The Greening of Pennsylvania

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The Greening of Pennsylvania
Jan LauerDirector3 Rivers Clean EnergyFebruary
26, 2009
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Why Energy? Why Now?

• Concerns about carbon emissions and global
  warming

Global warming
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Why Energy? Why Now?

• Concerns about carbon emissions and global
  warming
• Homeland security and dependence on foreign oil
  and gas

Global warming
Energy independence
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Why Energy? Why Now?

• Concerns about carbon emissions and global
  warming
• Homeland security and dependence on foreign oil
  and gas
• Explosive growth in global demand and escalating
  costs

Global warming
Energy independence
Growth in demand
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The Big Question Is How To Address Each Without
Worsening The Others
Global warming
?
Energy independence
Growth in demand
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Solution 1 Clean Fossil Fuels

• Develop and deploy technologies to help offset
  impacts of fossil fuel extraction and use
• Obama-Biden Plan
• Develop and deploy clean coal technology
• Implement cap and trade program to reduce
  greenhouse gas emissions 80 by 2050
• Make US a leader in climate change

Clean Fossil Fuels
Obama-Biden Plan
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Solution 2 Alternative Energy

• Aggressively invest in alternative energy RD,
  manufacturing, generation
• Obama-Biden Plan
• Ensure 10 of our electricity comes from
  renewable sources by 2012, and 25 by 2025

Clean Fossil Fuels
Obama-Biden Plan
Alternative Energy
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Solution 3 Conservation and Efficiency

• Make energy efficiency and conservation a
  priority
• Obama-Biden Plan
• Deploy the cheapest, cleanest, fastest energy
  source energy efficiency
• Weatherize one million homes annually
• Launch a massive effort to make public buildings
  more energy-efficient

Clean Fossil Fuels
Obama-Biden Plan
Alternative Energy
Conservation and Efficiency
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Pennsylvania Has An Unusual Opportunity With The
Energy Industry Right Now

• The state can help to create jobs and grow
  businesses at a time when it is concerned about
  slow growth across the board.  
• It also has the remarkable opportunity to create
  jobs no matter which direction the countys
  energy future goes, with rich business
  opportunities in renewables, nuclear, coal, and
  natural gas.  
• The state recognizes the opportunity that the
  energy industry represents and has dedicated
  itself to help energy companies succeed.  

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Pennsylvania is Setting The Stage For Its Energy
Businesses

• Driving business attraction and job creation
  Gamesa, Iberdrola, Conergy, etc.
• Retained Westinghouse, major player in the
  rebirth of the nuclear industry
• With passage of House Bill 2200, building an
  industry around energy efficiency by requiring
  Pennsylvania utilities to cut electricity use
  into the future
• Grants and loans for solar, wind, and geothermal
  through 650 bond issue passed last year

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PA Setting The Stage (cont.)

• Supporting the development of the Marcellus shale
  deposit (streamlined permitting, etc.), with
  enough gas to fuel the entire U.S. for two years
• Passing new legislation setting thresholds for
  the inclusion of biodiesel in fuel encourages the
  development and expansion of new renewable
  sources of fuel.

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Pennsylvania Assets Rival Any Other State

• Rich in generation assets and supply chain
  companies
• Abundant coal and gas reserves
• Utility-quality wind resource
• Ample water
• Transmission access to the energy-starved
  Northeast Corridor
• Workforce that still knows how to make and do
  things
• Cutting-edge research at universities and federal
  labs
• Important state and local policies and programs
  in place to promote energy industry
• Storage sites for CO2
• Sites for energy-intensive industries

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Energy

• Energy can take many forms
• Electricity that powers factories, brews coffee,
  and provides light
• Gas and oil that heat our homes and fuel industry
• Or liquid fuels like gasoline or biodiesel that
  power cars, jets, and locomotives.

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40 of Energy Used To Provide Electricity
Electricity 40.0
Transportation 28.5
Residential/Commercial 10.4
Industrial 21.0
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What Makes Up The Power Generation Industry?
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Power Plants Transmission and Distribution
Power Generation Industry
Generation
Transmission
Users
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Energy Industry Is Much More Than Generation
Transmission Companies

• Includes thousands of companies
• From manufacturers making ball bearings for wind
  turbines to high efficiency LED lighting to
  nuclear fuel casks, to electrical contractors, to
  demand response brokerages
• Varying in size from job shops and startups to
  major corporations like PPG, Bayer, and
  Westinghouse.
• Nearly all of those companies should be thinking
  of themselves as green

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Supply Chain Can Be Characterized As Four Sectors
Generation
Transmission
Users
Supply Chain

• Manufacturing
• Construction
• Fuels
• Services

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Generation and Supply Chain Companies Provide
Good Paying Jobs
Generation
Transmission
Users
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Supply Chain Also Provides Good Jobs
Generation
Transmission
Users

• Manufacturing

• Construction

• Fuels

• Services

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Many Of Those Same Workers Support Green Energy
Generators
Generation
Transmission
Users
Green Jobs Build On Traditional Skills And
Occupations For The Energy Industry
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Same Is True For The Supply Chain
Generation
Transmission
Users
Supply Chain

• Manufacturing
• Construction
• Fuels
• Services

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Stackable Credentials Are The Difference
Green Job
Traditional job
Stackable credential
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Help Wanted For Green Job Corps
HVAC tech geothermal tech
Electrician solar panel tech
Chem tech biofuels plant operator
Generator tech wind turbine tech
Roughneck carbon sequestration tech
Manufacturing tech solar panels
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Same Jobs Can Be Green, Depending On The Product
Or Service Delivered
Generation
Transmission
Users

• Manufacturing

• Construction

• Fuels

• Services

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National Statistics Provides the Context As Of A
Few Months Ago

• In the next 7 to 10 years more than half of the
  employee base will leave the oil and gas industry
  workforce
• The U.S. will need 50,000 new coal miners to meet
  increasing demand and to replace retirees
• Over the next decade there will be a 10,000
  lineworker shortage (current workforce is 58,000)
  nearly 20
• By 2030, nearly a half-million new jobs could be
  created in the wind industry
• The nuclear industry expects to lose 45 over the
  next five years Westinghouse alone needs 3000
  new hires in that time frame
• The solar industry has grown by a factor of ten
  over the past five years with corresponding job
  growth

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Boomers WERE Retiring

• According to the US Bureau of Labor Statistics,
  more than 25 percent of the working population
  will reach retirement age by 2010, resulting in a
  potential worker shortage of nearly 10 million.
• New, more acute challenge is heading our way
  five years of pent up retirements will happen AT
  ONCE!

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Southwestern PA Energy Industry Supply Chain Is
In Crisis
HELP WANTED 10,000 SKILLED WORKERS
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Southwestern PA Energy Industry Supply Chain
Needs Help
HELP WANTED 1,000 SKILLED WORKERS
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One-two Punch Of Job Growth And Aging Workers

• 17.7 of the workers are 55 or older
• Higher rate of job openings resulting from
  potential retirements than any other region in
  the U.S. over the next 10 years
• 2nd smallest ratio of people 10-19 years old to
  people 55-64 years old of any major region in the
  country

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Bottom Line We Are Training For The Right
Occupations At The Right Time

• Generation
• Manufacturing
• Construction
• Services
• Fuels

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• Jan Lauer
• Director
• 3 Rivers Clean Energy
• 412-874-7193
• janet.s.lauer_at_hotmail.com