Report seeks stronger action on domestic supply chains, enhanced workforce

Solar Energy

A new report by the International Labour Organisation (ILO) and the International Renewable Energy Agency (IRENA) has urged governments to step up public action to strengthen domestic supply chains and build a more inclusive renewable energy workforce.

It warned that job creation is lagging behind rapid growth in clean energy deployment.

The report, ‘Renewable Energy and Jobs – Annual Review 2025’, said that despite renewable energy installations hitting a new peak, jobs in the sector only increased by 2.3 per cent from 2023, reaching 16.6 million in 2024.

It stated that the employment growth was moderated by economies of scale, automation and other forms of technological innovation, excess equipment manufacturing capacity, and grid bottlenecks leading to curtailment of electricity generation.

It highlighted the increasing impact of geopolitical and geoeconomic frictions, as well as growing automation, on the renewable energy workforce.

In 2024, the study found that China created an estimated 7.3 million renewable energy jobs, or 44 per cent of the global total. The European Union (EU) followed suit with the same total as in 2023 at 1.8 million jobs.

It stated that Brazil’s renewables employment runs to 1.4 million, while India’s and the United States’ barely grew from around 1 million to 1.3 million and 1.1 million, respectively.

Commenting on this trend, IRENA Director-General, Francesco La Camera, said while renewable energy deployment is booming, the human side of the story is as important as the technological side.

She said governments must put people at the centre of their energy and climate objectives through trade and industrial policies that drive investments, build domestic capacity, and develop a skilled workforce along the supply chain.

He said countries that are lagging in the energy transition must be supported by the international community, stating that it was essential not only to meet the goal of tripling renewable power capacity by 2030, but also to ensure that socio-economic benefits become lived realities for all, helping to shore up popular support for the transition.

ILO Director-General Gilbert Houngbo highlighted that a just transition to a renewables-based future must be grounded in inclusion, dignity, and equal opportunity.

He said as countries scale up renewable energy investments and job creation, the responsibility to ensure that accessibility for persons with disabilities – who too often face barriers to inclusion in labour markets despite their skills, experience, and talent – is built into every stage of policy design and implementation.

According to him, this requires accessible training systems, inclusive hiring practices, and workplaces that accommodate, welcome, and respond to diverse needs and respect every worker’s rights.

By removing barriers to equality and promoting decent work, he said, we can strengthen economies and ensure that the energy transition truly works for all.

The ILO boss said that fostering a culture that respects diversity and upholds inclusion and fairness requires sustained, inclusive policy frameworks, including accessible education and training, labour market services, and other measures.

Designing and shaping such policies, Houngbo said, required that all stakeholders have a seat at the table, especially those who are often sidelined.

According to him, discriminatory practices and outdated social and cultural norms must be left behind for the energy transition to truly drive more successful economies for all members of the community.

“Continued growth in renewable energy deployment will keep adding to employment in the sector. This means that education and training need to be a key component of a comprehensive policy approach that brings together deployment support, finance and investment, industrial and trade policies for supply chain building, economic development and revitalisation, and inclusive workforce development,” he said.

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