The renewable energy labor market and the opportunities for young professionals

 

The global growth of renewable energy technologies is driven by the need to combat climate change. This has presented both a challenge and an opportunity in the creation of energy transition jobs. According to IRENA, in 2022, around 13.7 million green jobs were created, with Asia accounting for about two thirds of these jobs. A fast growing sector with massive job opportunities is solar photovoltaic (PV), with 40% of the roles held by women. Green economy jobs are a development practice that encourages economies to become more sustainable and low-carbon. IRENA reported investments from both the public and private sectors rose from US$ 348 billion in 2020 to US$ 499 billion in 2022, reflecting a 43% increase. These investments stem from corporate strategies that align with public policies, including incentives and regulations, aimed at promoting the ongoing growth of jobs in the renewable energy sector. The jobs generated are most prominent in China, Brazil, India and the European Union. However, there still remain gaps in gender disparity, job security, labor rights, and income.

As the renewable energy industry continues to grow, there is an increased demand for skilled workers in the green energy sector, offering various opportunities for young professionals. The UN has estimated about 8.4 million jobs will be created by 2030 due to the energy transition. While these figures are encouraging, the key question is whether young people around the world are adequately prepared for these jobs. It is estimated that 60 percent of young people globally will lack the skills necessary to thrive in the green economy by 2030. The benefits of green jobs will only be realized by the youth if they possess the necessary skills to qualify for them. This then raises the question, what are the necessary green skills needed to remain relevant during the transition? These skills range from technical expertise like solar panel and wind turbine installation, digital skills including Artificial Intelligence (AI), project management and soft skills such as effective communication and collaboration between industry stakeholders. In order for youth to be prepared for the opportunities that the green economy presents, they have to learn and develop these skills through proper education and technical training, participating in industry activities and gaining experience through internships and volunteer work.

Global investment in the energy sector has remained steady since 2015, and while nearly twice as much is being invested in clean energy compared to fossil fuels, there is a significant disparity when it comes to emerging economies. With the exception of China, these economies represent only 15 percent of the total investment. The global investment in clean energy is expected to exceed US$ 3 trillion, with US$ 2 trillion in technology and infrastructure alone. To ensure effective investment, addressing labour demand in the energy sector to support system development and advance energy transition is paramount. However, certain areas require increased focus to create more opportunities for young people. By 2030, investment in energy access in Africa must reach nearly $25 billion annually to ensure sustainable energy for all. To further impact job creation for youth, it is key to promote renewable energy entrepreneurship, as investments in these regions often need to be small-scale, typically in rural areas, targeting consumers with very limited financial means.

The future is promising for young professionals in the RE industry, and taking advantage of the opportunities available will require gaining the required knowledge and skills. The acceleration in the creation of these jobs shows that there needs to be an increase in investment in education and skills development programmes among young people so that they are able to join this demand for work. The energy transition is creating job opportunities and attracting significant investments, positioning itself as a key solution to combat climate change. However, ensuring gender equality, job security, and providing better wage conditions in regions that lack a committed workforce, and do not offer the same benefits as areas like the European Union. This would help prevent immigration, and the loss of specialized support.

To better equip and build the capacity of young people and help them adapt to the process of energy transition, there is a call for significant investments in capacity building training through education, technical programmes, basic or higher education, while taking into account the socioeconomic conditions of each region. Emerging countries count on the presence of multinational companies that help to heat up the labor market and can be a way of engaging this workforce and presenting new opportunities for young people. The need for new initiatives related to combating climate change and creating renewable energies can also count on investment from public authorities in terms of funding for new start-ups, and the places where young entrepreneurs meet. Therefore, it is imperative that governments, companies and educational institutions collaborate to create training programs that prepare young people for the green job market.

 

ACKNOWLEDGEMENTS
Name – Eloísa Fernandez
Instagram handle- aurevoirelo
LinkedIn- Eloísa Cristina S. Fernandez

Name – Eghosa Oghodo
Instagram handle-
LinkedIn- Eghosa A. Oghodo

Name – Rinret Best
Instagram handle- bestrinnie
LinkedIn- Rinret Best