Oct. 14--United Solar Ovonic LLC is expected to announce today that it plans to build a new thin-film solar panel plant in Battle Creek that will create 350 jobs within the next three years.

The $220-million plant is expected to help boost Michigan's efforts to become a leader in alternative energy, an industry that economic development officials believe will help diversify and grow the state's economy.

To attract the plant to Michigan, the Michigan Economic Growth Authority board is expected to approve today a $17.3-million, 20-year tax credit for the plant, which will be located in the Fort Custer Industrial Park in Battle Creek. United Solar had considered building the plant in Pembroke, N.Y. The city of Battle Creek has also proposed a number of other incentives, including a 12-year property tax abatement.

"Today's announcement validates our aggressive economic strategy and sends a clear signal to the rest of the world that Michigan is a great state to do business in," James Epolito, CEO and president of the Michigan Economic Development Corp, said in a statement.

Auburn Hills-based United Solar, a subsidiary of Energy Conversion Devices Inc., also has the option to build a second production facility at the site that would employ another 350 workers.

It has been rapidly expanding production of its solar panels to meet rising demand. It has two production facilities in Auburn Hills, two in Greenville and one in Tijuana, Mexico.

In a statement, Mark Morelli, ECD's CEO and president, said the economic incentives played a key role in the company's decision to build the plant in Michigan.

United Solar is one of nine economic development projects that Michigan officials plan to announce today. Altogether, the projects are expected to create 7,556 jobs and generate nearly $500 million in investment in the state.

Though Michigan lacks the plentiful sunshine found in many Southern states, it is home to two leading suppliers for the solar power industry: United Solar and Hemlock Semiconductor Corp.

Contact KATHERINE YUNG at 313-222-8763 or kyung@freepress.com.

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