The economic impact of the U.S. Department of Energy’s National Renewable Energy Laboratory (NREL) surpassed $1.9 billion nationwide in fiscal year 2023, according to a study conducted by the University of Colorado Boulder’s Leeds School of Business. Every state experienced direct or indirect effects from NREL’s spending, with Colorado seeing the highest impact due to the laboratory’s two campuses in Golden and Arvada.
The study estimates NREL’s contribution to Colorado’s economy at $1.3 billion for the last fiscal year, marking an increase of 48.6% from FY 2019. Following Colorado, the states with the largest economic impacts related to NREL included California, Virginia, Texas and Minnesota.
According to the previous report, 2.6% of NREL employees resided outside of Colorado across 20 other states. NREL now employs individuals in 48 states and Washington, D.C., comprising 14% of its workforce. The eight states with the highest number of NREL employees are Colorado, California, Texas, Virginia, New York, Florida, Alaska and Washington, collectively accounting for 93% of the total workforce.
“The numbers show the increasingly important work being done at NREL and at partner universities and corporations as the country pushes forward with the energy transition,” said Martin Keller, NREL director and president of Alliance for Sustainable Energy LLC, which manages and operates the laboratory for the Department of Energy. The Alliance funded the report.
Founded 47 years ago as the Solar Energy Research Institute, NREL has expanded its mission significantly. Its research encompasses alternative fuels, energy storage, wind and water power, electric vehicles and grid improvements. NREL aims to transform energy through science by linking its researchers, unique capabilities and advanced facilities with national partners to develop energy solutions across various scales.
NREL reported a total workforce of 3,184 full-time, part-time and postdoctoral employees in FY 2023, directly employing or supporting over 8,200 jobs nationwide. The majority of its employees are based in Jefferson County, where NREL’s South Table Mountain Campus and Flatirons Campus are located. The economic impact on Jefferson County was estimated at $889 million. Approximately 60% of NREL employees focus on core scientific research, and 86% of its workforce hold college degrees, including 30% with doctorates.
NREL’s budget for FY 2023 was $776 million, primarily sourced from the Department of Energy. As the Department of Energy’s primary national laboratory for renewable energy and energy efficiency research and development, NREL plays a significant role in advancing sustainable energy initiatives.