New Economic Analysis Details Petroleum Industry's Significant Contribution to California's Economy Industry responsible for 468,000 jobs; generates $21.6 billion in state and local tax revenues; $113 billion in total economic value larger than 17 U.S. state economies
SACRAMENTO, Calif., April 21, 2014 /PRNewswire-USNewswire/ -- The Western States Petroleum Association (WSPA) has released the findings of a new economic study produced by the Los Angeles County Economic Development Corporation (LAEDC) detailing the oil and gas industry's sizable economic and fiscal impacts on California's economy.
The report finds that the petroleum industry is a major employer and leading economic driver in California, responsible for 468,000 jobs in 2012, or 2.3 percent of California's employment, and more than $220 billion in direct economic activity, contributing 5.4 percent of California's state GDP. Additionally, the petroleum industry makes significant fiscal contributions to California's state and local governments with more than $21.6 billion in state and local tax revenues and $14.7 billion in sales and excise taxes.
"The men and women of the petroleum industry have always been extremely proud of the role they play in California as energy providers," stated WSPA President Catherine Reheis-Boyd. "This study shows just how central a role the industry plays in California's statewide and local economies. I know I speak for the hundreds of thousands of Californians working in and around the petroleum industry when I say our pride also comes with a commitment to continue driving California's economic recovery and energy future."
The LAEDC's analysis highlighted the industry's impact on regional economies throughout California, including counties statewide.
"The oil and gas industry supports 104,000 jobs in Los Angeles County alone," said Christine Cooper of the LAEDC, "and its activities here generate more than $5 billion in state and local tax revenues."
California business leaders also weighed in on the LAEDC's industry impact analysis.
"California's oil and gas industry has been an engine of California¹s growth for more than 100 years," stated Allan Zaremberg, President and CEO of the California Chamber of Commerce. "The industry sustains tens of thousands of well-paid, middle class jobs, provides billions of tax dollars for the support of state and local government, and provides the energy and much of the innovation that powers our economy.
"Our state's manufacturing community depends on a robust and efficient energy industry," said California Manufacturers & Technology Association President Jack Stewart. "The state's 1.2 million manufacturing employees salute the petroleum sector and its workers for being such an important cog in California's economy."
SOURCE Western States Petroleum Association