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By CHRYSTALL KANYUCK
Cronkite News Service
PHOENIX (Tuesday, Nov. 10) _ An upcoming law providing tax incentives to attract companies that manufacture parts for the renewable energy industry will create high-wage jobs that are vital to rebuilding Arizona’s economy, Gov. Jan Brewer said Tuesday.
“We have to be more competitive and we have to be smarter about bringing jobs to our state,” Brewer said. “This is Arizona’s way forward.”
A day before Phoenix was to play host to an international conference on sustainable building, Brewer spoke at a ceremonial signing of the legislation, which will take effect Jan. 1. The Greater Phoenix Economic Council organized the event.
Under the program, manufacturing companies that provide high-paying jobs with health benefits will receive 70-80 percent off their property taxes. They’ll also get an income tax credit based on how much capital they invest in Arizona and how many Arizona jobs they create.
Inside the renewable energy industry, the program sends the message that Arizona is open for business, said Christopher Davey, president of EnviroMission, an Australian solar power company that recently opened a Phoenix office.
“The financial benefit may be indirect, but I’d rather be in a state where people are truly supportive of the industry,” he said.
As the sunniest state in the union, Arizona was already a top contender for solar companies selecting sites, said Chris Camacho, the Greater Phoenix Economic Council’s vice president of business development.
“It’s a game-changer for Arizona,” Camacho said. “Renewables are going to be a driver of Arizona’s economy in the long term.”
At the local level, tax incentives like these have already worked, said Christine Mackay, economic development director for the city of Chandler.
“If you want to create a vibrant city, you have to attract those high-paying jobs,” Mackay said, adding that Chandler’s partnership with Intel Corp. has meant more revenue for the city than it would have gained from other companies.
At least 33 solar, wind or geothermal energy companies have called because they’re considering setting up shop in the state based on the law, David Drennon, director of community and public affairs at Arizona Department of Commerce, said in a telephone interview.
But Steve Voeller, president of the Arizona Free Enterprise Club, said the government should treat all industries equally.
“It’s not government’s job to determine which sector is going to be successful,” Voellner said in a telephone interview.
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Web Links:
_ Arizona Department of Commerce: www.azcommerce.com
_ Greater Phoenix Economic Council: www.gpec.org
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PHOTOS: Click thumbnails to see full-resolution images.
Gov. Jan Brewer speaks after a ceremonial signing of legislation that provides incentives to lure renewable energy manufacturing firms to Arizona. The measure becomes law Jan. 1. The ceremony occurred a day before Phoenix was to play host to an international conference on sustainable building practices. (Cronkite News Service Photo by Chrystall Kanyuck)