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Bay College receives $2 million grant for energy efficiency
ESCANABA -- Bay College (also known as Bay de Noc Community College), located
in Escanaba, recently received notification that it has been awarded a $2 million Michigan Energy Efficiency Grant from the Michigan Public Service Commission
(MPSC).
This grant, the largest non-construction grant in Bay College's 40-year history, will be used to establish "Northern Lights," a revolving loan fund designed to assist Upper Peninsula businesses, school
districts and local government agencies in the purchase and installation of energy efficiency improvements, with the savings on their utility bills paying back the loan.
"We're very excited about this," said Bay College President Dr. Michael Allkins.
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| Dr. Michael Allkins, president of Bay College
in Escanaba. (Photo © Bay College. Reprinted with permission.) |
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The Michigan Technical Education CenterSM (M-TECSM) at Bay College responded to the MPSC's request for energy efficiency pre-proposals in late March. More than 100 proposals were submitted statewide, and twelve of them (including Bay College's) were identified as "more likely" to meet the MPSC's criteria for funding.
Allkins noted each organization participating in the revolving loan fund will also receive energy management services through an M-TEC partnership with "Energy Management Partners" that will monitor energy usage, insure
savings and identify other ways to save energy.
Payments made to the revolving loan fund will then be available for future efficiency upgrade projects, Allkins explained. The participant list will grow by
three to four organizations annually as the program expands to other parts of the state through the M-TEC network.
Allkins estimated the $2,000,000 revolving loan fund will last 15-20 years and generate over $10,000,000 in energy savings -- savings that will be put into programs, personnel, research,
capital improvements and other uses.
The persons really responsible for the grant, Allkins noted, are Bay College's Jim Bennie, vice-president for Business and Workforce Development, and Doug Russell, director of Customized Training.
"Doug wrote the grant application and Jim is the M-TEC director," Allkins said.
The college had also asked for an additional $500,000 to conduct a study to determine the "economic viability" of wind energy.
"We are disappointed we weren't funded for this part, but we believe there will be other opportunities next year,"
Allkins said.
He noted the wind generators would be similar to the ones at Mackinaw City and the ones in Wisconsin.
"We would really like to be able to locate a wind generator here on campus to use as a model. Hopefully that will happen sometime down the road," he added.
In awarding these grants, the MPSC focused on projects showing the most promise
to: (1) develop or improve energy efficient technologies, including those advancing the use of alternative
fuels; (2) improve the efficiency of energy consumption; (3) increase the development of emerging technologies, including fuel
cells; (4) improve the efficiency of energy production and distribution; (5) increase the availability,
distribution and market share of various energy efficient technologies; and (6) demonstrate the application of these technologies.
When final proposals representing more than $22 million in funding requests were submitted in June, the MPSC
had $12 million available for distribution.
Michigan Energy Efficiency Grants are funded through the Low Income and Energy Efficiency Fund, established in the Customer Choice and Electricity Reliability Act of 2000. The purpose of the fund is to provide shut-off and other protection for low-income customers and to promote energy efficiency by all customer classes. The fund results from securitization savings that exceeded the amount needed to achieve a
five-percent rate reduction for residential and business customers.
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