Maine’s “clean energy economy,” which encompasses jobs and business activities advancing carbon-free energy, expanded faster in 2023 than the state’s economy overall, benefiting from Biden administration funding that’s now in President Donald Trump’s crosshairs.

A broad array of economic enterprises such as solar, wind and hydropower; geothermal generation; smart grid technology to manage electricity; lithium and other batteries; energy efficiency and electric vehicles comprise the clean energy economy, which grew to nearly $2.9 billion in 2023, or 3.2% of the state’s economy. It’s up from 2.7% the previous year, according to the 2024 Maine Clean Energy Report, commissioned by the Governor’s Energy Office.

The report cited federal spending of about $800 million in energy infrastructure in Maine made possible by the Inflation Reduction Act and Bipartisan Infrastructure Law enacted several years ago by a Democratic-run Congress and then-President Joe Biden.

Money from Washington is now at risk, as Trump promises to drill for oil and natural gas while ending funding for zero-carbon energy such as wind power, though policies already in place may limit federally-imposed reversals, the report said.

“While some impact from uncertainty over federal energy policy and priorities may be observed in the coming years, the state’s numerous financial awards, commitments to clean energy and strong policy and incentive environment are expected to continue to fuel job growth,” said the report.

Gov. Janet Mills has made a priority of boosting electric heat pump use and expanding electric vehicle charging stations. Still, Maine remains the most dependent on home heating fuel in the U.S., and more than half of electricity produced in New England is generated using natural gas.

Maine spends more than $4.5 billion on imported fossil fuels each year, including gasoline and heating oil, with combustion contributing to climate change, which is causing more frequent and extreme storms, the Maine Energy Plan reported in January. Last year was the warmest on record, it said.

The clean energy sector’s contribution to Maine’s economy increased by about $500 million from 2022 to 2023, up 20%. The state economy overall grew by 7.2% over the last year, the report said.

Maine added 542 clean energy jobs from 2022 to 2023, reaching nearly 15,600, or about 2.4% of the state’s labor force. Energy efficiency comprised the largest share of the state’s clean energy economy, accounting for 58% of the jobs. Renewable electric power generation was next, representing 20%.

Solar energy employment gained the most in the clean energy economy over the last year, adding 117 jobs, representing a 13.5% growth rate.

But growth in Maine’s alternative transportation sector, or electric vehicles, is slower than in other Northeastern states, with the slowest growth in hybrid electric and electric vehicles, the report said. Employment in hybrid electric vehicles grew by just 0.5% in Maine from 2022 to 2023; the second-lowest growth rate was in Vermont at 3.7%.

EV employment growth in Maine also was minimal, at 1.5%. But more EVs were on the road in Maine: Light-duty vehicle registrations for EVs rose to 7,400 in 2023 from 5,000 a year earlier, an increase of 48%. And registrations for hybrid EVs increased from 28,900 to 33,600, a 16% increase.