US Dow receives tax credits, $5m grant from Michigan regulators

25 February 2010 17:39  [Source: ICIS news]

HOUSTON (ICIS news)--Dow Chemical has received a series of tax credits as well as a $5m (€3.7m) grant from Michigan state regulators to boost production plans for solar shingles, cost-effective carbon fibres and lithium-ion auto batteries, the US producer said on Thursday.

The Michigan Economic Development Corporation (MEDC) awarded a job creation tax credit to the proposed Dow POWERHOUSE solar shingles facility in Midland, Michigan, which when complete would be the company’s first full-scale production facility for the product.

The facility is still subject to finalising local, state and federal funding, Dow said. The final cost and start-up date for it remain unknown, though Dow has said the plant could create more than 1,200 jobs by 2014.

The plant would make photovoltaic solar panels in the form of solar shingles that could be integrated into rooftops with standard asphalt shingle materials, Dow said.

In October, Dow officials said the sales potential for the new solar shingles was around $5bn by 2015 and $10bn-11bn by 2020.

Meanwhile, the $5m grant will be used on research to reduce carbon fibre manufacturing costs for use in industrial market applications such as wind energy and transportation, Dow said.

In addition, Dow announced that its Dow Kokam joint venture had received tax credits equivalent to $42m, which it will use to produce lithium-ion battery packs for hybrid and electric vehicles at its battery manufacturing facility in Midland, Michigan.

($1 = €0.74)

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By: Ben DuBose
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