The economic benefits of renewable energy

Over the past couple of years, the imperative of getting to zero emissions by 2050 (or preferably earlier) became a bipartisan issue (well, sort of!). There has nevertheless been a question mark put over the economic impact of the renewable energy sector on those regional economies where the RE sector will be based (e.g. Gippsland, Gladstone, the Hunter).

And yet, the renewable energy industry has already positively impacted regional economies in several ways, which will be multipliers over time.

Most obviously, the renewable energy industry has been responsible for job creation in regional areas. The installation and maintenance of renewable energy sources such as wind and solar power require a significant amount of labour, which creates jobs for residents of the region. These jobs range from construction and engineering to project management and research and development. In addition, the growth of the renewable energy industry has also led to the creation of new businesses and industries, further boosting local economies.

According to a report by the International Renewable Energy Agency (IRENA), the renewable energy sector is projected to create up to 42 million jobs globally by 2050. This figure includes jobs in the construction, installation, and maintenance of renewable energy sources such as wind and solar power, as well as jobs in research and development and project management.

One study conducted by the National Renewable Energy Laboratory (NREL) in the US found that for every job created in the fossil fuel industry, the renewable energy sector creates 3.7 jobs. This suggests that the renewable energy sector has the potential to create more jobs per unit of energy generated compared to the fossil fuel industry.

The renewable energy industry has also been responsible for generating revenue. Renewable energy sources such as wind and solar power can be owned and operated by individuals, businesses, and communities, allowing them to generate their electricity and sell any excess back to the grid. This provides a source of income for these entities and helps reduce their dependence on fossil fuels and lower their energy costs.

And, of course, the renewable energy industry has also positively impacted the environment by reducing carbon emissions. This not only helps combat climate change but also improves air and water quality, which can positively impact public health and the overall quality of life in a region. This, in turn, can help attract new businesses and residents to the region, further boosting the local economy.

Finally, the renewable energy industry can also help promote energy independence and reduce a region's dependence on fossil fuels and foreign energy sources. By producing their energy locally, regions can become less vulnerable to fluctuations in fossil fuel prices and disruptions in energy supply from other sources.

As the world continues to move away from fossil fuels and towards clean, renewable energy, the positive effects of the renewable energy industry on regional economies are likely to grow even stronger. And that's got to be something worth aiming for!