The International Renewable Energy Agency (IRENA) and the International Labour Organization (ILO) recently released a significant report titled “Renewable Energy and Jobs-Annual Review 2022”. This study reveals that around 700,000 new jobs were generated in the Renewable Energy Sector within one year. The report highlights the domestic market size and labour as key elements influencing job growth in this sector.
Major Findings of the Report
In 2021, the global Renewable Energy sector employed 12.7 million individuals, an increase from 12 million in 2020. Almost two-thirds of all these jobs are situated in Asia, with China alone catering to 42% of the international total. This is followed by the European Union and Brazil with a proportion of 10% each, and the United States and India both at 7%. Developed economies saw the largest share of investment in renewable energy, and these nations are progressing towards 60% growth in the clean energy sector by 2022.
Regional Trends in Renewable Energy
Southeast Asian countries have emerged as significant Solar Photovoltaic (PV) manufacturing hubs and biofuel producers. China stands as the leading manufacturer and installer of solar PV panels, generating countless jobs in offshore wind. Despite its heavy reliance on imported panels, India added more than 10 Gigawatts of solar PV, creating many installation jobs. Europe, accounting for about 40% of the world’s wind manufacturing output and the primary exporter of wind power equipment, is striving to reconstruct its solar PV manufacturing industry.
Solar Energy: The Fastest-Growing Sector
Solar energy retained its status as the fastest-growing sector in 2021. It provided 4.3 million jobs, accounting for over a third of the total renewable energy workforce. In the same year, a record 132.8 gigawatts of solar PV capacity were installed globally, up from 125.6 GW in 2020. China alone accounted for 53 GW (40%) of this increase.
Decentralized Renewable Energy
The number of employees directly involved in Decentralised Renewable Energy (DRE) in 2021 surpassed 80,000 in India, 50,000 each in Kenya and Nigeria, and nearly 30,000 in Uganda. Despite these figures, the percentage of women in the DRE workforce remains low, especially in skilled positions.
Recommendations for a Just Energy Transition
The report suggests several recommendations for a successful and just energy transition. It emphasizes creating decent jobs, providing social protection for affected workers and communities, and appropriating public policy interventions. Industrial policies encouraging the expansion of decent renewable jobs domestically are also sought after.
About the International Renewable Energy Agency (IRENA)
IRENA is an intergovernmental organization, established in Bonn, Germany, in January 2009. India is the 77th founding member of the organization with its headquarters situated in Abu Dhabi, United Arab Emirates.
About the International Labour Organization (ILO)
The ILO is the sole tripartite United Nations (UN) agency, uniting governments, employers, and workers of 187 member states, including India. It has received the Nobel Peace Prize in 1969 and was established by the Treaty of Versailles in 1919 as an affiliated agency of the League of Nations. Its headquarters are located in Geneva, Switzerland.
