Worcester Business Journal

40 2016 Central Mass By The Numbers • Worcester Business Journal • www.wbjournal.com Energy & Transportation Green jobs in Central Mass. grew 14 percent last year T he number of green jobs in Central Massachusetts grew to 17,530 in 2015, a 13.6-per- cent increase over 2014 that outpaced the state average. "Massachusetts is a leader, and we would like to see the state continue to be a leader," said Sean Gallagher, vice presi- dent for state affairs at the Solar Energy Industries Association (SEIA). Green jobs – servicing such industries as solar, energy efficiency, other renewable energy generation and alternative trans- portation – grew throughout the state last year as the average of 11.9-percent growth across the commonwealth for 2015 brought the state to nearly 100,000 total workers in the clean energy sector. Adjusting with the incentive programs At Hopkinton solar installer Solect Energy, that growth has been driven by the federal and state incentive programs for commercial solar arrays, said Craig Huntley, chief development officer and founder. "It is just making sure your business model mirrors the incentive programs," Huntley said. Solect was founded by Huntley and two others seven years ago, and by 2013, the company had 20 employees. Now, the firm boasts 55 employees and is building a second location for a ware- house in Holliston. "What really has been driving it is the attractiveness of solar in the market- place," Huntely said. State incentive programs like the SREC II carveout, which allows genera- tors of renewable energy to earn credits they can sell, and the net-metering law, which allows owners of solar arrays to be paid the retail utility rate for the extra electricity they produce and sell back to the grid, led to the drastic rise in green jobs over the last three years, particularly in the solar industry, said Gallagher. In 2011, Massachusetts had 2,400 jobs in the solar industry, according to SEIA. By 2013, that had grown to 6,400. By the middle of 2016, the industry employed 15,000 in the state. This, of course, is tied directly to the rise of solar installations in Massachusetts, Gallagher said. Since 2012, solar installers in the state have put in at least 100 megawatts of arrays annu- ally with nearly 400 megawatts expected this year. Massachusetts ranks sixth in the nation with 1,243 megawatts of installed capacity, and the state is aiming for another 1,600 megawatts. SEIA is con- cerned the state will lose some of its solar momentum next year as the SREC program is expected to expire on Jan. 8, and Gov. Charlie Baker's proposed new solar program – which replaces the credits with a structured tariff system – won't kick in until the summer, Gallagher said. "That basically means those projects that come after Jan. 8 will be left wait- ing," he said. "That will slow the overall growth in the industry and the jobs the industry creates." SEIA and others in the solar industry have made proposals to the state to either expand the SREC program to include early stage projects or extend the deadline to cover the time period before the tariff program starts. Looking beyond incentive programs The solar industry still isn't ready to thrive without incentive programs, Huntley said, but other factors are mak- ing the clean energy industry attractive in Massachusetts, including the high price of buying electricity from the main power grid and the dropping cost of solar array installations. While Solect has grown its employee base from 20 to 55 in the past three years – mostly sales and administrative per- sonnel – the projects those workers shepherd along end up employing plenty more, Huntley said, as the company uses subcontractors to do the electrical work and labor. At any given time, Solect has between 100-150 subcontracted employees in the field, he said. "It is very seasonal. We are at a peak period now with a lot of workers out in the market," Huntley said. "It is driven by the volume of projects we have. If we get an early winter, those numbers will fall quickly." BY BRAD KANE Worcester Business Journal Editor Solect Energy installed a 84-kilowatt array on the roof of the Brighton nonprof- it Community Rowing, Inc. Craig Huntley, Solect chief development officer More clean energy jobs After a year of stagnation, Central Massachusetts' clean-energy sector took off in 2015. Central* 17,530 13.6% 1,005 8.9% Western 12,308 2.7% 931 -2.0% Northeast 46,626 16.8% 2,929 10.2% Southeast 22,431 6.7% 1,472 2.7% MA 98,895 11.9% 6,439 7.0% Year-over- Year-over- Region Employment year growth Establishments year growth * GROWTH 2015 Source: 2015 Clean Energy Industry Report, prepared for the Massachusetts Clean Energy Center by BW Research Partnership Note: Regional breakdowns are as follows: Central: Worcester County and part of Middlesex County. Western: Berkshire, Hampden, Hampshire and Franklin counties. Northeast: Essex, Suffolk and Norfolk counties and part of Middlesex County. Southeast: Plymouth, Bristol, Barnstable, Dukes and Nantucket counties. Types of clean-energy jobs in Central Massachusetts, 2015 73% of all full-time Massachusetts employees in the clean energy sector earn more than $50,000 annually. Clean energy employment by technology in Central Massachusetts, 2015 67% of new hires in electrical efficiency and buildling envelope sector jobs in Massachusetts earn between $50,001 and $125,000 annually Source: 2015 Clean Energy Industry Report, prepared for the Massachusetts Clean Energy Center by BW Research Partnership Legal, finance, other professional services 31.5% Sales and distribution 41.9% Installation and maintenance 1% Engineering and research Manufacturing and assembly 17.4% 3% 5.2% Other 60.1% Electrical efficiency and building envelope 21.5% 12.5% 2.8% Greenhouse gas emissions accounting and management Renewable and efficient heating and cooling Renewable electricity generation Alternative transportation 3.1% W

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