Is the renewable energy sector, which is burgeoning around the world, translating into jobs?
For the global situation the answer appears to be: Yes, it is.
The Renewable Energy and Jobs Annual Review 2018 from the International Renewable Energy Agency (IRENA) revealed that in 2017 more than 500,000 job were created globally, with the total number of people employed in renewables surpassing 10 million for the first time.
The biggest employers in the industry are China, Brazil, the US, India and Germany, where more than 70% of renewable jobs are found. It reflects that the bulk of manufacturing of renewable energy products takes place in relatively few countries. In fact, four-fifths of all renewable energy jobs in 2017 were in Asia (43% in China), the report found.
Globally, the growth in employment mirrors the growth in renewable capacity.
In Australia, renewables are also on a steep ascend, with 380 petajoules of renewable energy generated in 2016-17 compared to 240 petajoules in 2008-09. While the share of renewables in the country’s energy mix is still low, just 1.6% in 2016-17, renewable sources supplied 16% of the country’s total electricity generated in that year.
The Australian Bureau of Statistics (ABS) has now looked at how the growth of the sector in Australia translated into employment during the years 2009-10 to 2017-18. The findings detailed in a recently released report reveal a mixed picture.
In 2017-18, full time jobs in the renewable energy sector were estimated at around 18,000, which represents an increase of 28% from the previous year (2016-17). According to the ABS analysis, this increase was driven by the construction of large solar photovoltaic (PV) systems and the installation of roof-top solar PV, which together accounted for 94% of the increase in full time employment
However, employment has failed to surpass the levels reached in 2011-12, despite the large increase in capacity.
In Australia, roof-top solar PV is the by far the largest employer, but its share is declining from a peak of 74% in 2011-12, while that of large scale solar PV projects is on the rise. It is now the second largest contributor to employment in the sector, after having contributed less than 1% in 2011-12.
Other renewable energy sources, such as hydroelectricity and biomass, are also significant employers. However, as these are relatively mature technologies and therefore do not show great fluctuations in employment
In contrast, in Australia rising employment in the sector is associated with construction activity, and therefore tied to the fluctuations of energy infrastructure and capital formation.