Renewables may power the grid, but people are powering the transition. Supporting the workforce will be key to Australia achieving its net zero goals.
When it comes to change, there is perhaps no other industry going through it quite like the energy sector.
The core technologies that underpin the industry have been undergoing a significant transition over the last 20 years. Legacy generation and storage technologies, which have evolved steadily for decades, have been challenged by the rise of renewables and the broader electrification revolution.
While large-scale, centralised fossil fuel generation used to be the norm, a range of renewable technologies now contribute to Australia’s energy supply – from utility-scale wind and solar to pumped hydro, biogas and hydrogen.
At the other end of the spectrum, small-scale commercial and domestic solar installations also play a role in the energy mix, and micro-grid systems are becoming increasingly popular through the use of home batteries.
The sector is being further diversified by the electrification of the automotive industry, the rise of home and industrial automation, and a growing need for digital skills related to the Internet of Things (IoT) and the interconnected systems on which these technologies rely.
The changes to the sector have also affected the workforce.
Powering Skills Organisation (PSO) – one of 10 jobs and skills councils established by the Federal Government – has been tasked with managing this as the transition continues. The organisation oversees the training for apprentices entering the energy sector and is responsible for managing the expansion of the workforce as the industry continues to evolve.
With so much change happening, PSO CEO, Anthea Middleton, understands as well as anyone that there’s a lot of work to be done.
“After all, if business is booming, we need workforce power to deliver it. And that is where the real struggle comes in,” she said.
“The sector is battling not only the volume of work from these projects and changes, but also the conundrum of how to provide the workforce with the skills and knowledge to install, maintain and repair these technologies in an informed and, most importantly, safe manner.”
PSO believes that for Australia’s energy transition to be successful, it is not just the technologies the sector works with that need to transform, but also the sector’s cultural approach to learning.
“By embedding lifelong learning into the cultural ethos of the energy sector, its employers and workers, we can successfully meet the future needs of the Australian industry and the public,” Middleton said.
Net zero driving change
The energy sector is evolving rapidly. When industry first turned its focus to the sector’s growing workforce needs a decade ago, the idea of net zero didn’t form even part of the discussion.
By 2022, however, the Federal Government had legislated the Climate Change Bill, committing to emissions reduction targets of a 43 per cent reduction of 2005 levels by 2030 and net zero by 2050.
If you ask PSO, the enduring workforce shortages in the Australian energy industry put these ambitions in jeopardy.
Jobs and Skills Australia currently estimates that expanding production of renewable energy beyond our own domestic requirement would see Australia onshoring green manufacturing and would require an additional 42,500 electricians by 2030, with almost 100,000 additional electricians by 2050.
PSO estimates that Australia needs to grow the volume of new energy apprentices by 40 per cent above current levels to meet demand. In August, the organisation will release its ‘2025 Energy Sector Workforce Plan’, a blueprint to respond to the industry’s workforce, skills and training needs.
Middleton believes the report will help guide governments in making decisions about the energy sector, and the workforce and skills it requires.
“The transition to net zero and the corresponding technological advancement will impact every aspect of the workforce,” she said.
“The skill requirements of the energy workforce are already broadening, with indications that current specialisations like commissioning, data analytics, cybersecurity, system integration and even ozone-friendly refrigerants will become core skills into the future.”
Middleton said the same about soft skills.
“They’ll help workers liaise with increasingly savvy customers who are keen to embrace automation, real-time energy forecasting, grid integration and other consumer energy systems,” she said.
According to the Australian Computer Society’s ‘Technology Impacts on the Australian Workforce’ study, automation presents a relatively low risk for job loss or reduction in the energy sector.
However, the impact of technology and role augmentation is more significant.
PSO said this highlights the importance of ensuring the energy workforce is adaptable and allows workers to continually develop their skills and knowledge, formally and informally. But this reality poses its own unique challenge.
How can a workforce trained in traditional energy systems and training products that have remained relatively unchanged for 20 years pivot to a future defined by automation, IoT, artificial intelligence and sustainability?
The answer is not in singular retraining initiatives, according to PSO, but a cultural shift within the industry towards continuous, lifelong learning.
Embracing lifelong learning
Though it is not a new principle, PSO said lifelong learning is something the energy sector is yet to truly embed within its broader industry culture. Staying ahead of technological trends and changes in the field and building on existing knowledge will be the key to ensuring workers are suitably skilled for the future, the organisation said.
PSO argues the solution is not shorter, more condensed training, but rather the quality delivery of foundational skills and ongoing learning and professional development to keep pace with change. This should also include embedding processes for peer-to-peer knowledge sharing and mentoring in the workplace.
Middleton said when lifelong learning is truly supported by the energy sector, and not seen as a burden, workers become more agile and adaptive.
“They will drive the adoption of new technologies, innovation and increased productivity through smarter practices and a more intelligent, tech supported approach,” she said.
By embedding lifelong learning within the industry’s DNA, PSO believes there’s opportunity to empower and engage workers in the change taking place around them, making a positive impact on attraction and retention to the sector.
Training to support growth
Although some of the key skills, knowledge and culture will inevitably be dispersed throughout the industry by more experienced members of the workforce, the bulk of formal training will continue to sit within the vocational education and training (VET) system.
The issue, PSO said, is that the enduring labour shortages and the associated increased workload on the existing workforce can result in training being perceived as unnecessary – and even as a burden – by the industry and workers themselves.
In addition, the VET system is battling labour shortages of its own, with the volume of workers having largely plateaued since roughly 1986, despite significant increases in enrolment and initiatives like fee-free TAFE. PSO said this has led to critical training gaps in pre-apprenticeship, apprenticeship and post-trade levels.
While the organisation agrees non-accredited and original equipment manufacturer training has a role to play, it argues a strong, quality-focused, effective VET sector remains vital.
But how can the sector achieve a culture of lifelong learning and impart the skills required for Australia’s energy future if the VET sector doesn’t have the capacity to train the workforce?
“In short, we can’t address one and not the other,” Middleton said. “The two are inextricably linked.
“When we talk about embedding lifelong learning in the energy sector, that must also include imparting knowledge, encouraging skilled workers to contribute to the training of the next generation – whether it be as a formal educator, or informally within the workplace.”
PSO is undertaking a number of projects to help get this up and running, including updating training packages, looking at the cultural changes required in certain locations and determining which skillsets are required for different qualifications. The organisation said embedding lifelong learning and building the workforce Australia’s energy sector needs is not a task for a single entity or organisation.
“Government, industry, workers, the training sector and PSO all have a strong role to play,” Middleton said.
According to PSO, collaboration and the sharing of knowledge and resources will foster the right conditions for success. The organisation said each party will need to carefully consider the available opportunities to contribute to a new learning culture, commit to developing inter-relationships and collaborate to secure the skilled energy workforce Australia needs.
The energy industry is at a pivotal moment, with technological advancement and the transition to net zero redefining every aspect of the sector. To meet the challenges ahead, PSO feels Australia must build a workforce that is not only skilled but perpetually learning.
Embedding lifelong learning is not optional, the organisation said, but essential. It is the key to ensuring a successful, inclusive and sustainable energy transition. And it is how the organisation sees the future vision of Australians powering the nation to achieve net zero is upheld.
“If we get this right, the energy workforce of the future won’t be a casualty of technological and net zero disruption,” Middleton said. “It will be its champion.”
