With change comes opportunity and that is no different in the energy transition
Linette Casey, Power Systems Development Director, Siemens Energy
According to the National Association of State Energy Officials, approximately 6.7 million Americans work in the Energy Industry. That is roughly 4.6% of the American workforce. I’ve spoken recently with many different industry partners who are worried about this energy transition and what it means to workers who have been employed in more traditional sectors of the US Energy industry. Oil & Gas workers in Texas are worried about their jobs and leaving the industry because they don’t see a future in Energy. In Massachusetts local economic development groups are trying to figure out how to re-train and re-employ over 600 workers who have lost their jobs at recently shuttered nuclear and coal plants. Unfortunately, sometimes it seems that there is an “us versus them” mentality as this transition takes place. Some of the recently displaced workers from oil & gas, nuclear, and coal plants may struggle to see where they will be re-employed. However, given the staggering numbers of renewable installations anticipated, it’s clear that the Energy industry is ripe with opportunity.
There is also an encouraging observation about what role there is for women and minorities to benefit from the billions of dollars of investment in the Clean Energy Economy. Through the American Jobs Act there is an increased push to spend increased amounts in the US and with small and diverse businesses. Most of the bid requests coming from the Department of Energy and utilities are specifying that some portion of their scopes be spent with small or diverse supply chain partners in the US. The White House proposed a rule in July 2021 that the threshold for American Made content would increase from 55% to 75% for US Government contracts by 2029.
So what skills are transferable as we move thru this Energy Transition?
EHS - Every part of the Energy industry places safety first. A keen eye on Employee Health & Safety is needed if you are working in a refinery or 300 meters above the ground or ocean on a wind turbine.
Legal & Regulatory - These are still needed, no matter which corner of the Energy sector you are in.
Financial & Tax - Strict tax laws in the form of Production Tax Credits or Investment Tax Credits are being offered for renewable installations. Advise from financial and tax professionals are very much needed in this area.
Chemical Engineers - As the US transitions to using Hydrogen in the production of energy and the re-electrification of cities, chemical engineers will be needed.
Pilots - Helicopter pilots who used to fly to oil rigs can be re-employed to fly HVDC lines for vegetation management. There is also a need for drone pilots to perform wind turbine blade inspections and land and asset surveys.
Instrumentation & Controls - Controlling these new assets as they come online is critical. As the dispatch of assets get more complex, especially in micro grid circumstances, experts in the field of controls and instruments will continue to be needed.
Marine Industry - As offshore wind installations take place, there will be a need for marine and civil engineering jobs just like there are in the offshore oil & gas industry. The recently announced partnership with Crowley Marine and Massachusetts Maritime Academy showcases how that school plans to train the workforce of the future for Offshore Wind installations.
Project Management - All installations whether offshore or onshore will require project managers to deliver them on time and under budget.
High Pressure and High Voltage - These specialty fields exist in nuclear plants as well as in the renewable sector. Experts in both these areas will be needed well into the future.
Cyber Security - This is a huge area of opportunity. Just as oil pipelines must be protected from cyber-attacks, so to must renewable generation assets. A workforce that can protect the US and its assets from cyber-attacks will continue to be needed.
Pipe fitters, Welders, Millwrights and other trades - This group of workers is key to not only the installation and commissioning, but also to the ongoing maintenance these new forms of energy will need. The trades are being rapidly lost as workers retire or leave the industry. These are some of the hardest skills to replace because they truly are an art form oftentimes passed down thru generations of families or thru apprenticeship programs that have been offered within our union workforce or community colleges.
Small Businesses - There is a huge push from the Department of Energy, Department of Commerce and others to encourage startups and small businesses to help with this energy transition. Some displaced workers may be budding entrepreneurs whose knowledge and skills could be used to stand up their own company in manufacturing or services to enable the energy transition.
There is a great deal of money being spent on the energy transition which should be seen as a massive opportunity for the Americans already working in the sector, but also for all those looking to make a meaningful impact.
Encouraged by the work of Greta Thunberg, many high school and college aged students have an affinity for Sustainability and a concern for the environment. They want to help and are looking for meaningful ways to do so.
To that note according to a 2019 report from the International Renewable Energy Agency (IRENA), the renewable sector employed 32% women which was higher than the energy sector overall which employed 22% of women. This would seem to suggest that women are more likely to go into the Energy industry now that clean and renewable sources of generation are being implemented in a significant way.
Although the energy transition is upon us there is much to come and do. For us to get where we are going, we need those with decades of industry experience, we need those that are looking to transition mid-career, and those who are looking to start their career soon. For the transitions to work for all we need the voice of all, making this an ideal time for women and minorities to join in the change.
