Official: Mass. To Recoup $13M From Evergreen Solar Inc.

BOSTON (AP) — Massachusetts is expecting to recoup about $13 million from the abrupt shutdown of a solar panel manufacturer that received tens of millions in state aid.

Economic Development Secretary Greg Bialecki said the $13 million includes benefits the state offered Evergreen Solar to encourage it to build its manufacturing plant in Devens.

One benefit required the company to employ a certain number of workers over a specified number of years. The company fell short of that goal. Bialecki said the state also will recover money now that the company’s dollar-a-year lease will be revoked.

Bialecki said the state directly invested $31 million to the company, less than the reported $58 million.

Evergreen announced last week it was closing its Devens plant by the end of the 2011 first quarter as it moves its manufacturing to China.

House Speaker Robert DeLeo wants to speak with Gov. Deval Patrick about the closing and the House Republican leader is calling for an investigation.

Evergreen CEO Michael El-Hillow said dropping prices and competition from heavily subsidized solar manufacturers in China made the plant “no longer economically feasible.”

(© Copyright 2010 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

  • Robert Rogers

    This is never the type of business news that you like to see. There has to be something we are not seeing.

  • Frank Davis

    Why are we surprised? Companies have been doing it for years on state & town levles. They get rate cuts or “bribes” to come to areas & set up to help the workers in that area. Then all of sudden they leave for one reason or another. This company took money from us and now is leaving? If the Commonwealth doesn’t do anything about it, we will know that the pols of this state are in the back pockets of too many big companies.

  • Jack Wood

    Hopefully Obama can get China to stop subsidizing their renewable-energy factories.

  • hard worker

    Wow, that didn’t last long… making this choice now, this co. didn’t do their homework, and make sure they could make this work, and nether did the state!

  • cynic

    Leave Evergreen here…Send DUH-val to China.

  • How Much Can State Expect From Evergreen Solar? « CBS Boston – News, Sports, Weather, Traffic and Boston's Best

    […] (CBS) – Massachusetts hopes to recover $13 million from its failed $58 million deal with Evergreen Solar in […]

  • Mike

    This reminds of the time many many years ago when the well known defense contractor received significant tax incentives in exchange for keeping their payroll at a certain level. It turns out that the gave the Executives bonuses while at the same time terminating a vast amount Hourly Associates.
    That was the loophole
    I hope now that Massachusetts has learned it’s lesson. you know the saying
    “Fool me once shame on you..fool me twice shame on me.
    Finally, let me add by saying that I was an associate at the Marlborough facility some time ago. The culture of the company was something i’ve never experienced before. If I never experience that again that will be soon enough
    for me.
    In closing, let me add by saying that during the Blizzard of last week I could not help but hearing on various TV broadcasts that some reporters could not understand why there was such a high volume of vehicular traffic even after Govenor Patrick declared a State of Emergency.
    I have news for you, There are employers in this state that have a total disregard for the safety and well being of their associates. They rule by threat and intimidation.
    That my friends is the definition of a SWEATSHOP.

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