WV Executive

West Virginia does not have to reinvent the wheel when it comes to a major area of economic opportunity: energy. From entrepreneurs to skilled work force and research institutions, West Virginia's capabilities in the energy and environmental realm are limitless. While some have viewed energy as the state's past, Energy Village, the non-profit organization that supports the growth of West Virginia's energy and environmental technology cluster of businesses, research institutions and supporting organizations, believes that West Virginia's historic strengths in the energy industries and its significant investment in its energy and environmental research capabilities can provide the foundation for new opportunities in business growth, job creation and technology innovation.

West Virginia's capacity in natural resource extraction and in energy supply and delivery are no secret to anyone. For most of this century, the state has been a leader in powering the nation. The energy industry's products and services have provided countless job opportunities for the state's residents as well.

Less well known, but all important, are the world-class research facilities, which are making inroads every day into the development of technologies that enable energy to be generated and delivered in increasingly efficient and environmentally acceptable fashions. West Virginia is home to the United States Department of Energy's National Energy Technology Laboratory (NETL), the nation's newest national laboratory, which leads the federal government's fossil fuel research efforts. In addition, West Virginia University's National Research Center for Coal and Energy provides important energy research contributions.

Nationally recognized science and technology companies engaged in energy and environmental research, such as Concurrent Technologies Corporation (CTC), EG&G Technical Services, Parsons and Science Applications International Corporation (SAIC) also call West Virginia home. Also, many traditional energy companies, such as American Electric Power (AEP), are leaders in developing and utilizing advanced energy and environmental technologies. In addition, there are scores of West Virginia small businesses engaged in technology development and specialized services in the energy and environmental sector that collaborate with many of these large entities and contribute to the state's capabilities.

This dynamic of traditional industry leaders, public and private-sector research leaders and emerging small businesses engaged in technology development and implementation provides the basis for new opportunities for the Mountain State. West Virginia could not only lead the nation in energy extraction, supply and delivery, but also in the research, development and commercialization of advanced energy and environmental technologies. This translates to new business and job opportunities for West Virginians. California may have its Silicon Valley, but West Virginia has its Energy Village-a dynamic cluster of entities that will continue to lead the way, nationally and internationally, in energy extraction, supply and delivery through new technology research, development and demonstration.

The Road to Energy Village

Energy Village, as a concept, grew from a number of efforts, including the work of Governor Bob Wise and his Energy Task Force. Under the governor's leadership, the task force, comprised of representatives from industry, academia, federal and state government, labor, environmental groups and others, developed a detailed set of policy recommendations to move West Virginia forward as an energy, environmental and economic leader. Some of these recommendations focused specifically on West Virginia's energy and environmental technology capabilities and the possibility for new business growth based upon those capabilities.

With the further support and leadership of Governor Wise, Energy Village, as a tax exempt, nonprofit organization, was born as a means of fostering these opportunities and putting legs to the vision of the governor and the task force. With the guidance of Energy Village's Board of Advisors, Energy Village set out to make an idea into reality. The board of advisors consists of: Dan Angel, president of Marshall University; Rita Bajura, director of NETL; Mark Dempsey, president of AEP West Virginia; Jim Estep, president of West Virginia High Technology Consortium (WVHTC) Foundation; and David Hardesty, president of West Virginia University. The organization falls under the direction of its board of directors, consisting of: Mike Basile, member of Spilman Thomas and Battle; Carl Bauer, associate laboratory director at NETL; Frank Carlomagno, an advisor to nonprofit organizations; Pat Eposito, chief executive officer of Augusta Systems; Randy Harris, chief executive officer of Leonardo Scientific; Ken Nemeth, executive director of the Southern States Energy Board; Scott Rotruck, president of the Morgantown Area Chamber of Commerce; Rick Slater, partner at Simpson and Osborne; and Hubert Yang, associate at Wilson Sonsini Goodrich and Rosati.

With support from the Claude Worthington Benedum Foundation and from Governor Wise and AEP, Energy Village undertook the development of a strategic plan for the growth of energy and environmental technology businesses in West Virginia. Specifically, by analyzing West Virginia's unique resources and the successes of other regions of the country, Energy Village leaders believed that a model of growth for West Virginia's energy and environmental opportunities would become apparent.

After months of research, the following became clear: that economic growth was greatest in areas that engaged in the research, development and commercialization of advanced technologies and developed a critical mass of businesses, research institutions and supporting organizations-a "cluster"-that dealt in similar technologies. A notable example of this phenomenon was Silicon Valley in California, which leveraged the capabilities of its research institutions and the businesses that developed around those institutions to create ever-increasing opportunities. Despite the recent economic downturn, Silicon Valley is still the world leader in the hardware and software industries and home to some of the leading research institutions, law firms, venture capital providers and others that service those industries.

The foundation for this model was already in place in West Virginia. The state had long been home to traditional energy extraction and supply and delivery companies. Many of these companies had and have continually upgraded their technologies to meet market demands. Research institutions, focusing upon these extraction and supply and delivery issues, grew naturally in West Virginia because of the location of energy resources and these anchor companies. These research institutions, in turn, attracted large and small science and technology companies interested in advancing the state-of-the-art technologies.

Energy Village leaders determined that this cluster could only be accelerated with the cultivation of current and future businesses that deal in the technologies for which West Virginia is so equipped to research, develop and commercialize. A natural area of cultivation is small businesses, which are the largest providers of jobs in the nation.

To that end, West Virginia has been equally fortunate in the proliferation of organizations that exist to support small business and technology growth; organizations such as the WVHTC Foundation, which has been a leader in championing technology-related businesses, and the Robert C. Byrd Institute for Advanced Flexible Manufacturing at Marshall University, which exists to develop and implement creative solutions for manufacturers.

Through a strategic planning process, Energy Village leaders determined that West Virginia had the businesses and research institutions, specifically focused on energy and environmental technologies, and the sweeping business-support organizations that could effectively cultivate the growth of West Virginia's energy and environmental technology cluster.

As a result of these factors, the state has seen new projects begin to grow in West Virginia organically. For instance, AEP located its carbon sequestration research effort at the Mountaineer Plant in New Haven and engaged researchers from West Virginia University, among others, to assist in this research. The Australian company, Cenfuel, opened its coal-based research facility in Holden. Wind power generators have sprung in the West Virginia Highlands to take advantage of the 21st century take on one of West Virginia's natural resource capabilities.

New Paths to Growth

In essence, West Virginia had already developed the foundation for its future through the hard work and perseverance of generations earlier. Energy Village hopes it can build upon this foundation by formalizing energy and environmental technologies as a specific focus area for West Virginia's economic development efforts.

One of the ways for which to achieve this is by formalizing Energy Village's role as an advocate for this effort. Energy Village is currently soliciting membership in West Virginia's energy and environmental technology cluster. To join, simply visit www.energyvillage.org. After joining, organizations can begin to post their latest news, events and opportunities. The goal of Energy Village is for the Web site become a central point of contact and a window to the world for the innovative energy and environmental businesses, research institutions and projects which call West Virginia home.

In addition, the efforts initiated by Energy Village are designed to actively assist those energy and environmental companies and research institutions, which are so crucial to the success of this effort. From advocating on behalf of innovative projects to assisting small businesses by linking them to other service providers, depending upon their needs, Energy Village hopes to cultivate success. In particular, it is important to note that the nonprofit organization will not duplicate the efforts of other service providers that have developed their own expertise. Energy Village will not provide, for instance, start-up capital or business planning services or manufacturing assistance of its own, but it will link energy and environmental entrepreneurs with the organizations that do provide these necessary services. In reverse fashion, the nonprofit will act as a resource, when requested, for those specific service providers by providing technical input when energy and environmental technologies are involved.

Most importantly, Energy Village needs feedback. The great ideas and assistance of business leaders, researchers and service providers can only start this effort forward. It is the business community's successes that will continue to spark this effort. West Virginia's future can be built upon its past. By embracing its strengths and supporting innovative organizations and individuals, Energy Village can create new economic opportunities for the state because West Virginia's energy and environmental technology cluster is here and thriving.