Governor Andrew M. Cuomo today announced that the Eastman Business Park in Rochester will host a new $23 million Battery and Energy Storage Technology Testing and Commercialization Center. DNV KEMA Energy & Sustainability, a global energy consultancy company, which specializes in energy testing, inspection and certification, is partnering with New York Battery and Energy Storage Technology Consortium (NY-BEST), a consortium of more than 125 manufacturers, suppliers, universities, utilities, and engineering firms, to relocate an existing energy storage testing operation from DNV KEMAs laboratory facility in Pennsylvania to the new center in Rochester.
This $23 million high-tech project between DNV KEMA and NY-BEST is another example of how public-private partnerships are leading the way in job creation, research and development, and regional economic growth, Governor Cuomo said. This collaboration will spur innovation in the development of critical energy storage technology, helping to improve reliability and resiliency in New Yorks electric grid and creating good jobs in the Rochester area. I am happy that DNV KEMA has chosen to expand their operations in New York State, and look forward to working with them to grow our clean-energy economy.
Lieutenant Governor Robert J. Duffy said, Todays announcement is further evidence of Governor Cuomos commitment to ensuring a vibrant future for the Eastman Business Park, which continues to demonstrate that New York is a great place to do business. This partnership between DNV KEMA and NY-BEST exemplifies Governor Cuomos agenda to reinvigorate the Upstate economy, which we see every day in Rochester. I thank all of our local partners for their enthusiasm and commitment to this partnership, which will have positive impacts statewide for years to come.
The project will include an investment of up to $16 million by DNV KEMA and $6.9 million in State grant funds from NY-BEST for capital improvements and the purchase of advanced testing equipment. NY-BEST was created in 2010 with a $25 million grant from State government to position New York State as a global leader in energy storage technology, including applications in grid storage and heavy-duty transportation.
The BEST Testing and Commercialization Center will provide unique testing and validation capabilities for companies in the battery and energy storage industry. The Centers capabilities are vital to bringing these emerging technologies to commercial market and are difficult for individual companies to procure at a reasonable cost.
Together, NY-BEST and DNV KEMA will deploy shared resources to build a world class testing and commercialization facility and establish New York State as a powerful beacon to the world relative to developing and manufacturing advanced energy storage solutions.
The Center will be located at Building 308 of the Eastman Business Park where it is leasing more than 17,000 square feet of space from Eastman Kodak. Construction is slated to be completed by fall of 2013, with the Center opening planned for December 2013.
Dr. William Acker, Executive Director of NY-BEST, said, New York is home to global leaders in energy storage technology research and development and manufacturing. NY-BEST is grateful to Governor Cuomo for his support of the energy storage industry and we are delighted to have secured a tremendous partner in DNV KEMA to bring the BEST Testing and Commercialization Center to fruition. DNV KEMAs expertise and investment in the Center will ensure its role as a magnet to attract and grow the energy storage industry here in New York State.
Hugo van Nispen, Chief Operating Officer of DNV KEMAs Americas Division, said, Energy storage is a key enabler for the transition to a reliable, sustainable and flexible electricity supply, especially as renewable and distributed energy are connected into the grid and become essential to a balanced energy portfolio. By combining our legacy as an independent global authority in testing, inspection and certification combined with our energy business and technical consulting expertise, we can enable the Center to provide timely technical analysis and strategic direction to the expanding development, commercialization and certification issues within this emerging market.
Francis J. Murray Jr., President and CEO of New York State Energy Research and Development Authority (NYSERDA), said, The BEST Testing and Commercialization Center will help accelerate the transition from technology breakthrough to manufacturing energy storage technologies. The partnership announced today with DNV KEMA, a global leader, brings immediate credibility to this Center and demonstrates that the Governors strategies are clearly working to attract major companies to New York that will stimulate economic growth, drive innovation and create jobs within New Yorks clean energy economy.
Empire State Development President, CEO & Commissioner Kenneth Adams said, Under Governor Cuomos leadership, our public, private and academic institutions are coming together to make targeted investments in high-growth industries that will drive innovation and create new jobs. This partnership will help grow New York States green energy economy, position the State as a global leader and attract new private sector investments to the Rochester area.
Finger Lakes Regional Economic Development Council Co- Chairs Joel Seligman, President, University of Rochester, and Danny Wegman, CEO of Wegmans Food Markets, said, The NY-BEST Test and Commercialization Center epitomizes the type of public, private, and academic partnerships that will help propel economic development throughout our region. Todays announcement is yet another indication that the Finger Lakes and the State of New York is well positioned to be a global leader in the development of the next generation of energy storage devices and clean energy technologies. We applaud Governor Cuomo for his leadership and determination to help create the critical mass of research and development at NY-BEST necessary to propel innovation.
An Economic Impact Study commissioned by NY-BEST estimated that the energy storage sector currently employs approximately 3,000 people in New York State and is responsible for more than $600 million in annual global sales. The study found that the sector could grow more than 11,400 new jobs in New York by 2020 and 43,000 new jobs by 2030. The BEST Testing and Commercialization Center will serve as a key catalyst for attracting and growing the industry in New York.
The 2011 Strategic Plan issued by the Finger Lakes Regional Economic Development Council identified as its top priority the maintenance and expansion of Eastman Business Park in Rochester as a pivotal regional economic development resource by creating a cluster of cleantech businesses at the Park.
In December 2011, Governor Cuomo announced $3.5 million in State funding for NY-BEST toward the creation of a battery and energy storage product commercialization center at Eastman Business Park. The funds were awarded by the Finger Lakes Regional Economic Development Council as part of the Governors competitive regional economic development process. NY-BEST has received an additional $3.4 million in State grant funds for the Center from NYSERDA, bringing the total State funding for the project to $6.9 million.
NY-BEST selected DNV KEMA Energy & Sustainability as a partner for the project through a competitive solicitation. DNV KEMA specializes in providing world-class, innovative solutions in the fields of business and technical consultancy, testing, inspections & certification, risk management, and verification. The company has more than 2,300 experts in over 30 countries around the world and is committed to driving the global transition toward a safe, reliable, efficient, and clean energy future.