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Green Growth Green Growth 53520-1203-1010 EWEA www.ewea.org About EWEA EWEA is the voice of the wind industry, actively promoting wind power in Europe and worldwide. It has over 700 members from almost 60 countries, including wind turbine manufacturers with a leading share Green Growth of the world wind power market, plus component suppliers, research institutes, national wind and renewables associations, developers, contractors, electricity providers, fi nance and insurance companies, ISBN 978 - 2 - 930670 - 00 - 3 The impact of wind energy on jobs and the economy and consultants. This combined strength makes EWEA the world’s largest and most powerful wind energy network. Rue d’Arlon 80 | B-1040 Brussels Tel: +32 2 213 18 11 - Fax: +32 2 213 18 90 E-mail: [email protected] A report by the European Wind Energy Association - April 2012 23799_EWEA_2012 Cover_corrections2.indd 1 28/03/12 15:57 Green Growth The impact of wind energy on jobs and the economy a report by the European Wind Energy Association Text and analysis: Athanasia Arapogianni, Jacopo Moccia (European Wind Energy Association) Data collection and data analysis: Deloitte Contributing author: Justin Wilkes (European Wind Energy Association) Revision and editing: Sarah Azau (European Wind Energy Association) Design coordination: Raffaella Bianchin (European Wind Energy Association) Cover photo: LM Glasfi ber Design: www.devisu.com Print: www.artoos.be EWEA has joined a climate neutral printing programme. It makes choices as to what it prints and how, based on environmental criteria. The CO2 emissions of the printing process are then calculated and compensated by green emission allowances purchased from a sustainable project. Published in March 2012 ISBN: 978-2-930670-00-3 223799_EWEA_2012.indd3799_EWEA_2012.indd 1 228/03/128/03/12 117:257:25 “Wind energy is a pivotal element in the necessary transition to a green growth economy. The way I see it, decarbonisation is a prerequisite to growth. Investments in energy system transformation will drive growth and employment in a wide range of sectors. Every euro spent on the green transition is an investment in European jobs.” Danish Energy and Climate Minister Martin Lidegaard in Wind Directions magazine, April 2012 2 Green Growth – The impact of wind energy on jobs and the economy 223799_EWEA_2012.indd3799_EWEA_2012.indd 2 228/03/128/03/12 117:257:25 Content Executive summary .......................................................................................................................4 1. Introduction ............................................................................................................................ 10 2. Current status of wind energy and growth forecasts .........................................................12 3. Direct impact of wind energy sector on EU economy ........................................................ 16 3.1 Direct contribution to GDP ......................................................................................................... 17 3.2 Wind industry sub-sectors’ contribution to direct GDP ..................................................................... 21 3.3 Wind energy sector exports and imports ....................................................................................... 31 3.4 Direct impact on employment ....................................................................................................... 34 3.5 Tax balance ................................................................................................................................ 37 3.6 Avoided fuel costs ....................................................................................................................... 38 4. Indirect impact of the wind energy sector on the EU economy ........................................40 4.1 Indirect contribution to GDP .......................................................................................................... 41 4.2 Indirect employment .................................................................................................................... 43 5. Overall impact of the wind energy sector on the EU economy .........................................44 5.1 Total impact on GDP .................................................................................................................... 45 5.2 Total employment ........................................................................................................................ 48 6. Economic effort in R&D ........................................................................................................ 50 7. Forecast to 2020 and 2030 ................................................................................................. 54 7.1 Total contribution to GDP .............................................................................................................. 55 7.2 Employment ................................................................................................................................ 58 8. EU wind energy sector – the global leader ..........................................................................60 8.1 Activity of European energy players in non-EU countries .................................................................. 61 9. Annexes .................................................................................................................................. 64 Annexe I. Methodology ...................................................................................................................... 65 Annexe II. Calculating the wind energy sector’s direct contribution to GDP .............................................. 66 Annexe III. Calculating the wind energy sector’s indirect contribution to GDP ...........................................69 Annexe IV. Activity of European wind energy players in third countries .....................................................73 Annexe V. Contribution to GDP and employment by MW/MWh ................................................................91 Green Growth – The impact of wind energy on jobs and the economy 3 223799_EWEA_2012.indd3799_EWEA_2012.indd 3 228/03/128/03/12 117:257:25 Photo: Siemenns EXECUTIVE SUMMARY 223799_EWEA_2012.indd3799_EWEA_2012.indd 4 228/03/128/03/12 117:257:25 The wind energy industry: a driver for economic As such the wind industry will continue to be a driver growth for economic growth over the next twenty years. In The wind energy industry is a proven recession- 10 years’ time the wind industry’s contribution to busting industry and investment in the wind power GDP will increase almost three-fold, with the sector sector should be seen as a way to restore Europe’s expected to generate 0.59% of the EU’s GDP whilst economy to health. Putting in place stable legislative having doubled employment. In twenty years’ time the frameworks which encourage the building, installing wind industry’s contribution to GDP will increase fi ve- and operating of wind turbines has resulted in eco- fold to reach €174 bn, almost 1% of total EU GDP, and nomic growth since the fi nancial and economic crisis, employment will have increased by a factor of three. and will continue to lead to economic growth. The wind energy industry: a major industrial Governments and the European Commission should exporter therefore see wind energy as not only a solution to €8.8 bn wor th of products and ser vices were expor ted climate change and a way to improve energy security, by the European wind industry in 2010, up 4.2% on but also a way to boost economic growth and com- the previous year and up 33% since 2007. In con- petitiveness. As such, investment in the wind indus- trast, the sector imported €3.2 bn worth of products try should be seen as a strategy to deliver economic and services in 2010, making it a net exporter of €5.7 growth, and stable legislative frameworks to promote bn worth of products and services1. the development of the wind industry should be main- tained and enhanced, even in times of austerity. The wind energy industry: contributing taxes Tax payments from companies in the wind energy sec- In 2010 the wind energy sector – both directly and tor amounted to €3.59 bn in 2010, mostly corporate indirectly – contributed €32.43 billion (bn) to the EU’s and income taxes but also regional and local taxes, GDP, 0.26% of the EU’s total GDP for that year. The and property taxes. Taxes paid by the wind industry contribution of the wind energy sector is higher than have increased by over 50% since 2007. the contribution of the footwear industry (0.21%). Wind energy’s contribution can also be compared to The wind energy industry: avoiding fuel costs the furniture sector, which contributed 0.99% of EU Wind energy displaces electricity generated by fos- GDP in 2010, to the civil aviation sector, which con- sil fuels, which not only reduces electricity prices tributed 1.5% of EU GDP in 2010, to the automotive and CO2 emissions, but also avoids the cost of buy- industry at 6.5% and to construction at 9.9%. ing those fuels. In 2010 avoided fuel costs (for coal, oil, gas, biomass, waste) from wind power production In 2010 the increase in the wind industry’s contri- was €5.71 bn. For the 2007 to 2010 period, wind bution to GDP, at 4.1%, was twice as high as the energy avoided fuel costs totalling €20.18 bn. growth of GDP itself. Between 2007 and 2010 the wind energy sector increased its contribution to GDP The wind energy sector: a motor for other by 33%. The wind industry
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