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Idaho: The Home of Renewable Energy

Idaho is serious about renewable energy. The Gem State is a perfect testing ground for renewable energy technologies, and already alternative energy manufacturing companies are moving in to tap Idaho's outstanding business climate. This is not surprising, considering the state boasts a variety of elements that make it a viable laboratory and manufacturing center for the next step in power generation. Two of those elements include the Idaho National Laboratory and Idaho's consistent rank as #1 in the nation for patents per capita and manufacturing investment. Combined with Idaho having the third lowest energy costs and being fifth best in long-term employment growth, it's no wonder that Idaho's renewable energy manufacturing base is on the rise.

Idaho is home to many companies and university research institutions focused on additional research areas such as fuel cells, low-power batteries, electric car technologies, kinetic energy capture, biomass, and new alternative fuels.

Idaho is positioned to be the leader of alternative energy manufacturing in America. So take a look, and see everything our great state has to offer.

History

Alternative energy has been a part of Idaho long before it became main stream. For more than 100 years, Idaho has used its abundant geothermal potential as a 100% clean source of energy. In 1892, the nation's first district heating system was established in Boise, a system that is still in use today. By the 1970's five district heating systems had been established in Boise and Twin Falls along with a geothermal power plant pilot project in the Raft River area. Today, these systems not only provide heat to buildings, but also provide for recreation, greenhouses and aquaculture.

The importance of alternative energy has become a part of the Idaho psyche.

 

Profile of Idaho's Green Economy

The National Governor's Association Center for Best Practices commissioned Collaborative Economic, Inc. to analyze and prepare reports on the emerging green economy in each state. These reports are based on green businesses across the 15 green industry segments of the core green economy and are designed to help each state make informed decisions about its workforce, economic and energy development oppotunities and strategies.

Here's a preview of what they found:

"Idaho's green economy summary displays a diverse array of green businesses with different levels of specialization. Compared with the national average, Idaho has a strong concentration of green business activity in Agriculture. Areas of strong and growing comparative advantage are in Air & Environment and Waste & Wastewater.

High employment concentration in a particular green segment indicates an area of strength and comparative advantage for a state. For example, Idaho's Agriculture segment (which includes sustainable land management, aquaculture, and supplies & materials is nearly three-times more concentrated than the U.S. average. Air & Envronment (inclues air filtration, environmental consulting and remediation) is roughly two and a half times more concentrated.

Between 1995 and 2007, some segments have witnessed a change in concentration either by becoming more specialized over time or diminishing in concentration. Idaho's concentration in Air & Environment increased 80 percent over this period, and Water & Wastewater grew by roughly 65 percent."

Read the full report here.

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Idaho's Strategic Business Advantage

Combining access to key international markets, a strong and motivated workforce and some of the lowest overall business costs in the United States, Idaho wants to be your partner in business. Idaho-based businesses prosper by taking advantage of our close proximity to key alternative energy markets. Through a balanced mix of personal income, sales, property and corporate taxes, Idaho makes sure we provide a stable base to fund public services without unfairly burdening any sector. We offer multiple financial incentive and business tax credit programs that are designed to enhance overall productivity and long-term profits. The Gem State is near the top in virtually all indicators of business and economic vitality. Here are just a few strategic advantages Idaho provides to help renewable energy manufacturing companies with their bottom line.

Economic Stability

Starting, expanding or relocating a business carries a certain amount of risk and unknown factors. Locating in Idaho offers stability and one less item in the risk column on your spreadsheet. Idaho ended the current fiscal year with a balanced budget and with its financial house in order. As our State Treasurer put it, "our...manner of fiscal government allows our citizens to benefit, sometimes in unseen ways, from the stability this style of leadership provides. We pay our bills, on time and as promised." Idaho has gained a well-deserved national reputation for responsible financial management. The State consistently gets top marks from nationwide financial rating services, and our state and local government debt per capita is the lowest in the nation. That is a direct result of a safe, sound and cautious approach to management that keeps Idaho ahead of the economic curve. With all of the uncertainty in the marketplace, you can place your trust in Idaho.

Incentives

Idaho offers a wide range of financial incentives and tax credits. The Idaho Business Advantage Program offers companies that invest a minimum of $500,000 in new facilities and create at least 10 new jobs an enhanced tax credit of 62.5% of tax liability in any one year, a new jobs tax credit of up to $3,000 per job, a 2.5% real property improvement tax credit and a 25% sales tax rebate on construction materials for the new facilities. In addition, respective county commissioners may also authorize a full or partial property tax exemption. To obtain a full list of our financial and tax services, please visit www.commerce.idaho.gov/business/incentives.aspx.

Workforce Development

Companies in Idaho are able to tap into a wealth of educated, high-skilled workers. Idaho's colleges and universities actively work with the private sector to create programs that will educate the "green collar" employees the alternative energy sector demands.

In addition, the Idaho Department of Labor provides Workforce Development Training Grants to offset training costs. The program is tailored to your specific company needs and designed to develop skill sets for your precise requirements. Financial reimbursements of up to $3,000 per employee are available to eligible companies to cover the cost of training a new employee or retaining one facing permanent layoff.