Sacramento, CA (September 17, 2008)- California state regulators released an economic analysis of the state’s global warming plan to cut greenhouse gas emissions down to 1990 levels and concluded that by 2020, there would be an increase in the state’s gross product by $4 billion, 100,000 additional jobs, and an increase in per capita income of $200.
“Our historic effort here in California to deal with the crisis of global warming will also have a benefit of saving our businesses and residents money,” stated Air Resources Board Chairwoman Mary Nichols. “These are good-news numbers. We are not claiming this is the way to economic salvation. But making our state more energy-efficient and less reliant on imported oil… will have a net positive effect.”
Some businesses attacked the plan, saying it would cause companies to leave California to establish themselves in less restrictive states. “The plan assumes all these investments by businesses, utilities, and consumers,” said Dorothy Rothrock, vice president of the California Manufacturers and Technology Association. “Where will all the upfront capital come from? This analysis is long on wishful thinking but short on economic reality.” Nichols acknowledged that electricity rates may rise, but that efficiency measures would offset any net price increase. As for capital, she said, “Investment money is available for clean and green technology in California. It is in the billions. Investors are out there looking for a place to spend it.”
Climate Change Economic Analysis for California