How Does Renewable Energy Create Job Opportunity?
Renewable energy comes from natural sources that are constantly replenished, such as sunlight, wind, water, or geothermal heat. The main renewable energy sources used today are solar, wind, hydropower, biomass, and geothermal. Renewable energy is growing rapidly as costs fall and technology improves. Globally, renewable energy made up over 26% of total electricity generation in 2018 and is expected to supply over 50% by 2050.
The growth in renewable energy creates significant job opportunities across multiple occupations. As we build more renewable energy systems and infrastructure to meet demand and reduce carbon emissions, jobs are generated in manufacturing, construction, installation, operations, maintenance, and supporting services. This report will examine the employment opportunities created at each stage of developing and operating renewable energy systems.
Manufacturing Jobs
The renewable energy industry has created a significant number of manufacturing jobs domestically. As the adoption of wind, solar, and batteries increases, more jobs are needed to manufacture the components and parts. Major companies like GE have created thousands of jobs in the US focused on building wind turbines, solar panels, batteries, and other renewable energy technologies (source).
Domestic manufacturing and supply chain development provides economic benefits and job creation within the renewable energy industry. Rather than relying on imports, local manufacturing boosts employment and keeps more of the economic value in the United States. Expanding renewable energy can lead to positive spillover effects in manufacturing hubs around the country.
Installation Jobs
The renewable energy industry is creating many installation jobs, particularly for solar and wind energy projects. This includes installing residential and commercial rooftop solar panels, large utility-scale solar farms, onshore and offshore wind farms, and other renewable systems (1). These installation jobs provide employment opportunities for construction workers, electricians, engineers, technicians, and other skilled tradespeople.
For example, building a new wind farm requires civil and electrical engineers, project managers, crane operators, riggers, electricians, and general construction laborers to install the turbines and electrical infrastructure. Similarly, utility-scale solar farms need teams to grade the land, install racking and PV panels, wire up inverters and transformers, and connect to the grid. Rooftop solar creates local jobs for roofers, electricians, and installers to size systems, mount panels, and complete the electrical work (2).
These installation jobs tend to be local, rather than outsourced, since renewable energy systems must be built on-site. For example, a new wind farm in Scotland will hire locally for many of the construction and electrical jobs rather than bringing in workers from elsewhere. This creates employment opportunities for local contractors, tradespeople, and residents nearby the renewable energy projects (3).
Maintenance Jobs
The ongoing operation and maintenance of renewable energy projects requires skilled technicians and tradespeople, creating many long-term local job opportunities. According to Indeed, there is high demand for workers specializing in the maintenance of wind turbines, solar arrays, hydropower facilities, and other renewable systems. These maintenance jobs include preventative upkeep, troubleshooting, component replacements, and major repairs to keep renewable energy projects functioning optimally.
Specifically, wind turbine service technicians are needed to carry out routine maintenance as well as emergency repairs on wind turbines. The Bureau of Labor Statistics predicts the need for wind turbine service technicians will grow by 61% between 2016-2026, much faster than average. There are also many openings for solar photovoltaic installers and maintenance technicians to keep solar panels, inverters, and other system components in good working order. Additionally, hydropower facilities utilize maintenance workers to inspect dams, turbines, generators and perform repairs. These are all skilled local jobs that sustain renewable energy projects over decades of operation.
The ongoing maintenance requirements of renewable energy sources contrasts with fossil fuel power plants, which have relatively low operating labor needs. Thus renewable energy facilities have a greater capacity to create local jobs. Proper maintenance is also critical to ensuring renewable energy systems operate at optimal productivity over their lifespan of 20-30 years. The maintenance demands of renewable energy translate into steady local employment opportunities.
Supporting Jobs
The renewable energy industry requires a large number of supporting jobs across the value chain. This includes lawyers to handle contracts, accountants to manage finances, and IT professionals to build data and communications infrastructure (Clean Energy Job Creation and Growth). According to Indeed, renewable energy companies require similar legal, finance, HR, IT, sales, and administrative positions as other companies, just focused on the renewable sector (14 Renewable Energy Careers (And How To Start in the …)).
There are also many indirect jobs created across the supply chain for manufacturing equipment and materials for renewable projects. For example, steelworkers are needed to manufacture wind turbine towers, electricians to handle cabling, and construction workers to build solar and wind farms. The growth of the renewable industry creates economic ripple effects leading to job creation across supporting professions.
Retraining Opportunities
As renewable energy expands, there are opportunities to retrain workers from declining fossil fuel industries like oil and gas. Many of the skills from these legacy industries can transfer well to emerging renewables like solar and wind power.
For example, oil and gas drillers and roustabouts utilize technical skills that can be adapted for installing and maintaining wind turbines and solar panels. With some additional training focused on the specifics of renewable technologies, these workers can transition into new roles supporting clean energy projects.
Some key renewable energy retraining programs are being developed, often supported by government initiatives. These programs aim to reskill displaced fossil fuel workers with the exact abilities needed by the renewables industry. This helps facilitate a smooth employment transition and prevents skilled workers from being left behind.
Overall, the growing renewables sector represents a major opportunity to re-employ many oil and gas personnel. With some targeted retraining efforts, their existing capabilities can be adapted and transferred to help build out clean energy infrastructure (source). This benefits both the workers and the continued expansion of renewable energy nationwide.
Rural Job Creation
The renewable energy industry has been a major driver of job growth in rural areas across the country. With large wind and solar projects often located outside of major cities, renewable energy investments can bring much-needed employment to struggling rural economies.
According to the American Wind Energy Association, the wind industry employs over 114,000 Americans, the majority of whom work in rural areas building and maintaining wind farms. These new jobs help offset declining employment in industries like coal and manufacturing.
The solar industry is also creating new jobs in rural communities. Large utility-scale solar projects in rural parts of states like California, Nevada, and North Carolina employ thousands in site construction, operations, and maintenance. Community solar projects allow rural households to benefit through electricity bill savings and royalties.
While lagging economically, rural areas often possess the available land and resources that make renewable energy projects viable. With the continued growth of wind and solar, green jobs can provide new opportunities to revitalize struggling rural towns and offset the decline of disappearing industries.
Developing Economies
Renewable energy is creating significant job opportunities in the developing world. According to the International Renewable Energy Agency (IRENA), the renewable energy sector employed over 11 million people globally in 2018, with employment opportunities growing quickly in developing regions like Asia, Africa, and Latin America (Source).
For example, India employed 4 million people in renewable energy in 2017, including jobs in solar, wind, biofuels, and small hydropower. The solar sector alone provided 230,000 jobs. Renewable energy jobs in India are expected to reach 10 million by 2022 (Source).
In Africa, over 390,000 people worked in the renewable energy sector in 2018. South Africa had the most opportunities, with 55,000 jobs, followed by Nigeria and Kenya. Projected investments of $150-200 billion in African renewables by 2025 could support 4 million related jobs on the continent (Source).
Renewable energy job growth is being driven by the declining costs and increased deployment of clean technologies like solar, wind, and hydropower in the developing world. With their expanding populations and electricity demand, developing economies offer tremendous potential for continued renewable energy expansion and associated employment opportunities.
Challenges
While renewable energy does create many new jobs, there are some challenges to consider as well. Two key issues are automation reducing jobs in some areas, and uncertainty around trade policy and regulations.
As renewable energy technology continues advancing, some processes are becoming more automated and efficient. For example, improved software and robotics allow for faster manufacturing and installation with less human labor required. While automation enables scale, it can reduce job creation in some areas.
There is also uncertainty regarding future government trade and regulatory policies. Subsidies, tax credits, and other incentives help drive growth in renewables. But policy changes could negatively impact job growth if support declines. Regulations around grid access and permitting can also create challenges if not managed well.
Conclusion
Renewable energy has been shown to create employment opportunities across the energy value chain. Jobs are generated in manufacturing, installation, operation, maintenance, and supporting industries. Key points:
– Manufacturing facilities must ramp up to produce solar panels, wind turbines, batteries, and other cleantech. This creates significant manufacturing jobs.
– Installing renewable energy infrastructure is labor intensive, employing electricians, construction workers, roofers, and technicians.
– Once operational, renewable assets require ongoing maintenance and management, sustaining long-term jobs.
– Renewable energy systems create indirect jobs in permitting, legal, sales, and other supporting professions.
– Retraining programs enable fossil fuel workers to transition to renewable energy careers.
– Renewables can create jobs in rural areas near solar and wind farms, revitalizing local economies.
– Developing countries can benefit from renewable energy job creation.
While challenges exist, the employment opportunities from renewables are significant. Supportive policies to incentivize growth will enable greater economic and job market benefits. The renewable energy transition can be a win-win – creating jobs while securing our energy future.
