(Guest opinion) Matthew Gonzales: Colorado’s agricultural economy depends on affordable, reliable energy – Greeley Tribune

Report on the Socio-Economic and Environmental Implications of Natural Gas in Colorado’s Agricultural Sector

Introduction: Economic Growth and Food Security

Colorado’s agricultural industry is a significant contributor to the state’s economy, aligning with Sustainable Development Goal 8 (Decent Work and Economic Growth). The sector’s viability is intrinsically linked to energy affordability and reliability, which directly impacts SDG 2 (Zero Hunger) by ensuring a stable food supply chain.

• Economic Output: The industry generates approximately $47 billion annually.
• Employment: It supports over 195,000 jobs, fostering economic stability in numerous communities.
• Energy Dependency: The sector relies on affordable energy, primarily natural gas, to power essential operations from farm to table.

The Role of Natural Gas in Achieving Sustainable Development Goals

SDG 2: Zero Hunger

Affordable natural gas is fundamental to the agricultural production process, ensuring food security at local, regional, and national levels. Its role includes:

1. Powering irrigation equipment for crop cultivation.
2. Heating greenhouses to extend growing seasons.
3. Drying grain post-harvest to ensure longevity and quality.
4. Operating storage and food-processing facilities.

Disruptions in the supply or affordability of this energy source directly translate to higher production costs, which are subsequently passed on to consumers, threatening food accessibility.

SDG 7 & SDG 10: Affordable Energy and Reduced Inequalities

The debate surrounding energy policy must consider the principles of energy equity, directly addressing SDG 7 (Affordable and Clean Energy) and SDG 10 (Reduced Inequalities). Mandates to phase out natural gas risk disproportionately affecting vulnerable populations.

• Impact on Hispanic Communities: A significant portion of Colorado’s agricultural workforce and supply chain consists of Hispanic workers and business owners, whose economic stability is threatened by rising energy costs.
• Household Energy Costs: The average Colorado household using natural gas spends approximately $480 per year, compared to nearly $1,000 for electric-only homes. This disparity places a significant burden on working-class families.
• Electricity Grid Reliance: Natural gas generates 41% of Colorado’s electricity, meaning restrictions impact the entire grid and could raise power costs for all consumers.

SDG 8 & SDG 11: Decent Work, Economic Growth, and Sustainable Communities

Energy policy has a direct effect on the economic health of rural areas, impacting SDG 11 (Sustainable Cities and Communities). The affordability of energy determines the operational viability of small and midsize family-run farms, which are the economic foundation of these communities.

• Energy affordability dictates whether land is cultivated and products reach the market.
• Sudden increases in energy costs can force farms to cease operations, leading to job losses and economic decline in rural areas.

A Balanced Path Forward: Integrating Climate Action with Socio-Economic Stability

SDG 13: Climate Action

A balanced approach to SDG 13 (Climate Action) recognizes the role of natural gas as a transitional fuel. It has been a key factor in reducing U.S. emissions over the past two decades. Rather than being a barrier, it can be part of a pragmatic solution that balances environmental goals with economic realities.

Conclusion and Recommendations

To support an inclusive and sustainable energy evolution, policy must reflect a balanced perspective that protects economic foundations and vulnerable communities while pursuing environmental progress. A premature shift away from affordable and reliable energy sources like natural gas risks undermining multiple Sustainable Development Goals.

1. Maintain Energy Diversity: Policies should recognize the role of natural gas in ensuring energy affordability and reliability for critical industries like agriculture.
2. Prioritize Energy Equity: Energy transition strategies must be designed to prevent negative economic consequences for low-income households and minority communities, in alignment with SDG 10.
3. Support Rural Economies: A flexible and adaptive approach is required to protect the jobs and community stability dependent on the agricultural sector, thereby supporting SDG 8 and SDG 11.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 1: No Poverty – The article connects energy costs to the financial stability of working-class families, particularly Hispanic families, suggesting that unaffordable energy can exacerbate poverty.
• SDG 2: Zero Hunger – The article directly links affordable energy to food production and food prices, highlighting its role in powering irrigation, heating greenhouses, and processing food, which are all critical for maintaining a stable and affordable food supply.
• SDG 7: Affordable and Clean Energy – This is a central theme, with the article advocating for natural gas as an “affordable, reliable energy” source and discussing its role in the state’s overall energy mix and electricity generation.
• SDG 8: Decent Work and Economic Growth – The article emphasizes the agricultural industry’s importance as a major economic driver for Colorado, providing jobs and significant economic output. It argues that high energy costs threaten the viability of farms and the jobs they support.
• SDG 10: Reduced Inequalities – The article specifically points out that the negative impacts of rising energy costs are higher for Hispanic communities, which constitute a large part of the agricultural workforce. It calls for “energy equity” to ensure policies do not disproportionately harm vulnerable communities.
• SDG 13: Climate Action – The article engages with the topic of emissions reduction, positioning natural gas as a fuel that has “helped reduce U.S. emissions” and is part of a balanced approach to “making progress on emissions goals.”

2. What specific targets under those SDGs can be identified based on the article’s content?

• Target 1.2: By 2030, reduce at least by half the proportion of men, women and children of all ages living in poverty in all its dimensions according to national definitions. The article implies this target by discussing how high energy costs stretch the budgets of “working-class families” and threaten the stability of Hispanic families who depend on the agricultural industry.
• Target 2.4: By 2030, ensure sustainable food production systems and implement resilient agricultural practices. The article connects this target by explaining that the agricultural industry depends on “affordable, reliable energy” to power irrigation, dry grain, and run food-processing facilities, which are essential for a functioning food system.
• Target 7.1: By 2030, ensure universal access to affordable, reliable and modern energy services. The article directly addresses this by contrasting the annual cost of natural gas ($480) with electricity ($1,000) for households and arguing for the preservation of natural gas to maintain energy affordability.
• Target 8.3: Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity and innovation. The article supports this by highlighting that the agricultural sector provides “more than 195,000 jobs” and that energy affordability is crucial for “small and midsize, family-run operations” to remain viable and keep employees paid.
• Target 10.2: By 2030, empower and promote the social, economic and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion or economic or other status. The article relates to this by focusing on “energy equity” and warning that phasing out natural gas could disproportionately harm Hispanic communities, potentially pushing them “out of the industries they’ve helped build.”
• Target 13.2: Integrate climate change measures into national policies, strategies and planning. The article speaks to this by advocating for a “balanced approach” that respects “economic reality and community needs while making progress on emissions goals,” suggesting that energy policy should consider both economic and environmental factors.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

• Indicator for Target 7.1: The article provides a direct financial metric for energy affordability: “The average Colorado household using natural gas spends about $480 per year versus nearly $1,000 for electric-only homes.” This cost differential serves as an indicator of affordability for different energy sources.
• Indicator for Target 8.3: The article provides clear economic indicators for the agricultural sector’s contribution: “more than 195,000 jobs and roughly $47 billion in annual output.” These figures can be used to track the economic health and job-creation capacity of the industry.
• Indicator for SDG 7 (Energy Mix): The article states that “Natural gas also generates 41% of Colorado’s electricity.” This percentage is an indicator of the share of a specific fuel in the state’s electricity generation mix.
• Indicator for SDG 2 (Food Prices): The article implies an indicator by stating, “When fuel and heating prices rise, grocery bills follow.” This suggests that the Consumer Price Index for food or tracking grocery bill fluctuations relative to energy prices could be used as a measure.
• Indicator for SDG 13 (Emissions): The article implies an indicator by mentioning that “Natural gas has helped reduce U.S. emissions more than any other fuel over the past two decades.” This suggests that tracking greenhouse gas emissions levels and the rate of reduction can be used to measure progress on climate goals.

4. Summary of SDGs, Targets, and Indicators

Source: greeleytribune.com