Green jobs could cost $4 million

Gov. Timothy M. Kaine believes that protecting the environment can help protect Virginians from the grim economy.

"Creating green jobs and a renewable energy sector of the Virginia economy is one way we can create opportunity from our current economic challenges," Kaine said in a statement.

Kaine outlined a green-jobs initiative yesterday at the Virginia Beach headquarters of a company that installs solar panels.

Kaine proposes to offer financial incentives to makers and buyers of equipment that produces power but doesn't produce a lot of greenhouse gases.

The plan could cost more than $4 million a year in spending and lost revenue, depending on how many people use the incentives, Kaine officials said.

The Virginia budget is facing a nearly $3 billion shortfall, but the governor has proposed a balanced spending plan that includes the green-jobs program, Kaine spokesman Gordon Hickey said.

There's a "good chance" the General Assembly will approve the program, Hickey said.

State Sen. John Watkins, R-Powhatan, a member of the Finance Committee, said he generally favors efforts to bring jobs to Virginia but needs to see the details of Kaine's plan before taking a position on it.

Watkins indicated that new expenditures would be a tough sell. "There is no new money," Watkins said.

In his program, Kaine proposes setting aside $2 million to extend grants to manufacturers of equipment for such energy sources as wind and nuclear power.

The grants would be provided only after the businesses are running, paying taxes and providing new jobs, said Steve Walz, Kaine's senior energy adviser.

Eventually, the state would recoup the money spent on the grants, Walz said. "We wouldn't give these grants unless it's beneficial to the state."

Kaine also proposed:

Contact Rex Springston at (804) 649-6453 or .