Small Business Administration Announces $600k Competitive Award for Illinois Institute of Technology-Led Illinois Smart Grid Regional Innovation Cluster
The U.S. Small Business Administration today announced the award of up to $600K to Illinois Institute of Technology (IIT), and its Stuart School of Business, in collaboration with the Clean Energy Trust, the Illinois Science & Technology Coalition (ISTC) and O-H Community Partners, to accelerate small business and start-up development in the growing Illinois Smart Grid Regional Innovation Cluster (ISGRIC). The grant will support the first year of development of an innovation platform for Smart Grid technology that will provide technical and business support to speed new Smart Grid technologies on the path to commercialization, with the option for renewal in the second year based on performance.
Of the 10 “Innovative Economies” selected from among 173 applicants to participate in the pilot program, the ISGRIC is the only awardee focused on smart grid technologies.
The development and deployment of a “Smart Grid” modernizes our power infrastructure and will lead to improvements in grid reliability, improved security and safety, reductions in the relative cost of electricity, and a cleaner environment. Led by a consortium of non-profit and institutional partners, the ISGRIC works to create a collaborative ecosystem to support Smart Grid companies, pursue advanced research, and create new market opportunities.
“Through our IIT Perfect Power smart microgrid prototype, the IIT Smart Grid Workforce Training Center, and advanced research conducted by our faculty, IIT has become a national leader in the modernization of our electrical infrastructure,” said IIT President John Anderson. “This SBA award will help to ensure that the innovation and achievements necessary to modernize the electric grid will happen right here in the U.S., providing new opportunities for both manufacturing and technology-oriented jobs.“
The new innovation platform funded by the award will seek to wed the region’s strong Smart Grid research infrastructure with an entrepreneurship and technology commercialization support system. IIT will provide technical support through access to the IIT Perfect Power smart microgrid and faculty associated with IIT's Wanger Institute for Sustainable Energy Research (WISER). The IIT Stuart School of Business will direct business support for early stage smart grid companies and entrepreneurial training for the next generation of smart grid engineers. IIT’s University Technology Park, located on its main campus in Chicago, will provide a home for both smart grid start-ups and research and testing operations of larger firms.
The Clean Energy Trust will provide commercialization support through access to venture capital and the creation of a smart grid innovation marketplace to connect buyers and sellers of technology. By defining technical and business needs for this new industry with the input of corporate buyers and investors, the smart grid cluster can grow more deliberately and sustainably over time. The Clean Energy Trust was founded by seven prominent business and civic leaders to leverage the area’s strengths, including its major corporations, proven manufacturing capabilities, transportation infrastructure and intellectual resources, to create a thriving clean energy ecosystem. This SBA award comes just days after the U.S. Department of Energy (DOE) awarded a $1.05 million grant to the Trust to help connect leading Illinois laboratories and universities with clean-tech entrepreneurs who are working to develop new ideas for commercial deployment.
“These back-to-back grants targeting different aspects of the CleanTech ecosystem present a great opportunity for Illinois energy entrepreneurs,” said Amy Francetic, Clean Energy Trust executive director. “There is tremendous interest in what’s happening here and it’s great to see national affirmation of our mission and expectations for clean technology businesses in our region.”
ISTC will serve to lead the growth of the Cluster, bringing new companies and researchers to the region to pursue innovative Smart Grid technologies. "Illinois has an exceptional foundation in smart grid and clean energy," said Matthew Summy, President of the Illinois Science and Technology Coalition. "This grant recognizes this foundation, and provides the vital support needed to advance the smart grid cluster in order to accelerate innovation and support job creation in this sector."
ISTC is facilitating the development of an Illinois “roadmap” to identify/cultivate projects that can demonstrate the economic & environmental values of smart grid adoption, and position Illinois as a leader in smart grid business development, policy innovation and job creation. ISTC is also managing the state’s international smart grid collaboration with the Republic of Korea – a commitment of more than $20 million over five years from the Korean government and companies to develop smart grid hardware and software deployments, charging infrastructure for electric vehicles, and workforce training programs in Illinois.
O-H Community Partners is a national business development consulting firm based in Chicago, that specializes in assisting minority and women-owned businesses in development of business strategy and identification of funding sources. The firm will assist in identification and support of minority-owned businesses seeking to participate in the Smart Grid cluster and train firms in using its proprietary software to seek available funding sources.
“Maximizing a region’s economic assets is one of the best ways to create long term job growth, and that’s what SBA’s new Innovative Economies pilot initiative is doing,” SBA Administrator Karen Mills said. "SBA’s support will help expand the opportunities and the role small businesses play in these regional collaborations, which are enhancing the ability to create jobs locally and compete on a national and global scale.”
Founded in 1890, IIT is a Ph.D.-granting university with more than 7,700 students in engineering, sciences, architecture, psychology, design, humanities, business and law. IIT's interprofessional, technology-focused curriculum is designed to advance knowledge through research and scholarship, to cultivate invention improving the human condition, and to prepare students from throughout the world for a life of professional achievement, service to society, and individual fulfillment. Visit www.iit.edu.
IIT Stuart School of Business was established in 1969 with a bequest from IIT alumnus and financier Harold Leonard Stuart. The advancement of business knowledge and the enhanced intellectual depth of our approach support our students in developing all the necessary analytic, creative, judgment, and people skills essential for success in the Next Economy. To achieve this objective, our core philosophy focuses on strategic competitiveness which manifests itself across our curriculum in the following constructs – creativity, entrepreneurship, incisiveness, innovation, leadership, and sustainability The IIT Knapp Entrepreneurship Center (IIT-KEC), , a portion of the Stuart School, supports IIT-related entrepreneurs by providing effective, affordable, and expert resources to help create and grow successful commercial ventures. IIT-KEC is a collaborative community of supporters of entrepreneurial ventures.
About ISTC
The Illinois Science and Technology Coalition (ISTC) is a public-private economic development organization that fosters partnerships to develop and execute research and development initiatives and will provide oversight and management to the initiative. Founded in 2008, the ISTC actively promotes collaboration between public and private partners to attract and retain research and development resources and talent in Illinois. In addition to managing this important new grant program, the ISTC will house the Illinois Innovation Council, which will assist the state in developing an innovation agenda and be responsible for increasing joint proposals from private companies and research labs to the federal government.
About the Clean Energy Trust
The Clean Energy Trust is an Illinois nonprofit corporation with a mission to further the growth of clean energy technologies and businesses in Illinois and the Midwest region. The founding board members are: Nicholas Pritzker, Hyatt Corporation (Trust Co-Chair); Michael Polsky, Invenergy (Trust Co-Chair); Paula Crown, Henry Crown & Company; Richard Sandor, Chicago Climate Exchange; Tim Schwertfeger, Former CEO Nuveen; Antonio Gracias, Valor Equity Partners (Treasurer) and Keith Crandell, ARCH Ventures. Visit www.cleanenergytrust.org to learn more.
About O-H Community Partners
O-H Community Partners (OHcp) (www.ohcommunitypartners.com) is a national economic development consulting firm, based in Chicago, providing services to government entities, foundations, corporations, and non-profit leaders in the areas of strategy, organizational development, sustainability, small business development, diversity and inclusion, capital raising and performance measurement. A core focus of OHcp is small business development.—especially in underserved communities. OHcp is a minority owned and woman owned business and has SBA 8(a) certification.
