Green Technology Fueling Boston Jobs
Posted on October 10, 2008
The importance of green technology is helping to maintain Boston jobs.
With current high energy prices, concerns about global warming and increasing venture capital, Boston‘s green technology industry is finding itself insulated from many of the factors currently affecting the financial world, according to an article by The Boston Globe.
“I think it would be tough to find another sector where you could say that the fundamental market drivers are as strong, if not stronger, than ever,” John Balbach, managing partner at the Cleantech Group, said in the article.
In light of the economic crisis, demand for products and services that save energy hasn’t decreased, as many consumers remain worried about the long-term cost of gasoline and heating their homes. At the same time, environmentalists are still pushing for alternative and renewable sources of energy and fuel.
Last week, Cleantech, a research and financial services firm with offices in San Francisco and Brighton, Mich. reported third-quarter 2008 venture investments in North America, Europe, China, and India totaled $2.6 billion. This is 37 percent more than the same period last year. This year, $6.6 billion has been invested in the green industry, an increase of $6 billion from 2007.
However, the industry is not incapable of encountering problems. Established operations will most likely have a harder time obtaining loans and other funds needed to build facilities, such as manufacturing plants or wind farms.
“A lot of what is going on in our sector is what is going on in all sectors, which is that our stock prices are all over the place and more down than up,” Ethan Zindler, an analyst for New Energy Finance, which provides information and research to investors interested in renewable energy and low-carbon technology, said in the article. “On the flip side, the interesting thing is that we’ve seen a really, I would say, a spectacular amount of venture capital investment in the sector this year.”