/ 22 October 2024

Renewable energy sector doesn’t provide long-term job security

The South African Solar Power Company Paying Investors In Crypto
The promise of $300 billion by 2035 is not only insufficient; it’s a betrayal of the principles of climate justice. (Guillem Sartorio/Getty Images)

The idea of a just transition is at the forefront of global discussions about climate change, renewable energy and economic development, as it promises a shift from fossil fuels to greener alternatives, with the assurance that this transition will be equitable, inclusive and transformative.

But, in many Global South countries, this vision has been hampered by a fundamental flaw: although the renewable energy boom is creating jobs, they are largely temporary.

One of the critical issues plaguing renewable energy projects in the Global South is their project-based nature. Unlike traditional industries that create lasting job markets and support long-term career growth, many green projects such as solar, wind and geothermal installations are seen as one-off ventures.

These projects bring short-term employment, but once construction or installation is complete, the jobs end, leaving workers without stable livelihoods.

In South Africa, for example, the country’s ambitious Renewable Energy Independent Power Producer Procurement programme has created a significant number of jobs. But most of them are tied to the construction phase. As the projects became operational, the demand for labour plummeted.

The same pattern has been observed in Latin American countries such as Mexico and Brazil, where solar farms and wind power installations have generated an initial surge of employment, only to see these jobs vanish once the plants were up and running.

In these instances, renewable energy projects are not treated as integral parts of a broader, long-term industrial strategy. This lack of permanence undermines the potential of renewable energy to not only power economies but also create lasting social and economic transformation.

Renewable energy initiatives, especially in the Global South, are often driven by foreign investment and international development organisations.

These actors tend to focus on specific, short-term outcomes such as installing a certain number of solar panels or achieving emission reduction targets. While these goals are critical for combating climate change, they are often pursued in isolation from the broader needs of the local economy.

A 2017 report from the Council on Energy, Environment and Water (CEEW), a policy think tank in India, found that solar plants created about 12 times more temporary jobs than permanent jobs.

This project-based approach contrasts with traditional energy sectors such as coal or oil, which create entire ecosystems of jobs ranging from extraction and production to transportation, distribution and management. These industries offer not only stable employment but also career progression opportunities. Without similar structures in the renewable sector, workers remain trapped in precarious, low-paying jobs with little chance for long-term growth.

A key solution to the problem of temporary green jobs lies in the concept of reskilling, upskilling and new skilling. To ensure a just transition that benefits all workers, the renewable energy sector must focus on building a skilled workforce that can take on diverse roles in a rapidly evolving market.

In Kenya, for example, efforts are being made to train local people in managing and maintaining renewable energy installations.

The Strathmore University Energy Research Centre has launched training programmes aimed at providing technical skills to young people, equipping them for long-term careers in the energy sector. By focusing on reskilling and upskilling, the programme seeks to build a talent pool that can support not just short-term construction but the ongoing operation, maintenance and expansion of renewable energy infrastructure.

Countries such as Bangladesh have also begun addressing the need for inclusive skills development. The solar energy sector, which has seen significant growth, initiatives such as the Infrastructure Development Company Limited’s (IDCOL) Solar Home Systems Programme have created jobs for more than 100,000 people.

But many of these jobs are temporary, tied to installation work. To combat this, the IDCOL has partnered with local organisations to provide technical training, ensuring that workers are not only employable for the duration of a single project but are equipped for sustainable careers in the renewable energy market.

The process of reskilling also helps mitigate the effects of job displacement in traditional energy sectors. In South Africa’s coal sector, which is undergoing a slow phase-out, thousands of jobs are at risk. Programmes focusing on retraining coal workers for green energy roles are essential to preventing widespread unemployment and economic disruption.

In addition to the issue of temporary jobs, the renewable energy sector faces issues related to inclusion. In many Global South countries, marginalised groups such as women and persons with disabilities remain excluded from meaningful participation in the green economy.

In Bangladesh, women, who make up a significant portion of the workforce in rural areas, often face barriers to entry because of traditional gender roles and lack of access to technical training. Women are more likely to be employed in low-paying, temporary positions, with little opportunity for career advancement.

The solution to these problems lies in treating renewable energy not as a temporary project, but as a catalyst for industry development and long-term market expansion.

Governments and investors must work together to create policies that encourage the development of green industries, not just individual projects. This involves building local supply chains, fostering innovation and ensuring that renewable energy is integrated into broader economic planning.

Green jobs must evolve beyond the construction phase to include permanent positions in operations, management, maintenance, research and development. By investing in education, reskilling, and upskilling, countries can create a workforce that is adaptable and capable of supporting a growing green economy.

For women, youth, and people with disabilities, targeted policies are essential. This includes offering equal access to training programmes, enforcing anti-discrimination policies and ensuring that renewable energy projects are designed with inclusivity in mind.

Karabo Mokgonyana  is a renewable energy campaigner at Power Shift Africa focusing on renewable energy in Africa, just transitions and climate security.