The Massachusetts Clean Energy Center (MassCEC) announced significant growth in the Massachusetts clean energy economy, which now employs more than 64,000 people, according to the 2011 Massachusetts Clean Energy Industry Report released today. The report identified 4,909 clean energy companies across the state that saw a 6.7 percent increase in jobs between July 2010 to July 2011, and expect employment growth rate of 15.2 percent from July 2011 to July 2012.
“The data reported by MassCEC today are good news for the Massachusetts economy and our environment,” said Energy and Environmental Affairs Secretary Richard K. Sullivan Jr., who chairs the MassCEC Board of Directors. “Through Governor Patrick’s vision and supported by MassCEC’s innovative programs, the Commonwealth has become fertile ground for growing a clean energy future and we are well on our way.”
The 2011 Massachusetts Clean Energy Industry Report, which includes a breakdown of company and employment data by technology sector and geographic region, and information on workforce trends was prepared by BW Research Partnership on behalf of MassCEC. The report identified 4,909 clean energy companies in the state. According to a survey of these clean energy companies, 64,310 people are directly involved in work related to the state’s clean energy sector, representing 1.5 percent of all jobs in the Commonwealth.
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The survey found a large number of firms in varied industries - ranging from construction and manufacturing to research and development - reporting activity and employment in the clean energy sector. Additionally the report identified a large number of companies that don’t necessarily identify themselves as clean energy companies first, but directly engage in activities related to the clean energy cluster - showing that clean energy penetrates numerous sectors of the Massachusetts economy.
“The findings announced today prove that our vibrant community of talented people, world-class academic and research institutions, and supportive government leaders together make the Commonwealth a smart place to start or grow a clean energy business,” said MassCEC Executive Director Patrick Cloney. “Thanks to Governor Patrick’s leadership, we are making clean energy a marquee industry in Massachusetts, just like life sciences and IT.”
For the purposes of the report, a clean energy firm is defined as a company directly involved with researching, developing, producing, manufacturing, distributing or implementing components, goods or services related to renewable energy, energy efficiency or conservation, smart grid, energy storage, carbon management, and/or electric or hybrid vehicles. BW Research Partnership administered surveys online and by telephone to a list of employers known to be engaged in the clean energy industry, as well as to a representative, clustered, random sample of companies from the North American Industry Classification System (NAICS) industries identified by the Bureau of Labor Statistics as being potentially related to the renewable energy, energy efficiency, and alternative transportation sectors.
The random sampling component of the research methodology used in this study is unique compared to past studies of jobs in the clean energy economy, in that data were collected from firms outside of the clean energy sector that have employees working in clean energy, as well as from businesses identified as clean energy companies. This methodology allows MassCEC to fully quantify employment data for the Massachusetts clean energy industry.
In total, researchers made more than 29,000 telephone calls and sent more than 4,800 emails to employers, yielding 1,401 survey responses with a margin of error of +/- 2.5 percent at a 95 percent confidence level.
"Unlike most recent studies of the clean energy cluster, this report includes random sampling of employers to determine the breadth and depth of its penetration into mainstream industries such as manufacturing, construction, and agriculture,” said BW Research Partnership Principal Phil Jordan. “MassCEC recognized the importance of having reliable and accurate data on this important cluster, which required a significant data collection effort. This effort, together with strong participation from the employers in the state, provides us with survey data that has a very low margin of error at a 95 percent confidence level. This low margin of error is almost unheard of in studies of emerging fields like clean energy."