Misconceptions about Renewables Job Creation

Most developers get the economic impact of their renewables projects wrong. 

I see far too often that developers want to use a benchmark for all of their projects. They want to know, “How many jobs does a typical utility-scale solar or wind project create?” 

The problem is, there’s too much variation between projects for a benchmark to be particularly helpful. 

A robust economic impact study will not only look at the direct jobs created by your project, but also the indirect and induced impacts of the project - which is highly dependent on the county effects. 

Here are some of the questions that you should get answers for in a thorough study: 

  • When you inject investment into a county, do they re-spend the extra income locally or does it leak out into the surrounding counties?

  • How much of the manufacturing base for your project is local?

  • How far do the local taxes go in creating jobs?

Putting it all together, a good economic impact analysis should look something like this analysis I did for Paris Solar Energy Center last year.

When I come armed with this sort of report and the personal testimony to back it up, I’ve gotten my clients through the permitting process successfully 85% of the time.  

So don’t just think direct jobs. Don’t think benchmarks. Be specific and model for the county and community you’re serving, and it will pay off. 

Ethan Loomis