Environmental Remediation and Infrastructure Policies Supporting Workers and Communities in Transition

Daniel Raimi
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Daniel Raimi: Resources for the Future

No 20-11, RFF Reports from Resources for the Future

Abstract: Environmental remediation and infrastructure spending have a significant potential role in reducing pollution and supporting workers and communities affected by a transition to clean energy. This review examines major federal policies related to these two areas, highlighting the existing evidence on program effectiveness across multiple metrics.Environmental remediation programs can provide near-term job opportunities and restore sites to economic use in regions with a history of pollution, including pollution from energy extraction and consumption. The evidence is strong that remediation increases nearby property values and provides job opportunities during cleanup. Depending on their design and implementation, increased efforts in this area could benefit energy communities and communities affected by the legacy of environmental injustice.Recent research suggests that some of these programs, including remediating abandoned oil and gas wells, can provide direct jobs at relatively low cost, but evidence on the cost-effectiveness of job creation for the Superfund and Brownfields programs is mixed. Important questions regarding employment effects of remediation are whether they persist over time, and which workers and communities benefit most from these job opportunities.Infrastructure programs for highways, public transport, and clean water also have the potential to support employment and economic growth in communities heavily dependent on fossil energy. Although economists have debated whether transportation infrastructure investment increases overall economic activity or merely redistributes it, the latter outcome may be valuable in the context of an energy transition, particularly if new infrastructure serves communities negatively affected by a shift away from fossil energy.Some infrastructure projects, particularly those providing clean water, can address the legacy of surface and groundwater pollution in some fossil energy producing and consuming communities. In addition, infrastructure investment—depending on its design and implementation—has the potential to reduce a legacy of environmental injustice.

Date: 2020-09-15
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