Showing posts with label green jobs. Show all posts
Showing posts with label green jobs. Show all posts

Monday, September 29, 2014

The $30 billion jobs opportunity

In an election year, you cannot swing a dead cat without hitting a political ad, photo op, or campaigning politician. In a country still reeling in many ways from the economic collapse of six years ago, the largest talking point still centers around job growth. Regardless of one's opinion on how many jobs we really need as we develop more and more efficient ways to maintain our quality of life, the current state of affairs in Illinois comes down to 433,000 people who want and need to work who cannot find a job. With approximately 150,000 to 200,000 job openings in Illinois going unfulfilled, we would need to create about 250,000 new jobs in order to obtain full employment. With manufacturing making a slow recovery, and nowhere near fast enough to create that kind of growth, where can we turn for good paying, productive jobs?

Clean energy and energy efficiency.

Currently, Illinois' residential and small business consumers spend over $30 billion a year for energy. Almost all of that capital leaves the state, with only a small portion getting recycled back into the Illinois economy. If we can find a way to tap into that capital already being spent, and turn that into job growth, we can both improve our employment situation and create a cleaner, healthier future. In addition, that $30 billion, at current rates of escalation, can be $35-40 billion within only a year or two, so economically, it behooves us to move quickly.

The key to the job growth comes from the need for almost all energy efficiency and clean energy work to use local labor. The fixing up of homes and small commercial buildings, installation of solar panels, and construction of wind turbines uses, almost exclusively, local labor. Dirty energy industries, including nuclear, employ somewhere between 5 and 8 people for every $1 million spent. Clean energy and energy efficiency employ about 16 to 17 in good, median income-scale jobs. That means that our $30 billion each year could fund as many as 495,000 jobs in Illinois. Even if we only took half of our current energy expenditures and switched them to clean energy or energy efficiency, we would more than eliminate our current unemployment. In addition, we would build a stronger, more resilient economy less susceptible to shocks from energy price increases.

It will take much work in our financial sector to develop the mechanisms to make this change happen, but it can happen within months, not years. We have the capacity to train workers through our robust community college network. We have the knowhow through years of programs managed by local consultants and non-profits. All it takes is for the financial system to let small building owners tap into the same tools to which institutions and large customers already have access. Tools like on-bill financing, property-assessed clean energy, and community energy cooperatives provide the mechanism that can turn $30 billion a year in energy expenditures into a $500 billion construction program.

It will also take political will...to bring big energy companies and utilities to the table when any program like this is in the interest of the consumer but not large energy companies. It will be interesting to see if either candidate for Governor has the insight or will to make something like this happen.



Monday, May 19, 2014

End the Green Economy

For the better part of the last fifteen years of my career, I have spent much time among advocates of the "green economy": one where we consider the triple bottom line of economic, environmental, and social performance.  This has spawned a whole new language of economic development around the word green including "green jobs",  "green materials", "green practices", etc.  For the most part, the industry has applied these labels in an attempt to convey that certain products or services have more value to a consumer, and therefore, can justify higher costs.  In some cases, these higher costs come from small implementation that has not yet reached scale to create economic advantages, and in some cases, the new strategy or technology avoids producing harms that conventional approaches do which means higher costs.  On the other hand, sometimes, people just want to charge more, and hope that labeling something "green" will motivate people to spend more than they might.  Regardless of the motivation, there is one thing that now becomes clear to me.

We must end the green economy.

By advocating for a green economy, we automatically set up a conflict between the current economy and another one that challenges it.  This sets up a debate where those succeeding in the current economy control the conversation by constantly challenging the new economy (or subset of the economy) and proposing all types of calamitous consequences if we follow this new path.  People naturally resist change and cling to the comfortable, so this line of reasoning has great traction and creates roadblocks to achieving the goals of better quality of life.  Instead of presenting this new economy - rife with unanswered questions about the true implications of full implementation - with its "green" moniker and advocating for wholesale revolution, we should consider a better path.

Those who advocate for a "green economy" out of altruistic reasons seek better quality of life for all.  This means that in making one person's life better by providing access to reliable energy, we cannot reduce the quality of life for another by polluting their community.  For those that advocate on this level, the more desirable plan should focus more on challenging the failings of the current economy rather than presenting a wholesale collapse and rebuild.  The current economy is supposed to distribute resources adequately and fairly.  When it does not, we need to challenge that.  The current economy is supposed to assign all of the costs and consequences associated with a product or service to that product or service.  When it does not, we need to challenge that.  The current economy is supposed to provide clear information to all parties in a transaction so that each may make a rational decision.  When it does not, we need to challenge that.

One of the failings of the discussion of the green economy comes from the instant association that many have with "green" meaning increased regulation.  Although any time we discuss asking more of industry, we often devolve to regulation because of a combination of industry resistance and political posturing, the changes in the economy can come in many forms.  For every significant benefit realized by improving CAFE standards through regulation, we have equal benefit through Energy Star labeling that allows industry to determine the method of performance.  Whereas intense scrutiny of power plant and refinery emissions for toxins has protected waterway and airstreams effectively over the past generations, we have achieved equal successes through market-based forces like cap-and-trade (specifically for sulfur and nitrous-oxide emissions from power plants).  In all of these cases, the most important part of the discussion was not the IF but the HOW.  The current debate on implementing a "green economy" still centers on the IF...we need to move it to the HOW.

How do we do that?  It starts by demanding more of the current economy.  We should pepper our leaders - both industrial and political - with questions about performance.  Why do people in West Virginia have to suffer the negative effects of coal ash dumping in order for people in DC to get power?  Why can companies spend millions of dollars lobbying against technologies such as rooftop solar that compete in the marketplace, while avoiding making required changes in their power plants to reduce emissions?  Why do industries not have the requirement to maintain the atmosphere, waterways, and earth at the same level of natural state as it was before their operations?  Why should an employee accept endangering their life for reasons unrelated to the job they do?

The time has come to turn the debate from one about "why a green economy?" to "why the current economy?".  Over the past several decades, we have seen quality of life gains plateau or even recede. While other countries continue to grow across classes, we see the large portion of our population less well off now than they were twenty years ago.  Those of us who advocate for the results of the green economy know that it will not only improve our quality of life, but produce a more stable economy.  In order to get there, though, we need to drop the conversation that puts us on the defensive, and instead make the advocates of the current way of doing things defend their system.


Friday, February 28, 2014

Friday Five: February 28, 2014

The risks associated with not only the burning, but the transportation and use of fossil fuels, affects many parts of our quality of life.  Certainly not the least among these is our economy.
Oil spill has shut down Port of New Orleans
"Officials say only a sheen of oil has been reported, but that they don't know how much oil was actually spilled, and are planning a conference call today to figure out how long it will take for the river to reopen. Cost Guard Petty Officer Bill Colclough told the Associated Press that the barge was being pushed by the Hannah C. Settoon tugboat when it hit the grain-barge-pushing Lindsay Ann Erickson tug. The Settoon is a 84.5-foot-long boat built in 2010 and owned by Louisiana-based Settoon Towing."

I remember distinctly listening to the radio when commentators talked about then Vice President Cheney convening an "energy task force" at which Mr. Cheney sidelined Christine Todd Whitman in favor of energy industry leaders.  To me, that stands as the Fort Sumter of the battle between environmental protection and industry.  Much like our Civil War, no one will win.  When it ends, we will do what we can to pick up the pieces.  I only hope that we end this ludicrous battle over whether we as a people have the right to enforce our desire for clean air and water.
Yes, the EPA has the power to stop climate change
"The Supreme Court said as much seven years ago in Massachusetts v. EPA, with Justice Anthony Kennedy casting the deciding vote. As the court explained in that landmark decision, Congress chose to define the air pollutants covered by the Clean Air Act in 'sweeping,' 'capacious' terms—terms that easily cover greenhouse gases. This precedent is the foundation for all of the work the Obama administration is now doing to address climate change, including the regulations and related permitting scheme at issue in UARG."

Speaking of water, evidently John Roberts' influence on the judiciary runs deeper than we think.  A Florida judge just decided that the "individual mandate" applies not only to health insurance purchases, but connecting to municipal water.  Two elements of the story have greater interest to me in the story (and I recommend following the link to the Off the Grid story).  First, the judge seems to have some reluctance in enforcing a code that seems to not fully address the situation.  Second, the website doing the initial reporting supports both environmentalists looking to use natural resources and second amendment proponents looking to protect themselves.  It is an interesting combination of audiences.
Florida judge rules it's illegal to unhook from city's water system
"It’s not really clear why it’s illegal to live off rainwater — it just is. The law doesn’t understand, essentially, how it would even be possible to live without city-provided water. The fact that water regularly comes out of the sky is apparently not compelling."

Maybe we should worry a little less about whether people hook up to municipal water service, and worry a bit more about taking care of people who have worked most of their life and would like a couple of years to enjoy their time on this planet.  Or maybe we should try to fix the paradox that comes with spending the most on healthcare but ranking 33rd in life expectancy.  Don't even get me started on income inequality.
US scores poorly in retirement rankings
"Still, 'the rapid ascent of several other nations' caused the U.S. to remain stuck at 19, Natixis says. Moreover, despite being a wealthy country, the U.S. ranks relatively low when it comes to life expectancy (#33) and income inequality (#81). Other factors dragging down the U.S.’s ranking include high government debt, limited access to medical care, and high per-capita spending on health care. (When it comes to health-care spending, we are #1!)"

This is part #135 in my #575 part series on how money spent on renewable energy and energy efficiency creates more jobs, and a more resilient economy, than money spent on fossil fuels.
Renewable energy firms looking to hire more staff
"The survey indicated Glasgow, the Lothians, Highlands and Islands and the north east topped the list of regions employing the most people, while onshore wind (39%), offshore wind (21%), marine and bioenergy (both 9%) were the most notable sources of employment.
Of the 540 companies surveyed, 54% said they would be looking to employ more people in the next 12 months.
A further 42% said their employment levels would stay the same and only 1.6% expected them to fall."

Happy Friday!

Montreal Gazette