Jim Harris

Green Collar Jobs

UK committed to 40,000 green jobs in 5 years

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jlevineBy: Jordana Levine

Britain’s Prime Minister Gordon Brown plans to create the first ‘green cities’ in the world.  His goal is to introduce huge numbers of electric cars on the streets of Britain and create 40,000 green collar jobs in the next five years.[1]

The 2009 Budget, announced in April, is supposed to boost a ‘green recovery’ for the country, aiming to cut carbon emissions by 34 percent in 2020.  It is the world’s first binding, short-term carbon budget, committed to building carbon capture and storage facilities, creating renewable energy projects, and providing incentives for efficient power plants.[2]

£1.4 billion of funding (Can$2.5 billion) has been allotted to fight climate change through supporting low-carbon industries and green collar jobs alone.  The £1.4 billion has been broken down to fund offshore wind projects, energy and resource efficiency for personal and professional use, low-carbon technologies and more.  As well, the European Investment Bank has set aside £4 billion for renewable energy projects and an investment of £2.5 billion will make sure that combined heat and power plants don’t have to pay the climate change levy.[3]

The Budget will invite councils to bid to become Britain’s first green cities, of which there will be two or three, that will get to run trials for electric cars among other things.[4]  PM Brown says that the government would gives incentives to car companies to create a worldwide market for electric and hybrid cars out of Britain.  In April 2009, the European Investment Bank approved over £700 million in loans for Jaguar Land Rover and Nissan to develop green vehicles.[5]

To make the purchase of low-emitting vehicles easier, the Budget will allow British residents to scrap their old cars and buy a new, environmentally friendly vehicle with a £2,000 discount.  The scheme is expected to save the nation’s motor industry in by creating demand for new cars and increasing consumer confidence.[6] However, some analysts believe that scrapping the cars could actually increase emissions. [7]

1  Grice, Andrew.  “Brown’s electric dream for Britain.” The Independent.  8 April 2009.
2  “Budget 2009: Green measures at a glace.”  Guardian.co.uk.  22 Apr 2009. http://www.guardian.co.uk/uk/2009/apr/22/budget-2009-green-measures
3  Ibid.
4  Grice, Andrew.  “Brown’s electric dream.”
5  Ibid.
6 Wang, Dongying and Rob Welham.  “Scrappage scheme launched in Britain to save car industry.”  Xinhua News Agency.  21 May 2009.
7  “Budget 2009.”

Green Energy Act could create 90,000 jobs in Ontario

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building-the-green-economy

By: Jordana Levine

The Green Energy Act (GEA) could employ over 90,000 Ontarians in green jobs. The government of Ontario is prepared to initiate the GEA, which focuses on the possibilities for employment if a large investment is made in green practices.  Along with increasing employment opportunities, the program could have a huge positive impact on the environment.

The main goals of the GEA are to ensure that Ontario is the country’s leading green economy, create over 50,000 green collar jobs, and generate billions of dollars worth of economic activity as quickly as possible – ideally in three years.  The plan involves phasing out the province’s coal plants by 2014 and shifting the province’s economy so that it is based on energy efficiency and renewable energy sources.

Building the Green Economy: Employment Effects of Green Energy Investments for Ontario is a report done by the Political Economy Research Institute, which gives recommendations and ideas regarding the GEA.  The report identifies two levels of investment that would help the GEA.  The first program is the baseline Integrated Power System Plan (IPSP), which would invest $18.6 billion over the next ten years in: conservation and demand management, hydroelectric power, on-shore wind energy, bioenergy, waste energy recycling and solar power.

However, the report also looks at an enhanced green investment program, which is referred to as the Green Energy Act Alliance (GEAA) plan.  The GEAA plan would involve spending $47.1 billion over ten years and would do everything the baseline IPSP would do, plus it would invest in off-shore wind energy and a smart grid electrical transmission system for Ontario.

Although the baseline IPSP would generate 35,000 jobs, the expanded GEAA program would create 90,000 jobs for Ontarians.  The occupations created would range from construction workers to financial auditors and engineers to research scientists.  For the most part, wages would exceed $20 per hour.

Three types of employment effects would come out of these programs: direct, indirect and induced effects.  The direct effects would be the jobs created within Ontario by the environmentally related activities, such as conservation, hydroelectricity and solar power.  The indirect effects involve jobs associated with these green industries that provide goods and services for the green investment activities, like hardware and metals.  Induced effects would be the employment that is created when the people who are paid via green investment projects spend the money they earn on other products and services within the province.

The baseline IPSP would lead to 15,500 direct jobs, 11,600 indirect, and 8,100 induced, while the expanded GEAA program would create 38,400 direct, 31,100 indirect and 20,900 induced jobs.

The IPSP would create nearly 12,000 MW of new electricity or conservation capacity; the expanded GEAA program would produce over 22,000, though.  In March 2009, the Ontario Power Authority operated with about 27,000 MW of electricity-generating capacity.  This means that the $47.1 billion investment program could either replace or expand capacity by 82 percent in the province (and the IPSP by 44 percent), leading to higher efficiency and a huge increase in renewable energy levels.

Nations everywhere boast a ‘green stimulus’

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jlevineBy: Jordana Levine

International climate change talks are continuing in Bonn, Germany.  The second round of discussions begun on June 1, 2009, and the negotiating time for the 192 collaborating countries ends in mid-July. By then, they need to reach an agreement with new emissions reduction targets and compensation packages for poor countries that have already been him with impacts of climate change.  These new decisions will be the basis for the final negotiations in Copenhagen in December 2009.[1]

These discussions on how to replace Kyoto Protocol targets are pushing countries to pump money into a “green stimulus.”  China and the US, who never signed the Kyoto Protocol, are likely to join in the new plans for shrinking greenhouse gas emissions.[2]

Canada has set aside eight percent, or US$2.6 billion of its total stimulus package, for green measures.  Although Canada’s emissions have gone in the opposite direction, reaching 26 percent above the 1990 levels and 33.8 percent above the country’s Kyoto targets[3], the country has agreed to cut emissions by 20 percent from 2006 to 2020.  The majority of the money is estimated to increase clean energy and create 407,000 jobs over 5 years:[4]

greenstimulus-graphs-ft-canada

The US is setting aside $112.3 billion for green measures, 12 percent of its fiscal stimulus.  The nation’s first stimulus package, which was approved in October 2008, contained a lot more features than the second one, which was approved February 2009 and cut out $57 billion of environmental spending.  Originally, it would have included $18.2 billion in taxes cuts and clean energy credits and $2 billion for carbon capture and storage.  Still, the updated stimulus gives $22.5 billion for renewable energy incentives, $52 billion for energy efficiency, including updating the electricity grid, and $10 billion for public transit.  The green stimulus is projected to create 2.5 million green jobs.[5]

China, the country whose emissions grew 250 percent between 1990 and 2006, plans to use 38 percent of its stimulus, equivalent to US$22.8 billion, to go green, according to HSBC.  (However, Beijing and other economists say this number is higher than what they will invest.)  Their green package will include over ¥350 billion (US$51 billion) for environmental projects and around ¥450 billion (US$66 billion) for the country’s rail infrastructure.[6]  China is spending the most money per-capita to invest in going green.[7]

The European Union has set aside a whopping 59 percent of its fiscal stimulus, €16.4 billion (of US$22.8 billion), for green measures.  The EU recovery plan should get the European Investment Bank to give an extra €12 billion of funding for green infrastructure over two years.[8]

1 Marsden, William.  “Crunch time for climate talks.”  Ottawa Citizen.  6 Jun 2009. http://www.ottawacitizen.com/business/fp/Crunch+time+climate+talks/1669662/story.html
2  Pedersen, Mike.  “Keeping ahead of the green curve.” Ottawa Citizen.  5 Jun 2009.   http://www.ottawacitizen.com/Technology/Keeping+ahead+green+curve/1652801/story.html
3  Munro, Margaret.  “Canada may be blowing smoke about intentions to reduce greenhouse gas.”  Canada.com.  21 Apr 2009.  http://www.canada.com/Canada+blowing+smoke+about+intentions+reduce+greenhouse/1517913/story.html
4  Bernard, Steve and others.  “Which country has the greenest bail-out?” Financial Times.  2 Mar 2009.  http://www.ft.com/cms/s/0/cc207678-0738-11de-9294-000077b07658.html?nclick_check=1
5  Steve Bernard and others. “Which country?”
6  Steve Bernard and others. “Which country?”
7  Mike Pedersen.  “Keeping ahead”
8  Steve Bernard and others. “Which country?”

Renewable energy creates more jobs than fossil fuels

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By: Jordana Levine.

If renewable energy production in the US was increased 20% by 2020, 185,000 new jobs would be created in renewable energy development.  Consumers would also save $10.5 billion on electricity and gas bills and farmers, ranchers, and rural landowners would have $25.6 billion added to their total income.

The Renewable and Appropriate Energy Laboratory in Berkeley discovered that renewable energy not only creates more jobs per megawatt of power installed, but also more jobs per unit of energy produced and per dollar invested compared to the fossil fuel energy sector.

In the European Union, net employment growth in the EU is projected to increase to 950,000 with current policies, and up to 1,666,000 jobs by 2010 under the Advanced Renewable Strategy (ARS) that has been implemented.  Renewable energy would also make up 22.1% of the EU’s total energy by 2010

The Environmental Energy Study Institute has a fact sheet discussing jobs from renewable energy and energy efficiency both within the US and around the world.  It lists the improvements in energy resources, including the increase in wind, geothermal, solar and tidal energy and well as biofuels and clean-coal plants.  The fact sheet shows the immense number of jobs that these industries add to the economy.

The full fact sheet can be downloaded at the EESI website

Inaction will cost $7 trillion

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By: Jordana Levine

If the issues of climate change are not addressed, it could cost every person on earth $1000 a year, or $7 trillion worldwide, says Nicholas Stern, former World Bank chief economist.  In the report, Climate Change and Green Jobs: Labour’s Challenges and Opportunities, the Canadian Labour Congress (CLC) stresses that taking action will cost a lot less than doing nothing.

If the federal government invested $30 billion over ten years to transition to an economy that is consciously aware of climate change, 330,000 jobs would be created and Canada’s GDP would increase by $140 billion.  There would be $95 billion added to personal income and $28 billion in energy savings.

Just under half of Canada’s CO2 emissions come from heavy industry, mainly using coal, gas and oil.  The report gives the example of the tarsands, which the CLC says are the single most destructive project anywhere in the world, consuming one gallon of oil for every two gallons it produces.  The tarsands have already made a hole the size of Vancouver Island, and it is predicted to grow by 400-500% in the next ten years if no changes are made, which would make the area the size of Florida.  The CLC urges Canada to stop racing to provide the US with oil and focus on slowing down the use of non-renewable energy in its own country.

The CLC believes that good jobs and a strong economy will only happen if we take into account every area that contributes to a high-quality life, including the economy, jobs, equality an the environment.  Both the global economy and the environment will be in major trouble if temperatures rise more than two degrees Celsius, leading to destruction of ecosystems, hugely diminished biodiversity, dangerously high sea levels and extreme weather.

The CLC especially supports four major areas:
•    Promoting energy efficiency
•    Investing in rail and mass transit infrastructure
•    Creating proper fuel efficiency standards
•    Developing renewable energy sources

The report stresses the importance of ensuring that policies, such as carbon taxes, do not increase inequality between classes.  The biggest polluters should be paying the most and household carbon taxes should only be imposed if 100% of the revenue goes towards reducing greenhouse gas emissions. A Just Transition Fund is a vital aspect that would compensate communities and individuals for wage cuts, displacement and job losses; it would fund the retraining of these workers and encourage them to work in a greener economy without diminishing the quality of life or contributing to inequality.  

 

CLC: “There will be no good jobs on a dead planet”

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By: Jordana Levine

To prevent global warming, Canadian experts call for a 25% reduction below 1990 levels of CO2 emissions by 2020 and 80% below by 2050.  

The CLC Statement on Climate Change was written for the House of Commons regarding Bill C-30: Canada’s Clean Air and Climate Change Act as a recommendation.  It insists, “There will be no good jobs on a dead planet.”

The statement highlights key opportunities to create new jobs that do not generate emissions.  A serious program to retrofit older houses in Canada over 25 years would create 50,000 jobs a year on its own; construction jobs can substitute industrial, polluting jobs.  There could also be opportunities for jobs developing efficient and renewable fuels.  The CLC gives a number of ways that new industries could create more jobs that are kinder to the earth.

The CLC insists on creating strategies to regulate practices, encourage public investment and get the government directly involved through taxes and spending measures.  The government will need to be active, insuring that it makes useful investments that will help us transition to an environmentally sustainable, low-carbon economy.

The CLC calls for eliminating tax subsidies for the oil and gas industry.  Instead, the government should provide companies with tax incentives to invest in equipment that reduces emissions and that there should be a cap-and-trade system to limit emissions. Emissions caps should be lowered as green strategies and tax measures improve and the cost of reducing emissions falls.  The Pembina Institute and other experts calculate that a carbon charge of $30 per tonne would force actual change in an orderly manner.

The report points out that energy-efficient and low-carbon economies are more labour intensive, creating new opportunities for workers, but notes that some sectors will see job loss.  The CLC suggests that a Just Transition fund should be set up, which will compensate workers for loss of money and contribute to retraining them in new, greener fields.

The Canadian Labour Congress (CLC) calls for new, effective climate change policies to keep emissions down and provide new jobs centred around environmentally sustainable practices in the workplace.

The CLC brings Canada’s national and international unions, as well as provincial and territorial labour federations and district labour councils.  The members work in nearly every sector, occupation, and area of the country.

“Greening” the economy across the board

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unep-background-paper-on-green-jobs

By: Jordana Levine

We are on the verge of an economic transformation to a greener economy, notes the United Nations Environment Program (UNEP).

Compared to fossil fuels, renewable energy generates more jobs per dollar invested.  Looking at the countries that had data available, the world employed nearly 2.3 million people in the renewable energy sector in 2006.  The UNEP report estimates that there could be over 20 million workers in this area by 2030.

Energy efficiency retrofits of buildings not only creates new jobs it also reduces carbon emissions.  It has been estimated that this could reduce CO2 emissions by 29% by 2020 at no extra cost, thereby fighting climate change and avoiding the increase in extreme weather it causes.

Other new jobs while decreasing damage to the environment include the development and alteration of mass transportation and creating small, sustainable farms. 

The UNEP points out the importance of having a properly developed system to support the “greening” of our economy.  Some areas that need to be addressed are the importance of sharing research both within the community and worldwide, job training for the new types of work that will arise, and assistance for the affected workers who may lose jobs in areas that cloud up the environment with smog.

A solid green jobs strategy will help ensure that the money spent between now and 2030 generates workplaces and jobs with low carbon emissions.  The UNEP report points out that green jobs will “radiate” across various workplaces, creating a greener economy overall.

The UNEP Background Paper on Green Jobs focuses on the Green Jobs Initiative, which is a collaborative project of the UNEP, International Labour Organization (ILO) and International Trade Union Confederation (ATUC).

The Green Jobs Initiative looks at, analyzes and promotes employment in relation to climate change.  It supports jobs that are environmentally sustainable and development that contributes to the environment’s well-being.  These “green jobs” are defined as positions in agriculture, manufacturing, research and development, administrative, and services activities meant to combat environmental issues.

5M US green jobs by 2018 & $284B energy savings

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apollo 04

The Apollo Alliance calls for investing $500 billion by 2018, which will create five million high quality green-collar jobs.  The Alliance’s first report, New Energy for America (Jan ’04) called for $300 billion of public expenditure to create three million jobs, stimulate $1.4 trillion in new GDP, add billions in personal income and retail sales, and produce $284 billion in net energy savings –- all while generating sufficient returns to the U.S. treasury to pay for itself over 10 years.

The 2004 report pointed out that 43% of the global solar power market is controlled by Japan, while European countries control 90% of the wind turbine production.

The 2008 report revised upwards the potential for green collar jobs by two million. What accounted for the difference? Well, when Obama was elected President committing to create five million green collar jobs, two million more than the Apollo Alliance’s 2004 report, the Alliance could not very well be lagging the new Prez – so they revised upwards their numbers. That’s my theory.

Apollo Alliance Board member Van Jones was appointed Special Advisor for Green Jobs, Enterprise and Innovation to the White House Council on Environmental Quality in March 2009.  Jones’ book, The Green Collar Economy,  was a 2008 New York Times bestseller. He launched Green for All  – a campaign to create 250,000 green-collar jobs in urban neighbourhoods.

The Apollo Alliance is a coalition of environmental groups, labour unions and politicians seeking to convince legislators to have a concerted effort to transform the US economy into a green economy based on energy efficiency and renewable energy. A green-collar job is, in essence, a blue-collar job that has been upgraded to address environmental challenges.

 

Jim Harris is an expert on disruptive innovation, who has appeared on Idea City, Canada’s version TED Talks on numerous occasions. Contact him today to book him for your next event.

40M US green jobs by 2030

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renewable-energy1

By: Jordana Levine

In 2006, there were 8.5 million Americans working in Renewable Energy and Energy Efficiency (RE & EE) industries. By 2030, the country could potentially have up to 40 million green collar jobs.  That’s one in four Americans bringing in a total of $4.5 trillion in revenue for the US instead of the $970 billion in 2006.

Renewable Energy and Energy Efficiency: Economic Drivers for the 21st Century, released by the American Solar Energy Society (ASES), discusses the importance of making RE&EE jobs available.  The report describes different types of jobs in the industry and the plethora of positions that could be available in the next couple of decades.

Roger Bezdek, the principal investigator of the study, stresses the importance of investing in RE&EE industries before other countries take the lead and reap economic and environmental benefits before the US gets the chance.  If little action is taken, there will be almost no increase in jobs and revenue, but if the US “pushes the envelope,” it could lead to a 30% increase in the amount of RE available and EE products b 2030.

The predictions include both direct and indirect jobs.  Direct jobs involve people working for a solar company, say building solar panels. An indirect job would involve someone working for a company that sells silicon to the solar company.

The report also examines job levels in:

* Federal, state, local, non-governmental  organizations and foundations.

* Manufacturers of energy efficiency (EE) products.

* Renewable Energy (RE) technologies include hydroelectricity, biomass, geothermal, wind, photovoltaic and solar thermal energy.  In 2006, renewable energy made up only 6% of US energy.

The report uses Ohio as a case study.  Over 10 years, overall US employment has increased more than five times as fast as Ohio’s.  However, a significant boost in RE&EE employment could increase the state’s number of jobs by over 1.7 million and revenues by over $220 billion.

All jobs in a renewable energy company, may not seem ‘green’ — for instance the majority of jobs created by the RE&EE industry are ‘standard’ jobs, such as accountants, clerks, secretaries, cashiers, factory workers and truck drivers.  In fact, the report explains that there are many more ‘standard’ jobs that will be created compared to ones you would naturally think are ‘green’ such as those for biochemists, environmental engineers, conservation workers and other environmentally specialized positions. ‘Standard’ jobs created in green industries are counted as ‘green’ jobs in the report.