (SE Pennsylvania - Philadelphia)
• Sustainable Energy Fund of Central Eastern Pennsylvania (Eastern Pennsylvania - Allentown)
• Wisconsin Focus On Energy, and
• Xcel Energy Renewable Development Fund (MN)

CESA collects and disseminates information and analysis, conducts original research, and helps to coordinate activities of these state funds. All of these funds hope to help states find more effective ways to accelerate commercialization of clean energy, to create jobs in 21st century clean energy industries, and to clean up the environment.

My Administration will also make certain that the CESA and its members are aware of the programs Iowa will be implementing on alternative fuels and renewable energy. My Iowa Power Fund Partnership will make sure that CESA and its members understand that Iowa will be “open for business” for their venture capital and long term investment strategies. I believe that private sector investments will play a critical role in his Fuel the Future plan for Iowa.

8. Make Sure Small Businesses and Consumers All Over Iowa Benefit From the Iowa Power Fund, New Technologies and Spin Off Businesses and Industries

As Governor, I will work closely with the Governor’s Director of Renewable Power to spearhead a public education and awareness campaign to make sure all Iowans can benefit from new alternative fuel and renewable power programs, products and investments.

I have used new technologies to transform the office of Iowa Secretary of State. For example, we created the Online Business Center - which helps our entrepreneurs and other citizens through the process of setting up and maintaining a business in Iowa. I want to implement the same types of reforms as Governor so all of Iowa’s small businesses and consumers will easily be able to keep up with new opportunities, products and funding mechanisms.

My Administration will implement a number of innovative public information programs on alternative fuels and renewable power that will rely on existing funding and include the:

• Development of an Iowa Power web site and an 800 call in number so consumers will know where and how they can purchase ethanol, new biofuels and electricity generated by renewable power.
• Creation of a Market Information Center on the Iowa Power web site that will also inform Iowa’s farmers of where their new potential customers - ethanol plants are located and how best to obtain their low cost, highly nutritious biofuels bi-products for their farm animals. Studies show that the feed products developed from ethanol bi-products are less expensive than traditional feedstocks, are all-natural and produce healthier animals.
• Development of training programs and instruction kits for Iowa’s small businesses so they will know how to apply for Iowa Power Fund grants and know how best to supply the expanding businesses who have received Iowa Power Fund financing with the goods and products they will need.
• Provision of funding, training and permitting assistance to gas station owners that want to install a new E-85 or biodiesel fuel pumps or convert an existing pump.
• Development of a public/private financing tool for consumers looking to insulate their home and/or purchase more efficient heating and cooling systems. These energy savings contract financing tools can help create new manufacturing and construction jobs for heating and air conditioning systems while providing a repayment of the cost of the equipment with energy cost savings within a 5 - 7 year time frame. Other states are moving in this direction and Iowa should not fall behind

These and other outreach and education programs will be coordinated through the Governor’s Director of Renewable Power, so information will be easy to find, and easy to use for all Iowans.