LOS ANGELES, Jan. 26 /PRNewswire/ -- New statistics to be released today
in the 2009 "California Green Innovation Index" document the powerful economic
stimulus provided by energy efficiency and green technology in California,
despite the worldwide financial crisis. The Index finds that total Gross
Domestic Product (GDP) produced per unit of energy (energy productivity) is 68
percent higher in California than the rest of the nation, which generates
billions for the economy. Since 2005 statewide green jobs have grown at a
rate ten times faster than total job growth. Green tech venture capital
investment nearly doubled in one year, hitting an all-time high of $3.3
billion in 2008, capturing 57 percent of the national total. Los Angeles, San
Francisco and Sacramento together accounted for over 20 percent of the
nation's hybrid vehicle registrations in 2007.
"As the country moves quickly to put an economic stimulus package in
place, California's experience with energy efficiency and clean technology is
instructive," said F. Noel Perry, venture capitalist and founder of the
nonpartisan, nonprofit Next 10. "If California had not moved as forcefully to
decrease energy consumption over the last three decades, we would be in a much
more precarious economic position right now. Imagine where the country could
be if it were as efficient as California."
The 2009 California Green Innovation Index, an initiative from Next 10 and
authored by Collaborative Economics, will be unveiled at the VerdeXchange
Conference in Los Angeles -- a leading technology, energy, and regulatory
"green marketmakers" event. Designed to track key economic, energy and
environmental indicators, the Index provides critical data on the impact of
innovation on the state's economic and environmental health as California
moves to reduce greenhouse gas (GHG) emissions to 1990 levels as mandated by
the California Global Warming Solutions Act (AB 32). A PDF of the Index can be
found at: http://www.next10.org/environment/greenInnovation09.html.
The 2009 Index includes never before published data on green businesses
and jobs, providing the most comprehensive accounting of this growing area of
economic activity. Importantly, this is a bottom-up accounting based on
empirical evidence and not statistical modeling. Also unique to this Index is
the green patent registrations analysis produced in cooperation with 1790
Analytics (based on data from the U.S. Patent and Trade Office).
Chief among Index findings:
-- From 2002-07, California led all states in patent registrations for
green technologies, increasing the state's total number by 70 percent over a
similar period in the early nineties. (page 31)
-- Despite slowing in overall venture capital investment, clean technology
investment in California hit an all-time high in 2008 of $3.3 billion,
increasing nearly $1.5 billion over 2007 and over seven times total clean tech
investment in 2005. (page 28)
-- Since 2005, green job growth has grown by 10 percent, while statewide
jobs have increased by only 1 percent. By green segment, job growth has been
strongest in Advanced Materials (28 percent) followed by Transportation (23
percent), Air & Environment (22 percent), and Green Building (20 percent),
with 20 percent of those jobs generated in manufacturing. (pages 70 and 71)
-- Over 1.5 million jobs have been created as a result of energy
efficiency policies forged by California over the last 35 years, generating
$45 billion in payroll. (page 66)
-- California's energy productivity is 68 percent higher than that of the
rest of the country. Measured as the ratio of energy consumed (inputs) to GDP
(economic output), growth in energy productivity equates to more dollars of
GDP generated per unit of energy consumed. (page 21)
-- Nationally, California is the top-ranking state in alternative fuel
vehicle (AFV) registrations (excluding Flex Fuel Vehicles) with the number of
newly registered AFVs more than four times higher than any other state.
However, according to most recent data, the United States as a whole had a
higher average fuel economy of passenger vehicles (20.1 mpg) than California
(19.9 mpg) in 2006. (pages 44-46)
-- In 2007, three of the top ten hybrid metropolitan markets were in
California; Los Angeles (#1), San Francisco (#2), and Sacramento (#9)
metropolitan areas accounted for over 20 percent of new hybrid registrations
in the U.S. (page 46)
-- Power generation from renewable sources increased by 19 percent in
California from 2002-2007, while total energy generation grew by only 11
percent. Since 2003, the wind power generated for California increased 95
percent. (pages 52 and 53)
-- Since 2001, vehicle miles traveled (VMT) per capita in California
dropped 2 percent with half of this progress achieved between 2006 and 2007
alone. During this same time period, VMT per capita in the rest of the nation
increased 3 percent. Relative to 2002, while gasoline prices in 2008 climbed
92 percent higher, total California sales dropped back to 2002 levels and
gasoline sales per capita dropped 10 percent. (page 39)
-- California increased grid-connected photovoltaic (PV) solar capacity by
41 percent from 2006 to 2007. (page 55)
-- Public transportation expanded 22 percent from 2005-06, adding over
100.5 million transit service miles.
Trends identified in the 2008 Index that continued in the 2009 Index
-- Californians, per capita, pay lower utility bills and spend billions
less of their state economy as a whole on electricity than the rest of the
country due to energy efficiency innovation.
-- California's Carbon Economy continues a gradual downward trend in the
direction of a carbon-free economy, delinking economic growth from GHG
emissions. While GDP per capita has increased by 28 percent in 16 years (1990-
2006) gross emission per capita are 10 percent lower than in 1990.
-- The average monthly residential electricity bill in California is less
than half of the average monthly bill in Texas, representing a total savings
for Californians of nearly $25 billion in 2007. As a fraction of the state
economy, Texas' overall electricity bill is almost double California's bill.
According to annual Field Poll results included in the Index, despite
bleak economic times, seven in ten registered voters believe global warming
poses a serious threat to both the economy (69 percent) and overall quality of
life (73 percent). In fact, according to California voters, who were polled
during the height of September's bank failures, 74 percent believe it is
possible to reduce GHG emissions while creating jobs and building economic
Though many of the 2009 Index findings confirm continued progress in
economic, energy and environmental indicators, major indices underscore the
difficult challenges ahead:
-- Even while per capita VMT and emissions have scaled back to 1995
levels, total VMT and total transportation GHG emissions have increased 20
percent since that year.
-- While slowing in growth since 2001, total GHG emissions in California
continued to rise by 4 percent from 2003-2006.
-- Total electricity consumption in California continues to rise, though
2006-2007 represents the smallest annual increase since 2002.
-- Commercial electricity consumption continues to rise, increasing
overall from 2004-2005 by 3 percent, and per square foot by 1 percent. Large-
scale data centers, or server farms, are not included in this number.
-- The number of working Californians using alternatives to driving alone
has remained fairly static between 26 and 28 percent since 2000.
"California, like the rest of the nation and world, is caught in a
financial perfect storm at the same time it has committed to dramatic
reductions in global warming emissions," said Doug Henton of Collaborative
Economics, a Silicon Valley-based firm that prepared the Index for Next 10.
"Interestingly, this Index provides evidence that moving to cleaner and more
efficient energy use must be part of the economic solution."
The Index was produced in partnership with Collaborative Economics, a
Mountain View, California-based research and consulting organization that
works with senior executives from business, foundations, government, education
and community sectors to identify economic, environmental and social trends
and promote regional innovation. For over a decade, Collaborative Economics
has prepared the annual Index of Silicon Valley for Joint Venture: Silicon
Next 10 is an independent, nonpartisan organization that educates, engages
and empowers Californians to improve the state's future. Next 10 is focused
on innovation and the intersection between the economy, the environment, and
quality of life issues for all Californians. Next 10 employs research from
leading experts on complex state issues and creates a portfolio of nonpartisan
educational materials to foster a deeper understanding of the critical issues
affecting our state.
SOURCE Next 10