| In this section: Why this indicator? What are the trends? What does it mean? About the data |
Energy expenditures as a percent of gross state product returned to early 1970 levels by 1992 after peaking in 1981 at 12 percent (nearly twice the 1970 value). Growth in the percentage was due largely to energy price increases that resulted in part from the energy crises of 1973 and 1978. The decline resulted from falling energy prices and a reduction in the energy intensity of the Washington economy. Washington energy expenditures as a percent of gross state product ranged from 10 to 30 percent lower than the United States as a whole. The gap was greatest in the late 1970s and returned to 1970 levels by 1992. Energy consumption per dollar of gross state product declined 26 percent from 1970 to 1993. This decline was due to increased energy efficiency and shifts to less energy intensive, high value added businesses (such as electronics and software). The Washington decline was less than the national value of 36 percent, but Washington energy consumption per dollar of gross state product was still eight percent lower than the national level in 1993.
| Total Energy Expenditures Washington | Total Energy Expenditures United States | Energy Expenditures % Gross State Product | Energy Expenditures % of Gross Domestic Product | Energy Consumption/ GSP (kBtu/1993$) | Energy Consumption/ GDP (kBtu/1993$) | |||
| Year | billion 1993$ | billion 1993$ | Washington | United States | Washington | United States | ||
| 1970 | 4.19 | 282 | 6.4% | 7.9% | 11.5 | 14.4 | ||
| 1971 | 4.23 | 292 | 6.3% | 8.0% | 11.5 | 14.2 | ||
| 1972 | 4.40 | 306 | 6.2% | 8.0% | 11.7 | 14.1 | ||
| 1973 | 4.73 | 331 | 6.4% | 8.2% | 11.7 | 13.9 | ||
| 1974 | 5.56 | 410 | 7.5% | 10.2% | 11.4 | 13.5 | ||
| 1975 | 5.94 | 426 | 8.1% | 10.7% | 11.3 | 13.1 | ||
| 1976 | 6.16 | 453 | 8.0% | 10.9% | 10.9 | 13.1 | ||
| 1977 | 6.47 | 480 | 8.0% | 11.0% | 10.7 | 12.7 | ||
| 1978 | 6.60 | 485 | 7.5% | 10.6% | 10.2 | 12.3 | ||
| 1979 | 7.92 | 550 | 8.6% | 11.7% | 10.2 | 12.1 | ||
| 1980 | 9.32 | 622 | 10.3% | 13.3% | 9.9 | 11.5 | ||
| 1981 | 10.49 | 654 | 11.6% | 13.8% | 10.3 | 11.0 | ||
| 1982 | 10.43 | 626 | 11.5% | 13.5% | 9.7 | 10.8 | ||
| 1983 | 9.33 | 585 | 9.9% | 12.1% | 8.9 | 10.1 | ||
| 1984 | 10.00 | 585 | 10.2% | 11.4% | 9.4 | 10.1 | ||
| 1985 | 9.66 | 567 | 9.7% | 10.7% | 9.3 | 9.7 | ||
| 1986 | 8.15 | 483 | 7.7% | 8.9% | 9.3 | 9.4 | ||
| 1987 | 8.16 | 480 | 7.5% | 8.6% | 9.3 | 9.5 | ||
| 1988 | 8.37 | 478 | 7.4% | 8.2% | 9.5 | 9.5 | ||
| 1989 | 8.80 | 487 | 7.4% | 8.2% | 9.3 | 9.4 | ||
| 1990 | 9.20 | 499 | 7.4% | 8.2% | 9.2 | 9.2 | ||
| 1991 | 8.89 | 477 | 7.0% | 7.9% | 9.0 | 9.3 | ||
| 1992 | 8.41 | 467 | 6.4% | 7.6% | 8.9 | 9.2 | ||
| 1993 | 8.43 | 476 | 6.2% | 7.5% | 8.5 | 9.2 | ||
| Notes: Values in italics are based on WSEO estimages of gross state product.
Sources: Expenditures and Consumption -- Energy Information Administration; Gross State and Domestic Product -- US Department of Commerce; Price Deflator -- OFM, Forcasting Division, Washington Economic and Revenue Forecast |
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Gross state product is used as a measure of economic output. Dividing energy expenditures and consumption by gross state product provides a measure of the overall energy intensity of the Washington economy.
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Energy expenditures as a percentage of gross state product experienced two periods of strong growth. From 1973 to 1975 the percentage increased 26 percent and from 1978 to 1981 it increased 55 percent. These increases were offset by a decline beginning in 1982 that returned the indicator to 1970 levels. Most of the decline occurred between 1982 and 1986 when the percentage dropped 33 percent. Washington values were approximately 20 percent lower than the United States in the early 1970s. This gap grew to 30 percent in the mid to late 1970s, then narrowed to 10 percent in the late 1980s. By 1993 it had returned close to 1970 levels.
Energy consumption per dollar of gross state product declined 26 percent from 1970 to 1993. The decline was relatively steady from the peak in 1973 (averaging 1.3 percent per year), although it leveled off in the 1978 to 1981 period and from 1984 to 1990. United States energy consumption per dollar of gross domestic product declined 36 percent from 1970 to 1993. The United States value was 25 percent higher than Washington's in 1970, but only eight percent higher in 1993.
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Increases in energy expenditures per dollar of gross state product were strongly influenced by energy price increases in 1973 to 1975 and 1978 to 1981 that resulted from the oil crises in these periods. These price increases affected petroleum most significantly, which is the fuel Washington State is most dependent on. There was a long term decline in energy consumption per dollar of gross state product from 1970 to 1993 that resulted from improvements in energy efficiency and shifts in the economy to less energy intensive, high value added businesses. This decline in energy consumption per gross state product coupled with energy price declines beginning in 1983 led to a decline in energy expenditures per dollar of gross state product back to 1970 levels.
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Energy expenditure and consumption data are from the Energy Information Administration (EIA). The EIA data are adjusted to remove non-energy uses of petroleum (see Appendix D). Gross state and domestic product data are from the US Department of Commerce. Gross state product was not available prior to 1977 or in 1993. These values were estimated based on the trends in US gross domestic product (which was almost identical to gross state product during the period of common record).
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