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2015 ARIZONA SOLAR JOBS CENSUS

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Page 1: Arizona Solar Jobs Census 2015

2015ARIZONASOLAR JOBS CENSUS

Page 2: Arizona Solar Jobs Census 2015

ABOUT THE SOLAR FOUNDATION® The Solar Foundation® (TSF) is an independent 501(c)(3) nonprofit organization whose mission is to increase understanding of solar energy through strategic research and education that transforms markets. TSF is considered the premier research organization on the solar labor workforce, employer trends, and the economic impacts of solar. It has provided expert advice to leading organizations such as the National Academies, the Inter-American Development Bank, the U.S. Department of Energy, and others during a time of dynamic industry growth and policy and economic uncertainty.

While TSF recognizes that solar energy is a key part of our energy future, it is committed to excellence in its aim to help people fairly and objectively gauge the value and importance of solar technologies.

ABOUT BW RESEARCH PARTNERSHIP BW Research is widely regarded as the national leader in labor market research for emerging industries and clean energy technologies. In addition to the Census series, BW Research has conducted rigorous solar installation and wind industry labor market analysis for the National Renewable Energy Laboratory, wind energy and energy retrofit studies for the Natural Resources Defense Council, a series of comprehensive clean energy workforce studies for the Commonwealth of Massachusetts, Illinois, Vermont, Florida, Pennsylvania, Iowa, and California, as well as numerous skills and gap analyses for community colleges, workforce investment boards, state agencies, and nonprofit organizations.

ABOUT THE ARIZONA STATE UNIVERSITY ENERGY POLICY INNOVATION COUNCILThe Energy Policy Innovation Council (EPIC) at Arizona State University informs and educates policymakers and key stakeholders on current, complex issues in energy policy that impact Arizona and beyond. In addition to creating policy brief sheets, videos, and reports, EPIC staff and student researchers strive to make policy more accessible in innovative ways, such as live-tweeting public hearings. EPIC is currently engaged in the transformative regulatory proceedings underway in Hawai’i and in Clean Power Plan activities in Arizona. EPIC is housed within the School for the Future of Innovation in Society at Arizona State University in Tempe, Arizona.

COVER IMAGE COURTESY OF THE NATIONAL RENEWABLE ENERGY LABORATORY

Page 3: Arizona Solar Jobs Census 2015

ACKNOWLEDGEMENTSThe Solar Foundation® (TSF) is a national 501(c)(3) nonprofit organization whose mission is to increase understanding of solar energy through strategic research and education that transform markets. In 2010, TSF conducted its first National Solar Jobs Census report, establishing the first credible solar jobs baseline and verifying that the solar industry is having a positive impact on the U.S. economy. Using the same rigorous, peer-reviewed methodology, TSF has conducted an annual Census in each of the last six years to track changes and analyze trends.

This Arizona Solar Jobs Census 2015 report is an offshoot of TSF’s National Solar Jobs Census 2015 effort. Research partners for the Census 2015 effort include the Arizona State University Energy Policy Innovation Council for providing editorial guidance and peer review, the George Washington University Solar Institute for providing assistance and support in reviewing and validating report results and analysis; the

Solar Energy Industries Association (SEIA) for use of its National Solar Database and peer review; and GTM Research/SEIA for providing survey respondents with the U.S. Solar Market Insight: 2014 YIR report.

Sponsors of this year’s Census effort include: Energy Foundation, William and Flora Hewlett Foundation, Tilia Fund, George Washington University Solar Institute, SEIA, Recurrent, SolarCity, First Solar, Sol Systems, E.ON, Trina Solar, State of Minnesota Department of Commerce, State of New Mexico Energy Minerals and Natural Resources Department, Utah Governor’s Office of Energy Development, sPower, Standard Solar, CALSEIA, All Earth Renewables, and groSolar.

Finally, we want to thank all the Arizona employers that participated in the survey. Your responses were critical in providing us with accurate and timely data.

Andrea LueckePresident and Executive Director The Solar Foundation® 202-469-3750; [email protected] www.TheSolarFoundation.org

Philip Jordan Principal and Vice President BW Research Partnership 508-384-2471; [email protected] www.bwresearch.com

For questions or comments about this report, please contact either:

Please cite this publication when referencing this material as “Arizona Solar Jobs Census 2015, The Solar Foundation, available at: www.TSFcensus.org and SolarStates.org”

Page 4: Arizona Solar Jobs Census 2015

PLACEHOLDER IMAGEPhoto courtesy of Wikimedia Commons - Flagstaff AZ

Page 5: Arizona Solar Jobs Census 2015

1Arizona Solar Jobs Census 2015

INTRODUCTION

The U.S. solar industry experienced yet another record-breaking year in 2015, with more than 7,400 megawatts (MW) of domestic photovoltaic (PV) capacity expected to have been installed – an 18.5% increase over that of 2014 – bringing total U.S. solar capacity to nearly 27.5 gigawatts (GW).1

As the rate of capacity installation has accelerated, employers across the country

have continued to expand the size of their payrolls. This year’s sixth annual National Solar Jobs Census found that the U.S. solar industry employed 208,859 workers as of November 2015, representing the addition of 35,052 jobs, and a 20.2% increase in employment over November 2014. Since The Solar Foundation began tracking these numbers in 2010, employment in the industry has more than doubled, growing by 123% and adding over 115,000 jobs. Employers nationwide expect this growth trend to continue through 2016, projecting to add nearly 31,000 jobs to the solar workforce over the course of the year.

Capacity Data Source: SEIA/GTM Research Solar Market Insight Q3 2015

93,502105,145

119,016

142,698

173,807

208,859

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

0

50,000

100,000

150,000

200,000

250,000

2010 2011 2012 2013 2014 2015E

Adde

d Ca

paci

ty (M

W)

Sola

r Job

s

U.S. PV Capacity Additions & Solar Jobs, 2010 - 2015E

PV Capacity Additions Solar Jobs

Page 6: Arizona Solar Jobs Census 2015

2Arizona Solar Jobs Census 2015

0.0

100.0

200.0

300.0

400.0

500.0

600.0

700.0

800.0

2010 2011 2012 2013 2014 2015E

Adde

d Ca

paci

ty (M

W)

Arizona Solar Capacity Additions, 2010 - 2015E

Residential (PV) Non-Residential (PV) Utility (PV) Concentrating Solar Power (CSP)

Contrary to the positive trends currently enjoyed by the solar industry at the national level, the Arizona solar industry has stagnated in recent years, with annual capacity additions peaking in 2012 before leveling off in 2013 and dropping precipitously in 2014.2 Despite this, 2014 witnessed a slight rebound in the size of the state’s solar workforce, but the contraction of the local market and other headwinds seemed to catch up with payrolls in 2015. As of November, only 6,922 workers were employed by the solar industry in the state, representing a 24.5% reduction in the size of the workforce since 2014, and a massive underperformance compared to employer projections of 21% growth from the previous year.3

As of September, just under 141 MW of solar capacity had been installed in Arizona during 2015, substantially less than the similarly sunny neighboring state of Nevada, with nearly 218 MW installed during the same period. Although the local industry’s past success earned Arizona the distinction of becoming only the second state to cross over the 2 GW threshold in 2014, it is currently projected to be surpassed by

North Carolina in total installed capacity over the course of 2016, as the sluggishness of the local market is expected to continue.4

Utility-scale development made up the bulk of Arizona’s 2015 capacity additions, and has done so each year since 2011,5 but rather than symbolizing a healthy market for large projects, this is actually emblematic of the struggles faced by the smaller-scale residential and non-residential markets in the state.6 At multiple times over the course of the year, these struggles were thrust into the national spotlight, establishing Arizona as a flashpoint in the contentious debates over the evolution of rooftop solar policy and electric utility rate design.

In February, Salt River Project (SRP), one of the nation’s largest municipal electric utilities, serving large swaths of the Phoenix metropolitan area, approved a new fee of roughly $50 per month on all leased or owned solar systems connected to the electric grid in their territory.7 The utility explained the new fees, structured to vary based on a solar customer’s electricity usage during times of peak demand, as a

Source: SEIA/GTM Research Solar Market Insight Q3 2015

Page 7: Arizona Solar Jobs Census 2015

3Arizona Solar Jobs Census 2015

mechanism to ensure that all of their customers, both solar and non-solar, were paying their share to maintain the grid as a resource that benefits everyone. The utilities maintain that under the old rate structure, net metering could effectively zero out solar customers’ monthly electric bills while the customers still benefitted from their connection to the grid.

Residential solar companies and advocates challenged the utility’s claims, pointing to other benefits of distributed solar that were excluded from the analysis, such as mitigating pollution, reducing the need for new investments in transmission infrastructure and conventional power plants, reducing electricity lost during transmission over long power lines, and saving the utility money by helping them meet their obligations under the state’s renewable energy standard.8

Regardless of the new fee’s merits, its implementation significantly impacted the economics of distributed solar installations in SRP’s territory. While customers who filed paperwork for approval of their projects before December 8th, 2014 were grandfathered in under the previously existing rate structure, all others were subjected to the new fee, in many cases eliminating their expected monthly savings from solar.

Subsequently, applications for rooftop installations in SRP’s territory have fallen by an estimated 75 - 95%.9 Arizona Public Service (APS), the state’s largest investor-owned utility, followed suit at the beginning of April,

requesting a fee increase of their own, but pulled the request in September after months of public pressure from both activists and the solar industry.10 These ongoing debates have prompted action by the state’s utility regulator, the Arizona Corporation Commission, and a proceeding has been scheduled for 2016 to set a standard for how Arizona utilities should credit customers with solar systems for the energy they send back to the grid based on a comprehensive analysis of the true value of distributed solar generation.11

With uncertainty casting a shadow over Arizona’s smaller-scale residential and non-residential markets, and many of the state’s utilities having largely achieved their goals for solar deployment under the state’s renewable energy standard, capacity installation is expected to slow even further in 2016. 12 Even so, Arizona employers expect to recoup a portion of this year’s job losses over the course of the coming year, expanding their payrolls by more than 580 workers, an increase of approximately 8.4%.13

As of November, only 6,922 workers were employed by the solar industry in Arizona, representing a 24.5% reduction in the size of the workforce since 2014.

Page 8: Arizona Solar Jobs Census 2015

4Arizona Solar Jobs Census 2015

This report includes information about all types of Arizona companies engaged in the analysis, research and development, production, sales, installation, and use of all solar technologies – ranging from solar photovoltaics (PV), to concentrating solar power (CSP), to solar water heating systems for the residential, commercial, industrial, and utility market segments.The findings presented herein are based on rigorous survey efforts throughout the months of September, October, and November 2015 that include telephone calls and emails to known and potential solar establishments across Arizona. Unlike economic impact models that generate employment estimates based on economic data or jobs-per-megawatt (or jobs-per-dollar) assumptions, The Solar Foundation’s Solar Jobs

Census series provides statistically valid and current data gathered from actual employers. This analysis also purposefully avoids artificially inflating its results with questionable multiplier effects often found in analyses of other industries.

The number of establishments included in this report include all businesses that conduct any solar activity. This includes many businesses that play a very small part in a solar project, or provide financing, legal services, or other support services to solar firms. Employment, however, is only counted for workers that spend at least 50% of their time on solar. A full explanation of this methodology can be found on page 15 of this report.

ABOUT THE ARIZONA SOLAR JOBS CENSUS 2015

Photo courtesy of the National Renewable Energy Laboratory

Page 9: Arizona Solar Jobs Census 2015

Key Data Points

Projected SolarJobs Growth, 2016

580 (8.4%)

Capacity Installed in2015 thru Q3 (MW)15

140.9

ARIZONA SOLAR JOBS

Total Solar Jobs, 2015

6,922Cumulative Installed

Capacity thru Q3 2015 (MW)14

2,209.8Detailed employment and demographic data for Arizona’s legislative districts, counties, and metropolitan statistical areas

can be found in the appendix of this report and on The Solar Foundation’s interactive jobs map at SolarStates.org.

Page 10: Arizona Solar Jobs Census 2015

6Arizona Solar Jobs Census 2015

WORKFORCEOVERVIEW

Sales & Distribution Jobs

1,095

Project Development Jobs

584Other Jobs

294

Manufacturing Jobs

2,400

Installation Jobs

2,549

8,558 9,170

6,992 7,501

-

2,000

4,000

6,000

8,000

10,000

2013 2014 2015 2016E

Arizona Solar Jobs, 2013 - 2016E

The Arizona solar industry employs 6,922 workers at 2,867 establishments throughout the state, is ranked 7th nationally in solar jobs, and 6th in solar jobs as a share of the state’s total employment. The solar workforce in the state contracted by 24.5% since Census 2014, representing a loss of 2,248 jobs; which is fully opposite the roughly 2,000 jobs employers had expected to add during the year. Employers expect a reversal of this trend in 2016, adding approximately 580 new solar workers to payrolls over the next 12 months – a growth rate of 8.4% – while the state’s workforce as a whole is projected to grow only 1.3% during the same period.16

An overwhelming majority of Arizona’s solar firms (88.8%) report working primarily on utility-scale solar projects, compared to 4.4% for residential and 6.8% for non-residential projects. This is a significant departure from employer responses to Census 2014, when nearly 60% of installation firms, who comprised over half of the state’s workforce during the year, worked primarily on residential projects. This shift in market focus is unsurprising given the current level of uncertainty surrounding distributed generation projects in the state.

Page 11: Arizona Solar Jobs Census 2015

7Arizona Solar Jobs Census 2015

ARIZONA SOLAR WORKFORCE

ARIZONA OVERALL EMPLOYMENT17

U.S. SOLAR WORKFORCE

Women 29.5% 46.1% 23.8%

African-American 3.0% 4.6% 5.1%

Asian or Pacific Islander 1.9% 4.0% 8.6%

Latino or Hispanic 12.5% 33.7% 11.3%

Older Workers (55+) 28.2% 20.6% 18.6%

Union Members - - 5.5%

Veterans of the U.S. Armed Forces 11.5% 9.3% 8.1%

The Arizona solar workforce is generally less di-verse than the state’s workforce as a whole, with women (29.5%), African-Americans (3.0%), Asian or Pacific Islanders (1.9%), and Latinos (12.5%) all relatively underrepresented. How-

ever, many of these otherwise underserved de-mographics – women, Latinos, older workers, and veterans – are represented in the state solar workforce at higher rates than their counter-parts in the solar industry nationwide.

Veterans of the U.S. Armed Forces represent a uniquely valuable source of human capital for solar employers. With a proven work ethic and practiced discipline, veterans bring a wealth of readily transferable skills and leadership acu-men to the industry. Through the Solar Ready Vets program, the U.S. Department of Energy is helping the industry capitalize on this resource

by facilitating the transition from military ser-vice to employment in the civilian solar work-force.18 Arizona solar firms clearly under-stand this value proposition, with veterans comprising 11.5% of the state’s solar work-force, compared to just 9.3% of the state’s total workforce and 8.1% of the solar work-force nationally.

Page 12: Arizona Solar Jobs Census 2015

8Arizona Solar Jobs Census 2015

Position ArizonaMedian Wage

Mountain Divi-sion

Median Wage

U.S.Median Wage

Solar Installer $18.00 $20.00 $21.00

Solar Sales Representative $36.06 $33.65 $28.85

Solar System Designer $22.00 $25.50 $26.92

Solar Assembly Worker - - $18.00

24.2%

28.0%

20.0%

51.7%

51.8%

54.3%

24.2%

20.2%

25.7%

0% 20% 40% 60% 80% 100%

National

Mountain

Arizona

Difficulty Hiring in Arizona

Not Difficult Somewhat Difficult Very Difficult

Wages paid by firms in the Arizona solar indus-try differ slightly from those paid by solar em-ployers across the other states in the U.S. Census Bureau’s Mountain Division19 and the indus-try nationwide. Solar installers in the state are among the lowest paid in the country, at $18.00 per hour, but solar sales representatives are bet-ter paid than their counterparts nationally.

Solar employers in Arizona experience a slightly higher level of difficulty on average finding qual-

ified candidates to fill openings on their payrolls than other solar firms across the country. Solar employers in Arizona and the Mountain Division require greater work experience and less edu-cation than reported by firms nationally. Arizo-na firms required related work experience for nearly 86% of positions hired. In contrast, they required a bachelor’s degree or more for only 12.1% of positions.

Page 13: Arizona Solar Jobs Census 2015

9Arizona Solar Jobs Census 2015

Just over 44% of Arizona solar firms reported that they receive all of their revenues from so-lar activities, which is lower than the national average of 48.2%, while 31.5% reported that they receive less than half of their revenues from solar activities, compared to 28.5% nationally. A significantly smaller portion of the state’s so-lar firms (54.5%) work primarily with in-state customers than solar firms nationally (65.6%), though a larger portion (18.2%) work primarily with customers in a bordering state than solar firms nationally (5.0%). This latter difference makes a great deal of sense, given the large solar markets of Arizona’s neighboring states in the sunny Southwest.

As part of the 2015 Census effort, employers were asked about the impacts of specific existing, pending and proposed policies on their business

prospects. Arizona employers overwhelming-ly cite the federal investment tax credit (ITC) as substantially contributing to their firms’ success, with 64.3% of respondents referring to it directly, more than doubling the second most commonly cited policy, the state’s renew-able energy standard, at 30.4%.

The following pages include detailed break-downs of workforce data by sector. While there are a number of Arizona solar firms focusing on manufacturing, sales and distribution, and other activities, an insufficient number of these firms responded to the survey to provide statistically significant data for each individual sector.

0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0%

Net Metering

Utility Rebates

Other Tax Exemptions, Credits, & Rebates

EPA Clean Power Plan

State Renewable Portfolio Standard (RPS)

Investment Tax Credit (ITC)

Businesses Citing Policies Contributing to Success

Arizona National

Page 14: Arizona Solar Jobs Census 2015

10Arizona Solar Jobs Census 2015

INSTALLATION

The installation sector is the largest sector of the U.S. solar industry and is composed of companies that primarily install PV, solar water heating, and other solar energy technologies.

The installation sector is responsible for 36.8% of all solar employment in Arizona, employing 2,549 workers. This represents a dramatic decrease of more than 47% since 2014, when firms in the sector employed 4,831 workers, or 52.6% of the workforce.

Change Since 2014

-2,282

Establishments

1,594

Solar InstallerMedian Wage

$18/hr

Rate of ChangeSince 2014

-47.2%

Sector Jobs

2,549

3,311

4,831

2,549

0

1,000

2,000

3,000

4,000

5,000

2013 2014 2015

AZ Installation Jobs, 2013 - 2015

Page 15: Arizona Solar Jobs Census 2015

11Arizona Solar Jobs Census 2015

Arizona installation firms report greater levels of difficulty finding qualified candidates to fill openings on their payrolls than firms in other sectors of the state’s solar industry, as well as other firms in the installation sector nationwide.

A significantly smaller percentage of Arizona installation firms (70.0%) work primarily with in-state customers than their counterparts in the installation sector nationwide (81.5%).

Similarly, a smaller percentage of installation firms in the state are pure play solar businesses, receiving 100% of their revenue from solar activities, than installation firms across the country. This diversification, both of business activity and customer base, may in part be a reaction by employers to the recent uncertainty in the local market.

19.7%

12.5%

54.2%

56.3%

26.0%

31.3%

0% 20% 40% 60% 80% 100%

U.S. Installation

AZ Installation

Installation Sector - Difficulty Hiring

Not Difficult Somewhat Difficult Very Difficult

11.7%

20.0%

7.2%

5.0%

22.1%

30.0%

Pure Plays, 59.0%

Pure Plays, 45.0%

0% 20% 40% 60% 80% 100%

U.S. Installation

AZ Installation

Installation Sector - % Revenues from Solar

1-24% 25-49% 50-99% Pure Plays

Page 16: Arizona Solar Jobs Census 2015

12Arizona Solar Jobs Census 2015

PROJECTDEVELOPMENT

The project development sector includes companies that plan, design and build large commercial- and utility-scale solar projects.

The project development sector is responsible for 8.4% of all solar employment in Arizona, employing 584 workers. This represents a reversal of fortunes and a return to growth for the sector, which had witnessed a nearly 75% reduction in its workforce from 2013 to 2014, although it still comprises a much smaller portion of the state’s solar jobs than it did in 2013, when project developers employed nearly 22% of Arizona solar workers.

Change Since 2014

+92

Establishments

262

Solar System DesignerMedian Wage

$22/hr

Rate of GrowthSince 2014

18.7%

Sector Jobs

584

1,874

492 584

-

500

1,000

1,500

2,000

2013 2014 2015

AZ Project Development Jobs, 2013 - 2015

Page 17: Arizona Solar Jobs Census 2015

13Arizona Solar Jobs Census 2015

21.4%

11.8%

54.1%

58.8%

24.5%

29.4%

0% 20% 40% 60% 80% 100%

U.S. Project Development

AZ Project Development

Project Development Sector - Difficulty Hiring

Not Difficult Somewhat Difficult Very Difficult

Arizona project developers report greater levels of difficulty finding qualified candidates to fill openings on their payrolls than firms on average across the state’s solar industry more broadly, as well as other firms in the project development sector nationwide.

A significantly smaller percentage of Arizona project development firms (60.9%) work

primarily with in-state customers than their counterparts in the project development sector nationwide (74.9%). Similarly, a smaller percentage of project development firms in the state are pure play solar businesses, receiving 100% of their revenue from solar activities, than project development firms across the country.

14.5%

17.4%

7.8%4.3%

23.1%

30.4%

Pure Plays, 54.6%

Pure Plays, 47.8%

0% 20% 40% 60% 80% 100%

U.S. Project Development

AZ Project Development

Project Development Sector - % Revenues from Solar

1-24% 25-49% 50-99% Pure Plays

Page 18: Arizona Solar Jobs Census 2015

14Arizona Solar Jobs Census 2015

CONCLUSION

While the Arizona solar industry is expected to have installed slightly more solar capacity in 2015 than 2014, the year’s additions are a far cry from the industry’s peak in 2012, and little is expected to change over the next twelve months. The troubles plaguing the Arizona solar industry are expected to continue in 2016, with regulatory uncertainty casting doubt over individual solar customers’ ability to earn a sufficient return on their investment and utilities generally satisfied with a relatively slow pace of utility-scale development. Industry experts project less solar capacity to be added in the state in 2016 than in 2015.

It is important however, to consider the Arizona solar industry’s recent doldrums in the context of its historically strong performance and note that, even though the state’s solar firms employ fewer people than they did at the end of 2014, the workforce itself is still quite large relative to other states in the country. At 6,922 workers, the state’s solar workforce is the 7th largest in the country, well ahead of its eastern neighbor New Mexico (1,899), but well behind Nevada (8,764) to the northwest. Even with the industry’s somewhat bleak outlook for the coming year, employers are expecting to expand their payrolls, adding roughly 580 jobs, representing 8.4% growth in 2016 – more than six times the growth expected for the state’s economy, but only a little more than half the growth expected for the U.S. solar industry at large.

While employment in both the manufacturing and project development sectors grew in 2015, manufacturing was definitely the industry’s most successful sector, and though it was outweighed by the contraction of the installation sector, Arizona’s solar manufacturing workforce

grew by more than 27% over the course of the year. The relative strength of the state’s manufacturing sector is also made apparent by the rather low percentage of firms working primarily with in-state customers (54.5%) compared to solar firms across the country (65.6%), reflecting healthy demand for their solar products and equipment in other markets.

It is unclear how the debates between utilities and the solar industry or the Arizona Corporation Commission’s proceeding regarding the appropriate value of solar will pan out, but the geographic realities of the desert state and the ever-decreasing costs associated with solar all but ensure the viability of the Arizona solar industry in the long-term. In order to sustain this future growth, it is essential that Arizona employers have ready access to quality talent and skilled labor or enhance their on-the-job training offerings. To achieve this, more focused and comprehensive solar training efforts – in-house, in-state, and across the country – must be sufficiently emphasized. These efforts would reduce the industry’s talent acquisition, training, and retention costs, increasing efficiency across the solar value chain, and ultimately reducing costs for Arizona solar customers.

This research shows that the Arizona solar industry is a source of economic opportunity, with the potential to create jobs that pay living wages and are largely available to individuals of different backgrounds from across the state. Only regular reexaminations of the state’s solar industry, its workforce, and the employment opportunities presented herein will confirm this potential is realized in years to come.

Page 19: Arizona Solar Jobs Census 2015

15Arizona Solar Jobs Census 2015

The Solar Jobs Census methodology is the most closely aligned with the Bureau of Labor Statis-tics’ (BLS) methodology for its Quarterly Cen-sus of Employment and Wages (QCEW) and Current Employment Statistics (CES). Like BLS, this study uses survey questionnaires and em-ployer-reported data, though ours are adminis-tered by phone and web, as opposed to mail.

Also like BLS, we develop a hierarchy of vari-ous categories that represent solar value chain activities (within their broader NAICS frame-work), develop representative sample frames, and use statistical analysis and extrapolation in a very similar manner to BLS. We also constrain our universe of establishments by relying on the most recent data from the BLS or the state departments of labor, depending on which is collected most recently. We believe that the cat-egories that we have developed could be read-ily adopted by BLS should it choose to begin to quantify solar employment in its QCEW and CES series.

The results from the overall 2015 Census effort are based on rigorous survey efforts that include 287,962 telephone calls and over 44,220 emails to known and potential energy establishments across the United States, resulting in a total of 2,350 full completions for solar establishments in the U.S. Unlike economic impact models that generate employment estimates based on eco-nomic data or jobs-per-megawatt (or jobs-per-dollar) assumptions, the Solar Jobs Census se-ries provides statistically valid and current data gathered from actual employers.

The survey was administered to a known uni-verse of energy employers that includes 68,494 establishments and is derived from the Solar Energy Industry Association’s National Solar

Database, as well as other public and private sources. Of these establishments, 2,118 identi-fied as solar and completed full or substantially completed surveys.

The survey was also administered to a strati-fied, clustered, random sampling from various industries that are potentially energy-related (unknown universe) that include a total of ap-proximately 314,000 establishments nation-wide. After an extensive cleaning and de-dupli-cation process, a sampling plan was developed that gathered information on the level of solar activity (including none) from 12,765 establish-ments. Of these, 327 establishments qualified as solar establishments and completed full sur-veys. The sampling rigor in the known and un-known universes provides a margin of error for establishment counts at +/-0.85% and employ-ment at +/-1.99% at a 95% confidence interval.

This level of national sampling rigor is mirrored at the state level. In addition to the known Cen-sus, the clustered sampling in the unknown universe is representative relative to establish-ment totals by size in each of the 50 states and the District of Columbia. This ensures that each state’s employment estimates are accurate with a maximum margin of error under +/-5% at a 95% confidence interval.

Due to the number of qualifying responses, some smaller states have higher margins of er-ror for non-employment related questions, such as workforce and policy related questions, due to the small universe of solar establishments in each state. As a result, some state-level, non-em-ployment data is reported using regional aver-ages or have footnotes denoting small response sizes.

APPENDIX

STATE CENSUS METHODOLOGY AND DATA SOURCES

Page 20: Arizona Solar Jobs Census 2015

16Arizona Solar Jobs Census 2015

GEOGRAPHIC REPRESENTATION OF DATAIn addition to the statewide results detailed herein, the Solar Jobs Census 2015 effort compiled comprehensive information about the distribution of solar workers across each state. The Solar Jobs Census 2015 companion website, SolarStates.org, houses solar jobs data for each state and the District of Columbia. Here, the employment data have been broken out and

represented in map form at the state, federal congressional district, state legislative district, metropolitan statistical area, and county levels. What follows are tables presenting the employment counts and demographic breakdowns of the workforce at each specified level of granularity previously mentioned.

District TotalEmployment Women African-

American

Asian orPacific

Islanders

Latino orHispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

Forces1 534 406 41 26 172 388 - 159 2 1,376 332 34 21 141 318 - 130 3 419 547 55 35 232 523 - 214 4 435 96 10 6 41 91 - 37 5 1,127 49 5 3 21 46 - 19 6 688 158 16 10 67 151 - 62 7 1,854 128 13 8 55 123 - 50 8 324 123 12 8 52 118 - 48 9 165 203 20 13 86 194 - 79

ARIZONA FEDERAL CONGRESSIONAL DISTRICTS

ARIZONA STATE SENATE

District TotalEmployment Women African-

American

Asian orPacific

Islanders

Latino or Hispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

Forces1 127 37 4 2 16 36 - 15 2 276 82 8 5 35 78 - 32 3 218 64 6 4 27 62 - 25 4 148 44 4 3 19 42 - 17 5 59 18 2 1 7 17 - 7 6 66 19 2 1 8 19 - 8 7 15 4 0 0 2 4 - 2 8 179 53 5 3 22 51 - 21 9 141 42 4 3 18 40 - 16

10 23 7 1 0 3 7 - 3 11 19 6 1 0 2 5 - 2 12 596 176 18 11 75 168 - 69

Page 21: Arizona Solar Jobs Census 2015

17Arizona Solar Jobs Census 2015

District TotalEmployment Women African-

American

Asian orPacific

Islanders

Latino or Hispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

Forces13 215 63 6 4 27 61 - 25 14 30 9 1 1 4 8 - 3 15 585 173 17 11 73 165 - 68 16 104 31 3 2 13 29 - 12 17 182 54 5 3 23 51 - 21 18 491 145 15 9 62 139 - 57 19 402 119 12 8 50 113 - 46 20 381 112 11 7 48 107 - 44 21 92 27 3 2 12 26 - 11 22 29 9 1 1 4 8 - 3 23 657 194 20 12 82 185 - 76 24 1,037 306 31 19 130 293 - 120 25 118 35 4 2 15 33 - 14 26 420 124 13 8 53 119 - 49 27 0 0 0 0 0 0 - 028 118 35 4 2 15 33 - 14 29 109 32 3 2 14 31 - 13 30 84 25 3 2 11 24 - 10

ARIZONA STATE HOUSE OF REPRESENTATIVES

District TotalEmployment Women African-

American

Asian orPacific

Islanders

Latino or Hispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

Forces1 127 37 4 2 16 36 - 15 2 276 82 8 5 35 78 - 32

3 218 64 6 4 27 62 - 25

4 148 44 4 3 19 42 - 17 5 59 18 2 1 7 17 - 7 6 66 19 2 1 8 19 - 8 7 15 4 0 0 2 4 - 2 8 179 53 5 3 22 51 - 21 9 141 42 4 3 18 40 - 16

10 23 7 1 0 3 7 - 3 11 19 6 1 0 2 5 - 2 12 596 176 18 11 75 168 - 69 13 215 63 6 4 27 61 - 25 14 30 9 1 1 4 8 - 3 15 585 173 17 11 73 165 - 68 16 104 31 3 2 13 29 - 12 17 182 54 5 3 23 51 - 21

Page 22: Arizona Solar Jobs Census 2015

18Arizona Solar Jobs Census 2015

District TotalEmployment Women African-

American

Asian orPacific

Islanders

Latino or Hispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

Forces18 491 145 15 9 62 139 - 57 19 402 119 12 8 50 113 - 46 20 381 112 11 7 48 107 - 44 21 92 27 3 2 12 26 - 11 22 29 9 1 1 4 8 - 3 23 657 194 20 12 82 185 - 76 24 1,037 306 31 19 130 293 - 120 25 118 35 4 2 15 33 - 14 26 420 124 13 8 53 119 - 49 27 0 0 0 0 0 0 - 028 118 35 4 2 15 33 - 14 29 109 32 3 2 14 31 - 13 30 84 25 3 2 11 24 - 10

ARIZONA METROPOLITAN STATISTICAL AREAS

MetropolitanStatistical Area

TotalEmployment Women African-

American

Asian orPacific

Islanders

Latinoor

Hispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

ForcesAZ NONMETRO-POLITAN AREA 80 24 2 1 10 23 - 9

Flagstaff, AZ 45 13 1 1 6 13 - 5 Lake Havasu

City-Kingman, AZ

50 15 1 1 6 14 - 6

Phoenix-Mesa-Scottsdale,

AZ 5,895 1,738 175 110 739 1,663 - 680

Prescott, AZ 87 26 3 2 11 25 - 10 Tucson, AZ 652 192 19 12 82 184 - 75 Yuma, AZ 113 33 3 2 14 32 - 13

ARIZONA COUNTIES

County TotalEmployment Women African-

American

Asian orPacific

Islanders

Latino or Hispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

ForcesApache 5 1 0 0 1 1 - 1 Cochise 26 8 1 0 3 7 - 3

Coconino 37 11 1 1 5 10 - 4 Gila 11 3 0 0 1 3 - 1

Graham 5 2 0 0 1 1 - 1 Greenlee 1 0 0 0 0 0 - 0

Page 23: Arizona Solar Jobs Census 2015

19Arizona Solar Jobs Census 2015

County TotalEmployment Women African-

American

Asian orPacific

Islanders

Latino or Hispanic

Older Workers

(55+)

UnionMembers

Veterans of the US Armed

ForcesLa Paz 6 2 0 0 1 2 - 1

Maricopa 5,728 1,689 171 107 718 1,616 - 661 Mohave 50 15 1 1 6 14 - 6 Navajo 19 6 1 0 2 5 - 2 Pima 652 192 19 12 82 184 - 75 Pinal 167 49 5 3 21 47 - 19

Santa Cruz 7 2 0 0 1 2 - 1 Yavapai 95 28 3 2 12 27 - 11

Yuma 113 33 3 2 14 32 - 13

Photo courtesy of Recurrent Energy

Page 24: Arizona Solar Jobs Census 2015

ENDNOTES

1. SEIA/GTM Research Solar Market Insight Q3 20152. Id.3. The Arizona Solar Jobs Census 2014 can be found at www.TSFCensus.org4. SEIA/GTM Research Solar Market Insight Q3 20155. Id.6. The residential, non-residential, and utility-scale market segments are defined by SEIA based on the offtaker of

the electricity their systems generate, though they can generally be used interchangeably with small-scale (i.e. single-family household rooftop systems, no more than a handful of kilowatts), medium-scale (i.e. multi-unit, commercial, or government rooftop system), and large-scale (i.e. ground-mounted or very large rooftop systems ranging from several hundred kilowatts to several hundred megawatts in capacity).

7. Bade, G. (2015, February 27). SRP board votes to increase charges on solar owners. Retrieved January 12, 2016, from http://www.utilitydive.com/news/srp-board-votes-to-increase-charges-on-solar-owners/369377/

8. Arizona Renewable Energy Standard. Retrieved January 12, 2016, from http://programs.dsireusa.org/system/program/detail/268

9. Pyper, J. (2015, November 10). Arizona Court Advances SolarCity Lawsuit Against Salt River Project Over Solar Fees. Retrieved January 12, 2016, from http://www.greentechmedia.com/articles/read/arizona-court-advances-solarcity-lawsuit-against-salt-river-project

10. Leingang, R. (2015, September 25). APS drops bid for solar fee increase, blames “political gamesmanship”. Retrieved January 12, 2016, from http://azcapitoltimes.com/news/2015/09/25/aps-drops-bid-for-solar-fee-increase/

11. Trabish, H. (2015, November 2). Arizona gears up for full cost-benefit solar value proceeding. Retrieved January 13, 2016, from http://www.utilitydive.com/news/arizona-gears-up-for-full-cost-benefit-solar-value-proceeding/408375/

12. SEIA/GTM Research Solar Market Insight Q3 201513. It is important to note that these projections were based on employer-reported hiring plans for 2016 that may

have since changed in light of the extension of the federal investment tax credit in December of 2015.14. SEIA/GTM Research Solar Market Insight Q3 201515. Id.16. JobsEQ 2015Q317. U.S. Bureau of Labor Statistics, “Employment status of the civilian noninstitutional population by state – 2014

Annual Averages” and “Employment status of veterans 18 years and over by state – 2014 Annual Averages”. Found at: http://www.bls.gov/

18. See, U.S. Department of Energy – Solar Ready Vets. Available at: http://energy.gov/eere/sunshot/solar-ready-vets

19. U.S Census Bureau, “Geographic Terms and Concepts - Census Divisions and Census Regions.” Found at: https://www.census.gov/geo/reference/gtc/gtc_census_divreg.html

COPYRIGHT NOTICEUnless otherwise noted, all design, text, graphics, and the selection and arrangement thereof are Copyright February 2016 by The Solar Foundation® and BW Research Partnership. ALL RIGHTS RESERVED. Any use of materials in this report, including reproduction, modification, distribution, or republication, without the prior written consent of The Solar Foundation and BW Research Partnership, is strictly prohibited. For questions about this report, please contact Andrea Luecke at The Solar Foundation, [email protected].

The Solar Foundation is a 501(c)(3) nonprofit and relies on public support. To learn more about supporting The Solar Foundation’s work, go to www.TheSolarFoundation.org/donate/

Page 25: Arizona Solar Jobs Census 2015

21Arizona Solar Jobs Census 2015Photo courtesy of the National Renewable Energy Laboratory

Page 26: Arizona Solar Jobs Census 2015

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