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Global Shift to Renewables Demands Just Transition for Energy Workers

Energy workers in the fossil fuel sector are facing significant challenges as countries increasingly prioritize renewable energy. The transition to a climate-neutral economy threatens traditional energy jobs, yet the skills of these workers may be pivotal in the emerging renewable sector—if governments commit to a just transition.

The concept of a just transition is defined by the European Union as a shift towards a climate-neutral economy that ensures workers’ livelihoods remain secure. This includes providing decent jobs, social protection, and enhanced training opportunities for those affected by climate policies. Similarly, the International Labour Organisation (ILO) emphasizes the need for an inclusive transition that creates quality job opportunities while ensuring no one is left behind.

Significant workforce numbers underscore the urgency of this transition. In 2023, approximately 67.5 million people were employed in the global energy sector, with many relying on fossil fuels. The ILO has previously outlined key measures to facilitate a just transition, including labour market policies aimed at creating new jobs and safeguarding existing ones.

Regional Developments and Initiatives

In Southeast Asia, countries like Indonesia and Vietnam are beginning to invest in renewable energy projects, bolstered by international support. The coal mining sector plays a significant role in this transition, employing approximately 180,000 people in Indonesia, 86,000 in Vietnam, and 4,000 in the Philippines. To mitigate unemployment as fossil fuel dependence decreases, it is critical to provide training for workers transitioning to renewable energy roles.

Key policies such as the ASEAN Plan of Action for Energy Cooperation (APAEC) 2026–2030 promote regional cooperation to ensure energy security and accelerate decarbonization. The 2021 launch of the Just Energy Transition Partnership (JETP) at COP26 aims to support Indonesia and Vietnam in phasing out fossil fuels while increasing renewable energy contributions. Despite these initiatives, challenges remain, including resistance from fossil fuel lobbies, inadequate funding, and insufficient political will.

In India, the government is gradually closing coal mines, prompting workers’ unions to advocate for a just transition. With over 1.4 million individuals relying on the coal industry for their livelihoods, the shift to renewable energy raises concerns about job security and safety standards. Reports indicate that some coal workers have transitioned to renewable energy jobs; however, issues such as low wages—approximately $3.20 a day—and hazardous working conditions persist.

European Initiatives and Collaborative Efforts

Within the European Union, approximately 200,000 workers are currently employed in coal mines and power plants. To facilitate a smooth transition for these individuals, the EU has launched the COALition initiative, which fosters collaboration among researchers, policymakers, and communities to develop tailored solutions for a just transition. This initiative aims to create a framework that enables member states to shift towards green energy while addressing concerns about unemployment and economic burdens.

Panagiotis Grammelis, research director at the Centre for Research and Technology Hellas in Greece, noted the importance of collaboration in this transition. He stated, “We are leaving the coal era and moving into the renewables era… We have common problems, common policy issues – and we want a common innovation model to address them.”

As various countries and regions establish frameworks for a just transition, the effectiveness of these policies will ultimately depend on individual state governments’ implementation. A successful transition could support a greener future, limit rising unemployment, and reduce training costs by enhancing workers’ skills.

The global movement towards renewable energy necessitates a comprehensive approach, ensuring that the workforce is not left behind as economies evolve.

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