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bjbj CAER Coal and Biomass Groundbreaking Press Conference RODNEY ANDREWS: Hello everyone.
I m Rodney Andrews. I m the Director of the University of Kentucky Center for Applied
Energy Research. I want to thank you all for coming today. This is obviously a very exciting
event for us, moving ahead with our synthetic fuels program and putting in place a facility
that allows us to do larger-scale development of that, and test out some of the technologies
we ve been working on in the lab at a scale that s quite meaningful, and allows us to
do much more work than we ve done in the past. m going to keep my comments very brief, and
go ahead and introduce our emcee for this morning. This is the Kentucky House Majority
Floor Leader Rocky Adkins. Rocky has clearly been one of the leading proponents of the
development of synthetic fuels from coal and from biomass in the state. Has done a lot
of work in the legislature in putting in place what we need for that industry to develop
here, and as a member of CAER s board, has been one of our main supporters in our program
in this area. So, Rocky, thank you. (Applause) ROCKY ADKINS: Well first of all, I m truly
honored to be back at the Center for Applied Energy Research here at the University of
Kentucky. It was only a couple of weeks ago that we were here to announce another important
venture that has been basically a collaboration of the private sector, state government, the
university, and the federal government. It s an honor to be back here at the Center because
we get a chance to really talk about the advanced research and development that is taking place
here. Not only the research and development that I believe is leading this nation in the
energy field, but that is leading as well around the world. s been a great honor for
me to have the opportunity to work with these two gentlemen that are here today Congressman
Geoff Davis and Congressman Hal Rogers. We have worked together in a very bipartisan
way on what, I think, is one of the most important issues that we have to face as a state and
as a nation and that is the issue of energy. It is so exciting to get a chance to come
back here to the Center for Applied Energy Research and really, I think, promote and
talk about what is going on here now, but really, the advancements we have the opportunity
to really lead in, in the future. About six years ago, one of the main objectives I had
as a State Legislator was to really promote, I think, an issue. An opportunity that I thought
could really put Kentucky in the forefront. And with Kentucky being a coal state and an
agriculture state, it only made sense that the talk at the national level of energy independence,
and the talk of, you know, how we could use our resources here in the United States of
America to really build a strong economy and produce the types of jobs that our people
need and deserve. But also build the national security that our people need and deserve
as well. Energy independence was something that really caught my attention. With Kentucky
sitting really on the cutting edge, not only having the natural resources of coal and natural
gas, and the agriculture community we have that not only grows the food to feed the world,
but also grows the fuel to help fuel the world as well, it only seemed fitting to me to try
to do what we could as a Kentucky General Assembly to join those two industries together.
And in joining those two industries together with coal and the agriculture community it
really, in my opinion, put us in a really unique position to be the true leaders in
the energy field from really two different standpoints. And the two different standpoints
is basically what our energy policy, David, was all about. And David Boswell is here today,
who played an integral part in our team effort to really pass leading policy, leading legislation
which would put Kentucky at the forefront. We really focused on two major visions in
the legislation we passed, and we happened to name this legislation Kentucky s Energy
Independence National Leadership Act m proud of our Kentucky General Assembly, with the
policy that we have passed, which has been recognized by the Council of State Governments
as a national model. We ought to be proud of that here in Kentucky. But the two main
visions that we looked at, to be very honest, was two opportunities that really sets us
apart from every other state in this nation, and really around the world. And those two
main visions were this: We wanted this legislation to really concentrate its efforts in our opportunities
to expand research and development. And the folks here at the Center for Applied Energy
Research, in my opinion, it was time to bring them out of the closet and into the limelight.
Because, Dr. Capilouto, the work going on here is really amazing work. And to get a
chance to showcase that every time we get the opportunity, we should do so. So we embarked
with the help of Rodney Andrews and others here at the Center on helping shape legislation
which would really put us in a position to be the leaders. We got a Secretary of the
Energy Cabinet Dr. Len Peters who understood what we needed to really put into this legislation
to really set us apart. So we looked at how can we be the leaders in research and development.
How can we be recognized not only throughout this country, but around the world as the
place to come to have your research and development work done in the energy field? And folks,
I m happy to stand here today and say that recognition is taking place. And it s taking
place because of collaboration of a lot of different people. It s taking place because
of state government. It s taking place because of cooperative effort between Democrats and
Republicans working together. Because when I give this talk, I talk about this issue
of energy is not a Democrat or Republican issue it s a people issue. And it s one that
we must be on the cutting edge if we want to have a strong economy and produce good
jobs for our people. And I believe Kentucky is in the forefront, and in that unique position.
The other vision that we had in this legislation beyond expanding our efforts and opportunity
in the research and development field we wanted to have the most aggressive incentive package
in the country. To attract those companies, those energy companies, to come here, and
after we develop these technologies, to make sure these incentives attract those technologies,
those energy companies, the new energy technologies of the future to be built right here in the
Commonwealth of Kentucky. And I m proud to stand here today and tell you that legislation
is working. Today, we are here really to break ground on a project that was really the foundation
of this entire legislation that we passed. And this was the opportunity basically to
advance the gasification technologies and to take that gasified coal or that gasified
biomass and turn it into a fuel. The basis of all of this legislation was about producing
alternative fuels. Now those of you that know me very well saw me travel around Kentucky,
and while I was promoting this legislation, I always held up this bottle. And what that
bottle is and what this liquid is in this bottle is basically a liquid fuel produced
from coal. And I have held this bottle up to where I hope that every youngster, middle-aged,
and old understand that when I hold this up exactly what this is. This is fuel from coal.
So with the abundance of coal in Kentucky, and the ability to take that coal and produce
a fuel; to be able to gasify that product whether it be biomass or be coal and produce
other byproducts seems to me to be the right thing for Kentucky to do, and the right thing
for this nation to do. Now before that liquid fuel is turned into, before the liquid fuel
becomes this, it becomes this wax. And we always hear folks talk about coal and how
dirty it is and how bad it is, and all those things. Well, I happen to have another viewpoint.
Burt Davis tells me that this liquid fuel is the byproduct that is used before its turned
into this fuel that is basically a byproduct that if fruits that are apples and things
like that, that are shipped around the world this wax is actually used to coat that fruit
to protect it. So if you bit into a big apple this morning without peeling it you ate coal.
Anybody chewing chewing gum in here today? If you are, you re chewing coal. So for those
who believe that just one side of the story about coal is the side that you hear all the
time, I m here to tell you that because of the work that is going on here, we are mining
coal cleaner, and we re burning coal cleaner than we ever have in the history of time.
Can we do it cleaner? You better believe it. And this technology can make that happen.
So I m honored to be here today as we break ground on a really an extraordinary opportunity
for the Center for Applied Energy Research here at the University of Kentucky. And to
be able to have the collaboration that our legislation set forth, collaboration between
the federal government, the state government, this university, and the private sector is
basically what this legislation was all about. And I am proud, David, to stand here with
you and say that it s working. It is working. If we re going to produce good jobs, if we
re going to have a strong economy, I m one that believes if you can t control your destiny
in the energy field, you can t control your economy. So today is an exciting day that
we join here today to announce this technology. To be able to take gasification which this
Center has put in a tremendous amount of effort in this, is their expertise, to take gasification
technologies and to take the Fischer-Tropsch technologies, and to be able to take these
gasses, clean them up and make them operate more efficient and cleaner than they ever
have. So I m excited to be here today with all of you and have the chance to emcee this
program here today with all these special guests that we have. The first person that
I d like to introduce is a person I met just a few weeks ago. And one of the first things
when he came to my office that I showed him that I was so proud of that was taking place
here at the University of Kentucky was this fuel when I said Here is what you need to
learn about. You need to learn about this quickly. Well, he didn t know if it was fuel
or moonshine I had brought from Elliot County. He wasn t sure. This is liquid fuel from coal,
and one of the first opportunities I had to meet this man was an opportunity to talk about
the work going on here at the Center for Applied Energy Research, and the opportunity that
we have in the field of energy in the Commonwealth of Kentucky to be the international leaders.
And folks, we re gaining ground. We re making progress. And we ought to be proud of that,
and we ought to celebrate that, but we ve got a lot of work to do. But this can be the
place that is the place that people look to for its research and development to be done
in the energy field. And when that happens, Kentucky will be in the forefront. And Kentucky
will produce the types of jobs our people need and our people deserve. d like to introduce
to you Dr.Eli Capilouto. He became the 12th president of the University of Kentucky on
July the first of 2011. He s a native of Montgomery Alabama. Dr. Capilouto previously served as
Provost of the University of Alabama at Birmingham, and the Dean of UAB School of Public Health.
Since arriving at the University of Kentucky, Dr. Capilouto has focused on meeting faculty,
staff and students in UK s academic and professional schools, with alumni, friends, and community,
and with business leaders, and state lawmakers. And I can tell you, he has done that. I don
t know how many state lawmakers he has left to meet, but I guarantee it, Steve, it s not
very many. And I want to thank him for getting out in the communities and actually looking
at what University of Kentucky can do to better this great Commonwealth. He s earned many,
many different degrees. He was the Provost. He s been the Dean and Doctor of medical medicine
degree from schools of the University of Alabama. In 1991, he earned his Doctoral in Health
Policy and Management from Harvard University School of Public Health. It s a great opportunity
and a great honor for me to introduce the President of the University of Kentucky Dr.
Eli Capilouto. ELI CAPILOUTO: Good Morning. Thank you, Leader Adkins, and through your
leadership in bringing all these partnerships together. You honor the title that you have
earned and is bestowed upon you, and we are grateful. It was only a few weeks ago that
we gathered, I m starting to call these The Rocky and Rodney Shows, every other week we
get to celebrate these wonderful partnerships that give us so much hope about our future.
So I thank you. And I thank Secretary Len Peters. He joined us then, and since I ve
arrived in Kentucky I ve been hearing about you and your effective leadership and wisdom
in guiding us through these challenging times. So we appreciate all of you and your commitment,
and especially those who work in our Center for Applied Energy Research. I also want to
thank the members of our Congressional delegation who I have an honor to share this moment with
today. Congressmen Hal Rogers and Geoff Davis. Together they have served this Commonwealth
for 40 years providing steadfast support for our Center and for our University, but I know
they do it because they care about Kentucky s families, and we thank you. I d also like
to thank the representatives from Senators McConnell and Paul offices who are here today.
They too have been great partners in this enterprise. Our Center has 40 years of a rich
tradition of blazing frontiers. Our policies and challenges regarding global energy consumption
and security have changed and changed, but we ve always been there to answer the hard
questions of the day. And the impact of our energy usage and policy on these things are
far-reaching. Our national security, our economic competitiveness, and our basic way of life
all center around the way we consume energy. And in the Commonwealth, I don t have to tell
you these issues are even more important because they re linked to thousands of jobs. One of
our chief missions at the University of Kentucky is to attack the challenges that face our
Commonwealth. And as the demand for energy grows, so must our ability to produce it responsibly.
Thanks to the support of our federal delegation, and the Kentucky Energy and Environment Cabinet,
the University of Kentucky and our Center are leading the way with groundbreaking technologies
that will test the potential of finding new and environmentally sustainable ways of converting
biomass to fuel. Today s groundbreaking is an example of how a state s flagship university
should operate and should contribute. And how it can lead in solving one of the most
complex problems that faces the Commonwealth and the nation. Eric Schmidt, the CEO of Google,
a couple of years ago in the face of this economic challenge we are experiencing, said
America was going to have to innovate their way out of this. And there s no better example
than what we re doing today. Than a university coming together with so many partners to innovate
and earn our way out of it. We work collaboratively across our schools, our colleges, and with
other universities in tackling these problems. We ask the questions that others dare not
ask, and we find solutions that can redefine industries and the way we live. But our announcement
today is more than just about the research. It s about the way our research impacts the
lives of people all across this state. And while we do this at UK, what is a delight
for me is I know Rodney and our other faculty here at the Center, bring the next generation
of learners and leaders to work alongside them. That s one of the unique things you
can do at the University of Kentucky as a student. Work side-by-side with a world class
investigator, a researcher, a community leader. So that s our Mission: Creating energy security
for the state and country in partnership with all of you. And its part of something I ve
called The Kentucky Promise. It s a covenant established over 150 years ago when this university
was birthed. It promises to give the best education. It promises to push the boundaries
of discovery. And it promises to create solutions that allow us all to live a better life. And
more so to me, today s announcement is another manifestation of that promise, and the commitment
that we ve all made with one another. To work for a brighter day, a brighter day for those
who are here with us, and those who will follow us. So I thank all of you for the commitment
you ve made and this wonderful partnership. Thank you. (Applause) ROCKY ADKINS: Dr. Capilouto,
thank you so much. And I think the other thing that conversation we had was I wanted you
to always remember, and I know you will, that this is not the University of Lexington. It
s the University of Kentucky. And I know you know that, and I know you remember that, and
we appreciate that so much. Thank you. The next two gentlemen that I get a chance to
introduce here today the legislative district that I represent basically, their congressional
districts stretch across at the South, at the West, and at the North of my legislative
district. So I get the opportunity to work with both these gentlemen, and it s truly
an honor for me to have that opportunity. Serving Kentucky s Fifth Congressional District
since 1981, Hal Rogers is currently in his 16th term representing the people of Southern
and Eastern Kentucky, and is the longest-serving Kentucky Republican ever elected to federal
office. He is the Chairman of the House Appropriations Committee. Rogers was tapped in 2003 to lead
the sub-committee on Homeland Security. His overall congressional focus is on economic
development, job creation, fighting illegal drug use, and preserving the natural treasures
of Appalachia. He received his B.A. from the University of Kentucky, and also his law degree
from the University of Kentucky in 1964. It s a great opportunity and a great honor for
me to introduce Congressman Hal Rogers. (Applause) HAL ROGERS: Rocky, thank you very much for
the nice introduction. You re our champion in this whole arena, and this has got to be
a very satisfactory day for you personally, and we want to congratulate you especially
on the work that you ve done over the years on this topic. Mr. President, distinguished
guests, I m pleased to be here on this grand occasion. This project, to me, reflects the
very best that a land-grand university should be doing for its state and its people. Recognizing
the attributes that a state has, and then trying to utilize that for the very best purposes
for employment, and for the betterment of the people of that state. Mr. President, thank
you, and all of the University people for this day. Three years ago we announced the
seed funding for this dream research facility, $2 million in 2009. That s grown by the way,
to $4.42 million over that period of time, so inflation is grabbing us. But it s a pleasure
to join you once again to break ground now on this facility that has the potential to
change the landscape of the way we produce and use fuel in the world and in this country.
Rising energy costs create a huge burden on Kentucky s hard-working families. They re
already struggling with economic uncertainty and a national unemployment rate of over 9%,
and we need to make a more concerted effort to wean ourselves from the stronghold of unfriendly
foreign countries and utilize the abundant resources right here on American soil. Coal
is the single most abundant resource at our disposal in the whole country, and the basic
technology to convert coal into liquid fuel has been around for decades. But now I think
is the time to make targeted investments. To engage our best and brightest in the quest
to make clean, coal-based transportation fuel commercially available, and lower the price
at the pump for American consumers and, by the way, the U.S. military. m confident that
the groundbreaking research that is being performed by the scientists here at the University
of Kentucky Center for Applied Energy Research will prove vital on both the national and
local levels, particularly in the creation of high-paying jobs here in Kentucky. One
of the top priorities for our military is to find viable alternatives to oil-based fuel.
With this new facility, researchers will be able to ramp up their development of biofuel
and coal-based fuel with a focus on reducing the amount of carbon dioxide created when
converting coal and biomass to liquid fuels. There s no question that the research produced
on this campus will be of great value in reducing our nation s dependency on foreign oil. To
our environment. To cheaper prices at the gas pumps. And then of course, the support
that we need in our Armed Forces. In addition to supporting the research at UK, I ve been
working in D.C. to expedite the deployment of coal to liquid fuel technology. In June,
I co-sponsored the American Alternative Fuels Act of 2011. s a proactive response to rising
gas prices. It promotes the use of domestic alternative fuels, including from coal, biomass,
algae, and waste. It allows the Department of Defense to enter into long-term contracts
for purchasing alternative fuels. It would require the EPA to take into account both
the increased demand and decreased emissions resulting from electric vehicle use, and setting
performance standards for new electric generation facilities. It s supported by the National
Mining Association, and the bill comes at no expense to the taxpayers. In addition to
supporting the research for alternative fuels, my colleagues, many of them, and I are working
to trim the reigns of the EPA and its administrator, Lisa Jackson. She came before our committee
earlier on in the year to testify, and I told her that she was exceeding her bounds, that
the regulations she was putting out were not authorized by the Congress, and that we were
going to rein her in. And that s what we re in the process of trying to do. re joined
by the U.S. Courts, by the way, who also say that she s exceeding her bounds. Well, her
budget will suffer. The excessive federal regulations: I call it strangulation by regulation.
Her extensive regulations are killing jobs, are holding back the Appalachian part of the
United States of America. They re trying to regulate the coal industry out of business.
Especially Appalachian coal. But this research that will be conducted here, and is being
conducted here, gives us a new hope. It gives us new understanding of where the nation has
to go. And that s to utilize the resources we have on and in our soil. It s heartening
to know my home university, my alma mater, is the one that s responding to this challenge.
So Godspeed to you. We want to see this be successful beyond even our own imaginations.
And congratulations again to Rocky, leader, his years of dedication to this project and
idea, and all the rest of you who ve had a hand in where we are today. Congratulations.
Godspeed. (Applause) ROCKY ADKINS: Make no mistake about it: this investment, this project
would not be taking place if it were not for funding, without appropriations of money.
Again, this is a collaborative effort of funding. I believe four and a half million dollars
of federal money, of government, these two gentlemen and our senatorial delegation worked
on very hard. These two gentlemen basically championed that effort for the four and a
half million dollars, right now I think seven hundred and fifty thousand dollars of state
appropriation that we placed in the state budget and four hundred and fifty thousand
from the university. So really the whole foundation of what we wanted to see happen here at this
Center is taking place in this project. And I know the private sector is involved as well,
Rodney, so Congressman Rogers, I think you have some kind of saying that goes like this,
and this may not be exactly right, but I heard you say this one time, and I think you said,
A vision without funding is a hallucination. And there s a lot of truth to that, you know.
I heard you say that one time, and I never hardly heard it put just like that, but a
vision without funding is a hallucination, and today we re here to basically see good
investments advance research and development. An opportunity to move Kentucky and this nation
to the forefront in the energy field. The next gentleman that I would like to introduce
to you is Congressman Geoff Davis. He represents Kentucky s 4th District. He serves on the
House Ways and Means Committee where he is Chairman of the sub-committee on Human Resources,
and as a member of the Trade sub-committee. He is also Co-chairman of the National Security
Inter-Agency Reform Working Group. Congressman Davis attended the U.S. Military Academy at
West Point. Upon graduation, he served as an assault helicopter flight commander in
the 82nd airborne division and later ran U.S. Army aviation operations for peace enforcement
between Israel and Egypt. Congressman Davis is a former Army Ranger and a senior parachutist.
Congressman Davis, we re honored to have you here today, and thank you for your work on
this very, very important project. Thank You. (Applause) GEOFF DAVIS: I just wish I had
the knees from back then when those hard landings began. I echo Hal s comments in thanking Rocky
and all of you out here who ve worked so hard. One of the pioneers behind the scenes is Robert
Addington who has tirelessly shared vision over the last decade of moving in this direction.
The direction I will go instead of revisiting the specifics of policy is maybe talk for
just a brief moment about the big picture, and a couple of the issues that follow from
that. On the way down in the car today, we were talking about the solutions and the inevitabilities
of some of the great strategic conflicts of the last century. In particular, the discussion
of the Second World War inevitably came up in this, and some of the issues around that.
One of the things that was noted by those who became our adversaries was in both Japan
and in Germany in terms of those who had to deal with the economic issues and the military
conflict that unfolded was: though those wars were not inevitable in and of themselves,
once they engaged the United States of America, their defeat was inevitable if we chose to
simply continue. And the reason for that, in the writings particularly in the German
high command was not the issue of soldiers, it was the industrial infrastructure and the
power of this nation, and its inherent independence, lack of dependency on all of these other parts
of the world economic system in order to flourish. And not only was their assessment prophetic,
but it laid the foundation for us to become the greatest industrial power in history,
to be the greatest influence for peace, frankly, in history. Now we step to inevitabilities
today. We re in a challenge in Washington that literally, and Chairman Rogers is one
of the leaders on the forefront of this trying to slow this train down of the growth of government
and the reach of regulation, the battle of worldviews. Of not only what it means to be
an American, but what the economy of America should be based on. We have a lot of folks
who are well-intended, but are wanting to choose winners and losers rather than allowing
the marketplace and science to work themselves through for the best products, the best technologies,
and the greatest innovation, of which I think this, is going to be a great boom to us in
the long run to come forth. We spend nearly a trillion dollars a year sending money outside
this country into parts of the world that are not necessarily our friends. More than
that, a lot of our money has come back to us in other ways, and the ways that hurt this
country in the long run and create increased dependence, and ultimately, problems for the
economy. The challenge that we have, and I believe that we re at a time as a nation where
that old saying, Greatest source of inspiration is desperation. America is now at that crossroads.
With our debt. With the internal challenges. With the economic problems that we face. We
have to make some choices as a people. I believe that we re looking at one of the choices for
another American century. We have the resources at our feet if we choose to use them. As my
friend Rocky likes to say and I ve quoted him often on a national broadcast, America
can have a third industrial revolution if we will use the resources that God gave us.
To create jobs, to create a future, we have the best environmental protections of any
major industrialized country in the world, yet now we re in a battle politically to negotiate
with ourselves to weaken ourselves in the world economy. If we use these resources,
we will prosper. Not only will we prosper ourselves, but we ll have a greater, positive
effect around the world. Furthermore, when we look at the challenges we have internally,
I know university presidents were in Frankfort this week talking about trying to fund their
programs. Kuwait makes more money on their Sovereign Wealth Fund, in interest, than they
do on revenue from oil. We could be the Dubai of the Ohio Valley in this state by using
our resources in a responsible way that will create jobs and create taxpayers instead of
raising taxes. Fuel innovation. Build a future for all of these products and also the ideas
and technologies that don t exist yet. Who would ve thought when this university began
150 years ago that we would be passing through already three different generations of energy
production? Now we have the seeds to move into that future. But the single greatest
constraint to our move forward is the last thing that the Chairman talked about: and
that is the regulatory structure of those who do not have the background in business;
who do not have the operational background in engineering; who do not have the operational
real-world in the field experience with science, who are imposing ideology to pick winners
and losers that are not only hurting us economically, but is putting us into a place that is perilous
strategically as we go into this critical new century. You referenced the Environmental
Protection Agency as one. We can name another host of agencies. I can go across the spectrum
of every agency that reaches into the heart of Americans. One of the things that we have
been doing to assist in this process, not simply to push forward and innovate, but since
you used the term to reign in that agency, I introduced a bill two years ago called The
Reins Act: Regulations of the Executive in Need of Scrutiny to restore, not in a partisan
basis, this is not anti-regulation because standards are important, but to restore the
Constitutional balance where the people s elected Representatives and Senators would,
in fact, have oversight over the Executive Branch to now unilaterally step in and make
rules that were a part of the will of the American people. And particularly when we
get into the realm of energy production. Not only our state, our region, but ultimately
our country is going to be tremendously adversely affected for what I can tell you from the
meetings and hearings that I ve been in is not a discussion on engineering. It s not
a discussion on science. It s a discussion on ideology, and that will hurt us as a people.
What the Reins Act will do is very simple. It came over an idea from a constituent, a
Kentuckian walked into my office as we were wrestling with a wide variety of regulations
and economic impacts. And this particular individual was angry that his sewer bill had
nearly tripled as the result of the consent decrees that had come down. I know people
in Lexington and every other major urban area in the country has felt this. It s an unfunded
mandate. Its taxation by regulation, not by legislation and representation. He asked me
one simple question, How come you all can t vote on these rules? And I had a revelation.
We went back and drew up a bill, and what the Reigns Act does is very simple: Any agency
of the federal government that chooses to implement a rule, and I have yet in over 20
years of professional business and government experience to hear any rule actually being
changed at the end of the 60-day comment period. For a major rule, one that has a hundred million
dollars or more in cumulative economic activity, before it can be enforced on the American
people must come back to Capitol Hill to be voted on. Stand-alone in the House, in the
Senate, under joint resolution, and be signed by the President. What we want to do is give
leaders like Chairman Rogers greater tools to reign in the government and to reign in
the agencies that are acting unilaterally apart from the will of the people. Hal and
I are both sponsors of this legislation. It passed out of the Judiciary Committee a week
ago, and will be on the Floor in the very near future, before the end of the year, as
a first step in this restoration of balance. So that the American people can have control
of their government. I appreciate what you re doing, and together we re going to work
in these different sectors. But ultimately, the thing that I would leave you with is we
are dealing not with simply ideas or thoughts. You know, the joke in Washington is, Somebody
here in Kentucky has a little too much white wine at a, you know, an after party after
an event and they share an idea, in the morning they ll sober up But the challenge we ve got
in Washington is: they don t sober up. Those things become laws. And right now the participation
of all of you is so critical in this time, because referring to the inevitabilities:
We have rising economic super-power in Asia. We have challenges that we re facing in destabilization
across Southern Asia, through Africa. Issues in Latin America. The changes that are taking
place in economic patterns in the Pacific Rim. And Rocky hit it on the head at the very
beginning of this. If we are going to maintain the nation, and pass to our children what
was passed to us by those who came before us we must act now. We ve got to dig into
our own earth. Use our own resources, and build our own future. Thank you and God bless
you. (Applause) ROCKY ADKINS: Congressman Rogers, Congressman Davis, thank both of you
for being here today, and thank you for your commitment to this Center and to the issue
of energy. We appreciate that so much. We look forward to working with you in the future.
The next person that I want to introduce to you is a person I have the opportunity of
working with on a daily basis in Frankfort on issues like we re here to discuss today,
and break ground on today, but he really reaches much farther than that. I have a deep respect
for our Secretary of our Energy and Environment Agency, our Cabinet. Len Peters is internationally
known for his work in many different fields. I know you know him here at the University
of Kentucky, Senior Academic Administrative positions here at this university. At Virginia
Tech. He has also returned back from retirement, a short retirement, to go back to work for
Governor Bashear to lead up the Cabinet for Energy and Environment. He served five years
at Battelle s Pacific Northwest National Laboratory. He is a chemical engineer. He got that degree
from the University of Pittsburgh. But I have a deep respect for this man. He is respected
not only in the Capitol Building with the Kentucky General Assembly, but he is respected
as well at places like this. Our academia areas and also with the private sector. He
is known around the world for the work he has done in many different areas. In my opinion,
if you want respect on an issue, a guy like Len Peters who has worn the white jacket to
be called a person who has actually done the work, who has been in the trenches, I think
is pretty special for Kentucky. And we could not have him at a more important time not
only for the Commonwealth of Kentucky, but for this entire nation. He is serving in many,
many leadership positions not only here in Kentucky, but I have the opportunity to serve
with him on the Southern States Energy Boards where we re doing some very, very important
work in many , many different areas. I hope, Secretary Peters, that the General Assembly
is giving you the tools that you need to do the work that you need to do to help Kentucky
be better place, especially in building our economy and producing good jobs. So if you
would, give a big round of applause for my good friend and your good friend: Secretary
Len Peters. (Applause) LEN PETERS: Thanks Floor Leader Adkins for that very kind introduction.
It s always great to be at the University, President Capilouto. Kentucky is my adopted
state. I came to Kentucky in 1974 in an academic position in chemical engineering and I always,
I took a sojourn into Virginia and then stayed in Washington, we always knew we were coming
back to Kentucky, and it s always great to be here. And it s great to be here at the
Center for Applied Energy Research. Congressman Rogers, Congressman Davis, thanks for your
help. I think we have to really exploit, and I mean exploit in the truest sense of the
word, the brains in our academic institutions to take us to meet the challenges we have
in the energy arena. And I think, President Capilouto, as you mentioned, partnerships
is the way to go. We talked about it on the Algae Project. I think federal, state, private
sector partnerships is the way for us to really move forward. When you have skin in a game,
okay, you really are going to make some progress and you re going to pay some attention to
it. But I want to congratulate the University of Kentucky and the Center for Applied Energy
Research on today s groundbreaking and Governor Beshear sends his congratulations as well.
And again, I want to thank everyone for their support. d like to commend Representative
Adkins and all the members of the General Assembly. David, it was great to work with
you during that period of time as well. For your leadership in promoting policies that
positioned Kentucky to truly be a national energy leader. The General Assembly has been
very supportive of coal and biomass conversion initiatives, and we owe the Legislative Branch
here in the state a big thanks for helping to make today s groundbreaking a reality.
The Kentucky Energy Environment Cabinet has provided funding for this particular activity
because we see coal and biomass conversion fulfilling the goals of Governor Bashear s
Energy Plan. It really does meet the goals, it fulfills the goals of the Executive Branch
in the state, and the Legislative Branch in the state as well as really working forward
and satisfying the goals of the Congressional delegation as well. These goals do include
growing our energy economy by fostering value-added industries for our abundant coal and biomass
resources, and finding ways to enhance energy security. As a nation, we must use all of
our resources if we are to provide reliable, clean and affordable sources of energy. The
research that s going to be done in this facility will also help to fulfill another important
goal: and that is to improve the efficiency and reduce the carbon dioxide emissions of
coal and biomass conversion. As Governor Beshear has said, the importance of using our abundant
and affordable coal and biomass resources to meet growing energy needs, both for electricity
and transportation, cannot be overstated. In those words, we have to find ways to use
Kentucky s coal resources in an environmentally-sensitive manner, and do so in such a way that our citizens
and industries can continue to benefit from affordable electricity rates. The urgency
to do this is more compelling today than ever as we face a growing number of more stringent
federal regulations affecting the electric power industry. Regulations that will inevitably
lead to higher cost for electricity generation. Kentucky s biomass potential is also significant,
and our ability to fully realize this potential will bring economic and job benefits to communities
throughout our state. I was in China recently and couple of people that were on that trip
are here. But I was in China recently with a group from Kentucky touring several coal-related
sites and facilities. The trip reiterated for me just how important coal will remain
as the leading fuel source globally over the next several decades. The type of work underway
here at the Center for Applied Energy Research, therefore, has global implications. In China,
they are looking for the best technology to improve the efficiency of their coal-conversion
process and other related coal activity. It s not just in China. Other growing economies
will be doing the same thing as well. So coal is a global resource. It s a resource we have
to take advantage of and use responsibly to meet our energy needs. We should all be proud
of the Center for Applied Energy Research for its accomplishments in the past and for
its vision for the future. It s certainly a pleasure to work in partnership with Dr.
Andrews and others at the Center on this, and other vital energy projects. Good luck
in the future and we look for great additional things to come. Thank you very much. h+Jw
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