The Money Is Green (6 page)

The speakerphone was silent for a second. “Of course, what can I help you with?”

“You’re familiar with the Antelope Valley solar farm that’s being proposed. There’s a lease that needs to be given to the developer across Bureau of Land Management, or BLM, land. The developer is Inter-Power and I would like you to support my proposal to accept them as the lessee.”

The room was silent again and Waters raised an eyebrow at John.

“Uh, Congressman Waters, didn’t Inter-Power get awarded the Copper Mountain lease?”

Waters nodded. “Yes, they did. I understand they’re close to letting the contract out to the PV solar panel manufacturer so that they can get started. I believe all their permits are in hand.”

“Don’t you think it might be prudent to see how Inter-Power performs on the first project before we give them a second project?” Congressman Chambers asked. “These are billion-dollar projects and shouldn’t be taken lightly.”

Waters stood up and walked behind his chair, putting his hands on its back. “Inter-Power has been thoroughly vetted, Congressman. I have complete confidence they will bring Copper Mountain to a successful completion and we will have one of the largest solar farms in the world in the western United States.”

“What about the solar panel manufacturer? Do you know if the American company, RayTech, is going to get the contract? I know they were banking heavily on getting it. It would be awfully embarrassing if one of those companies subsidized by the Chinese government came in and snagged it. All the jobs and all the manufacturing, along with millions of dollars being spent overseas, would not go over well.”

Waters looked over at John. “No, Congressman, I agree with you, that would not look good if a Chinese company got the job, but I think RayTech is definitely in the mix. I will make a few calls and see what I can find out.”

“I think that would be a good idea.” The congressman paused then switched subjects. “Well, can I count on your support for the appropriations bill?”

Waters made a funny face at John, then mouthed slowly, “I’ve got him by the...” as he grabbed his crotch.

John put his hand to his mouth to suppress a laugh.

“If I can count on your support of the BLM lease to Inter-Power, myself and my coalition will support you, Chambers. I wish you well with the vote.”

There was a long moment of silence before Congressman Chambers answered. “I didn’t expect to commit to the lease this soon, but if you’re sure Inter-Power can perform, I’ll support them.”

Waters hopped back into his seat and made a thumbs up sign. “Thank you, sir, and I’ll see you soon.” He leaned forward and turned off the phone. He clasped his hands in delight. “Well, my boy, that’s how things get done in this town!”

John shook his head in seeming disbelief. “Congressman Waters, you are amazing. I just hope your faith in Inter-Power is well-founded.”

S
IX

J
ason exited Brian’s Denali SUV and stood next to him, gazing at the shiny new seven-story building standing majestically if front of them, its green-hued windows reflecting everything it faced. The building stood tall against the backdrop of the foothills surrounding Fremont California. The RayTech plant could easily be seen by commuters driving north or south on the 880 freeway. Eighteen charging stations for electric cars were lined up at one side of the parking lot. Rows of carports stretched out, each carrying a bank of solar panels on top of them, all tilted at thirty-five degrees and facing to the south. Brian, the owner and Chief Executive Officer of Inter-Power, and Jason were about to be given a tour of the inside offices of the building where all the management staff worked. Brian stood straight, looking up at the sleek new building. Dressed in a pair of dark slacks and a white dress shirt, he looked the part of the successful businessman he was.

Their guide that day was a recent Stanford graduate who enthusiastically pointed out all the energy-efficient items that went into its construction. As they passed through the double glass doors of the office into the panel-manufacturing facility, he pointed at the
conveyor belt that snaked around the huge warehouse. Machines and men clanged and banged away at items as they moved along, making it difficult to converse. The guide was almost yelling when he said, “Those belts carry each solar panel through the entire process from the frame to the final coating. As you can see, it moves rather quickly and some of the more delicate parts are done by the robots working along the assembly line.”

Jason pushed his white hardhat up so he could see skyward better. This is an impressive assembly line, I’ll give them that, he thought. They sure didn’t scrimp on anything, either inside the offices or in the factory. This place makes our plant in Shanghai look like something out of the stone ages. He studied the guide as they walked toward a large crane nearby. This kid can’t be more than twenty-four but he sure knows a lot about photovoltaic solar panels. He might be a good person to hire down the road.

Brian reached out, tugged on the young man’s short-sleeved white shirt, and shouted into his ear to be heard. “Hey, Perry, this is impressive, but how can you compete with some of the existing solar panel makers who don’t have your overhead? I mean, you told me they’ve spent a hundred and seventy-five million on the offices and plant. How is RayTech going to keep the price of its panels competitive?”

Jason leaned in and listened intensely.

The guide stopped and folded his arms across his chest. “Well, Mr. Thompson, our panels are so easy to install, it only takes about half the time and labor. We also have the most efficient solar panels in the world, and our twenty-five-year warranty is the best in the business.”

Brian nodded. “I get that, but RayTech is a two-year-old company. How do you know your panels will hold out, and who’s going to stand behind your warranty?”

Perry smiled. “We’ve had some of the most rigorous testing, and the failure rate is miniscule. Besides, the federal government will stand behind us.”

“But what is the actual price of the solar panel itself?” Brian pressed. “It’s hard to compare your cost against, say, a company like Soltech’s panels.”

Jason stood expressionless and listened. I’m glad Brian didn’t tell Perry that I’m with Soltech. I’m not sure he would give up too much information to a competitor.

Perry made a face as he rubbed the front of his iPhone against his dark slacks. He pulled up the calculator app and started punching in numbers. “I don’t like to badmouth my competitors, Mr. Thompson, but RayTech’s product and Soltech’s products are not in the same category as far as quality. It’s like comparing a Volkswagen to a Porsche.”

Jason winced as he digested that comparison. Ouch, he thought. That’s not even close. We build a very reliable panel and can compete with anybody’s panels. Our panels have been rated slightly higher than Raytech’s by the industry’s watchdogs.

“That may be true, young man,” Brian said as he looked at Jason, “but the major solar farm developers like Inter-Power don’t warrant a Porsche, nor would they support one.” He leaned over and looked at the numbers on Perry’s phone. “Humor me, Perry. Say we were talking about a five-megawatt system. What price per watt would you be able to sell these panels for?”

Perry’s eyes lit up. “A five-megawatt system? We could get really competitive for a job like that. The price per kilowatt for our panels would be around five dollars and forty-five cents.”

Jason nodded and watched Brian’s expression. He did some quick math in his head. We’re quoting four dollars and twenty cents per watt for that same panel. Even if the labor to install RayTech’s system is one half of Soltech’s, they aren’t competitive. How are they going to stay in business? Mei Chen could be right; we might bury them.

“Is there anything else you would like to see, Mr. Thompson, or you, Mr. Ballard?” Perry asked as he led them back toward the offices.

“No, that was very educational, Perry,” Brian answered. Once inside the office they handed the young man their hardhats. “You’re welcome to give me a bid on the Copper Mountain project, but I think you’re going to need some time to work out the bugs before you can handle an order as large as that.”

“I understand, Mr. Thompson, but I appreciate the opportunity to show you what we can do. I’ll get my team working on the proposal and have it to you before the deadline.”

They all shook hands, and Brian and Jason headed out the front door. When they reached the black Denali parked under the one of the carports with the RayTech solar panels on top, Jason stopped and looked back at the tall building, admiring its sleek lines and sleek design. “These guys won’t last three years, Brian,” he stated. “The Chinese government is subsidizing this industry so much it’s driving the costs down at a scary rate. With the amount of overhead these guys are generating, they won’t be able to build them cheap enough. I’ve seen Soltech’s factories with my own eyes. I’ll bet RayTech pays one worker more in a day than Soltech pays the same worker in a month.”

Brian shielded his eyes and looked back at the building. “I’m afraid you’re probably right. It should be interesting to see what fallout there is if this company fails and all that government taxpayer money goes down the drain.”

They got into Brian’s SUV and slowly drove out of the parking lot. Brian looked up through his rearview mirror. “Well, even if a whole lot of taxpayer money may end up being lost, it sure is an impressive facility for what that’s worth.” He turned out of the parking lot and headed for the freeway off ramp. “I’ll drop you off at your office, and then I’ve got some work to get out.”

“Thanks for bringing me on this tour, Brian. I’m going to be working on our revised proposal and I’ll call you when it’s ready to submit.”

“I’m going out of town for a few days and we can get together when I return.”

♦

Two days later, Jason’s cellphone rang as he was leaving the parking lot of Crystal’s school after dropping her off. He answered on the second ring. “Hello?”

“Hey, Jason. It’s Brian. How are you doing?”

“Hey, Brian. I’m well. What’s up?”

“I’m back in town and I wanted to see if you would like to go over your Copper Mountain proposal. I’m getting close to deciding on who will get that contract and I wanted to make sure you’re going to get a fair shot.”

“I appreciate that, Brian, and I’m available whenever you are. I’ve got all my numbers put together and am ready to submit our proposal.”

Jason took a deep breath as he drove. Well, it comes down to the wire, he thought. I hope I can convince Brian that Mei Chen’s company can deliver these solar panels and that our quality and warranty is as good as any other manufacturer in the industry. I know she likes to cut too many corners, and I’m going to change that. But in the meantime, we need to land this job.

Brian’s voice shook Jason out of his thoughts. “The deadline for the bidding isn’t for two weeks, Jason, and I don’t mind sitting down with you and going over everything.”

Jason paused as he thought through his short-term schedule. I’m off to China a week from Monday. It will have to be next week. “I’m free next Tuesday anytime in the afternoon. What about four o’clock and then afterward we can run down to Parker’s Pub and throw down a few beers?”

“Four o’clock works for me. I’ll see you then.”

♦

After Brian hung up the phone with Jason, he dialed the operations manager at his office. When the manager picked up the phone, Brian asked, “Hey, Phil, could you put together a summary of which bidders bid what prices for the Copper Mountain job? I’m meeting with Jason Ballard Tuesday and I want to see where the Soltech bid stands versus all the others. He’s submitting a revised bid, but I still want to see where they started out at.”

“Sure, Brian,” Phil answered. “I can get that info for you. Are you leaning toward Soltech? The last time we talked, you were expressing concern about them.”

“Well, let’s just say I’m glad Jason took the job at Soltech and I like working with him. I told you I was initially worried that because we are such good friends it might be awkward if he didn’t get this job, but he’s a straight shooter who knows what he’s talking about. He doesn’t try to BS his way through projects like some of the other people in this business. I hope he understands what he’s dealing with in Mei Chen. She’s an amazing woman, but she’s also deep into the Communist Party.” He paused for a moment.

“Yeah,” Phil said. “That in itself is unnerving. From the short amount of dealings we’ve had with that group, they’re ruthless. Nothing will keep them from getting what they want if they really want it.”

“You could say that again,” Brian added. “That’s what scares me.”

♦

As Brian breezed through his office, located on the outskirts of San Jose, his secretary handed him a note asking him to call Mei Chen. Looking at the number, he thought it might be her home number in Beijing. I wonder why she would call me from there.

He shut the door to his office, tossed his car keys on the thick walnut desk, and dialed the number. Putting his shoes on the desk, he listened while the lines connected and the line on her end rang. About the third ring he heard Mei’s familiar voice. “Hello?”

A feeling of friendly familiarity came through the phone and he felt his heart start to beat faster. Ending this relationship was not going to be as easy as he’d thought. He still missed the sound of her voice, the scent of her perfume, the soft feel of her flesh. He took a deep breath. “Hi, Mei, it’s Brian. How are you?”

“Ah, Brian, it’s so good to hear your voice,” she cooed into the phone. “I miss you. It’s been too long since we’ve been together. I’m coming back to the United States in two weeks. Can we get together when I get there?”

A knock on the door jolted him and he covered the phone with his hand. His secretary stuck her head in the door. “I’m sorry to interrupt you, sir, but James is on the phone. He says a forklift ran into one of the large inverters at the Summerhill job. He says no one was hurt, but it’s created a big mess.”

Brian nodded. “Okay, Bonnie, tell him I’ll call him right back.” He waited until she closed the door and then spoke to Mei. “I’d love to see you, Mei. Call me the night before and I’ll come pick you up at the airport.”