It seems that we are finally seeing a shift in the long-held view that economic development and sustainability goals are mutually exclusive. At WattzOn, we’ve been asking the question: “What if energy savings programs were directly tied to economic development in local communities?” We believe that these programs are an untapped source of economic activity for cities, big or small. When residents save energy, they save money and in turn spend it locally, adding a potentially powerful boost to the economy.

We recently completed an analysis of the impact of energy savings on the local economy, using the city of Fremont, California, as a case study and presented our work at the Silicon Valley Leadership Group’s Energy/Sustainability Summit. Fremont was selected as the initial case study because of the city’s innovative approach to its sustainability goals. (See posts on this blog for more information.)

The results of our analysis were fascinating. And more importantly, it became clear that the same methodology can be applied to cities across the United States. We’re sharing our results to encourage other communities to explore energy savings programs, as they may lead to similar economic outcomes.

Key Findings:

  • Even a modest amount of residential energy savings generates a significant amount of local retail spending and could create hundreds of local jobs.

 

  • Spending on utilities and gasoline is significant, and these payments are sent out of local communities, creating a cash outflow. In Fremont’s case, a mix of local purchases and habit changes achieve a 5 percent energy savings, resulting in a second one-time boost from the sales of cars, solar, and appliances.

  • In Fremont’s case, a mix of local purchases and habit changes achieve a 5 percent energy savings, resulting in a second one-time boost from the sales of cars, solar, and appliances.


About WattzOn:

WattzOn provides Web and mobile tools that help communities and individuals to save energy and money. By combining advanced technology, behavioral science, and powerful data/analytics, WattzOn engages residents and delivers energy savings results. Our software-only solution has been used in 18 locations across the United States. Please contact us at info@wattzon.com.