Clean Energy Sector Added Over 150,000 Jobs Last Year, Led by the South

According to a recent report, nearly 3.5 million people in the United States are employed in the clean energy sector, with over 1 million of those jobs located in Southern states.

Report Shows Clean Energy Job Growth

The report, issued on Tuesday by the nonpartisan business group E2, highlighted a rise in clean energy jobs in 2023, driven by the Inflation Reduction Act. This extensive 2022 legislation allocated hundreds of billions of dollars to reduce emissions and assist the U.S. economy in shifting from fossil fuels to combat climate change.

The report found that clean energy and clean vehicle companies created nearly 150,000 new jobs in 2023, the first full year of the Inflation Reduction Act. Of these, the South contributed over 54,000 jobs, representing 36% of the region’s new employment. In contrast, the Midwest, Northeast, and West collectively added 95,000 clean energy jobs during the same period.

The Inflation Reduction Act (IRA) has become a key element of the Biden administration’s environmental achievements. Vice President Kamala Harris has highlighted her pivotal tie-breaking vote in the Senate to pass the legislation during her presidential campaign.

E2’s “Clean Jobs America” report examines employment in sectors such as clean vehicles, renewable energy, battery storage, grid modernization, and biofuels.

The findings indicate that Southern states, which are traditionally Republican strongholds, are benefiting from the IRA, despite the fact that Republicans in both the House and Senate unanimously opposed the bill.

Fastest Growth In Clean Energy Jobs

The report highlighted that Alabama, Kentucky, and Oklahoma experienced some of the fastest growth in clean energy jobs, based on percentage increases. Meanwhile, California, Florida, and Texas— the three most populous states— topped the list in terms of the total number of jobs in the clean energy sector.

According to the report, clean energy jobs grew by approximately 4.5% last year, significantly outpacing the overall job growth rate of 1.5%. Clean energy jobs now make up about 1 in 16 new jobs created in the U.S.

E2 has been publishing annual reports on clean energy job growth in the U.S. since 2015. Given the timing of this year’s report, its findings could influence the upcoming presidential election in November.

Donald Trump has promised to “rescind all unspent funds” from the Inflation Reduction Act if elected president, claiming it could help address inflation. In contrast, Kamala Harris has highlighted the act as a major example of job creation under the Biden administration.

“The Biggest Threats To This Unprecedented Progress”

In a statement marking the IRA’s second anniversary in August, Harris described the legislation as “historic” and “transformational.”

Bob Keefe, executive director of E2, stated that the report highlights the potential for continued growth in the clean energy sector.

“We’re just getting started. The biggest threats to this unprecedented progress are misguided efforts to repeal or roll back parts of the IRA, despite the law’s clear benefits both to American workers and the communities where they live,” he said, reported by NBC News.

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