Far East trip focuses on jobs

Northern Indiana Public Service Co. executives saw impressive sights on a recent visit to Japan and Taiwan.

But one in particular, seen hundreds of times, stuck with NIPSCO director of economic development Don Babcock.

"You see little motor scooters everywhere on the streets, particularly in Taiwan," Babcock said. "The stop lights are set up so scooters and mopeds can go ahead and squeeze right through."

It must be a sign of the times when executives with the state's biggest utility notice their hosts' energy conservation measures. That was bolstered by the fact Japan likes to brag it is the world's most energy efficient economy.

Babcock and NIPSCO president Mark Maassel were part of a contingent of 78 that accompanied Indiana Gov. Mitch Daniels on a trip to Japan and Taiwan in a bid to lure more foreign investment to Indiana. The trip took place July 30 through August 7.

The contingent was doing some bragging of its own about Indiana's advantages for business, including its two-year-old tax restructuring and central location, according to Maassel.

The Northwest Indiana contingent focused on companies that "make sense" for Northwest Indiana, such as manufacturing and agriculture.

"We did not focus strictly on companies already here in Indiana," Maassel said. "We made contacts with companies that don't have a presence here yet. This really was an attraction campaign."

Heavy industry and agricultural companies were two targets for the Northwest Indiana delegation. They also met with companies that supply Japanese companies already established here.

Maassel would not name specific companies involved in meetings. But Gov. Daniels has said the contingent met with top executives from Toyota Motor Co., Mitsubishi, and Fuji Heavy Industries, owner of Subaru Indiana.

A number of government officials and company executives meeting with Daniels are graduates of Indiana's state universities, including Purdue, Indiana University and Ball State.

There are 200 Japanese-owned firms in Indiana, with 20 of those in NIPSCO's service territory in Northern Indiana, according to Babcock. Those 200 firms provide 45,000 jobs for Hoosiers.

NIPSCO has a vested interest in economic development in northern Indiana. A majority of its electricity is sold to industry. Industry and business together provide a majority of its electric revenues. In addition, jobs for Hoosiers produces more residential customers.

The utility has 712,000 natural gas and 445,000 electric customers.

The current run-up in energy prices, which includes gasoline for cars and natural gas supplied by NIPSCO, does not seem to be a block to foreign investment, Maassel said.

"Energy prices are up around the world, and a barrel of crude oil costs the same everywhere in the world," Maassel said. "All countries, all individuals are being affected by this."

The decline in the value of the dollar versus other currencies in the past two years also does not appear to be an impediment to foreign investment, Maassel said. That is because foreign firms look at long-term trends when making investment decisions.

In fact, supplier companies to Japanese firms can cut costs by locating here in the United States, Babcock noted.

"From NIPSCO's perspective we see this as an important step in growing good quality jobs in Northwest Indiana," Maassel said. "Japanese and Taiwanese companies are all about growing relationships and commitments over time."