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Green economy may help Mich.

January 10, 2010

New opportunities to combat environmental issues, such as global warming, could give Michigan a chance to emerge as a leader in the reduction of greenhouse gases and tackle the state’s high unemployment rate.

A study released Jan. 4 and led by Steven Miller, an assistant professor in the College of Agriculture and Natural Resources and director of MSU’s Center for Economic Analysis, predicts going green could create 129,000 new jobs in Michigan by 2025 and save consumers billions of dollars.

Miller and his team looked at 54 recommendations, which included improving the environmental efficiency of coal plants, included in the Michigan Climate Action Council’s, or MCAC, Michigan plan to examine the economic impact of the potential changes. The outline is called the Michigan Climate Action Plan.

Gov. Jennifer Granholm issued an executive order in 2007 establishing the MCAC, which released its climate action plan in February 2009.

“(The plan) won’t completely change Michigan’s economy, but it will definitely happen on the fringe of the economy,” Miller said.

College of Agriculture and Natural Resources Dean Jeffrey Armstrong said he expects some majors with low enrollment, such as forestry, to grow in anticipation of an increased demand for individuals with backgrounds in sustainable technology and renewable energy.

“Forestry … is a major we would like to see grow,” Armstrong said. “Biomass is very important (given that) 50 percent of the state is covered by forest.”

The team predicted about 20,000 jobs would be created by 2025 in fields such as agriculture and forestry.

If all 54 Climate Action Plan recommendations are implemented, some jobs — particularly those in areas related to fossil fuels — will experience declines, said Steven Chester, former director of the Michigan Department of Environmental Quality, or DEQ. Chester also was the head of the DEQ and chairman of the MCAC during the plan’s creation.

Despite the long-term gains, Michigan residents could experience higher energy prices at the beginning of the recommendations — a potential deal breaker in a cash-strapped state.

“It is difficult politically to … say, ‘We want to address this problem and pay something to deal with it,” said Patrick Hogan, the Pew Center on Global Climate Change regional policy coordinator. The Pew Center is a nonprofit, nonpartisan organization.

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