News Release -- San Diego, Calif. -- The U.S. Environmental Industry grew 5.5% in 2011, generating revenues of $320-billion and marking a return to the 5%-8% annual growth rates of 2004 to 2008, according to Environmental Business Journal's (EBJ) 2012 Annual Industry Overview.
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While a distinct improvement compared to 2009-2010 - two of the environmental industry's worst years since EBJ started tracking it in 1988 - the 2011 growth rate was boosted by two of its most volatile segments: Resource Recovery (linked to higher commodity prices) and Clean Energy Systems & Power (driven by recent U.S.wind energy installations). Without the positive impact of these two segments, the environmental industry would have grown at a less remarkable 3% as its traditional base of business tracked fairly close to the economy.
Since 1988, EBJ has defined and analyzed 14 environmental business segments, many of which have reached maturity. But while the newer segment additions like Resource Recovery and Clean Energy are growth drivers (the latter contributed 9% to industry revenues in 2011, up from 3% in 2004), traditional business segments like remediation, hazardous waste and air pollution are far from obsolete.
"Many in the industry have long forecast that the traditional base of the environmental industry would gradually disappear as sites were cleaned up, pollution controls installed, and resource recovery and recycling systems put in place," said Grant Ferrier, EBJ's executive editor. "However, it appears the backlog of traditional projects in the U.S., and certainly abroad, shows no signs of abating."
Adding to that backlog is a legitimate game-changer in the energy and environmental industries: shale gas. Indeed, the rise of domestic shale gas production has been ranked as the top growth sector for environmental firms out of 30 rated by EBJ survey respondents since 2008.
Research in this Edition:
Proprietary Data Charts in this Edition:
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For comment and access to research, contact:
Grant Ferrier, President, EBI Inc.
619-295-7685 ext 15
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