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President Obama tours Fremont's Solyndra, promotes clean energy

Dana Hull
San Jose Mercury News
05/26/2010

President Barack Obama, in a trip designed to highlight both green jobs and the urgent need for clean energy as oil gushes in the Gulf of Mexico, toured solar manufacturer Solyndra Wednesday morning and then addressed a select crowd of 250 people at the Fremont company's new factory.

The visit, Obama's second to the Bay Area since becoming president, shone a huge spotlight on Solyndra, a Silicon Valley company that has largely tried to stay out of the limelight as it prepares for its initial public offering of stock.

Calling the spill in the Gulf "heartbreaking," Obama stressed that the country is paying a price for the ways it produces, uses and wastes energy.

"Our dependence on foreign oil endangers our security and our economy," Obama said. "Climate change poses a threat to our way of life — in fact, we're already beginning to see its profound and costly impact. And the spill in the Gulf, which is just heartbreaking, only underscores the necessity of seeking alternative fuel sources."

Obama noted the entrepreneurial spirit that defines California and said Solyndra is an example of a company "leading the way toward a brighter and more prosperous future."

Last year, the Department of Energy gave Solyndra a $535 million loan guarantee funded through the American Recovery and Reinvestment Act. Five-year-old Solyndra was the first company to receive a loan guarantee, and it has become a poster child for the success of federal stimulus spending and its ripple effects on the economy.

Obama also gave a nod to Tesla Motors, another Silicon Valley company that was awarded a hefty federal loan guarantee, $465 million.

"Tesla is joining with Toyota in a venture to put a thousand skilled workers back to work manufacturing an all-electric car," said Obama to heavy applause. "And this is only the beginning. We're investing in advanced battery technologies to power plug-in hybrid cars."

Obama vowed to pass comprehensive energy and climate legislation this year, and praised Solyndra employees and construction workers for their hard work to develop clean energy.

"Every day that you build this expanded facility, as you fill orders for solar panels to ship around the world, you're demonstrating that the promise of clean energy isn't just an article of faith — not anymore," Obama said. "It's not some abstract possibility for science fiction movies or a distant future 10 years down the road or 20 years down the road. It's happening right now. The future is here."

Obama arrived at Solyndra shortly before 9:30 a.m. and had a 15-minute tour of the company's manufacturing facility with Chris Gronet, Solyndra's founder and CEO, and Ben Bierman, executive vice president of operations and engineering.

"This is impressive," he said. "It really is."

During the tour, Obama made a point to meet and shake hands with Solyndra employees, most of whom were wearing white lab coats and hard hats. He also helped Gronet hoist a completed Solyndra solar panel comprised of 40 cylindrical tubes that weighs about 60 pounds.

Visible from Interstate 880, Solyndra's "Fab 2" is one of the largest construction projects currently underway in the Bay Area. The 300,000-square-feet facility has generated 3,000 construction-related jobs. One some days as many as 1,000 workers are on the site, though most stayed off the job Wednesday because of the tight security surrounding Obama's visit. Manufacturing equipment will be installed this summer, and commercial shipments of solar panels should begin later this year.

"There's no way we could have put this factory in the United States without the DOE loans," said Gronet, adding that Solyndra has applied for a second loan guarantee through the Department of Energy.

While the president focused on job creation and the economy, Solyndra used the high-profile visit to press Obama on the need to increase domestic demand for solar. The federal government uses vast amounts of electricity and could lead by example if it installed solar panels on government buildings throughout the country. Increased demand would create both manufacturing and installation jobs.

"We drove home the point that solar manufacturing creates jobs along the supply chain," said Gronet. "His ears perked up when he heard that."

Obama had a short private meeting with Gov. Arnold Schwarzenegger before his public remarks.

He began his speech by talking about how pleased he was to be back in northern California and reminisced about his honeymoon 17 years ago, when he and Michelle visited Napa Valley and then drove down the Pacific Coast Highway.

"I was fantasizing about going and renting a car," Obama said. "I was told that would cause a stir, so next time."

Alan Dillon, a construction worker from Santa Clara, was one of about a dozen men who got to pose for a picture with Obama at the construction site.

"He shook each of our hands, and he thanked us for working hard," said Dillon, 50, a supervisor with general contractor Rudolph and Sletten. "It's great that he wants to build factories and put people back to work."

Officials with the city of Fremont , which has been riding a wave of good publicity, were overjoyed Wednesday.

"We're thrilled to have Solyndra, and we're thrilled to have the president come out," said Fremont Mayor Bob Wasserman, 76. "His words were very encouraging, and Tesla will kick in and grow."

Solyndra currently has 1,000 employees and expects to hire an additional 25 new employees a month for the remainder of 2010.

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