Environmental engineering and consultation services industry

Industry Snapshot

General Industry: Science, Technology, Engineering, and Math

Career Clusters: Business, Management, and Administration; Science, Technology, Engineering, and Math

Subcategory Industries: Consulting Engineer’s Offices and Private Practices; Environmental Consulting Services; Environmental Engineering Services; Remediation Services; Sanitation Consulting Services; Site Remediation Consulting Services

Related Industries: Building Architecture Industry; Building Construction Industry; Business Services; Landscaping Services; Scientific and Technical Services; Waste Management Industry

Annual Domestic Revenues: $24 billion (environmental consulting, IBIS World, 2022); $8 million (environmental engineering, Zoom Info, 2021)

NAICS Numbers: 56291, 541330, 541620

Summary

Environmental engineering is considered a subset of civil engineering. Environmental engineering and consultation services design, plan, assess, or perform engineering duties and gather information on the environmental consequences of proposed actions, in order to prevent, control, and remediate environmental hazards. Environmental engineers provide communities and policy makers with project management, permit acquisition, and other specialized environmental technology and services. Environmental consultants help businesses and municipalities prepare environmental impact statements and otherwise comply with environmental regulations. Environmental engineering is equivalent to sanitary engineering and is also called environmental health engineering or public health engineering.

History of the Industry

The earliest known practice of civil engineering is thought to have occurred in the period between 4000 and 2000 BCE in ancient Egypt and Mesopotamia. During that period, humans departed from a nomadic lifestyle of mobile hunting and gathering and settled in constructed shelters. They still required transportation, however, and created wheel-based land vehicles, as well as sail-based water vessels.

Historians attribute the origins of large environmental construction initiatives to the construction of pyramids in Egypt between about 2700 and 2500 BCE. Other historic civil engineering constructions were the Parthenon in Ancient Greece (447–438 BCE), the Appian Way of the Romans (about 312 BCE), and the Great Wall of China (about 220 BCE). The inventions of Archimedes in the third century BCE constitute some of the first applications of mathematics and physics to problems of civil and environmental engineering. Environmental engineering began to develop in its own right with the construction and use of aqueducts, bridges, roads, dams, and harbors throughout the Roman Empire. The roots of the discipline grew with the architectural designs and construction expertise of artisans such as the carpenters and stonemasons of ancient and medieval times.

No clear distinction was originally made between civil engineering and architecture until the modern era. Civil engineering became a scientific term in the eighteenth century and rose to prominence when the Institution of Civil Engineers was founded in London in 1818 and received a royal charter in 1828. Civil engineering thus became formally recognized as a profession. Attention came to be focused on what today would be recognized as several environmental activities pertaining to the construction of bridges, aqueducts, harbors, lighthouses, drainage systems, and river transport, as well as the manufacture of machinery for construction.

The first private college to teach civil engineering (including environmental engineering) in the United States was Norwich University, founded in 1819 by Captain Alden Partridge. The first degree in civil engineering in the United States was awarded by Rensselaer Polytechnic Institute in 1835. The first environmental engineering and consultation service in the United States was Tyree Organization, which was founded in Farmingdale, New York, in 1930. (It is still functional today, serving customers in the retail petroleum industry, with specializations in the excavation of contaminated soils, environmental testing, service station maintenance, and pump tank construction. The company also provides emergency response services, as well as engineering and compliance services for petroleum bulk storage, and operates from offices in California, Connecticut, Massachusetts, New Jersey, and New York.) Environmental engineering services progressed steadily thereafter, with the founding and establishment of several categories of small, midsize, and large environmental engineering and consulting companies.

The Industry Today

Environmental engineers focus today on the use of the principles of biology and chemistry to develop solutions to modern environmental problems. Information technology (IT) and automation with high-technology electronic innovations have become integral components of twenty-first century environmental engineering and consultation services. These technologies underlie diagnostics, operations, and environmental services generally. Companies are more actively involved in water and air pollution control, recycling, waste disposal, and public health issues than they were in the past.

Since 2003, a broad range of engineering and consultation services have emerged, tailored to electrical and telecommunication utilities and the mining industry. Services include design, electrical system studies, environmental permitting, testing, commissioning, and geographic information systems (GIS), which are popular tools for environmental services and projects pertaining to surveying, construction, and transportation.

The environmental industry has advanced in the use of modern equipment, some of which improves on older versions. Engineers use such equipment to facilitate assessments and provide services several times faster and better than they could in the past and to enable environmental workers to undertake more challenging tasks. Workers in the field and those in laboratories and offices can easily and quickly communicate by mobile electronic devices, and staff can use computers to exchange information with other offices far and near and even to have discussions and conduct seminars by videoconferencing.

The industry now has computers, engineering software, mechanical and electrical tools, modern GIS instruments (for mapping lands) that did not exist in the past, storage tanks, centrifuges, electron and research microscopes, spectrophotometers, different recorders, chromatography equipment, monitoring and testing systems, varieties of laboratory equipment, and a host of other supplies in line with various companies’ specialties. These tools make the modern environmental industry more useful, competitive, efficient, challenging, and exciting. For additional innovations, many environmental engineering businesses have begun minimizing cost and environmental damage by adopting green IT policies that save energy. The U.S. Small Business Administration also conducts ethics webinars over the Internet, teaching business owners about environmental ethics.

Environmental engineers conduct hazardous waste management studies, in which they evaluate the significance of hazards, advise on their treatment and containment, and develop regulations to prevent mishaps. They design municipal water supply and industrial wastewater treatment systems, conduct research on the environmental impact of proposed construction projects, analyze scientific data, and perform quality-control checks.

Several environmental engineers and consultants have expanded their businesses to deal with local and worldwide environmental issues. Some companies study and attempt to minimize the effects of acid rain, global warming, automobile emissions, and ozone depletion, which are among the hottest environmental topics in the twenty-first century. They also become involved in wildlife conservation. Many twenty-first century environmental engineers also work as consultants, helping their clients comply with regulations, prevent environmental damage, and clean up hazardous sites. Major modern environmental companies include CH2M Hill, Tetra Tech, and environmental engineering and consulting divisions of large engineering and construction firms, such as Fluor and Bechtel.

Several small environmental engineering and consultation companies have been developed to provide a wide variety of environmental management services for local communities and small establishments, such as food services, health care clinics, small bakeries, furniture and finishing factories, hotels, landscaping services, marinas, machine shops, retail stores, and service stations. Some small environmental businesses are independent subsidiaries of larger environmental engineering companies, and they serve as domestic firms with services to consumers. Many also provide a wide variety of assessments and solutions in construction, manufacturing, emergency response, remediation, risks to human health, and hazardous waste operations.

The environmental engineering industry today undergoes more scrutiny for compliance because of the growth in the number of businesses in operation. The tendency is to focus more on products and monetary gains, while relaxing important environmental laws that should be more strictly enforced because of increased manufacturing, excessive use of chemicals, more pollution, and too many disposables dumped as waste. Small environmental engineering businesses operating in the United States, for example, are advised to seek help from the Small Business Ombudsman (SBO) to learn how environmental protection laws work. The SBO is an office of the Environmental Protection Agency (EPA) with the mission of helping small businesses comply and cope with environmental laws.

As environmental businesses grow, they require more plans and skills to handle all their employees. Several companies that had few workers years ago now have to adjust their working conditions and plans to accommodate more qualified college graduates and other skilled workers who seek employment in the environmental field. The external assistance of the EPA and other experts in environmental assessment, consulting, and law is sought by several companies that provide seminars and training for their staffs. These environmental engineering organizations face the daunting task of ensuring all their employees receive adequate in-house training and refresher courses.

Some early environmental engineering companies, for example, those founded in the 1950s or 1960s, that have remained small or midsize and have always occupied the same buildings are renovating or moving into new buildings. These firms have felt the need to equip themselves with modern facilities and tools that conform to contemporary environmental standards. They must do so to demonstrate that, by improving their own situations, they can also supply clients with greater efficiency, better working conditions, more customer attraction, and higher business development commensurate with twenty-first century industrial progress.

Mandated taxation for environmental engineering and consultation industries is strictly adhered to by law, and voluntary incentives for workers have become essential to boost their morale and increase job satisfaction. Declaring a net loss has important tax consequences, because an environmental or other business can only declare a loss in two out of every five years. If a company declares a business loss more frequently than that, the Internal Revenue Service may review the business and reclassify it as a hobby, disqualifying it from writing off expenses of previous and future years.

As the world population increases and businesses grow larger, good stewardship of the environment by real estate and business concerns becomes important. Environmental engineers and consultants can thus expect to receive more business in the years ahead. Environmental professionals will teach clients the best recycling techniques and how to manage water, noise, and air quality.

Unexpected environmental upheavals in the form of wide-scale brush fires, hurricanes, tornadoes, earthquakes, volcanoes, and tsunamis pose greater challenges to the environmental industry. Some of these environmental problems defy all the known solutions. The April 2010 volcanic ash that spewed into the atmosphere from Iceland virtually paralyzed air travel to and from Europe for a few days and adversely affected the entire world economy. All affected businesses could do was wait for winds to blow the ash out of their region. The explosion on the Deepwater Horizon and the resulting oil spill in the Gulf of Mexico during that same year demonstrated the limits of engineering technology to respond to deepwater oil drilling disasters. These types of events challenge experts to design and engineer appropriate twenty-first century solutions for large-scale environmental catastrophes.

Industry Outlook

Overview

As environmental legislation tightens, most businesses (and households) are increasing their efforts to become green, backed by incentives and government funding. The greater public interest in the environment promotes significant growth opportunities for environmental businesses. According the US Bureau of Labor Statistics (BLS), the US metropolitan areas with the largest number of jobs in environmental engineering in 2018 were Los Angeles, California; New York, New York; Boston, Massachusetts; and San Francisco, California. The employment pattern was similar for environmental scientists and specialists, with New York, Washington, DC, Los Angeles, Sacramento, and San Francisco having the most jobs. According to the Engineering News-Record, the top environmental consulting and engineering firms globally in 2019, ranked by 2018 gross revenue, included AECOM, Jacobs, Clean Harbors, Tetra Tech, and Fluor Corp, all of which are US-based firms.

Jobs with the federal and state governments, and with organizations dependent on federal funds for support, will experience little growth over the next decade, unless budgets increase significantly. The federal government is expected increasingly to outsource environmental services to private consulting firms. This lack of funding will affect mostly scientists performing basic research.

The continual creation of congested urban communities and artificial environments, the accompanying myriad disposables, and the solid, chemical, and gas pollution will expand the scope and operations of the environmental industry. Environmental scientists who speak foreign languages and who are willing to work abroad enjoy the best opportunities for foreign employment. For those wishing to work in the United States, the job market is promising; the BLS projects that employment of environmental scientists and specialists will increase by 5 percent between 2021 and 2031. Environmental science technician positions will grow by 6 percent during that time. Environmental engineering jobs are projected to increase by 4 percent over the same period, about as fast as average. More environmental engineers will be needed to help companies comply with environmental regulations and to develop methods of cleaning up environmental hazards. Energy resource depletion and climate change have emerged as global risks and have significant future implications for business. Successful companies will minimize these risks through proactive strategies and innovative solutions of environmental consulting. The COVID-19 pandemic is expected to reinforce the importance of environmental services.

Employment Advantages

Environmental management and environmental consulting are broad fields that offer many advantages to employees seeking to diversify their skills. Additional sharpening of skills for employees is obtained through diligent, innovative, and special solutions to challenging environmental tasks, as well as on-site training or seminars in environmental issues in the workplace that could also enhance one’s domestic environmental preparedness.

The diversity of the environmental industry in terms of the broad range of career paths offered continues to be a great benefit to those seeking professional advancement. The need to replace workers who retire will result in many job openings over the next decade.

The increasing need for companies to comply with environmental laws and regulations is expected to contribute to the demand for environmental engineers and scientists. Issues of asbestos, lead, and other building and construction-related hazards; water conservation and quality; groundwater contamination and flood control; deteriorating coastal environments; nuclear plant decommissioning; climate change adaptation; and rising sea levels will also promote hiring and stimulate employment growth of environmental engineers and consultants.

As populations increase, development progresses, and people and businesses move to environmentally sensitive locations, environmental engineers and consultants will be needed to assess building sites, new highways, factories, and farms for potential hazards and to address issues of pollution control and waste disposal.

Annual Earnings

According to the market research firm IBISWorld, the US environmental consulting industry included more than 65,000 companies in 2022 while remediation and environmental cleanup services had 5,800. These firms range in size from one-person businesses to global corporations. The industry is highly fragmented.

Bibliography

Davis, Mackenzie L., and Susan J. Masten. Principles of Environmental Engineering and Science. 3rd ed., McGraw-Hill, 2014.

"Employment Projections: Occupational Projections and Worker Characteristics." Bureau of Labor Statistics, US Dept. of Labor, 4 Sept. 2019, www.bls.gov/emp/tables/occupational-projections-and-characteristics.htm. Accessed 23 Oct. 2019.

"Global Environment Consulting Services Market to Reach $43.2 Billion by 2026." Cision PR Newswire, 16 Mar. 2020, www.prnewswire.com/news-releases/global-environmental-consulting-services-market-to-reach-43-2-billion-by-2026--301503126.html. Accessed 3 Oct. 2022.

"Global Environmental Industry Generates Revenues of $1.16 Trillion in 2016." Environmental Business Council of New England, 25 Aug. 2017, ebcne.org/news/global-environmental-industry-generates-revenues-of-1-16-trillion-in-2016/. Accessed 12 Jan. 2018.

Jackson, Shirley Ann. Envisioning a 21st Century Science and Engineering Workforce for the United States: Tasks for University, Industry, and Government. National Academies Press, 2003.

Masters, Gilbert M., and Wendell P. Ela. Introduction to Environmental Engineering and Science. 3rd ed., Prentice Hall, 2008.

National Academy of Engineering. Frontiers of Engineering: Reports on Leading-Edge Engineering from the 2006 Symposium. National Academies Press, 2007.

National Research Council, Committee on Industrial Competitiveness and Environmental Protection. Fostering Industry-Initiated Environmental Protection Efforts. National Academy Press, 1997.

Plunkett, Jack W. Plunkett’s Consulting Industry Almanac. 12th ed., Plunkett Research, 2015.

Rubin, Debra K., et al. "ENR 2019 Top 200 Environmental Firms: Building Up to Meet Demand." ENR: Engineering News-Record, Aug. 2019, www.enr.com/articles/47303-enr-2019-top-200-environmental-firms-building-up-to-meet-demand. Accessed 23 Oct. 2019.

Sam, Peter A. International Environmental Consulting Practice: How and Where to Take Advantage of Global Opportunities. John Wiley & Sons, 1999.

Schulze, Peter C., editor. Measures of Environmental Performance and Ecosystem Condition. National Academy Press, 1999.