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The U.S. is currently home 3.46 million Americans who work across the clean vehicle, renewable energy, energy efficiency, battery storage, grid modernization, and biofuel sectors, according to the latest annual employment analysis from BW Research and E2. And in just the first two years of the IRA, businesses announced $130 billion to fund nearly 340 major clean energy and clean vehicle projects that are expected to hire at least 110,000 new, mostly permanent, workers, according to analysis by E2.

The economic benefits from these projects reach well beyond the direct investments and jobs, however. According to separate modeling by BW Research, the projects announced in the first two years of the IRA will create 621,000 direct and indirect new jobs – including 154,000 permanent jobs – over the next five years. Just during the construction phase alone, these new projects would directly and indirectly add $237.5 billion to U.S. GDP; create $169.4 billion in new wages for workers, and generate nearly $50 billion in new tax revenue for federal, state, and local governments.

To gauge business sentiment on how repealing or rolling back the IRA would impact business investment, hiring, and expansion plans, BW Research focused its outreach on firms working with the following technologies: energy efficiency of buildings, renewable electricity generation, energy storage, grid, renewable fuels, and electric or alternative transportation. The survey captured impacts not just on new businesses or projects since the laws were signed but on long-established companies, with more than 60 percent of the surveyed firms saying they have been in business in the clean energy space for more than ten years.

The executive interviews conducted in parallel with the survey helped reveal other common themes that business owners and decision-makers have seen since the passage of the IRA, as well as key issues for them as they contemplate their businesses’ future. The stakeholder engagement process involved energy businesses in different technologies and regions of the country.

Lastly, the repeal or rollback of the IRA would have impacts that extend far beyond hiring, investment, and expansion plans. In addition to the benefits to businesses created by the IRA, the policy has sent a clear market signal for companies to invest, innovate, and expand in America.

If the policy is repealed, some executives surveyed said they would have to relocate their companies to another country. Others said they would go out of business entirely. Rural areas and small communities across America would be hurt the worst, since rural areas have seen the biggest uptick in clean energy projects, investments and jobs since the IRA.

Key Findings

• Repealing the IRA would hurt business or revenue.

• • More than half (53 percent) of firms said they would lose business or revenue as a direct result of an IRA repeal.
  • About 27 percent said they would lose projects or contracts.
  • About 21 percent of impacted firms said they would likely exit the clean energy space.
  • About 11 percent of firms said they would close their business entirely,
  • Nearly 9 percent of firms said they would have to relocate to another country.

• Businesses would have to lay off employees and cut wages.46 million Americans currently work in clean energy sectors and nearly 150,000 new jobs are being added every year.
  • About 21 percent of firms said they would have to lay off workers if the IRA is repealed.
  • Nearly 15 percent of firms said they would have to lay off 10 or more workers;
  • More than 10 percent of firms said they would have to lay off 25 or more workers.

• • About 13 percent said they’d have to freeze wages or rescind offers to prospective employees.

• The IRA is very important to business growth.
  • About 85 percent of respondents said the IRA was “very important” or “somewhat important” to growth.
  • Nearly 60 percent of respondents said have worked on, produced goods, or offered services related to clean energy projects directly impacted or funded by the IRA.
  • About 48 percent said that at least half of their business came from IRA-related projects.

Other Key Findings
(based on survey results and stakeholder interviews)

• The IRA has had a major impact on reducing risk and uncertainty in clean energy markets. A repeal would lead to drastic scaling back of projects and affect investor confidence in the industry.
• Rural areas and small communities would experience the largest negative effects of a repeal of the IRA. Rural regions have seen the biggest uptake in projects and economic benefits since the passing of the IRA.
• A repeal of the IRA would disrupt the rapid increase in solar and battery installations as a result of higher installation and materials costs, lower supply as smaller companies leave the market, and lower demand from customers.
• The IRA has led to the creation of good-quality jobs offering transition pathways for workers in fossil fuels and other industries, particularly in rural areas. The high rate of new project installations, also largely prevalent in rural areas, has brought about a high demand for skilled energy workers.

Summary:

In the first two years under the IRA, businesses announced $130 billion in investments in 338 major clean energy and clean vehicle projects that are expected to create at least 110,000 jobs, according to E2. These projects include factories that produce electric vehicles, batteries, solar panels, wind turbine parts and other goods that benefit from tax credits and other policies created by the IRA.

But the economic benefits from these projects reach well beyond the direct investments and jobs. This analysis is designed to measure the broader indirect and induced economic benefits and the multiplier effect from the investments in these IRA-fueled clean economy projects.

According to this modeling, if completed the projects announced in the first two years of the IRA will create 621,000 direct and indirect new jobs – including 154,000 permanent jobs— throughout the economy over the next five years. This would add $237.5 billion to U.S. GDP; create $169.4 billion in new wages for workers and generate nearly $50 billion in new tax revenue for federal, state, and local governments.

This report builds on the research published in 2023 by E2 and BW Research, detailing the overall economic impacts of the 210 major clean economy projects announced in the first year of the IRA. In the second year of the IRA, an additional 128 clean energy projects were announced.

This analysis uses the original $130 billion in estimated capital expenditures that companies announced in investments for new developments and extrapolates another $32 billion in additional capital expenditures for project announcements that did not include a dollar amount or required an updated estimate based on available information.

Secondary economic benefits extend throughout the economy. When new clean energy projects and clean vehicle factories and thousands of new jobs come to a community, local restaurants sell more meals. Schools, police departments and local public works projects benefit from increases in local tax revenues. Local manufacturers and wholesalers sell more goods to feed the growing local supply chain. And small businesses such as accounting firms, construction contractors, landscaping companies and caterers see new revenue streams.

Together, these direct and indirect jobs and investments tell a nationwide story of opportunity for domestic manufacturing, clean energy production, transportation and infrastructure modernization and American ingenuity, thanks to the clean energy incentives and investments made possible by the IRA.

They are also just the beginning as E2 continues to track new projects being announced every month.

E2 Clean Economy Works project tracking. Available at https://e2.org/announcements/.

Key Findings

This modeling shows that (if all projects are completed) the 338 major projects tracked by E2 between August 2022 to August 2024 will create or support more than 621,000 jobs, including 467,000 construction jobs each year during construction and another 154,000 jobs each year after that.

While the under construction, these projects will add $237.5 billion to the nation’s GDP, more than the U.S. telecommunications sector adds to GDP annually, and another $20.4 annually once they are up and running—more than the nation’s textile manufacturing industry.

Additionally, these projects will result in $49.8 billion in new tax revenues for federal, state, and local governments while under construction, and an additional $4.4 billion annually after that.

COMBINED ECONOMIC IMPACTS OF MAJOR CLEAN ENERGY PROJECTS ANNOUNCED OVER TWO YEARS OF THE IRA

• • $162 BILLION in total private capital investments
    +$17.5 BILLION in annual investments during operational life of projects

• • $169.4 BILLION in labor income during construction phase
    +$12.9 BILLION in labor income annually during operational life of projects

• • $237.5 BILLION added to U.S. GDP during construction phase
    +$20.4 BILLION added to U.S. GDP annually during operational life of projects

• • $49.8 BILLION in tax revenue generated during construction phase
    +$4.4 BILLION in tax revenue generated annually during operational life of projects

• • 467,000 JOBS each year for 5 years during construction phase
    +154,000 JOBS supported annually during operational life of projects

TOTAL INVESTMENTS INTO AND ANNUAL JOBS SUPPORTED BY CLEAN ENERGY PROJECTS, DETAILED BY ENERGY SECTOR

Summary:

Two years after the Inflation Reduction Act (IRA) was signed into law on August 16, 2022, companies have announced at least 334 major new clean energy and clean vehicle projects across the country, according to E2’s findings. Of the announcements, 278 included estimates on the number of jobs the projects are expected to create and/or investment amounts. Based on this information, the projects, if completed, would create 109,278 new jobs and bring in $126 billion in private investments.

The 118 announcements in the IRA’s second year are expected to create a combined 34,600 jobs. This extends a wave of IRA-fueled job gains unequaled in the clean energy sector’s history.

The number of major IRA-related clean energy projects announced during the past twelve months declined from the previous year, when 216 projects were announced (211 initially reported). This decline in announcements, while not unexpected, comes amid the uncertainty of the 2024 elections and more than 40 attempts to roll back or reduce parts of the IRA by the U.S. House.

Still, the clean energy projects, jobs and investments related to the IRA are bringing new opportunities and economic benefits to communities across the country. Forty states and two out of three congressional districts are home to at least one announcement. Growth from post-IRA projects tracked by E2 is particularly pronounced in Republican-led districts and states in the South. Nearly 60 percent of the announced projects – representing 85 percent of the investments and 68 percent of the jobs – are in Republican congressional districts. This despite the fact that no Republican voted for the legislation.

Sectors throughout the clean energy industry are expanding. Over the past two years, automakers and their suppliers have announced 132 new or expanded electric vehicle and battery plants and related factories in 23 states, including 39 clean vehicle manufacturing projects in the past year. Solar panel equipment manufacturers are building or expanding 53 factories in 23 states (24 projects in the past year). Renewable energy operators are planning 24 new large-scale wind and solar generation projects across 22 states (10 projects in the past year), while at least 51 new battery/storage projects are in development (19 in the past year, in nearly as many states).

Highlights

* 99 of the 334 announcements did not include investment estimates and 98 did not include job estimates.

• More than 90 percent of all projects announced since the IRA are in the manufacturing sector.
• Five states are home to 20 or more projects: Michigan, Georgia, South Carolina, Texas and North Carolina. Six others are home to at least 10: Ohio, Tennessee, California, New York, Indiana and Arizona. Three-dozen states are home to at least two projects.
• Clean vehicles accounted for more than a third of all projects announced within the past year (45 projects announced).
• Renewable energy companies announced 31 solar panel and equipment factories and major solar projects in the IRA’s second year, and at least four wind turbine factories or major wind projects.
• Red states and Republican congressional districts are benefitting the most from the IRA. In its full two-year history, more than half of all projects were in Republican districts, and 19 of the top 20 congressional districts for clean energy investments are held by Republicans. Nearly 40 percent of all 435 U.S. congressional districts are home to at least one announced project.
• The top congressional districts for clean energy investments are North Carolina’s 9th district with nearly $9.9 billion, represented by Republican Rep. Richard Hudson; Georgia’s 11^th congressional district with $6.6 billion, represented by Republican Rep. Barry Loudermilk; and Nevada’s 2^nd congressional district with $6.6 billion, represented by Republican Rep. Mark Amodei.
• The top congressional districts that would see the largest clean energy employment growth from new clean energy projects are North Carolina’s 9th district with 5,660 estimated jobs, represented by Republican Rep. Barry Loudermilk; Nevada’s 2^nd congressional district with $5,050 jobs, represented by Republican Rep. Mark Amodei; and South Carolina’s 2^nd congressional district, represented by Republican Rep. Joe Wilson.
• The congressional districts that are home to the most projects announced are: Ohio’s 9^th congressional district with eight projects, represented by Democratic Rep. Marcy Kaptur; Georgia’s 1^st congressional district with six projects, represented by Republican Rep. Earl Carter; North Carolina’s 9^th congressional district with six projects, represented by Republican Rep. Richard Hudson; and South Carolina’s 5^th congressional district with six projects, represented by Republican Rep. Ralph Norman.
• Foreign companies led or were involved with about 160 projects announced since the IRA became law – nearly identical to the number of announced projects from U.S.-based companies.
• South Korean companies have announced the most projects – about three-dozen in the past two years. Companies based in Michigan and California led announcements from domestic-based companies, with 22 each.

Previous Clean Economy Works Monthly Reports:

• Clean Economy Works – June 2024
• Clean Economy Works – May 2024
• Clean Economy Works – April 2024
• Clean Economy Works – March 2024
• Clean Economy Works – February 2024
• Clean Economy Works – January 2024
• Clean Economy Works – December 2023
• Clean Economy Works – November 2023
• Clean Economy Works – October 2023
• Clean Economy Works – September 2023
• Clean Economy Works – One-Year Review
• Clean Economy Works – July 2023
• Clean Economy Works – June 2023
• Clean Economy Works – May 2023
• Clean Economy Works – April 2023
• Clean Economy Works – March 2023
• Clean Economy Works – February 2023

Summary:

This analysis uses the original $86 billion in estimated capital expenditures that companies announced in investments nationwide for new developments and extrapolates another $20 billion in additional capital expenditures for project announcements that did not include a dollar amount or required an updated estimate based on available information. In addition to the direct benefits of these expenditures, new modeling from BW Research measures the broader economic benefits and the multiplier effect of the investments and jobs expected if the 210 announced projects were completed over the next five years.

When these broader economic benefits are factored in, BW’s modeling expects the 8 large-scale project announced in Arizona tracked by E2 between August 2022 and August 2023 to create or support more than 18,700 jobs and generate billions of dollars in new wages, tax revenue, and economic growth.

These secondary economic benefits are far-reaching. When new clean energy projects and clean vehicle factories and thousands of new jobs come to a community, local restaurants sell more meals. Schools, police departments and local public works projects benefit from increases in local tax revenues. Local manufacturers and wholesalers sell more goods to feed the growing local supply chain. And small businesses such as accounting firms, construction contractors, landscaping companies and caterers see new revenue streams.

Together, these direct and indirect jobs and investments tell a statewide story of opportunity for domestic manufacturing, clean energy production, transportation and infrastructure modernization and American ingenuity, thanks to the clean energy incentives and investments made possible by the IRA.

They are also just the beginning as E2 continues to track new projects being announced every month.

Key Findings

This report details the economic impacts resulting from the clean energy investments in Arizona that were announced after the passing of the IRA, allowing for a more detailed examination of the economic benefits that the clean energy investments bring to the state. The 8 major Arizona projects tracked by E2 between August 2022-August 2023 will create or support more than 18,700 jobs, including 15,800 jobs each year during construction and another 2,900 jobs each year after.

These private-sector investments and jobs will add $6.8 billion to Arizona’s Gross State Product (GSP) while the projects are under construction, and another $434.6 million annually once they are up and running.

Additionally, these projects will result in $1.4 billion in new tax revenues for federal, state, and local governments while under construction, and an additional $80.0 million annually after.

COMBINED JOBS, WAGE, TAX AND GSP IMPACTS OF MAJOR CLEAN ENERGY PROJECTS ANNOUNCED IN FIRST YEAR OF THE IRA

TOTAL INVESTMENTS INTO AND ANNUAL JOBS SUPPORTED BY CLEAN ENERGY PROJECTS, DETAILED BY ENERGY SECTOR

Summary:

This analysis uses the original $86 billion in estimated capital expenditures that companies announced in investments nationwide for new developments and extrapolates another $20 billion in additional capital expenditures for project announcements that did not include a dollar amount or required an updated estimate based on available information. In addition to the direct benefits of these expenditures, new modeling from BW Research measures the broader economic benefits and the multiplier effect of the investments and jobs expected if the 210 announced projects were completed over the next five years.

When these broader economic benefits are factored in, BW’s modeling expects the 10 large-scale project announced in New York tracked by E2 between August 2022 and August 2023 to create or support more than 7,000 jobs and generate tens of billions of dollars in new wages, tax revenue, and economic growth.

These secondary economic benefits are far-reaching. When new clean energy projects and clean vehicle factories and thousands of new jobs come to a community, local restaurants sell more meals. Schools, police departments and local public works projects benefit from increases in local tax revenues. Local manufacturers and wholesalers sell more goods to feed the growing local supply chain. And small businesses such as accounting firms, construction contractors, landscaping companies and caterers see new revenue streams.

Together, these direct and indirect jobs and investments tell a statewide story of opportunity for domestic manufacturing, clean energy production, transportation and infrastructure modernization and American ingenuity, thanks to the clean energy incentives and investments made possible by the IRA.

They are also just the beginning as E2 continues to track new projects being announced every month

Key Findings

This report details the economic impacts resulting from the clean energy investments in New York that were announced after the passing of the IRA, allowing for a more detailed examination of the economic benefits that the clean energy investments bring to the state. The 10 major New York projects tracked by E2 between August 2022-August 2023 will create or support more than 8,000 jobs, including 6,000 jobs each year during construction and another 1,400 jobs each year after.

These private-sector investments and jobs will add $3.2 billion to New York’s Gross State Product (GSP) while the projects are under construction, and another $224.5 million annually once they are up and running.

Additionally, these projects will result in $736.0 million in new tax revenues for federal, state, and local governments while under construction, and an additional $55.7 million annually after.

COMBINED JOBS, WAGE, TAX AND GSP IMPACTS OF MAJOR CLEAN ENERGY PROJECTS ANNOUNCED IN FIRST YEAR OF THE IRA

TOTAL INVESTMENTS INTO AND ANNUAL JOBS SUPPORTED BY CLEAN ENERGY PROJECTS, DETAILED BY ENERGY SECTOR

Summary:

This analysis uses the original $86 billion in estimated capital expenditures that companies announced in investments nationwide for new developments and extrapolates another $20 billion in additional capital expenditures for project announcements that did not include a dollar amount or required an updated estimate based on available information. In addition to the direct benefits of these expenditures, new modeling from BW Research measures the broader economic benefits and the multiplier effect of the investments and jobs expected if the 210 announced projects were completed over the next five years.

When these broader economic benefits are factored in, BW’s modeling expects the 18 large-scale Michigan project announcements tracked by E2 between August 2022 and August 2023 to create or support nearly 28,000 jobs and generate tens of billions of dollars in new wages, tax revenue, and economic growth.

These secondary economic benefits are far-reaching. When new clean energy projects and clean vehicle factories and thousands of new jobs come to a community, local restaurants sell more meals. Schools, police departments and local public works projects benefit from increases in local tax revenues. Local manufacturers and wholesalers sell more goods to feed the growing local supply chain. And small businesses such as accounting firms, construction contractors, landscaping companies and caterers see new revenue streams.

Together, these direct and indirect jobs and investments tell a statewide story of opportunity for domestic manufacturing, clean energy production, transportation and infrastructure modernization and American ingenuity, thanks to the clean energy incentives and investments made possible by the IRA.

They are also just the beginning as E2 continues to track new projects being announced every month

Key Findings

This report details the economic impacts resulting from the clean energy investments in Michigan that were announced after the passing of the IRA, allowing for a more detailed examination of the economic benefits that the clean energy investments bring to the state. The 18 major Michigan projects tracked by E2 between August 2022-August 2023 will create or support more than 27,900 jobs, including 21,700 jobs each year during construction and another 6,200 jobs each year after.

These private-sector investments and jobs will add $9.7 billion to Michigan’s Gross State Product (GSP) while the projects are under construction, and another $706.7 million annually once they are up and running.

Additionally, these projects will result in $1.9 billion in new tax revenues for federal, state, and local governments while under construction, and an additional $165.0 million annually after.

COMBINED JOBS, WAGE, TAX AND GSP IMPACTS OF MAJOR CLEAN ENERGY PROJECTS ANNOUNCED IN FIRST YEAR OF THE IRA

TOTAL INVESTMENTS INTO AND ANNUAL JOBS SUPPORTED BY CLEAN ENERGY PROJECTS, DETAILED BY ENERGY SECTOR

Summary:

This analysis uses the original $86 billion in estimated capital expenditures that companies announced in investments nationwide for new developments and extrapolates another $20 billion in additional capital expenditures for project announcements that did not include a dollar amount or required an updated estimate based on available information. In addition to the direct benefits of these expenditures, new modeling from BW Research measures the broader economic benefits and the multiplier effect of the investments and jobs expected if the 210 announced projects were completed over the next five years.

When these broader economic benefits are factored in, BW’s modeling expects the nine large-scale North Carolina project announcements tracked by E2 between August 2022 and August 2023 to create or support 30,000 jobs and generate tens of billions of dollars in new wages, tax revenue, and economic growth.

These secondary economic benefits are far-reaching. When new clean energy projects and clean vehicle factories and thousands of new jobs come to a community, local restaurants sell more meals. Schools, police departments and local public works projects benefit from increases in local tax revenues. Local manufacturers and wholesalers sell more goods to feed the growing local supply chain. And small businesses such as accounting firms, construction contractors, landscaping companies and caterers see new revenue streams.

Together, these direct and indirect jobs and investments tell a statewide story of opportunity for domestic manufacturing, clean energy production, transportation and infrastructure modernization and American ingenuity, thanks to the clean energy incentives and investments made possible by the IRA.

They are also just the beginning as E2 continues to track new projects being announced every month

Key Findings

This report details the economic impacts resulting from the clean energy investments in North Carolina that were announced after the passing of the IRA, allowing for a more detailed examination of the economic benefits that the clean energy investments bring to the state. The nine major North Carolina projects tracked by E2 between August 2022-August 2023 will create or support nearly 30,000 jobs, including 24,600 jobs each year during construction and another 5,400 jobs each year after.

These private-sector investments and jobs will add $10.2 billion to North Carolina’s Gross State Product (GSP) while the projects are under construction, and another $593.5 million annually once they are up and running.

Additionally, these projects will result in $2.1 billion in new tax revenues for federal, state, and local governments while under construction, and an additional $124.2 million annually after.

COMBINED JOBS, WAGE, TAX AND GSP IMPACTS OF MAJOR CLEAN ENERGY PROJECTS ANNOUNCED IN FIRST YEAR OF THE IRA

TOTAL INVESTMENTS INTO AND ANNUAL JOBS SUPPORTED BY CLEAN ENERGY PROJECTS, DETAILED BY ENERGY SECTOR

Summary:

This analysis uses the original $86 billion in estimated capital expenditures that companies announced in investments nationwide for new developments and extrapolates another $20 billion in additional capital expenditures for project announcements that did not include a dollar amount or required an updated estimate based on available information. In addition to the direct benefits of these expenditures, new modeling from BW Research measures the broader economic benefits and the multiplier effect of the investments and jobs expected if the 210 announced projects were completed over the next five years.

When these broader economic benefits are factored in, BW’s modeling for the 19 major Georgia projects tracked by E2 between August 2022 and August 2023 expects the projects to create or support almost  39,000 jobs and generate tens of billions of dollars in new wages, tax revenue, and economic growth.

These secondary economic benefits are far-reaching. When new clean energy projects and clean vehicle factories and thousands of new jobs come to a community, local restaurants sell more meals. Schools, police departments and local public works projects benefit from increases in local tax revenues. Local manufacturers and wholesalers sell more goods to feed the growing local supply chain. And small businesses such as accounting firms, construction contractors, landscaping companies and caterers see new revenue streams.

Together, these direct and indirect jobs and investments tell a statewide story of opportunity for domestic manufacturing, clean energy production, transportation and infrastructure modernization and American ingenuity, thanks to the clean energy incentives and investments made possible by the IRA.

They are also just the beginning as E2 continues to track new projects being announced every month

Key Findings

This report details the economic impacts resulting from the clean energy investments in Georgia that were announced after the passing of the IRA, allowing for a more detailed examination of the economic benefits that the clean energy investments bring to the state. The 19 major Georgia projects tracked by E2 between August 2022 and August 2023 will create or support 38,600 jobs, including 31,800 jobs each year during construction and another 6,800 jobs each year after that. 

These private-sector investments and jobs will add $13.9 billion to Georgia’s Gross State Product (GSP) while the projects are under construction, and another $926.5 million annually once they are up and running. 

Additionally, these projects will result in $2.6 billion in new tax revenues for federal, state, and local governments while under construction, and an additional $175.4 million annually after that. 

COMBINED JOBS, WAGE, TAX AND GSP IMPACTS OF MAJOR CLEAN ENERGY PROJECTS ANNOUNCED IN FIRST YEAR OF THE IRA

TOTAL INVESTMENTS INTO AND ANNUAL JOBS SUPPORTED BY CLEAN ENERGY PROJECTS, DETAILED BY ENERGY SECTOR

Summary:

The positive impacts of the IRA’s historic investment in America’s rural economic growth and resilience are transformative. In its first year, the IRA incentives have spurred 52 major rural manufacturing projects that are projected to create 67,000 rural jobs and nearly $2 billion in worker income, creating viable new career opportunities and revenues to sustain rural communities. In addition to spurring growth, these IRA funds are essential to ensuring that rural America has access to the benefits of the clean economy transition and that our farms and farming communities are more profitable and more resilient. Farmers and rural workers across multiple industries, as well as rural consumers, strongly favor these investments in clean energy, infrastructure, and agricultural resilience. The federal clean economy investments in the IRA position rural communities as leaders in building a thriving 21st century American economy. 

FOCUS: Toyota announces $8 billion EV battery plant expansion in Liberty, N.C.

North Carolina has been actively courting investments from Japan for more than 40 years. But since the state first opened its economic development office in Tokyo in 1978, no other investment comes close to matching what the Japanese carmaker Toyota announced on the last day of October – $8 billion to add eight EV lithium-ion battery production lines to its fast-growing plant in the small Piedmont town of Liberty.

The project is expected to create 3,000 jobs. Toyota first announced it was building an EV factory in Liberty two years ago. October’s announcement was the third time it expanded on those plans, with the company’s total investments in North Carolina now expected to approach $14 billion. That represents the largest economic development project in North Carolina history, and it will help rejuvenate an area hit hard by the decline of the once-dominant textiles, tobacco and furniture industries.

“Toyota’s latest expansion in North Carolina is monumental,” North Carolina state senator Phil Berger said in a press release.

Toyota’s announcement is also by far the largest in terms of investment dollars that E2 has tracked across the entire country since the Inflation Reduction Act (IRA) was signed into law in August 2022. (The second-largest investment E2 has tracked across all states and sectors in that time was also in North Carolina: In September 2022, Durham-based Wolfspeed announced a $5 billion manufacturing facility for efficient silicon carbide materials and devices with applications in industries including renewables, energy storage and EVs.)

Elsewhere in the state last month, a company called Atuel said it will soon begin producing 5,000 fast DC car chargers annually in Greensboro, creating 400 jobs. Along the coast south of Wilmington, Epsilon Advanced Materials Inc. will invest nearly $650 million and create 500 jobs making battery components. Those jobs will have an average annual salary of $52,000 – about 12 percent higher than Brunswick County’s current average wage.

Not to be outdone, Indiana also racked up three big clean economy announcements last month. These include a $3.2 billion joint-venture battery gigafactory in Kokomo from Stellantis and Samsung and an $800 million solar manufacturing plant Canadian Solar is building near the Ohio River in Jeffersonville. That facility will be able to crank out about 20,000 panels a day. Combined, Indiana’s three announcements are expected to create 2,800 jobs.

Notably, all six announcements from both North Carolina and Indiana came from overseas, underscoring just how effective the IRA is at attracting foreign investments to small-town America. In addition to Japan, companies announcing investments in the Tar Heel and Hoosier states last month are based in the Netherlands, Korea, Canada, India, China and Austria.

Since the IRA was signed into law in August 2022, E2 has tracked 251 projects across 40 states representing more than $106 billion in investments that could help create more than 89,000 jobs. Nearly half of the announcements include companies headquartered overseas, creating opportunity and jobs here in the U.S.

For a complete rundown of all announcements E2 has tracked, please see here.

TOTAL PROJECTS BY STATE

ALABAMA

• Projects: 6
• Investment: $1.603 billion
• Jobs: 1,350

ARKANSAS

• Projects: 2
• Investment: $250 million
• Jobs: 500

ARIZONA

• Projects: 8
• Investment: $5.901 billion
• Jobs: 2,280

CALIFORNIA

• Projects: 12
• Investment: $1.6 billion
• Jobs: 160

COLORADO

• Projects: 7
• Investment: $880 million
• Jobs: 2,382 

CONNECTICUT

• Projects: 4
• Investment: $24.8 million
• Jobs: 100 

FLORIDA

• Projects: 2
• Investment: $72 million
• Jobs: 250

GEORGIA

• Projects: 23
• Investment: $14.577 billion
• Jobs: 14,031

IDAHO

• Projects: 2
• Investment: N/A
• Jobs: N/A 

ILLINOIS

• Projects: 6
• Investment: $2.064 billion
• Jobs: 2,719

INDIANA

• Projects: 10
• Investment: 4,222
• Jobs: $6.416 billion

KANSAS

• Projects: 1
• Investment: N/A
• Jobs: N/A

KENTUCKY

• Projects: 6
• Investment: $646 million
• Jobs: 1,129

LOUISIANA

• Projects: 4
• Investment: $1.214 billion
• Jobs: 983

MASSACHUSETTS

• Projects: 6
• Investment: $45.7 million
• Jobs: 1,041

MARYLAND

• Projects: 1
• Investment: $14 million
• Jobs: 145 

MAINE

• Projects: 1
• Investment: $6 million
• Jobs: 200

MICHIGAN

• Projects: 20
• Investment: $12.163 billion
• Jobs: 10,107 

MINNESOTA

• Projects: 3
• Investment: $145 million
• Jobs: 570

MISSOURI

• Projects: 1
• Investment: $100 million
• Jobs: 250

MISSISSIPPI

• Projects: 2
• Investment: $115 million
• Jobs: 340

NORTH CAROLINA

• Projects: 13
• Investment: $18.62 billion
• Jobs: 7,606 

NEW HAMPSHIRE

• Projects: 1
• Investment: $16.3 million
• Jobs: N/A

NEW MEXICO

• Projects: 5
• Investment: $1.243 billion
• Jobs: 2,542

NEVADA

• Projects: 6
• Investment: $6.6 billion
• Jobs: 5,250

NEW YORK

• Projects: 10
• Investment: $783 million
• Jobs: 2,739

OHIO

• Projects: 13
• Investment: $6.395 billion
• Jobs: 3,839

OKLAHOMA

• Projects: 5
• Investment: $2.45 billion
• Jobs: 1,490

OREGON

• Projects: 1
• Investment: N/A
• Jobs: N/A

PENNSYLVANIA

• Projects: 2
• Investment: $116.1 million
• Jobs: 15 

PUERTO RICO

• Projects: 1
• Investment: N/A
• Jobs: 800

RHODE ISLAND

• Projects: 1
• Investment: N/A
• Jobs: N/A

SOUTH CAROLINA

• Projects: 19
• Investment: $11.071 billion
• Jobs: 11,072

TENNESSEE

• Projects: 13
• Investment: $5.174 billion
• Jobs: 4,110

TEXAS

• Projects: 18
• Investment: $6.769 billion
• Jobs: 6,861

UTAH

• Projects: 1
• Investment: N/A
• Jobs: N/A

VIRGINIA

• Projects: 3
• Investment: $45.5 million
• Jobs: 149

VERMONT

• Projects: 1
• Investment: N/A
• Jobs: 12

WISCONSIN

• Projects: 6
• Investment: $242 million
• Jobs: 262

WEST VIRGINIA

• Projects: 3
• Investment: $1.335 billion
• Jobs: 850

Summary:

This analysis uses the original $86 billion in estimated capital expenditures that companies announced in investments for new developments and extrapolates another $20 billion in additional capital expenditures for project announcements that did not include a dollar amount or required an updated estimate based on available information. In addition to the direct benefits of these expenditures, new modeling from BW Research measures the broader economic benefits and the multiplier effect of the investments and jobs expected if the 210 announced projects were completed over the next five years.

When these broader economic benefits are factored in, BW’s modeling expects 403,000 new jobs—including nearly 100,000 permanent jobs—would be created and supported throughout the economy, $156 billion added to U.S. GDP, $111 billion in new wages for workers, and more than $32 billion generated in tax revenue for federal, state, and local governments. These benefits will continue long after the projects are built. For more details, see Key Findings below.

These secondary economic benefits are far-reaching. When new clean energy projects and clean vehicle factories and thousands of new jobs come to a community, local restaurants sell more meals. Schools, police departments and local public works projects benefit from increases in local tax revenues. Local manufacturers and wholesalers sell more goods to feed the growing local supply chain. And small businesses such as accounting firms, construction contractors, landscaping companies and caterers see new revenue streams.

Together, these direct and indirect jobs and investments tell a nationwide story of opportunity for domestic manufacturing, clean energy production, transportation and infrastructure modernization and American ingenuity, thanks to the clean energy incentives and investments made possible by the IRA.

They are also just the beginning as E2 continues to track new projects being announced every month

Key Findings

This modeling shows that (if all projects are completed) the 210 major projects tracked by E2 between August 2022-August 2023 will create or support more than 400,000 jobs, including 303,500 construction jobs each year during construction and another 99,600 jobs each year after that.

These private-sector investments and jobs will add $155.5 billion to the nation’s GDP while the projects are under construction, and another $13.1 billion annually once they are up and running.

Additionally, these projects will result in $32.5 billion in new tax revenues for federal, state, and local governments while under construction, and an additional $2.9 billion annually after that.

COMBINED JOBS, WAGE, TAX AND GDP IMPACTS OF MAJOR CLEAN ENERGY PROJECTS ANNOUNCED IN FIRST YEAR OF THE IRA

TOTAL INVESTMENTS INTO AND ANNUAL JOBS SUPPORTED BY CLEAN ENERGY PROJECTS, DETAILED BY ENERGY SECTOR