REEM is a framework for conducting economic impact and benefit-cost analysis for renewable energy and energy efficiency programs. It calculates the impacts on jobs, income, GDP (value-added) and output by industry for counties, states, or regions throughout the US. It handles several types of energy investment including:
(a) new or modified generation facilities,
(b) energy efficiency programs and
(c) improvements in transmission and distribution.
It uses sophisticated techniques for measuring the effects of technology-specific investments and policy- induced changes on the functioning of the energy market on a regional economy. REEM is used to:
• Weigh benefits and costs of energy investment strategies and policies
• Assess the economic development impacts of investing in renewable energy-- (wind, solar, biofuel etc.) and energy efficiency
• Account for changes in energy prices from shifts in demand and supply
• Evaluate benefits of energy cost savings for businesses and households
• Evaluate benefits of reduced emissions
• Estimate economic impacts of constructing a new energy facility
• Estimate economic impacts of business attraction from energy cost reduction
The model and framework is applicable for areas that intend to explore strategies for future energy improvements or measure the impacts of existing programs. Any of these modules may be used separately or together--depending on the user's needs.
The REEM framework has been used for evaluation of energy programs in several states including Connecticut, Iowa, Massachusetts, New York, Texas, Wisconsin, Vermont, Rhode Island, New Hampshire and Maine.