Green jobs rally at U.S. Capitol (treehugger.com).

A recent study by The Pew Charitable Trusts indicates that the emerging clean energy economy has expanded a great deal, spreading to all 50 states, amidst a lack of sustained policy attention and investment. Over the evaluation period 1998 and 2007, Green jobs were created at a faster rate than overall jobs. However, the clean energy sector has been affected by the recession as other industries, but venture capital investments in clean technology have withstood the downturn better than overall entrepreneurial funding. In most circumstances, the clean energy economy presents the U.S. with a significant opportunity for growth, especially if pending international, federal and state support for global warming reduction and renewable energy technology is approved. 

Interestingly enough, between 1998 and 2007, more than 68,200 businesses across all 50 states and the District of Columbia generated approximately 770,000 clean energy jobs, representing nearly one-half of a percent of total jobs in the country. As the U.S. approaches nearly 7 million of jobs eliminated during the recession, those numbers may seem like a drop in the bucket, but one needs to remember this Green job creation occurred prior to the Green Revolution ushered in by the Obama administration. Pew’s research shows that over the analysis period, clean energy economy jobs, which include white-collar (scientists, engineers, teachers) and blue-collar positions such as electricians, machinists and technicians increased by 9.1 percent, while total jobs in the U.S. grew by a paltry 3.7 percent. Yet, it is expected that the clean energy sector will likely show a contraction of employment for 2008, but the loss should be significantly less than the rate for the economy, collectively. This point would be an argument in support of the American Clean Energy and Security Act  legislation, which Republicans state would lead to a net loss of jobs in the U.S. due to the cost associated with carbon regulatory issues. 

A  brief synopsis of several Green business metrics such as jobs and venture capital analyzed in the Pew report has been compiled.  The first category is focused on the top 3 states regarding Green job growth on a percentage basis compared to the author’s locale of Arizona, which subsequently ranks as one of the highest in solar job growth potential.  Even though, the most clean energy jobs on a numbers basis of 125,390 jobs were offered in California, it ranked fairly low on a percentage scale, partially since it had an increasing trend in alternative energy activity prior to the analysis period of the study.

1. Idaho : 126.1% (4,517 jobs)
Go figure, right? Most people associate this state with potato farming and not with the fashionable trend of Green technology, but on a percentage basis it ranks #1 in this category. The clean energy focus of Idaho was primarily on building wind farms in the blustery eastern part of the state, but currently companies there such as Micron Technology Inc. and others have been unable to obtain financing for developing or expanding solar, LED, or related materials production facilities due to the national bank credit crunch. 

2. Nebraska : 108.6% (5,292 jobs)
Nebraska is popularly known as the cornhusker state and for good reason. Actually, corn is the main incredient in the processing of ethanol fuel for automobiles in the U.S. 

3. South Dakota : 93.4% (1,636 jobs)
This state has been known for biomass and biofuels production as well as developing wind farms; however, it was unable to secure any venture capital for renewable energy technology from 2006-08 and mainly benefitted from the generous ethanol subsidies from the Bush administration.

The next category is total job creation on a percentage basis, including all industries from 1998-2007. Neither of the top 3 Green job growth states were among the top 3 for overall jobs, as these leaders were propelled by the real estate and construction boom in the country, which ultimately collapsed in 2007, helping drag down the rest of the economy. Most important, one should note that all three states recognized have been listed in the top five for home foreclosures since the housing bust began.  

1. Nevada : 26.5% growth
Nevada now faces an unemployment rate of 12.1%, which is one of the highest in the country and well above the national average of 9.7%, based on June statistics from the U.S. Department of Labor.

2. Florida : 22.4% growth
However, Florida’s unemployment rate is now 10.8%, as its home foreclosure rate escalates and less tourists visit the state due to the reduction in consumer spending and vacation travel this year. 

3. Arizona : 16.2% growth
Many Arizona residents will be surprised by its #3 ranking, especially the unemployed; however this state failed to diversify its economy during the real estate boom and counted on a continuous flock of snow birds eventually settling down in the state and cashing out their retirement accounts. Arizona’s unemployment rate of 8.9% is quickly approaching the national average of 9.7%, and the economy of its largest metropolitan area, Phoenix, is ranked among the nation's weakest based on a recent report. 

Thus, it is feast or famine when it comes to real estate, tourism, and construction-based economies. Many states broke rule #1 in the course of Economics 101: diversify your investments, and they are paying the price now with record-breaking budget shortfalls on the billion-dollar scale due to the reduction in income taxes and its external effects.

The last category covered in this article is venture capital investment received from 2006-08. In this section, Arizona falls in the dead center of the pack at #25 with respect to all 50 states with only $31 million of venture funding received by its companies in nearly 10 years. However, state legislation such as SB 1403 may improve Arizona’s fortune in this regard, after its solar equipment company tax incentives become active in January, although SB 1324 focused on lowering its corporate tax rate would have truly enhanced its future ranking.

1. California : $6.6 billion
No surprise here, even with the whopping figure of $6.5 billion, as one only needs to look at Silicon Valley and the number of start-up companies there in microelectronics and its sister, solar cell technology. In addition, this state is home of the largest geothermal resources in the country. 

2. Massachusetts : $1.3 billion
Investments in Massachusetts have centered around solar and wind technologies, as its driving force has been also for utility power, amidst its dense population and high energy demand.  

3. Texas : $717 million
Texas received much attention and funding during T. Boone Picken’s plan to build gigantic wind farms in America’s wind corridor, which passes through this oil-rich state; however, the venture funding is quite diverse, across the spectrum of alternative energies. By the way, the national credit crisis has delayed plans for the Pickens wind farm initiative, which may now even occur outside of Texas. 

One of the primary goals of the American Recovery Act is to capitalize on the stimulative nature of building a clean energy infrastructure, elevated by a national renewable energy standard and favorable financing in order to jumpstart the economy via Green job creation.

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For more info: See the full Pew Charitable Trusts report