The Economic Impact of Stimulus Investment in Clean Energy is a report that quantifies economic benefits associated with investments in clean energy in Minnesota.
The report, which was produced by Analysis Group for Clean Energy Economy Minnesota and the Advanced Energy Economy Institute, uses industry-standard modeling to estimate the impact of investing in clean energy technologies, products, and services in Minnesota to boost economic activity in the wake of the COVID-19 slowdown.
Results of the analysis
The results of the analysis point to strong economic benefits associated with clean energy technology investments. A clean energy stimulus investment of $15 billion in Minnesota would produce the following economic benefits. Focusing stimulus spending on programs and infrastructure in clean energy technologies can generate economic activity while also helping Minnesota achieve its energy and climate goals.
How to use this report
This report highlights the benefits Minnesota receives from this kind of investment -- economic benefits, consumer savings, and significant return on investment. Policymakers and the public should use this report as an illustration of how to deploy federal economic stimulus targeted at clean energy.
Billions added to the economy
A federal stimulus package targeted at boosting the clean energy sector would end up adding more than $117 billion to Minnesota’s economy, a nearly 8 times return on investment.
A federal stimulus would create a massive amount of new jobs, totaling more than 750,000 new jobs. This number is measured in job-years, which is a combination of shorter-term construction or installation employment mixed with more long-term positions.
Another important net benefit to a federal stimulus targeted at clean energy is the savings Minnesota consumers will see. This report tallies a savings of $5.5 billion in energy costs each year.
The positive impact of a federal stimulus on Minnesota’s economy also reaches our state and local governments. A stimulus of this size would create nearly $7 billion in additional tax revenue for local and state governments across the state.