Clean Power is Driving Economic Growth in the Midwest

Clean energy provides economic benefits that reach local communities across the Midwest, along with helping to control rising energy costs and improving reliability of the energy grid. Across the United States, electricity prices have risen 15-20% over the past 6 years, increasing pressure on household and business budgets. To address this affordability issue, we must focus on building the most cost-effective, quickest-to-deploy energy solutions, such as wind, solar, and storage, along with the needed transmission infrastructure.

Clean power boosts affordability and improves the reliability of our energy grid. Recent electricity cost increases have already burdened homes and businesses across the country. One major driver of rising costs is natural gas price volatility during extreme weather and periods of high demand. However, states that rely more on clean energy are shielded, experiencing smaller increases and better rates for consumers. A diversified energy mix that includes wind, solar, and storage improves grid reliability, reduces exposure to fuel price volatility, and helps protect consumers from higher electricity costs during major winter storms and heatwaves.

Affordable energy matters. Wind and solar are the lowest-cost and fastest-to-deploy sources of new electricity generation. Estimated all-in electricity costs:

• Wind & Solar: ~$37–$99/MWh

• Natural Gas: ~$51–$107/MWh

• Nuclear: ~$175–$255/MWh

Clean energy sources also have no fuel costs, protecting consumers from price spikes during periods of extreme demand.

Clean Power Benefits Reach Local Communities

Clean energy developers must pay state and local taxes, revenue that flows to rural communities that host them. In the Midwest1, clean power projects contribute $528.4 million annually to state and local tax revenue. This new tax revenue helps pay for essential services and upgrades to local schools, roads, police and emergency services, and/or other infrastructure. (Check out page 2 of our factsheet to see a MN case study on wind energy tax revenue). The new tax revenue increases the tax base and can help relieve the tax burden on residents. Taxable revenue from clean energy projects is very steady, predictable income, as the projects cannot move away. Nationwide, clean energy projects provide $3.1 billion annually in tax revenue, and the industry has contributed more than $150 billion to the U.S. economy in 2025.

Clean power projects also provide landowner lease payments (rent) to the farmers and landowners that choose to host projects on their private property. In the Midwest, landowners have received $528 million annually from landowner lease payments. This revenue stream is a stable, year-round income through drought-proof payments that helps diversify agricultural-dependent income. The revenue that farmers receive for hosting projects on their land may allow them to make upgrades, purchase new equipment, and improve their farming operations.

Clean Energy Strategy Delivers Results

The Midwest is a national leader in clean energy development. Three of the top ten states for operational clean energy (total clean energy online) are in the Midwest: Iowa is ranked 4th in the nation, Illinois is ranked 7th, and Indiana is ranked 10th nationally.

Many Midwest states are leading on energy strategy and bringing more clean energy onto the grid. Michigan and Illinois are ranked 7th and 9th in the nation for their clean energy development pipeline (the amount of clean energy underway). Five of the 10 states that have the highest wind energy pipeline are Midwest states (Illinois, Minnesota, Indiana, North Dakota, and Iowa).

This leadership translates into more affordable energy, more jobs, and more economic growth across the Midwest.

The Midwest is growing its clean energy workforce. Three of the top 10 states for clean energy jobs are in the Midwest: Illinois is ranked 6th, Indiana 8th, and Michigan 9th nationally. There are more than 233,000 workers in clean energy in the Midwest, and the region is seeing continued growth. Nationwide, clean power employers more than 437,000 Americans, supporting over 1.4 million jobs. Clean power workers earn average wages exceeding $78,000 annually, about 15% above the national average.

The Midwest is also a hub for clean energy manufacturing, with Michigan and Illinois among those leading the charge. Michigan and Illinois are ranked second and third in the nation for GDP impact of operational clean energy component manufacturing. Michigan has 31 manufacturing facilities that support the industry; Illinois is ranked #1 for battery storage manufacturing, and Indiana is highly ranked for solar component production.

Affordable, American-Made Clean Energy is Powering the Midwest

Clean energy is essential American infrastructure that powers 19% of all US electricity, and over 30% of electricity for a handful of Midwest states. Iowa leads with 61% of electricity coming from renewable sources, followed by South Dakota with 59.2%. North Dakota and Minnesota also receive a large share (>30%) of electricity from renewable sources. Across the central US, clean energy generated about 40% of electricity. Further, 91% of all new power added to the US grid in 2025 was from renewable sources, and the 360+ gigawatts of total clean energy in the US can power more than 79 million homes.

Clean power is American energy. 46 states and 89% of congressional districts have operational clean power projects. 94% of Republican-held and 85% of Democrat-held districts have operational clean power projects, and nearly 80% of installed capacity is in Republican-held congressional districts. Further, domestic clean energy manufacturing is powering America's economic prosperity, generating revenue, supporting jobs, and strengthening energy independence. Americans strongly support clean energy on both sides of the aisle. 93% of voters agree that clean energy is important to our energy future, and 75% of Trump supporters support solar energy.

Policies Shape the Future of Affordability and Economic Growth

It is clear that the Midwest is a national leader in clean energy development, manufacturing, and jobs. Advancing policies that support clean energy and an all-of-the-above energy strategy enhances the affordability and reliability of our energy grid, and helps ensure the region remains competitive for jobs, private investment, and future energy infrastructure. Our economic development and energy strategies must work together, as business growth depends on reliable, available energy. To support new industries and economic growth, we must make it easier to build needed generation and transmission infrastructure and avoid unnecessary delays that limit viable sources of new electricity. The choices that policymakers today will shape the future of electricity affordability and grid reliability for decades to come.

Continued investment in clean power strengthens reliability, lowers long-term costs, and creates jobs across the Midwest and the country.

**Midwest States of Illinois, Indiana, Iowa, Michigan, Minnesota, Missouri, North Dakota, South Dakota, and Wisconsin.