Job creation in a low carbon transition to renewables and energy efficiency: a review of international evidence

Job creation in a low carbon transition to renewables and energy efficiency: a review of international evidence

11 January 2024 | Richard Hanna, Philip Heptonstall, Robert Gross
This paper presents findings from a systematic review on job creation, quality, and skills in the context of decarbonization in the energy sector. The review compares various gross job employment factors, indicating that investment in renewable energy and energy efficiency can create more jobs than gas or coal power generation. National studies generally agree that over the next few decades, there will be a modest net positive creation of jobs and moderate economic growth. However, certain regions within countries may experience faster job losses in fossil fuel industries compared to the pace at which low-carbon energy sectors can offer new employment. There are also mismatches between regions where displaced workers live and where new opportunities arise, which can be a barrier to accepting alternative employment. The paper highlights a lack of metrics and data on job quality, skills, and geographic distribution of employment impacts in decarbonizing energy systems, suggesting these areas should be priorities for further research. The review covers a wide range of international evidence, including studies from Europe, Asia, North America, Africa, and South America, and provides insights into the quantity, quality, and geographic distribution of job creation in the energy sector.This paper presents findings from a systematic review on job creation, quality, and skills in the context of decarbonization in the energy sector. The review compares various gross job employment factors, indicating that investment in renewable energy and energy efficiency can create more jobs than gas or coal power generation. National studies generally agree that over the next few decades, there will be a modest net positive creation of jobs and moderate economic growth. However, certain regions within countries may experience faster job losses in fossil fuel industries compared to the pace at which low-carbon energy sectors can offer new employment. There are also mismatches between regions where displaced workers live and where new opportunities arise, which can be a barrier to accepting alternative employment. The paper highlights a lack of metrics and data on job quality, skills, and geographic distribution of employment impacts in decarbonizing energy systems, suggesting these areas should be priorities for further research. The review covers a wide range of international evidence, including studies from Europe, Asia, North America, Africa, and South America, and provides insights into the quantity, quality, and geographic distribution of job creation in the energy sector.
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Understanding Job creation in a low carbon transition to renewables and energy efficiency%3A a review of international evidence