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home with free electricity

Available: Home with free electric (photo by Kainet, CC 2.0 Sharealike license)

From MIT’s Technology Review comes this column from Kevin Bullis, about a recent report from Deutsche Bank on the economic benefits of investing in new energy projects:

It argues that it’s possible to address challenges related to climate change, energy security, and the financial crisis at the same time by investing in four specific areas: energy-efficient buildings, electric power grids, renewable power, and public transportation. The report cites figures that suggest investing in these areas creates more jobs than investing in conventional energy sources because much of the old energy infrastructure is already in place. It says that “a $100 billion investment in energy and efficiency would result in 2 million new jobs, whereas a similar investment in old energy [such as coal or natural gas] would only create around 540,000 jobs.”

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Boutiques along Fillmore Street in Pacific Heights

Fillmore Street in San Francisco; Image via Wikipedia

The San Francisco Chronicle reports on the conclusions of a study just completed by the California State Air Resources Board that “going green” will be extremely beneficial to the state’s economy.

Under the California Global Warming Solutions Act of 2006, the state must impose a limit on the amount of pollutants companies emit and expand renewable energy. These changes, along with others, would result in 100,000 new jobs, boost the state economy by $27 billion and increase personal income by $14 billion, the study said.

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Thomas Friedman’s OpEd on Sunday describes how Denmark has achieved energy independence, and illustrates the numerous benefits for the country, including a very low unemployment rate and a large new export market.

When the 1973 oil shock hit, Denmark got 99 percent of its energy from the Middle East. Now they get zero. The country has combined massive energy efficiency programs, such as using waste heat from power plants to heat homes (known as “cogeneration”), with alternative energy sources like windmills (20% of their energy comes from the wind now), effective use of their own petroleum resources in the North Sea, and incentives for lowering energy use via high taxes on gasoline.

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A report from Worldwatch Institute details the way that traditional high carbon industries, such as coal, are shedding jobs while renewable energy and energy efficiency industries are adding jobs.

An estimated 2.3 million people worldwide currently work either directly in renewables or indirectly in supplier industries. The solar thermal industry employs at least 624,000 people, the wind power industry 300,000, and the solar PV industry 170,000. More than 1 million people work in the biomass and biofuels sector, while small-scale hydropower employs 39,000 individuals and geothermal employs 25,000.

It’s not just those people and organizations applying clean and renewable energy who are profiting, but also those doing the work.

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Keeping The Lights On is devoted to news, opinion, and information about “busting barriers” to profitable applications of energy efficiency and alternative renewable energy sources. The barriers to using energy more efficiently arise in several ways:

  • Conflicting incentives result in short-term decisions that have significant long-term costs
  • “Traditional” design practices that optimize subsystems instead of whole systems
  • The assumption saving energy is costly and not profitable
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