The energy transition is undoubtedly influencing the job market, which continues to show a growing demand for green energy workers. Based on the most recent data presented by McKinsey, the wind and solar sectors are expected to demand 990,000 full-time employees by the conclusion of this decade, a substantial increase from the 290,000 employed in 2020.
“The energy transition could offer broad economic benefits for the EU such as increased energy reliability, economic growth, and job creation,” McKinsey said in an earlier report.
The consultancy predicts that Europe’s total additional investments aimed at achieving net-zero emissions could potentially amount to approximately €1.7 trillion ($1.81 trillion) by 2030.
In April, the European Union implemented a series of laws as part of the Fit for 55 package, which are designed to bring policies in line with a 55 percent reduction in greenhouse gas emissions by 2030, ultimately working towards achieving climate neutrality by 2050.
While the transition could eliminate six million jobs through 2050, it could also generate 11 million, McKinsey said.
Fit for 55, originally introduced in 2021, encompasses key components such as a carbon border tax, a just transition fund, and the implementation of a carbon price for gasoline and household heating.
According to McKinsey, the energy transition in Europe may face challenges due to a potential shortage of labor, which could hinder progress towards a more organized and sustainable energy shift.
“Almost one million full-time skilled workers would be needed in 2030 just to develop and construct centralised renewable-energy assets. That is more than triple the number needed today,” it said.