Siemens Energy to expand in Charlotte and Raleigh, promising more than 550 new jobs
Siemens Energy plans to add more than 550 jobs in Charlotte and Raleigh as the company seeks to expand its existing energy grid technology manufacturing in the state.
A division of the Munich-based conglomerate Siemens, Siemens Energy already employs more than 1,200 people in Charlotte alone, where it has operated since 1969. On Tuesday, the state Economic Investment Committee approved an incentive deal that could award Siemens Energy close to $10 million if the company meets future hiring and investment goals. Mecklenburg County and the City of Charlotte added local incentive packages worth around $2.7 million each.
Only 84 of the new jobs will be based in Raleigh, with the bulk of the hiring in Charlotte.
Siemens Energy will focus on grid products and services in this expansion, including building its first U.S. power transformer plant. “Manufacturing large power transformers in the United States will strengthen and expand our electrical grid to incorporate more renewable energy and meet growing energy demand,” said Tim Holt, a Siemens Energy executive board member said in a statement.
The N.C. Department of Commerce said Siemens Energy also considered investing in Kansas before opting for North Carolina’s two largest cities.
The company committed to spend $150 million between its Charlotte and Raleigh locations. In addition to offering a job development investment grant worth more than $6 million, the state is allocating $1.4 million for community colleges to train Siemens workers.
Retaining its existing workforce is a prerequisite for Siemens to receive incentive dollars. The 12-year grant begins in 2025. If it meets its potential, this expansion would increase the state’s gross domestic product by $1.6 billion, according to the Walden Model, the cost-benefit equation the state relies on to determine public benefits for private projects.
Since 2003, when North Carolina began awarding job development incentive grants, most incentive-backed projects have fallen short of their announced hiring goals.
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