The Science of Sustainability

This section gives a brief discussion of the green economy and is meant to provide a little more detail on this aspect of sustainable business. The green economy can be thought of as private market efforts to address concerns about sustainability. Here the focus is on industries, while the focus of much of the book is at the individual business level. There is no single or standard definition of a "green job" or "the green economy," but it relates to industries involved in activities that address in some way concerns about sustainability.

The green economy includes a broad number of industry and employment occupational categories. One classification of the green economy divides them into five different major categories of industries: energy efficiency, renewable energy, green transportation, environmental services, and clean or smart technology.

Energy efficiency industries, such as building contractors, insulation installers, and material providers, apply measures or practices to help use energy more efficiently. Environmental service industries, such as waste water treatment facilities, provide services directly or indirectly linked to the sustainability and improvement of the environment. Green transportation industries, such as mass transit operators, provide or produce relatively energy efficient transportation. Renewable energy industries, such as solar panels and wind turbine facilities, produce energy from resources that can be renewed. Clean or smart technology industries provide research, production, or services that directly or indirectly relate to the improvement of technology in the four other green industry categories. They include architectural design and services and energy efficiency control systems design and manufacturing.

Using this definition, in 2007, there were over 3.6 million green jobs in the United States, representing 3.2 percent of total private sector employment. Not only do green jobs represent a significant portion of the US economy, but green jobs also tend to pay well. The average annual wages earned in green employment nationally was $57,000, 40 percent above the national average earnings of $40,400. In the United States, the highest average annual wage green industries were in renewable energy and smart technology ($86,800 and $68,800, respectively) and the lowest average annual pay was in green transportation ($41,600).

Energy efficiency and smart technology were the two leading green industries in the United States, with each accounting for 1.1 million jobs and about 33 percent of overall green industry employment. The third most significant sector was environmental services, accounting for 900,000 jobs and 25 percent of overall green industry employment. Following that was green transportation, accounting for 300,000 jobs and 10 percent of overall green industry employment. The least significant green industry in terms of employment was renewable energy. This industry accounted for 100,000 jobs and about 3 percent of green industry employment.

Two areas of smart technology that deserve specific discussion are biotechnology and "green" chemistry. Biotechnology, also known as "biotech," involves engineering biological systems to develop commercial products. This includes medicines, agricultural products, biofuels, and packaging (such as biodegradable cups). Green chemistry is the design of chemical products or processes that reduce or eliminate the generation of hazardous substances. Many products include toxic substances that are damaging to human health. Computers and other electronic devices contain lead, polychlorinated biphenyls (PCBs), cadmium, and mercury - all of which can cause injury to humans upon exposure. Biotechnology is related to green chemistry as biological processes may provide less environmentally damaging alternatives to conventional chemicals. For example, biodiesel, fuel made from vegetable oils, is nontoxic, while diesel fuel obtained from conventional crude oil is toxic.