American Petroleum Institute touts oil, gas industry’s importance to Colorado economy – Denver, Colorado

Denver, Colorado 2021-07-20 21:52:21 –

In a lively debate about Colorado’s economic recovery and the future of energy, a new report has arrived from a national industry group that oil and gas development is supporting hundreds of thousands of jobs in Colorado. ..

Report released on Tuesday American Petroleum Institute Oil and gas said they supported 69,000 direct and 271,000 indirect employment in Colorado in 2019. This is the latest data available. Nationally, the report found that the industry supports 2.5 million direct and 8.8 million indirect employment. This is 5.6% of total US employment.

Frank Machiarora, senior vice president of policy, economics and regulation at API, said the findings of the industry’s economic contribution report are important as the country recovers from the pandemic and considers energy policy. It was.

However, analysts at institutions that support diverse energy economies questioned whether some of the numbers in the report were bloated. The report lacks transparency, said Tom Sangillo, director of financial analysis. Institute of Energy Economics and Financial Analysis.

“It’s a big and powerful industry and it makes a big contribution to the country’s economy. You don’t have to stretch it to explain the point,” said Sanjiro.

However, according to the API, this report, produced by PricewaterhouseCoopers, incorporates industry-wide oil and gas work included in various sectors of some government statistics, such as pipeline operations and oil refining. According to Macchiarola, the API’s annual release of this report is based on data from the Bureau of Economic Analysis of the US Department of Commerce and is supplemented by other data sources.

BEA figures capture people who are self-employed in industry or individual partnerships, while the US Bureau of Labor Statistics only captures paid employees, according to Macchiarola.

Sanjiro said the report’s methodology was unclear, adding that more than 800,000 employees cited in the report work at gas stations and convenience stores. “Many of these convenience stores now host (electric vehicle) charging stations. Are they also part of the solar and wind industry?”

According to Sanjiro, the facts about job numbers and industry conditions are important in the public debate over fossil fuel use.Trade associations defended the content of the report

“Service station workers represent an important part of the liquid fuel supply chain and are naturally included in these figures because they are the most visible part of the industry for the general public,” said Colorado. State API Executive Director Lynn Granger said. I said by email.

Oil and gas will be the gross domestic product of Colorado in 2019, after considering wages, additional industry-backed jobs, “induced impacts”, or personal spending by employees and business owners, according to the report. It contributed $ 46.1 billion to production, or 11.7%. Nationally, the impact of the industry was about $ 1.7 trillion in GDP, or 7.9% of the total, the report said.

“Our industry’s average wages are almost twice the average wages of the US private sector, so the industry supports not only the size of the work, but the quality of the work,” Macchiarola said. Says. “When policymakers are considering a wide range of policies that impact the industry, it is important to consider what is at stake.”

According to Macchiarola, oil and gas demand is close to pre-pandemic levels, and experts believe fuel will be used over the next few decades.

At the state and federal levels, policy makers are addressing climate change by reducing greenhouse gas emissions contributed by oil and gas and expanding the use of renewable energy. A $ 1.2 trillion bipartisan infrastructure bill Congress includes billions of dollars to upgrade the power grid to increase the number of electric vehicles on the road and promote more renewable energy.

American Petroleum Institute touts oil, gas industry’s importance to Colorado economy Source link American Petroleum Institute touts oil, gas industry’s importance to Colorado economy

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