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OFME | Michigan Mobility and Electrification Report Early October 2022

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Governor Whitmer Announces Nearly $4 Billion in EV Investments

This week, Governor Gretchen Whitmer announced two transformational EV investments that will help ensure the future of EV development in Michigan.

Our Next Energy, a home-grown Michigan company, chose to build its first-ever battery manufacturing campus in Van Buren Township in Wayne County. 

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This gigafactory battery cell manufacturing campus, which the company has dubbed ONE Circle, will create 2,112 good-paying jobs and generate $1.6 billion in capital investment. The gigafactory will further have a generational impact in terms of workforce development, economic impact and tax revenue.

“This innovative, Michigan-made company is on the cutting-edge of battery technology, and the work they’re doing will increase the range of electric vehicles to over 600 miles on a single charge,” said Governor Whitmer. “With this new gigafactory, we will continue bringing the supply chain of electric vehicles, chips, and batteries home to Michigan and the USA while creating a sustainable, clean energy economy.”

Meanwhile, battery company Gotion has chosen to build its battery component manufacturing facility in Big Rapids. Gotion will invest $2.36 billion, creating 2,350 good-paying jobs in Big Rapids. The investment represents the biggest ever economic development project in Northern Michigan.

“Team Michigan continues to out-hustle and out-compete to ensure every global company considering their future expansion opportunities can see their future here in our state, just like Gotion does,” said Quentin L. Messer, Jr., CEO of MEDC and President and Chair of the Michigan Strategic Fund Board. “We are grateful for the support and collaboration from our multiple local partners at the city and country levels, our partners at The Right Place and Consumers Energy, in particular, and appreciate the bipartisan support of the legislature to bring these good-paying jobs and economic opportunities to our friends and neighbors both here in Big Rapids and throughout the region.”

READ MORE ABOUT THESE TRANSFORMATIVE INVESTMENTS

FLITE Grant Funding Brings Cutting Edge Mobility Technologies to Gerald R. Ford International Airport
 
 

The Michigan Economic Development Corporation (MEDC) and its partners, the Gerald R. Ford International Airport Authority, Southwest Airlines, and Stantec GenerationAV, have announced a second group of companies that will receive a total of $145,500 in grant funding through the Ford Launchpad for Innovative Technologies and Entrepreneurship (FLITE). FLITE, which first launched in January 2022, provides grants and testing opportunities to companies focused on bringing emerging air travel solutions to market.

The five latest recipients who will complete pilot testing and development of new products and services at the West Michigan-based airport include:.

  • Aircraft Data Fusion, which utilizes web-based cloud solutions to provide real-time passenger forecasting.
  • Dataspeed, which provides 24/7 facility operations support on a full-size vehicle with its Kinetic360 Autonomous Service Vehicle.
  • EVA, which is retooling its drone infrastructure to provide airport services to revolutionize baggage delivery.
  • Renu Robotics, which is revolutionizing the way aviation facilities conduct vegetation management with autonomous lawn mowers.
  • Spotter, which is developing innovative sensor technology to help travelers identify open parking spots.

“Michigan continues to stay on the forefront of high-tech mobility innovation, thanks in part to programs like FLITE and these entrepreneurial companies, which are helping to diversify our state’s mobility stake past the automobile,” said Trevor Pawl, Chief Mobility Officer for the State of Michigan. “In order to secure a truly sustainable and multifaceted mobility future, it is critical that we foster this innovation. I’m extremely proud of the progress of the FLITE program, and I’m equally as excited about what the future holds.”

 
 
 
 
 
“Hydrogen Roadmap for the State of Michigan” Report Released; ACM to Begin Producing Hydrogen
 
 

Hydrogen, the most abundant and lightest element in the universe, can play a significant role in accelerating Michigan’s clean-energy transition away from fossil fuels in the coming decades, according to a new report released by the University of Michigan and the MEDC. The report urges Michigan’s automotive industry to pursue the development of fuel cell-powered medium- and heavy-duty trucks. Investments will also be made in expanding low-carbon hydrogen production and fueling infrastructure.

In other hydrogen-related news, New Mexico hydrogen provider BayoTech Inc. is expanding its distributed network with a BayoGaaS Hydrogen Hub at the American Center for Mobility in Ypsilanti Township. The hub is expected to produce 350 tonnes of low-carbon hydrogen per year once operational.

These announcements follow recent news that Michigan is one of seven Midwest states that have formed the Midwest Hydrogen Coalition to spur creation of a robust hydrogen market, supply chain, and workforce.

“Michigan has a tremendous opportunity to capitalize on its rich manufacturing heritage and mobility strengths by tapping into hydrogen as a clean fuel source,” said Nadia Abunasser, Federal Opportunities Director at MEDC. “As we work toward a clean-energy future, this report will play a critical role in strengthening our leadership as a state for businesses of all sizes to find opportunities for investment and growth.”

 
 
 
 
 
U-M to Create $5.3M Advanced Mobility Supply Chain Transformation Center
 
 

The University of Michigan Economic Growth Institute, part of a team recently awarded $52.2 million in federal grants, plans to create a $5.3 million advanced mobility supply chain transformation center to support small and medium-sized manufacturers as they transition to the EV market.

“The funding is vital to making this program happen,” said Parker Finn, assistant director of the Economic Growth Institute. “Bringing these resources to the region can help manufacturers invest in new technologies, develop their organization and plan for the future. This center, like many of our program models, will provide matching funds to businesses to help them address specific needs.”

The Supply Chain Transformation Center will be part of the Global Epicenter of Mobility (GEM) initiative and support the institute’s work in helping the state’s manufacturers as they transition to serving the new mobility industry.

 
 
 
 
 
Hertz to Order Up To 175,000 EVs from GM to Meet Fleet Goals
 
 

Hertz is planning to order up to 175,000 EVs from General Motors over the next five years for its rental fleet. The companies tout the multi-year, multibillion-dollar deal as the largest expansion of EVs among fleet customers and the broadest, since it will include vehicles from multiple segments at varying price points.

“What we’ve learned is when a customer experiences an EV, they’re twice as likely to purchase,” said Mary Barra, CEO at General Motors during a CNBC broadcast interview. “This is going to be a wonderful opportunity to showcase General Motors’ EVs from Chevrolet all through all of our brands, even including BrightDrop.”

General Motors intends to increase deliveries to Hertz as it rapidly scales EV production between 2023 and 2025. The automaker plans to have an annual production capacity of one million EVs in North America by 2025.

 
 
 
 
 
Michigan Announces Mobility Wallet Challenge Proposal Deadline Extended
 
 

MDOT and OFME recently launched the Michigan Mobility Wallet Challenge to explore the creation of a Mobility Wallet Pilot Program, which aims to increase the interoperability of transit services and offer Michigan residents greater access to personal mobility. Specifically, the program’s goal will be to simplify transit payment processes by allowing riders or third-party stakeholders to load funds, or connect bank accounts, to a single platform that streamlines ride fare payment.

NOTE: The deadline for proposals has been extended to Monday, Oct. 24 at 5 p.m. ET.

 
 
 
 
 
Michigan Mobility Funding Platform: Rolling Applications Open
 
 

OFME and the Michigan Department of Transportation (MDOT) have partnered to launch the Michigan Mobility Funding Platform (MMFP) aimed at providing vital grant funding to mobility and electrification companies of all sizes looking to deploy their technology in Michigan. Grants are focused on catalyzing and scaling mobility solutions across three key areas of focus:

  • Sustainable Futures: Improve environmental sustainability by encouraging EV adoption and the buildout of EV charging infrastructure
  • Equitable Futures: Alle

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