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Utilities Lift the Expansion Fog

Make your relocation or expansion process a smart one with help from your local utility.

  [ 9/1/2000 ]  By: Rachael Hedgcoth   Print This Article  Reprint/License This Article  E-mail This Article To A Friend  
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Like a faithful lighthouse guiding ships through rough waters, utility companies can steer growing companies toward smooth sailing.

Don't be misled by the idea that utility companies only provide electricity and gas. Their capabilities go far beyond these core services. But you don't have to take our word for it. Listen to what experts in the industry have to say about how they can help your company when it comes to relocations and expansions.

A clearinghouse for data

"For one, we have specific data on available buildings and sites based on locational criteria," said Fred Gassaway, executive vice president of marketing for Palmetto Economic Development Corp., in Columbia, S.C.

It is almost a given that a local utility will have a database, or Web site, or some listing of the available properties in its area. However, it is also not uncommon for a utility to suggest a property that is outside its service territory, even if its own available properties just aren't a good business fit.

PPL Utilities developed an innovative feature called the Available Property Locator. The searchable database can be accessed on the company's Web site and provides an extensive property listing of nearly 1,000 buildings and sites throughout 29 counties in central Pennsylvania. All of the listed properties are pre-screened for availability, market quality, and proper zoning.

What will it mean for the bottom line?

Electric incentive rates are another benefit often provided by utilities under the right circumstances.

"These rates are based upon specific loads businesses might have," said George Powell, director of the Kansas City (Kan.) Board of Public Utilities. "They generally lower the operating cost to a business for a period of time while the business is in the start-up phase."

And what might a company be expected to do in return for receiving special rates?

"The return to the utility might be term of service, increased load factor in the system, job creation, or capital investment in the community," said Powell. Special incentive rates take on other forms as well. In Indiana, companies might be elegible for economic development discounts and other energy-related products and services that can assist with construction and start-up costs, as offered by Northern Indiana Public Service Co.

"We can also provide energy management and other technical assistance to reduce power costs," said Palmetto's Gassaway.

A friend in an unfamiliar land

Utility companies are bright (smart) sources when demographic questions need to be answered. The partners in power generally have an extensive history with communities and can provide hard numbers for critical data requests.

"We can provide crucial statistics on the local area and we possess knowledge and information on the local business climate, quality of life, et cetera," said Becky Wingenroth, director of economic development for Reading, Pa.,-based GPU.

Another strong advantage of utility companies is that they are heavily entwined in a strong network of influential community people. This is good news for your company.

"A utility can provide facilitation and networking with critical community, state and independent parties," said Diane Thalmann, manager of business development for NIPSCO.

The utility's cultivation of good relationships means that they can help put your business face-to-face with the people you need to talk to. In other words, a utility can help you get results and answers - fast.

Utilities can also be of service when it comes to work force matters.

"We can provide information and help on employee training programs and incentives," said Karen Davis, economic development representative for Nevada's Sierra Pacific Power Co. Utility companies can also help jump-start relationships between businesses and local educational institutions.

"Utilities, in conjunction with universities, state and local governments, work to ensure that new companies are welcomed with the full spectrum of government incentives, as well as an educational system that can meet their demands for a skilled work force," said Donna Buchheit, manager of economic development for PPL Utilities in Pennsylvania. "These partnerships can even establish accredited courses/degrees that are tailored to meet the technical work force demands of specific industries."

Personal service

Utilities often make a great human resource when your company is expanding or relocating.

"PPL's prospect team works with companies to assemble an experienced team of professionals who can act to quickly respond to predictable and unpredictable start-up issues," said Buchheit.

"In order to find the best location in the least amount of time, PPL Utilities works with the customer to structure the location process and develop their unique set of location criteria, such as building size, lot size, future expansion needs, work force skill requirements, ceiling heights and transportation needs," said Buchheit.

Many utility companies even provide such services as export assistance.

Columbus, Ohio,-based American Electric Power Co. has a program called Going Global. The program helps growing companies survey the export market.

Throughout this year, the utility is conducting trade missions to Canada, Argentina, Chile, Brazil, Mexico and the UK.

Interested companies first submit an application to AEP. Subsequently, the utility helps businesses create an international marketing plan and assists in setting up business appointments in the target country.

AEP representatives will also arrange for translators, market briefings, local transportation and negotiated hotel rates.

"AEP developed Going Global to help its customers benefit from international trade," said Christine Sorg, AEP's international development manager. "Going Global is just one more way of reinforcing our commitment to helping companies within our service area be successful."

Some utility companies, such as Southern California Edison, provide potentially energy-saving audits free of charge.

"We can assist companies on energy conservation and energy management," said Grant Thomas, communications manager of economic and business development for Southern California Edison. "We can assess strengths and weaknesses in a company's energy use."

A beacon of stability

Let the utility be your business' lighthouse during your time of transition. While its energy will fuel your tangible operations, its people power can fire up your site search and put your business in contact with the names and faces who can make an impact on your company's success.

 

— Rachael Hedgcoth

 

 








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