Power to the people: North Carolina's burgeoning energy industry invests billions in generating a cleaner, smarter and more sustainable future.

• Position: Interview - Company overview

The energy industry is one of the bright spots in the Tar Heel economy, with a cluster of businesses growing in Charlotte and throughout the state. Business leaders from a utility, an electrical cooperative, their suppliers and academia gathered recently to discuss industry issues including strategic priorities, opportunities such as smart-grid development and the sector's impact on economic development. Participating were Vincent Davis, director of Duke Energy Corp.'s Smart Energy Now initiative and its Envision Charlotte program; Steven Patterson, director of the Energy Production and Infrastructure Center, under construction at UNC Charlotte; Jimmy Morgan, vice president of installation and modification services at Westinghouse Electric Co. in Charlotte; Gary Rackliffe, vice president for North American smart-grid initiatives at ABB Inc. in Gary; Tim Holder, vice president for sales and economic development at Energy United Electric Membership Corp. in Statesville; and John Espey, chief operating officer of Nexgrid in Charlotte. The round table, sponsored by Energy United and ABB, was hosted by UNC Charlotte. The following transcript was edited for brevity and clarity.

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What are the major issues facing your companies and the energy industry today?

Davis: We need to have more efficient generation. We need to make sure we are spending our money and capital appropriately as it relates to energy plants in the state of North Carolina. In 2010, Duke Energy invested more than $2 billion in construction of new plants and solar farms. One of the big things for us today is pursuing renewables and trying to determine that fifth fuel that we're calling energy efficiency. The program I run, Envision Charlotte, is key to educating customers on how to use less of our product. When we talk about energy efficiency, we're really talking about using less when you can and more when you should.

Morgan: On the nuclear side, we're a continually learning industry. We'll learn from what happened in Japan. We have four new technology units under construction, which are totally different from what's in Japan. There's no operator action required if there were to be an event. With the Duke Energy/Progress Energy merger, both companies had applications for two new units, two in Florida and two right here across the border in Cherokee, S.C. We'll see how they move forward with the new combined entity. Now 52% of South Carolina's generation is nuclear. About 37% of North Carolina's is nuclear. We're going to continue to support the industry, adjust from some of the changes that come out of Japan and continue to keep that carbonless footprint in the mix.

Rackliffe: We're responding to some of the dynamics driving the smart-grid industry. Both Duke Energy and Progress Energy received $200 million in grants from the Department of Energy through the American Recovery and Reinvestment Act, with matching funds. That represents an $800 million investment, primarily in North Carolina. We've used smart grid and the investments...