BEAR, Berkeley Economic Advising and Research

ProjectsCalifornia ISO

California ISO: jobs and incomes under a regional grid

Volume VIII (economic impacts) of the California ISO’s study for SB 350, and Volume X (disadvantaged communities), prepared with Aspen Environmental Group: what turning the ISO into a regional grid operator would mean for California jobs and incomes.

Diagram of three California maps: the statewide model, census tracts, and disadvantaged communities in red
From the statewide model to census tracts to disadvantaged communities. Volume X, Figure 7.

The question

How would a regional, multistate grid operator affect California jobs, incomes and disadvantaged communities, compared with current practice under a 50 percent renewables standard?

What BEAR found

110,000More jobs in 2030 from a 50 percent RPS against a 33 percent reference, upper scenario (90,000 lower)
19,300Jobs added by regionalization itself, upper scenario (9,900 lower)
195Sectors in the model used for the study

Against a reference that holds the renewables standard at 33 percent, reaching 50 percent by 2030 adds an estimated 90,000 to 110,000 jobs statewide in 2030 and $11.3 to $13 billion in gross state product.

Regionalization adds 9,900 to 19,300 more jobs than current practice in 2030, mainly through ratepayer savings, and both regional scenarios create more jobs in disadvantaged communities than current practice.

Method

The BEAR dynamic CGE forecasting model of California at 195 sectors, calibrated to 2013 data and a Department of Finance based baseline for 2015 to 2030, with statewide results downscaled to census tracts and to CalEnviroScreen 2.0 disadvantaged communities.

Bar chart and map of additional income per household in disadvantaged communities under a regional scenario
Additional income per household in disadvantaged communities, Regional 2 against current practice. Volume X, Figure 15.

Team

David Roland-Holst, Drew Behnke, Samuel Evans, Cecilia Han Springer and Sam Heft-Neal (Volume VIII), with Aspen Environmental Group (Volume X).

Public record

How to cite

Roland-Holst, D., Behnke, D., Evans, S., Han Springer, C., and Heft-Neal, S. (2016). Senate Bill 350 Study, Volume VIII: Economic Impact Analysis. Prepared for the California ISO by Berkeley Economic Advising and Research. July 8, 2016.

More from this practice area