As our economy continues working toward full recovery, getting people back to work will be critical to our nation’s growth and success. This week, IHS Global Insight released a study that shows once again shows how shale regions of this country are contributing much needed jobs, helping an economy that in other ways is sputtering, and providing us with a larger measure of energy security.
In its second volume of a study on oil and gas production, IHS concludes that by the year 2035, unconventional natural gas and oil development will support 3.5 million jobs. The benefits are unmistakable. According to IHS’ analysis, government revenues from development activities will exceed $2.5 trillion between 2012 and 2035. There will be more than $188 billion in economic activity in 2012 and that amount is expected to rise to more than $275 billion by 2035, IHS says.
The benefits are not just tied to states with active unconventional natural gas development, but they are pervasive throughout the economy and in all 50 states, thanks to an extensive supply chain network surrounding development.
In its study, “America’s New Energy Future: The Unconventional Oil and Gas Revolution and the U.S. Economy,” IHS reveals that the biggest employment gains will be from the states with robust natural gas and oil development, primarily in shale regions of the country. Among them is Texas, which will see more than 733,000 jobs supported by 2035, followed by Pennsylvania at more than 387,000; California at more than 187,000; Colorado at more than 175,000; and Louisiana at more than 150,000.
States like New York could see substantial growth if development were to commence. As it is, IHS projects that New York companies will employ 78,000 people by the year 2035, all because of development in other states. If New York allows unconventional production, that number will grow substantially. Other states that have natural gas reserves but were not included as producing states in this study include: Illinois, Indiana, Kentucky, Michigan, Missouri, North Carolina, Tennessee and Virginia.
Whether it is supporting jobs, providing economic stimulus, or adding to government revenue, IHS’ data shows that shale gas is and will continue to provide numerous benefits for all Americans. Our industry’s commitment to safe and responsible development means communities do not have to choose between producing more of this abundant, domestic source of energy and the protection of their environment. Thanks to this commitment, we can power our homes, communities, and our economy for generations to come.