US’ Inflation Reduction Act Creates Over 100,000 Green Jobs in Six Months
The act is likely to create over 9 million clean energy jobs by 2040
Six months after the United States passed the Inflation Reduction Act (IRA) in August 2022, clean energy companies have announced more than 101,036 new green jobs in 31 states between August 16, 2022 – January 31, 2023, a report by independent strategic communication firm Climate Power said.
The report analyzed public announcements from the private sector since the passing of the Act.
It said this national plan has been a driving force in the “Made in America” clean energy boom and will reshape the country’s economy for many decades to come.
American companies restored almost 350,000 manufacturing jobs in 2022, a 25% increase from 2021, driven in part by the certainty created by the law and its incentives to build a clean energy future at home.
Further, it is estimated IRA will create over 9 million clean energy and climate-related jobs over the next decade, the report said.
As of January 31, 2023, there are over 90 new clean energy projects in small towns and bigger cities nationwide, totaling $89.5 billion in new investments.
The plans include 40 new battery manufacturing sites in places like Van Buren Township in Michigan, Tucson in Arizona, and Florence County in South Carolina.
Presently, 22 companies have announced plans for new or expanded electric vehicle manufacturing in Pryor, Oklahoma; Montgomery, Alabama; Highland Park, Michigan and more.
Further, as many as 24 other companies shared plans to expand wind and solar manufacturing in cities, including Pueblo, Colorado, Perrysburg, Ohio, and Georgetown, Texas.
Most of the projects are in seven states, namely, Arizona, Georgia, Michigan, Ohio, South Carolina, Tennessee, and Texas.
For instance, Arizona accounted for a $4.14 billion investment in new clean energy projects, leading to a growth of 11,635 jobs, while Colorado posted a $400 million investment in renewable projects, creating about 850 jobs.
Georgia spent roughly $15.27 billion in investment and created 16,627 jobs.
In De Soto, Kansas, Panasonic will build a $4 billion plant to manufacture batteries for Tesla EVs, creating up to 4,000 jobs alone for the state.
Michigan invested $7.2 billion, creating 9,572 jobs. Additionally, 167,000 clean energy jobs are projected in the upcoming ten years.
The state of Minnesota invested $796 million and created over 1,110 jobs since the passage of the IRA.
Nevada invested a total of $3.8 billion and announced 3,400 new jobs. Another 40,000 jobs are projected in the next ten years.
The report concluded that the new law has benefited local economies across the country, and new investments made in ongoing clean energy projects will continue to spur new jobs.
Earlier this month, the European Commission published the Green Deal Industrial Plan as a response to the Inflation Reduction Act to promote the idea of a ‘Single Market’ and safeguard investments and growth of its clean energy industry.