Renewable energy adds 700 000 jobs to reach 12.7m globally

22nd September 2022 By: Schalk Burger - Creamer Media Senior Deputy Editor

Worldwide employment in renewable energy reached 12.7-million in the past year, which was an increase of 700 000 new jobs in one year despite the lingering effects of Covid-19 and the growing energy crisis, says global body the International Renewable Energy Agency (Irena), which has published a report in collaboration with the International Labour Organisation (ILO).

The 'Renewable Energy and Jobs: Annual Review 2022' report identifies domestic market size as a major factor influencing employment generation in renewables, along with labour and other costs.

Solar energy was found to be the fastest-growing sector. In 2021, it provided 4.3-million jobs, more than a third of the current global workforce in renewable energy.

With rising concerns about climate change, Covid-19 recovery and supply chain disruption, national interest is growing in localising supply chains and creating jobs at home.

“The report describes how strong domestic markets are key to anchoring a drive toward clean energy industrialisation. Developing renewable technology export capabilities is also dependent on this,” it adds.

“In the face of numerous challenges, renewable energy jobs remain resilient and have been proven to be a reliable job creation engine,” says Irena director-general Francesco la Camera.

“My advice to governments around the world is to pursue industrial policies that encourage the expansion of decent renewables jobs at home. Spurring a domestic value chain will create business opportunities and new jobs for people and local communities, and also bolster supply chain reliability and contribute to more energy security overall,” he adds.

Further, the report shows that an increasing number of countries are creating jobs in renewables. Almost two-thirds of all these jobs are in Asia. China alone accounts for 42% of the global total, followed by the European Union and Brazil, with 10% each, and the US and India, with 7% each.

The report highlights that the expansion of renewable energy needs to be supported with holistic policy packages, including training for workers to ensure jobs are decent, high quality, well paid and diverse in pursuit of a just transition.

“Beyond the numbers, there is a growing focus on the quality of jobs and the conditions of work in renewable energies, to ensure decent and productive employment,” says ILO director-general Guy Ryder.

“The increasing share of female employment suggests that dedicated policies and training can significantly enhance the participation of women in renewable energy occupations, inclusion and, ultimately, achieve a just transition for all.

“I encourage governments, and workers’ and employers’ organizations to remain firmly committed to a sustainable energy transition, which is indispensable for the future of work,” he adds.

RENEWABLE REGIONS
Meanwhile, the report highlights some notable regional and national developments. These include that South East Asian countries are becoming major solar photovoltaic (PV) manufacturing hubs and biofuel producers.

China is the pre-eminent manufacturer and installer of solar PV panels and is creating a growing number of jobs in offshore wind. India added more than 10 GW of solar PV, generating many installation jobs, but remains heavily dependent on imported panels.

Further, Europe now accounts for about 40% of the world’s wind manufacturing output and is the most important exporter of wind power equipment. It is trying to reconstitute its solar PV manufacturing industry.

Africa’s role is still limited, but the report points out that there are growing job opportunities in decentralised renewables, especially in support of local commerce, agriculture, and other economic activities, the organisations note.

Additionally, in the Americas, Mexico is the leading supplier of wind turbine blades. Brazil remains the leading employer in biofuels but is also adding many jobs in wind and solar PV installations. The US is beginning to build a domestic industrial base for the budding offshore wind sector.