Sunday, March 07, 2010

State Clean Energy Programs Have Created Thousands of Jobs in Wisconsin

MADISON – Governor Jim Doyle has today the release of an independent evaluation that shows Wisconsin’s clean energy programs through Focus on Energy have added more than 5,000 jobs and more than $1 billion to Wisconsin’s economy since the program began in 2001.

“This independent report is yet further confirmation that our existing energy efficiency and renewable energy programs are proven job creators,” Governor Doyle said. “Because of good government policy and our renewable energy standards, we now have hundreds of companies in Wisconsin creating thousands of jobs in the emerging clean energy sector. By increasing our efforts in these areas, we can make businesses more competitive, add to individuals’ disposable income, and create jobs here in Wisconsin.”

The independent evaluation of economic development benefits was completed by PA Consulting Group, Inc. and Economic Development Research Group, Inc. – both leading, independent consulting firms serving public and private sector clients throughout the world. State law requires the Public Service Commission (PSC) to contract for periodic independent evaluations of the Focus on Energy programs. This is the second such report evaluating economic development benefits.

The evaluation of economic development benefits used actual program data and sophisticated economic models to estimate the past, present and future value of Focus on Energy programs. Over the first 10 years, Focus on Energy programs added $1.428 billion cumulatively to Wisconsin’s gross state product. Today, 5,194 full time employees work in jobs supported by the programs that would not otherwise exist, including 1,220 jobs in the construction trades and 366 manufacturing jobs. Manufacturing output is $137 million greater than it otherwise would be, and virtually every sector of the economy has higher employment than it would in the absence of the Focus on Energy programs.

The evaluation report also considered the likely economic impacts that will result if Focus on Energy funding is increased to levels proposed in the Clean Energy Jobs Act that is currently being debated in the Wisconsin Legislature. According to the report, investment at that increased level of funding could increase gross state product by more than $2 billion per year and support more than 20,000 jobs.

“These are eye-opening results,” said PSC Chairperson Eric Callisto. “They point to an economic opportunity that Wisconsin cannot afford to miss. It’s easy to see why the Governor’s Task Force unanimously recommended enhancing Wisconsin’s energy efficiency programs.”

Since taking office, Governor Doyle has advanced an aggressive agenda to position Wisconsin as a leader in a growing clean energy economy. Wisconsin has adopted renewable portfolio standards, invested in green job creation, led the advancement of research in cellulosic ethanol and biomass, and made great strides to increase energy efficiency in homes, businesses and government buildings.

The results of these efforts have driven a rapid expansion in alternative energy production and real growth in clean energy jobs. Wisconsin’s original renewable portfolio standards have helped spur development in the wind, solar and biomass industries in Wisconsin – with more than 300 companies and thousands of jobs now in the state’s wind industry. Through energy conservation efforts, numerous Wisconsin companies, including some of the biggest manufacturers, have also reduced energy costs.

The Clean Energy Jobs Act is a landmark legislative package to accelerate the state’s green economy and create jobs. The package calls for updating renewable portfolio standards to generate 25 percent of Wisconsin’s fuel from renewable sources by 2025 and sets a realistic goal of a 2 percent annual reduction in energy consumption by 2015. A recent independent report shows the proposed legislation would create more than 16,000 jobs in Wisconsin and boost gross state product by nearly $5 billion over the next 15 years.

The newly-released report, Focus on Energy Evaluation – Economic Development Benefits: CY09 Economic Impacts, can be found by visiting: http://www.focusonenergy.com/files/Document_Management_System/Evaluation/cy09economicimpactsreport_evaluationreport.pdf.

The analysis of the Clean Energy Jobs Act can be found by visiting: http://www.climatestrategies.us/ewebeditpro/items/O25F22680.pdf.

Focus on Energy builds on the Governor’s energy efficiency and clean energy efforts through energy-saving programs for homes and businesses. In January, Governor Doyle announced that Focus on Energy has helped Wisconsin residents and businesses save more than $268 million in annual energy costs. For more information on Focus on Energy, please visit http://www.focusonenergy.com/.

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