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Report: Michigan leads Midwest in clean energy jobs; more growth expected

Candice Williams
The Detroit News

Clean energy businesses in Michigan added more than 5,400 workers in 2022, boosting the state to lead the Midwest region in its number of clean energy workers, officials said Tuesday.

There are 123,983 Michigan residents working in clean energy and clean transportation jobs, up 4.6% in 2022, according to a Clean Jobs report released Tuesday by national nonpartisan business group Environmental Entrepreneurs (E2) and Evergreen Climate Innovations.

"The industry's growth is expected to continue as federal climate investments bring in new clean energy projects," said Micaela Preskill, Midwest advocate for E2, during a livestreamed press conference Tuesday. "And with strong state policy, growth is even more certain. That's a good thing, of course. When clean energy jobs grow, our entire economy benefits. Clean energy jobs are available to everyone and they cover a wide swath of the economy from manufacturing, innovation, construction, investment, etc."

Joining Preskill at Detroit-based energy management services company SEEL LLC were Michigan Lt. Gov. Garlin Gilchrist; Louis James, CEO and founder of SEEL, Emma Hayali; a mechanical technician for FLO EV Charging; Mike Wescott, business development manager for Harvest Solar; Scott Alan Davis, vice president of inclusion and economic development for SEEL, and Grace Michienzi from the Michigan Energy and Innovation Business Council.

The Clean Jobs report comes one year after the Inflation Reduction Act of 2022, which is considered the largest investment in climate and clean energy in history. The state’s clean energy economy is expected to grow with investments resulting from the legislation and as the state considers adopting clean energy policies.

"I think this report really is a blockbuster and affirms that we are on the right path and that we need to continue to do more," Gilchrist said Tuesday. He noted the support he and Gov. Gretchen Whitmer have given to the industry. Those actions include signing executive orders for economy-wide carbon neutrality goals by 2050 and setting interim emissions goals for the state at a reduction of 28% by 2025 and 52% by 2030.

Among the clean energy jobs, those in the energy efficiency sector continued to lead in 2022 with more than 75,000 workers, according to the report. These workers in this sector manufacture Energy Star-rated appliances and install efficient lighting, ventilation and air conditioning systems. They also install advanced building materials in homes and commercial buildings.

Clean transportation jobs were the fastest-growing sector in 2022 in Michigan, with 14.4% growth. There were 4,067 jobs added for a total of 32,271 workers. Jobs related to electric vehicle production are the bulk of the sector’s growth, according to the report.

The largest hubs with clean energy jobs are Detroit with 66,586 jobs, Grand Rapids with 14,590 jobs and Lansing with 4,306 jobs. Rural areas of the state account for nearly 16,000 jobs.

Scott Alan Davis, vice president of inclusion and economic development for SEEL, said a root of its business operations is providing workforce development and training to build its staff. The company saw an influx of workers when the auto industry took a hit in 2009.

"We took those blue-collar people that lost their jobs, those very skilled folks and retrained them to be green-collar workers," Davis said.

Davis said it is an ideal time for an infusion of federal and state dollars in the clean energy industry.

"So many people are looking for work and looking to do things differently," he said. "And what excites us the most is the opportunity for jobs, jobs and more jobs. And the impact that it has not just on the people who get that work, but it's also going to change these communities as ... people from these communities will start to adopt these new technologies and participate in these programs. And so we'll see an influx of more Black and brown communities being connected, more rural communities being connected. And all of that is important to this work."

Gilchrist noted from the report that small businesses helped drive the state's energy sector in 2022 with 75.3% of the businesses employing fewer than 20 people.

"So these are some of the smallest businesses in our community that are having some of the biggest impact for our economy and our environment," he said. "... created companies due to entrepreneurs who are just ready to get their hands dirty, ready to make sure that people have access to their place in this greening economy. The number showed also that climate change is an opportunity. The way that we can mitigate climate change is through innovation, through partnership and through ideas. And those ideas will help us to build solutions, they will help us to create jobs, they will help us to grow our economic vitality, they will bring more people to the state of Michigan, help grow our population."

cwilliams@detroitnews.com