Optimists focus on the prospect of sharp growth in green jobs

Weekend Australian
Saturday 14/3/2009 Page: 1

ONE of the big unknowns of the environmental debate is how many jobs a shift towards greener technology can deliver, but there is a growing belief that the answer may he in increased government stimulus plans to revive the flagging global economy. Human resource consultants across the world are arguing that, despite the fearsome economic downturn, the need for new energy infrastructure along with the need, especially in supply utilities, to replace an ageing workforce will continue to throw up employment opportunities for talented techies.

Despite the economic problems in Australia, the electricity industry alone is expected to outlay about $100 billion between 2010 and 2020 on building new power generation facilities to meet demand and provide cleaner supply, to upgrade and expand the delivery networks, to improve system efficiency and to roll out a smart meter system for customers across the country.

This level of development throws up challenges for Australian supply organisations in recruitment and training against a continuing need to ensure that the past decade's shortage of skilled workers is overcome, with a wide range of opportunities for those looking to find a way into a career in sustainable energy.

In general, the skills needed for installing and maintaining renewable energy equipment are mainly in the technical and engineering areas, and the broad decline in recent years in the number of students embarking on engineering degrees means that the anticipated strong upward trend in green infrastructure development during the decade ahead will provide a lot of room for those with the necessary talents. The opportunities will be worldwide and not just domestic.

At its meeting in Davos, Switzerland, earlier this year, the World Economic Forum urged policymakers across the developed world to devote $US515 billion a year between now and 2030 on a transition to sources of cleaner energy production. The WEF says various initiatives, such as retro-fitting buildings to make them energy efficient, can provide new jobs and lay the foundations for longer-term economic growth.

Advocates of pursuing efforts to clean up the economy more vigorously point to California as an example of how jobs will follow green venture capital investment. Despite the overall slowing in US investment last year, Californian clean-tech outlays hit a record of $US3.3 billion, double the previous year's investment and seven times that of 2005. While state-wide employment growth between 2005 and 2008 was only 1% , green jobs rose by 10% .

Jim Waring, chairman of CleanTECH San Diego, says his city has the opportunity to become one of the world's leading clean-tech clusters. Just ramping up the program to install solar panels on homes and offices in San Diego provides more work for electricians, plumbers and installers, he says.

Hardheaded analysts in California and elsewhere maintain it is too early to declare green tech the new biotech, a sector that took off spectacularly in the 1990s and generated a large number of jobs in the state, other parts of North America and in the rest of the world. There is still too much uncertainty, they argue.

Australia's environmental lobby has no such doubts. In a statement this month, the Southern Cross Climate Coalition the Australian Conservation Foundation, the ACTU, the Australian Council of Social Service and the Climate Institute Australia joined with the Property Council, the Institute of Superannuation Trustees and the Green Infrastructure Council to call for a three-pronged economic stimulus plan based around "green construction, sustainable infrastructure and green jobs".

The group wants the Rudd Government to go well beyond its $3.8 billion energy efficient homes program to increase stimulus measures to the levels now being pursued in the US and China. It argues that there is a raft of programs that could be pursued, for example making the proposed $21 billion in federal funding for school buildings and community and Defence Department housing conditional on adoption of best practice energy and water efficiency.

Support for small to medium-scale renewable energy installations, such as solar, wind and geothermal plants is another option. While the statement does not focus on it, the Rudd Government's proposed enhanced renewable energy target is designed to drive up to $30 billion worth of investment in zero emissions power generation in the next decade and to cost consumers an estimated $12 billion in extra costs over 10 years from 2010 through subsidies.

The WEF's Davos statement argues that it is possible to swiftly mobilise a wide range of activities such as low-emission technologies, renewable power generation, end-use energy efficiency programs and building insulation schemes. These activities, it says, will provide quick economic returns, a market stimulus and many jobs, while helping to lay the foundations for a low-emissions future.