The green building sector is outpacing overall construction growth in the U.S. and will account for more than 2.3 million American jobs this year, according to a new U.S. Green Building Council studyU.S. Green Building Council study
The 2015 Green Building Economic Impact Study, prepared by Booz Allen Hamilton, finds the green building industry contributes more than $134.3 billion in labor income to working Americans. The study also found that green construction's growth rate is rapidly outpacing that of conventional construction and will continue to rise.
By 2018, the study finds, green construction will account for more than 3.3 million U.S. jobs–more than one-third of the entire U.S. construction sector–and generate $190.3 billion in labor earnings. The industry's direct contribution to U.S. Gross Domestic Product (GDP) is also expected to reach $303.5 billion from 2015-2018.
Residential green construction spending is expected to grow from $55 million in 2015 to $100.4M in 2018, representing a YoY growth of 24.5%, while commercial green construction spending is estimated to grow from $95.6 million in 2015 to $123.96 million in 2018, reflecting a YoY growth of 9.76%. By 2018, green residential construction is projected to represent approximately 44.75% of all green construction.
"Green building is playing a massive role in the U.S. construction sector, the clean and efficient energy sector, and the U.S. economy as a whole," says Rick Fedrizzi, USGBC CEO. "More than 2.3 million U.S. workers are taking home $134 billion annually in large part because of green building programs like LEED. Demand for green building will only continue to grow as individuals, businesses and institutions continue to prioritize sustainable approaches to the design, construction and operations of our built environment."
The new analysis also explores the multifaceted economic contribution of green construction to the U.S. economy and individual U.S. states, quantifying the economic impact of green building and LEED certification.
"Our research shows that green building has created millions of jobs and contributed hundreds of billions of dollars to the U.S. economy, with the construction of LEED-certified buildings accounting for about 40% of green construction's overall contribution to GDP in 2015," said David Erne, senior associate at Booz Allen. "This industry is certainly on the rise, and aggressive growth in the green building sector is anticipated over the next four years."
In addition to national jobs, GDP and labor earnings from green building, the study projects significant growth in green building's contribution to individual states' tax contributions and environmental asset indicators at both the national and state levels. Total state earnings related to LEED building construction projects are estimated to total $8.4 billion by 2018. In Texas alone, almost 1.26 million jobs in the green building sector are projected between 2015 and 2018. As a result, green building will also contribute to significant savings across energy, trash, water and maintenance costs.
