ALBANY, N.Y. -- Back in January, the Governor said he wanted to put New York at the front of the U.S. energy revolution. On Tuesday, he said now he's creating a consortium of scientists, engineers and entrepreneurs to help develop the energy technology of the future.

Four months ago, the Governor said, "The roads to economic recovery are I-88, interstate 90 and the Northway, right here in New York State."

A line that at once drew applause and skepticism from a part of the state that's long felt ignored. Now, Paterson is putting action behind his words.

"Whoever develops this battery first will be in a great financial and economic position in this country," said Paterson.

So the race is on. The state will invest $25 million into a Battery and Energy Storage Technology Consortium, one of the first of its kind in the nation and what the Governor calls a critical component in developing batteries for cars, like plug-in hybrid electric vehicles.

"New York has some of the great energy researchers, like GE. We also have some of the great institutions that study technology, like Binghamton and Stonybrook. We also have the great manufacturing workforce of Western New York. When you put all those factors together, we think that we can develop the battery before anyone else," said Paterson.

While many say this Consortium is a step in the right direction toward New York becoming an energy leader, one republican says there are items in the governor's budget that actually works against these initiatives.

"The uncertainty of the Empire Zone’s programs the higher utility taxes are, are just a real killer," said New York State Senator George Maziarz.

Paterson's technology plan includes several other green initiatives that would grow the industry and create thousands of new jobs, but Maziarz, a member of the Senate Energy Committee, says in order to get the desired businesses to come and invest here in New York, you have to have the right policies in place. He says Paterson's recent changes to the Empire Zone business incentives program discourages those businesses from coming.

"They'll go to states that don't have high utility taxes, states that have an Empire Zone program that works, that doesn't fluctuate," Maziarz said.

The State energy and research development authority will establish members of the consortium within the next month.