Advanced energy jobs in Ohio

For the first time ever, we have a clear picture of how many renewable energy and energy efficiency jobs exist in the country at large and Ohio in particular.

American Solar Energy Society—which closed its national Solar 2007 conference in Cleveland today with the release of a comprehensive jobs study—found that Ohio has 503,000 jobs and $50.9 billion in revenue from renewables and energy efficiency fields as of 2006 – for about 1.5% of the U.S. total.

Wind power leads the pack in Ohio with 1,700 jobs and $250 million in revenue, followed closely by Geothermal at 1,200 and Fuel Cells with 1,030 and growing. With Ohio’s Third Frontier Fund recently investing $18 million in the Center for Photovoltaics Innovation at the University of Toledo, Ohio could expect growth in Solar PV from its current 460 jobs.

Using this baseline, the report projects $4.5 trillion in growth nationwide and up to $220 billion in Ohio, depending on how aggressively we pursue it. Under three scenarios—small change, moderate policy change like an RPS to a totally transformational, ‘Apollo’ style national economic plan—Ohio could expect 1 to 2 million new jobs totaling $98-$220 billion in revenues.

“Unlike some industries, energy efficiency and renewable energy is a realistic target for job creation in Ohio,” says Roger Bezdek, president of Management Information Services, the research firm behind the report. “They include many jobs that require associate’s degrees, on-the-job training, or trade certifications and which pay high wages.”

Job growth includes big jumps in Biomedical Engineering, a $75,000/yr. job to Environmental Engineering Technicians, a $42,000/yr. with an associate’s degree.

But, Ohio could be doing better, and is "ceding leadership to its neighbors in Pennsylvania and Michigan" the report warns. The answer is more aggressive leadership from state lawmakers with the top priority being a Renewable Portfolio Standard, which has been like rocket fuel for other, competing states.

Pennsylvania’s RPS, for instance, attracted Spanish wind manufacturer Gamesa and 1,000 new jobs, and led to seven wind farm projects (because it requires First Energy to provide its PA customers with 20% of its energy portfolio from renewables). Earlier this week, Pennsylvania’s Governor went toe-to-toe with the legislature and won an historic $200 million budget item for 850-megawatts in solar projects—advocates say he was aided by the RPS, which prioritizes or ‘carves-out’ for solar.

In a morning session, Green Energy Ohio Executive Director Bill Sprately said “we could do big time solar in Ohio. We now have a jobs report, and a study we did earlier on the costs show a de minimus impact on utility rates in Ohio. This conference will hopefully be a major factor in pushing through an RPS.”

“Governor Strickland’s energy advisor Mark Shanahan has talked about a PA-style RPS approach with clean coal as part of it,” Sprately continued. “The governor is more wed to an RPS through an energy deregulation bill.”

GEO is part of an effort called the Ohio Advanced Energy, an initiative to educate lawmakers in the General Assembly about the economic benefits of an RPS. Whether an RPS is a stand-alone debate or part of a deregulation bill, it will come to the fore this fall, says Columbus-area lobbyist Terrence O’Donnell, who’s firm worked on the $18 million Center for Photovoltaic Innovation.

“We have a window of opportunity, and frankly a lot of work to do educating conservative members of the legislature,” O’Donnell said. “The jobs report should help.”

July 23, 2007 - 12:50pm

state-backed efficiency measure

Marc Lefkowitz Says:

Maryland has adopted California-style policy to promote energy efficiency with the state's electric utilities. Called 'decoupling' it says if customers cut energy use, the rate for distribution costs can be increased in later months so that the utility can cover its fixed costs, The Washington Post reports.

This allows utilities to provide incentives for conservation programs—such as rewards for purchases of high-efficiency appliances—without losing revenue.

The program might have a chance to work if utilities really increase their budget for energy efficiency measures (Maryland's, for instance, spent next to nothing on theirs).   

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