Feb. 23, 2007 -- States with lower business energy costs grow faster and create more jobs than those with higher costs, according to a study released this week by Americans for Balanced Energy Choices, an Alexandria, Va.-based non-profit group.
The 10 states with the lowest energy costs for businesses, which included Wyoming, Alaska, and North Dakota, had average growth in gross domestic product of 10 percent, compared to 28 percent among the 10 states with the highest costs, the study found. States with the highest costs included Hawaii, California, and Vermont.
The average annual growth in employment for the 10 states with the lowest costs was 3.3 percent, compared to 2.1 percent in the 10 states with the highest costs, the study found.
Energy costs differ between states as a result of the different sources used to generate electricity. Generally, electricity is cheaper in states that use coal, rather than natural gas and other fuels, the study said.