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Manufacturers face “huge state disparities” in access to renewable energy

ECI study shows wide gaps in megawatt hours from solar and wind generation per factory.

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Manufacturers around the U.S. face limited access to renewable energy access, due to huge state disparities in wind and solar power, according to a study from the manufacturing software provider ECI Software Solutions.

The average factory uses 9,000 megawatt hours (MWh) of energy per year, which works out to 750 MWh per month. And yet, in 30 states, there’s less than 100 MWh of renewable power generated per month, per business, according to Westlake, Texas-based ECI. The study made its calculations by dividing Bureau of Labor Statistics’ data on the number of manufacturing businesses in each state by the number of MWh of energy generated per month through wind and solar sources. 


The results showed that the five states with the biggest deficit of clean energy for manufacturers—as measured by the amount of renewable energy (wind and solar) generated monthly, per business, by MWh—were: Alabama, Kentucky, Tennessee, Louisiana, and Alaska.

And the five states with the highest amount of renewable energy available for manufacturers were: North Dakota, Wyoming, Iowa, South Dakota, and New Mexico. 

Although there are other sources of renewable energy, such as hydropower and biomass, wind power is currently the largest producer of renewable electricity in the U.S. But not all states can access it, Matt Heerey, manufacturing division president at ECI, said in a release.

“As we approach Earth Day, our research indicates a state-by-state imbalance in renewable energy, where a lack of access can hinder sustainability efforts driven through renewable sources. For example, factories in Alabama are likely to have a state-level renewable energy struggle, which could set them back in production, and ultimately be more costly down the line,” Heerey said.

“The availability of clean energy can play a role in determining where manufacturers choose to locate their factories in the future, favoring states that have a large volume of wind turbines. It’s important to evaluate all options that can ensure production processes are as efficient as possible to help avoid waste and reduce high energy consumption. Digitizing operations and using ERP software, can provide visibility into areas that could be made more efficient and therefore less wasteful,” he said.
 

 

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