Iowa has taken the lead in America’s clean energy revolution, proving that renewable energy is not only just about reducing emissions but also about creating jobs and driving economic growth. With 65.3% of Iowa’s electricity coming from wind, solar, and energy storage—the highest percentage of any state in the nation—clean energy is becoming a significant force behind Iowa’s economy.
This transformation is translating into real gains. According to the American Clean Power Association (ACP), Iowa boasts 13,442 megawatts of clean power capacity, enough to power 4.2 million homes. This capacity ranks third in the nation and represents $29 billion in investment already injected into projects across the state.
This boom is fueling job creation across the state. According to a new report by ICF commissioned by ACP, the Inflation Reduction Act will create almost 23,000 jobs annually over the next decade, adding to a clean energy workforce that already numbers 5,700. These aren’t just temporary positions; they represent sustainable careers in transportation, the power sector, and the sustainable aviation fuel industry.
The economic impact extends beyond employment. The same report projects that clean energy investment will add $34 billion to Iowa’s economy over the next decade. It also expects $71 billion in spending from investments in energy infrastructure to flow into Iowa’s economy by 2035, boosting household incomes by $18 billion.
Clean power delivers significant benefits for rural communities. Iowa landowners currently receive $74.3 million annually in drought-proof lease payments for hosting wind turbines and solar panels on their properties. Unlike traditional crops, which are vulnerable to weather conditions, these payments provide steady, reliable income regardless of season or climate challenges.
Local governments benefit, too, as clean power projects generate $73.5 million in annual property, state, and local taxes. This funding supports schools, roads, and essential services.
The environmental advantages complement these economic gains. Clean energy projects in Iowa prevent 36.1 million metric tons of carbon dioxide emissions annually—equivalent to removing 7.85 million cars from roadways. They also conserved 10 billion gallons of water in 2023 alone.
Marty Durbin, Senior Vice President for Policy at the U.S. Chamber of Commerce, noted in the press release, “These provisions are catalyzing tremendous private sector investment in new manufacturing and energy infrastructure that will keep our economy competitive for decades to come and ensure the U.S. leads the world developing technologies to bolster energy security, while also reducing emissions.”
Iowa is positioning itself at the center of America’s energy future. As demand for clean power grows nationwide, Iowa’s early leadership has created a foundation for sustained economic prosperity that benefits communities across the state.
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