Last August, as a state legislative committee considered how to prepare for the expected influx of electric vehicles onto Georgia's highways in the coming years, the state's top economic development official arrived to deliver an important message.
Pat Wilson, who had just returned from meetings in South Korea with suppliers to Bryan County's $5.5 billion "Metaplant," reviewed a list of battery and electric vehicle companies that have chosen to build factories in Georgia increased over the next five months.
Tout en desirant partager les réalisations, Wilson a également tempté de thunder une vue d'ensemble aux législateurs: a changement seismique dans la façon where the gens are déplacent et obtiannent leur électricité est en cours, avec d'enormes implicationes économiques en Géorgie et al -of.
"This change is happening in manufacturing and at levels that we probably haven't seen since the industrial revolution," said Wilson, commissioner for the Georgia Department of Economic Development.
At its core, this transition is about transforming a global economy based on fossil fuels to one powered by cleaner sources such as wind and solar. And as it evolves, Georgia is as well positioned as any state to ride the wave.
Earlier this month, Korean solar giant Qcells became the latest manufacturer to open or expand a store in the Peach State, announcing a $2.5 billion investment to more than double its manufacturing footprint in Georgia. Overall, green sector companies have announced 35 projects in Georgia, building everything from electric vehicles to electric bicycles and the batteries that power them, and have pledged to create at least 28,000 jobs, the governor's office said.
Plants for electric vehicle makers Hyundai and Rivian, as well as an announced battery plant by Hyundai-SK On, are among the largest vacancies in Georgia's history. Climate-friendly projects are not only all the rage in Georgia: According to an analysis by the research company BloombergNEF, investments in the transition to clean energy worldwide amounted to 1.1 trillion US dollars in 2022 and were thus able to match the expenditures for the generation of fossil fuels for the first time fuels compete.
Gov. Brian Kemp has signaled that the state's green development boom is likely far from over.
In his inaugural address for his second term earlier this month, he laid out the goal of making Georgia the "Electric Mobility Capital of America." A few days later, Kemp traveled to the exclusive World Economic Forum in Davos, Switzerland to introduce Georgia to foreign heads of state and business leaders and to emphasize the state's growing role as a hub for alternative energy innovation.
Climate change was not an issue in any of Kemp's gubernatorial campaigns. And he publicly conceals that many companies investing in Georgia make products aimed at reducing greenhouse gas emissions and curbing climate change, a reality other Republicans have denied.
Nonetheless, Kemp's commitment to clean energy is an apparent acknowledgment of the economic opportunity it presents, one that has been preached by Georgia's two US senators and other Democratic leaders, including President Joe Biden.
US Senator Jon Ossoff said he doesn't think the political dynamics driving clean energy development in the state are complicated.
"I think there is broad bipartisan support in Georgia...to ensure energy independence, to ensure that there is a robust supply of affordable energy that doesn't destroy our environment," Ossoff said shortly after the Qcells expansion was unveiled. "And I think there's tremendous excitement about the role Georgia can play in developing an industry that can provide the products needed to achieve those goals."
"The Market Loves Georgia"
Georgia's rise as a clean energy hub was fueled by a governor bent on aggressively wooing companies, luring them into the state with billions of dollars in state and local incentives. But he was also helped by a new federal climate law that the two Democratic senators helped pass last year.
Kemp helped close the deal for several green energy projects, including Hyundai and Rivian electric vehicle factories, Hyundai-SK On battery factory and Qcells solar panel factories. The governor and his economic development team, led by Wilson, have offered tax breaks, infrastructure and free land to encourage businesses to choose Georgia over other states.
Some have criticized these incentive programs as unnecessary aid that hurts local governments, but there appears to be public support for using incentives to expand clean energy production.
A University of Georgia poll conducted for The Atlanta Journal-Constitution shows that the vast majority of Georgians support government efforts to develop an electric vehicle industry. Almost two-thirds of voters "strongly" or "somewhat" support Georgia's practice of using incentives to make Georgia an electric vehicle hub.
Another third disagree with the strategy, while 6% say they don't know. Supporters are about 80% Democrats, a narrow majority Independents, and about half Republicans. On the other hand, 44% of Republican voters oppose Georgia's efforts to expand the electric vehicle industry, compared to just 16% of Democrats.
Kemp says positioning Georgia as a clean energy haven is a smart long-term economic approach, not an opportunistic political approach.
"Some of the most conservative people I know are great stewards of the environment.
"I keep the promise I made to people to have a good job where they grew up, to have good opportunities for their children and grandchildren. This one.
So why do you think deep red areas are so receptive to green employers, aside from the promise of more good-paying jobs in their communities?
"That's because we're not trying to push him in any way," Kemp said. "We're not trying to push it like a lot of other people do, or manipulate the market, or treat one industry differently than the other like they do in Washington. We just let the market do its thing, and the market loves Georgia. ".
Increase clean energy spending
Ossoff also made attracting green jobs a priority during his first term, including his role in brokering a deal that paved the way for SK Battery's $2.6 billion plant in commerce.
In an interview, the Democrat highlighted his role in drafting key new solar regulations to be included in the Inflation Reduction Act (IRA), the federal reform aimed at curbing climate change with a range of tax incentives and new spending. The votes of Ossoff and fellow Democratic senator Raphael Warnock were key to passing the bill in a sharply divided upper house last year.
The IRA provides $10 billion in tax credits for building new solar manufacturing plants, plus billions more for manufacturers making components for solar panels, batteries and wind turbines in the US, among other clean energy incentives. Qcells said the law helped fuel its expansion in Georgia.
"Qcells' investments across the solar value chain follow the passage of the Build Solar America Act as part of the Reduce Inflation Act," the company said in a statement. "This new federal investment is essential to give investors confidence to be bold with clean energy."
Kemp's new $32.5 billion budget includes funds for training, infrastructure and housing for workers at the new Georgia factories. However, building a workforce to cover the thousands of jobs that will be created remains a challenge.
"What I'm hearing from executives considering new Georgia facilities is that, of course, labor is a big concern. And a lot of these cutting-edge, skilled, advanced manufacturing jobs don't require a four-year college degree," Osoff said.
Emissions are rising... again
Scientists say people must reduce their emissions of heat-trapping greenhouse gases quickly to avoid the worst effects of climate change.
The clean energy boom fueled by Biden's climate law is expected to accelerate U.S. emissions cuts over the long term, according to a report by data analysis firm Rhodium Group released last year.
However, recent evidence suggests that the United States is still not moving fast enough.
A preliminary analysis, also released this month by Rhodium Group, found US emissions rose 1.3% in 2022, up for the second year in a row but remaining just below pre-pandemic levels. Meanwhile, federal data shows that 2022 was the sixth hottest year on record and the past nine years were the nine hottest in 143 years of U.S. government records.
Clean energy production is already on the verge of exploding in Georgia, but Ossoff said recent temperature and emissions numbers suggest even more expansion could be on the horizon as countries push to meet their climate targets.
"Economies around the world are racing to transition to cleaner, more renewable forms of power generation," Ossoff said. "That's one of the reasons there's a growing demand for these products, which are made right here in Georgia."
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