The
“clean energy” industry is expected to average $180 billion in sales
annually over the next 20 years - twice the revenue of commercial
aircraft manufacturing. The industry (conservatively projected to
represent a $3.5 trillion market over the next 20 years) provides the
world with windturbines, solar panels, biomass energy, fuel cells,
small hydroelectric units, geothermal plants, power management systems
and other energy-efficiency solutions. Advanced materials science and
information technology are merging to create sophisticated equipment
that can concentrate nature’s abundant energy into economically useful
forms and ensure efficient energy management.
The Northwest - Washington, Oregon and British Columbia - is home
to nearly 40 of the industry’s key global players. Ballard Energy
Systems of Burnaby, BC, leads the world fuel cell business. (When Ford
and Daimler roll out their first commercial fuel cell powered vehicles,
Ballard products will be under the hood.) Spokane-based Avista is a
pacesetter in fuel cells for home and business use. Xantrex/Trace, a
dominant power electronics firm with headquarters in Burnaby and a
manufacturing plant in Arlington, Washington, makes around half of the
inverters and electronic intelligence built into the world’s solar
panels, fuel cells and windturbines. BP Solar, the globe’s top solar
panel maker, uses Trace inverters in its products.
Siemens, another major solar manufacturer, refines all the silicon
for its panels at its Portland plant. Applied Power Corp. of Lacey,
Washington, ranks among the world’s leading solar engineering firms.
Altogether, the Northwest clean energy industry employs 6,000 and
makes $1.4 billion annually in sales. A $2.5 billion industry employing
12,000 is projected for 2020. With a new public priority on energy
independence, a new study sponsored by Climate Solutions projects that
the region’s clean energy sector could eventually employ 32,000 and
bring in $6.3 billion annually.
Climate Solutions and the Energy Foundation joined leading
Northwest utilities (including the Bonneville Power Administration, BC
Hydro and Seattle City Light) and key economic development agencies
(including BC Green Economy Secretariat, BC Ministry of Employment and
Investment, Seattle City Office of Economic Development, Portland
Development Commission and the Washington Office of Trade and Economic
Development) to publish a study called Poised for Profit: How Clean Energy Can Power the Next High-Tech Job Surge in the Northwest.
The report identified three areas where the Northwest has
potential to develop world-class industry clusters producing fuel
cells, solar panels and power electronics. The region also has
opportunities in wind, biomass and energy efficiency.
Converting these strengths into jobs and revenues will require:
increased funding for energy technology research centers at public
universities and laboratories; support for applied research labs where
businesses can test and commercialize new energy technologies;
extension of existing technology R&D tax incentives to new clean
energy businesses; establishment of a clean-energy business association
and clearinghouse; investments in clean-energy business incubators;
training, counseling and help for clean-energy entrepreneurs; creating
incentives for early purchasers of clean-energy products; increasing
government clean-energy purchases; requiring utilities to purchase
clean energy; and expanding market opportunities to bring clean-energy
products and services to ordinary consumers.
To gain the full potential of these clean-energy industries, the
Northwest’s public agencies must begin to act together. New York State
and Chicago are already mounting comprehensive efforts to build
clean-energy businesses.
The Northwest has a great opportunity to help the world adopt the
advanced clean-energy technologies that can reduce climate-disrupting
fossil-fuel emissions. In a time of economic uncertainty, this region
is presented with a stellar opportunity to become a world-class
lean-energy-technology exporter employing tens of thousands. The
Northwest will be a significant clean-energy player, but to what degree
will depend on the level of commitment our public institutions make to
encourage this new industry.
Patrick Mazza is a writer and researcher for Climate Solutions. All Climate Solutions publications, including Poised for Profit, are at www.climatesolutions.org. For more information write info@climatesolutions.org or call (360) 352-1763.
Climate Solutions: Working by Example
Anyone who has ever seen a smoke-spewing VW bus with a “Love Your
Mother” bumper sticker proudly displayed on the back will recognize the
kind of common social disconnection that Climate Solutions is working
to address.
In addition to installing a rooftop solar photovoltaic system on
our office to offset part of our electrical energy needs, we’ve also
purchased enough new windpower to offset all of the remaining
planet-warming CO2 that’s released into the atmosphere through our
office and travel activities.
“We wanted to make a strong statement about the need for personal
action here and now,” says Climate Solutions Co-director Paul Horton.
“So, for a relatively small annual investment, we’ve reduced our carbon
footprint to zero, or as near as you can get.
“We have some self-interest in it as well,” Horton adds, “since
our headquarters and sustainable energy education center are located in
an area of the Puget Sound coastline that is most likely to be
submerged beneath the ocean as sea levels rise.”
Until recently, most Washington electricity users, like many
others around the nation, had no choice but to pay for whatever power
their utility had to offer (which in most cases is far from green).
Now, thanks to the non-profit Bonneville Environmental Foundation,
anyone can purchase Green Tags - a form of clean-power credits that
supports the development of new renewable energy
[www.greentagsusa.org].
Another way workplaces can make a difference is by championing
smart transportation choices like walking, busing, biking and
telecommuting. The Climate Solutions staff shines here as well with
bike racks out front, flexible work schedules to accommodate
telecommuting, a reduction in the rate of reimbursement for automobile
commuting and the promotion of employee car-sharing.
Next time you’re in Olympia, stop by the Climate Solutions
headquarters and take a tour of our Energy Outreach Center at 610 E.
Fourth Ave. - Washington’s only walk-in sustainable energy education
center, complete with a wide range of resource-efficient and
renewable-energy products and displays.
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