STATEMENT
of the Honorable Nydia M. Velázquez, Chairwoman
United States House of Representatives, Committee on Small Business
Full Committee Hearing: “The Role of Green Technologies
in Spurring Economic Growth.”
Thursday, July 10, 2008

Innovation has long been a catalyst for economic recovery. It has powered world markets and pulled our own financial system out of countless downturns. In the mid 1990’s, for example, the dotcom boom led the country out of recession and rejuvenated a struggling marketplace. Today, as our nation strains under similar declines, new technologies are once again offering a lifeline.

With jobs vanishing, payrolls falling and the cost of living skyrocketing, Green Technology promises to lift us back up. Once considered an exclusively environmental issue, the search for renewable energy has taken on a new role—Economic Stimulus.

In this morning’s hearing, we will discuss the role of small firms in America’s efforts to become ecologically aware. We will also explore ways in which eco-conscious entrepreneurs can set business back on track, and turn the country’s blue collars green.

Sustainable industries would drive billions of dollars into the marketplace. They would also create hundreds of thousands of new jobs and bolster our nation’s cash-strapped working class. And while efforts to promote efficiency will take innovation and flexibility, our small businesses are up to the challenge.  Today, entrepreneurs are leading the Green Revolution.

Small firms comprise over 90 percent of the renewable and efficiency industries. Already, these sectors are galvanizing the workforce. In 2006, they generated 8 million new positions. And in the near term, the wind power industry promises to single-handedly create 400,000 new jobs.

These new positions will touch all facets of the workforce. Unlike the tech boom, which created work almost exclusively for college-graduates, today’s jobs will benefit PhD’s and blue collar laborers alike. By 2030, as much as 25 percent of American workers-- or 40 million jobs—are expected to fall under this Green umbrella

By creating new positions and driving demand in sectors that already exist, Green Technologies can power industry without reinventing the wheel. In other words, workers across the country can benefit from a sustainable economy without switching careers.

In addition to supporting current American commerce, these advances present tremendous potential for trade and investment. American entrepreneurs hold the lion’s share of Green assets, which are now globally sought-after commodities. Indeed, every world market has a need for these goods and services. If American entrepreneurs can fill this need, they stand to reap billions—possibly trillions--of dollars in export revenues. At present, analysts value the alternate fuels market at 1 trillion dollars.

Investors recognize this tremendous profit potential, and are clamoring to capitalize on it. The same Venture Capital firms that backed the dotcom boom are now powering green technologies. Already, these firms are pouring billions of dollars into industries like solar power. And as investors increasingly support green technology, the benefits are diffused throughout the entire marketplace.

Innovation has brought us to the threshold of an economic revolution. Just as the tech boom transformed the American marketplace in the 1990’s, Green Technologies can strengthen today’s system.

It is rare for a country to have the chance to do something both financially responsible and environmentally sound. Today, we have that chance, and we must ensure that the window of opportunity stays open. In doing so, we can look to our small businesses, who are propelling our nation’s burgeoning Green Economy.

I want to thank all the witnesses in advance for their testimony. The Committee is pleased they could join us this morning, and looks forward to their insights on this pressing issue. With that, I now yield to Ranking Member Chabot for his opening statement.