Climate Change > Green Econonmy

Washington's Green Economy

CTED is the lead state agency charged with enhancing and promoting sustainable community and economic vitality in Washington.

Events - Green Economy

Clean energy and other industries at a glance

This year the Washington State Legislature passed a first-in-the nation green jobs law, House Bill 2815. The Governor's Climate Change and Green Collar Jobs bill sets into motion a rigorous planning process for reducing greenhouse gas emissions statewide. It also addresses how we will grow a cleaner, greener economy.

Contents:

• Washington is leading the way in the green economy
• What is a green economy? What is a green job?
• We're off to a good start
• What is the state planning to do to stimulate the green economy?
• Why do we need a greener economy?
• Fast facts about clean energy jobs
• Resources - helpful web sites
• Overview of HB 2815, Section 9

Washington is leading the way in the green economy

Washington is the first state to make work-force training a key feature of its climate policy. We are shifting our economy to a more sustainable model, and creating jobs in the process.

Forbes magazine ranked Washington the fifth best state in the nation for business, and third for environmental quality. Washington has low carbon emissions per capita (a small "carbon footprint") and some of the nation's cleanest water. We have strong policies to promote energy efficiency and good air quality, as evidenced in low smog and ozone pollution in metro areas. The state also has the most buildings per capita that meet the U.S. Green Building Council's Leadership in Energy and Environmental Design (LEED) standard.

Washington is well-positioned to meet our greenhouse gas emission reduction goals, reduce our dependence on imported fuels, and capitalize on economic opportunities through growth of clean industries in our state.

What is a green economy? What is a green job?

Definitions of "green," "clean," and "sustainable" are hotly debated and used interchangeably. In addition, labor and industry codes have not kept pace with new innovations – clean energy, nanotechnology and photonics are some of the industries that are not coded and captured in labor and industry statistics.

Washington uses the following definitions:

The green economy is rooted in the development and use of products and services that promote environmental protection, energy independence, and economic development.

Environmental protection includes the prevention and reduction of environmental pollution, as well as efforts to mitigate environmental pollution. For example, conservation and recycling.

Energy independence includes the development and use of energy efficiency, renewable energy, and smart energy products and services.

Green jobs are those in the primary industries of a green economy that promote environmental protection and energy independence.

Clean energy is the largest element of the green economy. Clean energy industries include:

• Energy efficiency - Energy efficiency is by far the largest element of the clean energy sector. The Environmental & Energy Study Institute (EESI) reported gross revenues over $900 billion and 8 million jobs created in 2006. Their study includes manufacturing, recycling and construction. In Washington the energy efficiency industry employed more than 4,000 people in almost 200 companies.
• Renewable energy - Renewable energy includes hydroelectricity, biomass, biofuels, geothermal, wind, and solar. According to the U.S. Energy Information Administration, in 2006 renewable energies produced about six percent of total U.S. energy. The industry grossed revenues of $40 billion and created nearly half a million jobs.
• Smart energy - Smart energy takes advantage of digital technology, electronics and "intelligence" when generating, distributing, and consuming electricity.

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We're off to a good start

Green businesses have been growing at a rate of about 5 percent annually during the past three years. Two particularly hot areas are global carbon credit trading, which doubled to $28 billion from 2005 to 2006, and construction and services associated with "green buildings" that meet Leadership in Energy & Environmental Design (LEED) standards. Today, the green building industry is worth $12 billion. Ten years ago, it was too small to measure.

CTED's 2005 report "Renewable Energy, Energy Efficiency, and Smart Energy Industries in Washington State," found a 45% increase of jobs associated with energy efficiency and renewable energy industries, between 1998 and 2004. The State Energy Policy Office documented 3,800 clean energy jobs in 1998 and 8,400 jobs in 2004. This expansion is continuing, as we implement our current clean energy policies and advance new ones. Clean energy jobs have more than doubled in the past six years.

Nationally, the American Solar Energy Society estimates that renewables and energy efficiency have the potential to generate up to 40 million jobs by 2030.

In 2007, the governor set a goal of 25,000 clean energy jobs by 2020. Washington's burgeoning green economy will help us exceed that goal.

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Why do we need a greener economy?

"A new, green economy will give us freedom. It will give us opportunity. And it will give us independence," said Governor Gregoire, when she signed Washington's climate change bill (HB 2815) into effect. "This is another example of Washington leading the way on climate change by being clean, green and competitive. Because we are acting now, we will capitalize on unique and exciting economic opportunities and increase our competitive edge in the world economy."

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Fast facts about clean energy jobs

Washington has a greater concentration of clean tech jobs (64 percent more) than the national average:

• Larger than the state's logging industry ($1.9 billion) and coffee/espresso shop industry ($1.7 billion)
• 241 organizations, and growing every day
• More than $2.1 billion in 2004 revenues
• Manufacturing sector has the highest revenues and paid the most in wages
• 8,400 jobs
• Average salary: $60,000
• Generates the highest per capita jobs and revenues in Eastern Washington
• Employs about 5000 people in more than 144 organizations in Puget Sound

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Resources - helpful web sites

Washington State Climate Change website

Climate Action Team home page

Climate Change and Jobs fact sheet

Washington State Department of Community, Trade and Economic Development is the lead state agency charged with enhancing and promoting sustainable community and economic vitality in Washington. For more information, contact Carolee Sharp at (360) 725-3118.

CTED's Directory of Renewable Energy & Energy Efficiency Companies in Washington

Northwest Environmental Business Council

WSU Energy Office

Washington Clean Technology Alliance

Puget Sound Clean Cities Coalition

Northwest Energy Efficiency Council

U.S. Dept. of Energy Efficiency & Renewable Energy

Washington State Incentives for Renewables and Efficiency

American Solar Energy Society

Environmental & Energy Study Institute

U.S. Green Building Council

House Bill 2815: Greenhouse Gas Emissions

Bellingham's Sustainable Connections — green jobs and entrepreneurs, networking events

What people are saying about the green economy:

Video about clean technology, produced by the Clean Tech Alliance

Climate Solutions - WA State must aggressively pursue its share of cleantech

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Overview of HB 2815, Section 9

The legislation directs certain state agencies to stimulate a cleaner, greener economy. For more details and contact information, please visit the Green Economy fact sheet.

The five elements of the green economy jobs initiative are:

• Definitions – What is a green economy? What is a green collar job?
  
  CTED is working on a definitional list, a green glossary, for common terms like "clean tech," and "renewable energy." Expected: Summer 2008.
  
  
• Labor market survey – What's out there already? Who's investing?
  
  Employment Security Department (ESD) and Washington State University (WSU), will conduct a survey of employers to establish a baseline and projections for green economy jobs. The report will also identify high demand jobs. Expected: January 2009.
  
  
• Workforce development planning – How can we train people to succeed in a greener economy? Who needs training? How can we provide it, or support those who do?
  
  Workforce Training Education and Coordinating Board (WTECB) will use the ESD labor market report to plan recruitment and training strategies for specific green industry and small businesses.
  
  State Board of Community and Technical Colleges (SBCTC) will also build on the ESD labor market report. They will create a Green Industries Job Training Account in the State Treasury, and will distribute grants for things like curriculum development; retraining dislocated workers for high-wage green industry jobs; workforce education for target populations; and adult basic/remedial education tied to occupational skills training. They will also identify job-specific training programs offered by qualified post-secondary institutions leading to credentials or degrees in high demand occupations.
  
  
• Strategic plan for growing a green economy – Identify best method(s) and practice(s) to stimulate green industries and new technologies.
  
  CTED will identify emerging technologies and innovations likely to contribute to advancements in the green economy, and stimulate research and development. This includes activities in designated Innovation Partnership Zones (IPZs); recommendations for new or expanded financial incentives and strategies to recruit, retain, and expand green economy industries and small businesses.
  
  
• Minority/women owned business enterprises – How can we best help all Washingtonians make a good life for themselves, their communities, our state? What barriers exist that may prevent minorities and women from participating in the green economy?
  
  University of Washington's Business and Economic Development Center will analyze current opportunities and develop strategies with specific policy recommendations to improve their successful participation in the green economy. Report expected: December 2008.

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