According to recent research, if supported by government stimulus money, renewable energy industries might deliver a multibillion-dollar boost to New Mexico’s economy as well as thousands of jobs. In research issued Friday, Advanced Energy Economy, a global renewable power trade association, predicted that $20 billion in stimulus investments from the federal government in renewables would add $117 billion to the gross domestic product (GDP) of New Mexico.
Consumers, municipalities, and businesses would save $6 billion in energy expenses each year due to the investments, and 796,000 work years, or individual years of employment, would be created. According to the report, the $20 billion investment is believed to be New Mexico’s contribution of a $2 trillion stimulus package from the federal government, with renewable energy projects expected to produce $7.5 billion in tax income for the state each year. Investments in renewable power installations, electric vehicle infrastructure, and energy storage, according to Lea Rubin Shen, Advanced Energy Economy’s policy director, will help lower energy prices and build a more dependable system.
“Investing in this transformative technology not only has the ability to save individuals and businesses money on the expense of cooling their residences and getting where they want to go, but it also has the potential to create decent jobs at a period when many in-state are unemployed,” Rubin Shen stated. She said that New Mexico had made significant progress in renewable power and low-carbon power generation and that federal stimulus money will help accelerate that progress.
Energy efficiency investments would boost New Mexico’s GDP by $73 billion, while car electrification would contribute $22 billion. “The advanced energy workforce in New Mexico already numbers over 11,000 people,” Rubin Shen stated. “A public infusion of cash in a sector to which New Mexico is currently committed would drive major private investment, assisting the state’s advanced energy economy in its expansion.”
According to Mark Allison, New Mexico Wilderness Alliance’s executive director, the shift away from fossil fuels might be profitable for New Mexico, which is heavily reliant on oil and gas for revenue and vulnerable to commodity-based sector booms and busts.
Allison was concerned that the gas and oil sector had thousands of acres of undeveloped land, implying that significant extraction would continue. He believes that federal stimulus for low-carbon energy production and infrastructure could help alleviate the effects of continued extraction and pollution on natural disasters and climate. “Aggressive oil and gas operations have harmed New Mexico’s public lands for decades. This is likely to continue, given that the sector will need years to create all of the leases it has already purchased,” Allison added.