Innovation and the Sustainable Revolution
Demand for sustainable technologies is on the rise in the United States and in South Carolina.
Demand for sustainable technologies is on the rise in the United States and in South Carolina. In a quest to gauge the economic impact of sustainability, Sustain SC commissioned a study led by Joseph C. Von Nessen, Ph.D., a Research Economist at the University of South Carolina. The purpose of the study was to determine the specific sustainable technology needs of South Carolina businesses and then quantify the potential economic benefits for South Carolina if those needs were met.
According to the study, 46-percent of survey respondents indicated that their revenue projections over the next decade would be negatively impacted without sufficient access to sustainable technologies. The lack of access comes at a considerable cost, generating losses of between $30.2 billion and $101.2 billion in total economic activity for South Carolina. Solar energy, renewable natural gas, landfill and/or organic waste innovations, and electric vehicle infrastructure were the most commonly cited needs.
Those economic losses are not solely isolated to the decrease in potential business growth among firms needing access to sustainable technologies. When these firms reduce their purchase activity with in-state suppliers, it sets off a supply chain “ripple effect” touching a wide variety of industry sectors.
“This study provided a rare opportunity to quantify and gauge what is at stake economically in South Carolina. As the study found, there’s a lot to gain through implementation of sustainable initiatives, and also a lot to lose,” said Dr. Von Nessen. “The doors of economic opportunity are wide open in South Carolina. It’s now more important than ever to elevate and enhance existing sustainability initiatives because the future depends on it.”
In addition to the estimated economic losses, nearly 7-percent of surveyed firms report they are “very likely” to relocate their existing South Carolina facilities elsewhere if they are unable to meet their sustainable technology requirements. Another sticking point of the study was workforce development. About 67-percent of survey respondents also reported employees will need to have sustainability-related expertise in the future.
Manufacturing industry is one of the main drivers of demand for renewable energy in South Carolina, particularly the production of electric vehicles (EVs). Automotive manufacturers in the state and their supply chains are increasingly looking to power their facilities with electricity produced from renewables. Given that manufacturing is one of the state’s largest industry sectors and supports nearly 30 percent of South Carolina’s total employment base, the availability of renewable energy resources will become increasingly important over time as the manufacturing footprint expands.
As businesses continue to expand in South Carolina and look to maximize their ability to meet market demand, improving access to sustainable technology resources is likely to become a paramount component of a statewide economic growth strategy needed to usher in the sustainable revolution.
