Industry touts economic impacts in new study

Source: Amanda Peterka, E&E reporter • Posted: Thursday, April 24, 2014

The renewable fuels sector will account for about 292,000 direct jobs and more than $70 billion in U.S. economic output this year, according to a new industry-funded study released today.
Including indirect jobs, the industry this year will provide more than 852,000 jobs with an economic output of nearly $185 billion, or 0.46 percent of the nation’s gross domestic product, the Fuels America-backed study found.New York-based economic research firm John Dunham & Associates Inc. conducted the analysis using econometric models and data from industry groups, biofuels companies and U.S. EPA.Along with conventional corn ethanol, the renewable fuels industry includes cellulosic ethanol manufacturers, other advanced biofuel makers, agricultural producers that supply biorefineries, and some fuel distributors and fueling stations.

Direct and indirect workers will bring in $42.6 billion in wages this year, while the industry as a whole will pay about $14.5 billion in federal and state taxes, the study found.

The report comes as the industry is facing scrutiny among policymakers over its environmental benefits, linkages to food prices and costs for oil companies. Fuels America said the study shows that the federal biofuel mandate is driving billions of dollars of U.S. economic activity.

 

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