Global Energy Institute report details costs of Keep It in the Ground movement
The U.S. Chamber of Commerce Global Energy Institute (GEI) recently released a report that examines the economic impacts of the “Keep it in the Ground” movement, which opposes new fossil fuel development.
The report found that the movement prevented at least $91.9 billion in domestic economic activity, eliminated approximately 730,000 job opportunities and eliminated $20 billion in tax revenue for federal, state, and local governments.
“The anti-energy movement’s opposition to vital energy infrastructure comes with a real cost: lost job opportunities and billions in prevented domestic economic activity,” Karen Harbert, president and CEO of GEI, said. “America’s newfound status as a global energy superpower has created opportunities here at home and around the world, but in order to harness our abundant natural resources and innovation, we must have adequate infrastructure. Unfortunately, a small but vocal group of activists is waging fights against these projects around the nation. Our new report demonstrates just how damaging that is to families, consumers, and American workers.”
GEI analyzed select projects where were canceled or delayed due to protest, lawsuits or legislation. The report focuses on 15 projects including pipelines, power plants, transmission lines, and export facilities as well as the statewide hydraulic fracturing ban in New York.
To calculate the direct economic impact on projects through August 2018, GEI used public sources for data on job creation, tax revenues and other lost economic activity, along with specific project data related to cost and size. GEI also used the IMPLAN model to calculate the total economic impact, including ancillary effects throughout the economy from project-related spending. IMPLAN is an input-output model of the economy that shows the direct, indirect and induced impacts of new economic activity on the economy overall.
The report also recommends reforms to the permitting process to assist with the expansion and modernization of energy infrastructure.
