Renewables are Transforming the Hoosier Economy
The plummeting cost of renewable energy is driving demand for wind and solar energy. Indiana’s economy benefits from the transition to low-cost renewable energy. Two studies from prominent Indiana Universities, Purdue University and Ball State University help explain why.
Ball State University Renewable Energy Economic Study
According to a study by Ball State University economist Dr. Michael Hicks, Indiana is amid a history-making shift in fuel used to generate electricity, in large part driven by the falling cost of renewables.
Jobs Grow as Renewable Energy Costs Fall
Electricity generation from wind and solar renewable energy sources is now lower than the cost of natural gas or coal, according to the landmark study that looks at the Economic Effects of the Changing Energy Mix in Indiana.
As renewables grow, Hoosier energy jobs will increase from 29,000 to 33,000 statewide.
Electricity generation from renewable energy sources is now lower than the cost of natural gas or coal.
Over the same period, solar energy prices dropped from $369 to $40/megawatt hour.
In 2019, coal generation was $109/megawatt hour and natural gas was $56/megawatt hour.
Over the past ten years, wind energy costs fell from $135 to $40/megawatt hour.
Renewable energy costs continued to decline even as federal subsidies decreased.
The projected economic benefits of a single 50-megawatt wind or solar project in a representative Indiana county:
Purdue University: Wind Energy Expansion would have $27 Billion Economic Impact
A Purdue University study that models increased wind production in 10 states shows significant economic impact in those states as well as billions of dollars spread over the rest of the country.
The analysis considers the effects of adding 500 megawatts each in 10 different states that produce the most wind energy in the U.S. — Texas, Iowa, Oklahoma, California, Kansas, Illinois, Minnesota, Oregon, Washington and Colorado. In those states, the result would be almost $24 billion in economic impact, as well as an additional $3 billion throughout the rest of the United States.
Wind Energy Expansion and Jobs
“...this study shows that there is significant economic opportunity from increasing wind energy production, as well as spillover that touches every state and many employment sectors...”
Shweta Singh, Purdue University Assistant Professor