A new economic stimulus program, this time aimed at energy efficiency and alternative energy, would revitalize the nation's economy and create millions of "green jobs," including an estimated 9,000 jobs in Maine, according to a national report released Tuesday.

Researchers from the Political Economic Research Institute at the University of Massachusetts, along with Maine conservationists, business owners and a labor representative, called for $100 billion worth of federal tax incentives, low-cost loans, grants and other incentives over two years to promote renewable energy, energy-efficient building retrofits and mass transit.

Critics of the approach say government spending can't fix the economy or substitute for market forces. But advocates say such an investment, roughly equivalent to the cost of the economic stimulus checks sent to taxpayers earlier this year, would create 2 million jobs nationwide and reduce the nation's reliance on oil, according to the report.

"The price of oil is taking too big a bite out of working families' paychecks and eliminating too many jobs," said Bruce Roy, secretary-treasurer of the Maine AFL-CIO and a paper mill worker in Jay. "Putting up a wind farm creates jobs for machinists, truck drivers, electricians and laborers. Making buildings more energy-efficient requires roofers and insulators."

Roy spoke during a news conference held in Portland by the Natural Resources Council of Maine to highlight the report, which was prepared for the Center for American Progress, a liberal think tank based in Washington, D.C.

According to the researchers, Maine's share of the federal investment would be roughly $400 million, which would generate about 9,000 jobs and reduce the state's unemployment rate from about 5 percent to 3.8 percent.

Maine already has an estimated 2,000 jobs in the energy efficiency and alternative energy industries, said Dylan Voorhees of the Natural Resources Council. The sector could grow dramatically with more financial incentives, he said.

The sector already is growing.

Reed & Reed Inc., a Woolwich-based construction company with 150 employees, has built two wind farms in Maine and is about to begin a third. And, in part because of existing tax and policy incentives for the wind industry, the company is planning for more, said Art Cavanagh, a project manager.

Steve Konstantino, owner of Maine Green Building Supply in Portland, said his business has more than doubled this year selling efficient lighting, solar components and green building products.

Along with creating jobs, incentives to install solar water heaters or insulate homes will help Maine families spend less money on foreign oil and keep dollars in the local economy, advocates said. The investment would quickly pay for itself with increased economic activity and tax revenue, they said.

Tarren Bragdon, chief executive officer of the Maine Heritage Policy Center, a Portland-based conservative research organization, called the idea of a $100 billion investment a "quick, easy fix" that would create jobs for only as long as the federal money keeps flowing.

"What we need to do is encourage job creation in the private sector" by removing any taxes that discourage private investment, he said.

"We shouldn't be giving subsidies to big oil companies, but at the same time we shouldn't be creating subsidies for solar energy or wind farms," Bragdon said. "We just need to have an equal playing field and ultimately leave it up to the consumers to figure out which is more cost-effective for them."

Staff Writer John Richardson can be contacted at 791-6324 or at:

jrichardson@pressherald.com