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EC-LEDS: Enhancing Capacity for Low Emission Development Strategies Enhancing Capacity for Low Emission Development Strategies EC-LEDS International Jobs and Economic Development Impacts (I-JEDI) model Ilya Chernyakhovskiy, NREL Asia Clean Energy Forum 2017 Manila, Philippines
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EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

International Jobs and Economic Development Impacts (I-JEDI) model

Ilya Chernyakhovskiy, NREL

Asia Clean Energy Forum 2017

Manila, Philippines

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

I-JEDI

• Jobs and Economic Development Impact

– International version developed under USAID EC-LEDS program

• Quantify the economic impacts of building and operating renewable energy projects

Megawatts - Jobs - Wages - Economic Output

Regional Economic Development

- Jobs - Wages - Economic Output

I-JEDI

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

JEDI Tool

• Jobs and Economic Development Impact

• Estimates the economic output and jobs supported by the construction and operation of electricity generation plants

• Developed by NREL since 2004

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EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

International Applications (I-JEDI)

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Excel-based tool; Biomass, wind, PV, geothermal

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

How does the I-JEDI work?

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Economic Activity

Input-Output Model of Regional

Economy

Stimulus Effect

I-O Models estimate the effects of a commercial activity on the rest of the economy within the area of analysis

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

I-O Model

• I-O Models capture transactions within the region of analysis

• I-JEDI data requirements:

– costs of construction and operation

– percentage of costs within region of analysis

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

Inputs

• Deployment data

– Project(s) size in megawatts (MW)

– Percentage of labor and materials sourced locally

• Regional data needed for custom regions

– Regional installation costs

– Regional average annual salaries per industry

– Regional social accounting matrix

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EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

I-JEDI Outputs

Types • Jobs

• Salaries

• Economic Outputs

• GDP

Categories • Direct

• Indirect

• Induced

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

Direct, Indirect and Induced Effects

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Project Development

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

Direct, Indirect and Induced Effects

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Supply Chain

EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

Direct, Indirect and Induced Effects

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EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

Results

Direct jobs Direct

earnings

Direct economic

output Direct GDP

Indirect jobs Indirect earnings

Indirect economic

output Indirect GDP

Induced jobs Induced earnings

Induced economic

output Induced GDP

Direct jobs Direct

earnings

Direct economic

output Direct GDP

Indirect jobs Indirect earnings

Indirect economic

output Indirect GDP

Induced jobs Induced earnings

Induced economic

output Induced GDP

Construction Operation

Total – One-time Annual – On-going

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EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

I-JEDI Caveats

• I-JEDI results are linear – Economies of scale are not built into default data

• I-JEDI doesn’t evaluate project economic feasibility or levelized cost of electricity

• I-JEDI results are gross, not net – A new economic activity could displace or occur instead of other

activities

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EC-LEDS: Enhancing Capacity for Low Emission Development Strategies

Enhancing Capacity for Low Emission Development Strategies

EC-LEDS

Thank you

Questions?

Ilya Chernyakhovskiy, NREL

[email protected]

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