5 Green Economy-Renew
5 Green Economy-Renew
ENTREPRENEURSHIP,
EMPLOYMENT & SKILLING
Concept Note for Sub Theme 3 - Opportunities in Green Economy, Skills and
Jobs in the Renewable Energy Sector
A Concept Note on Sub Theme - Opportunities in Green Economy, Skills and Jobs in the
Renewable Energy Sector
This Concept Note on the sub theme Skills and Jobs in the Renewable Energy (RE) sector attempts to
summarize the current status, key challenges in access as well as quality of service delivery in this
sector, while also giving some pointers to the way forward. It may be taken as a starting point by the
State Governments for building up the State specific documents on issues relating to access and quality
of jobs and skills in RE sectors. The focus would need to be on unlocking the potential of employment,
identifying appropriate tools for assessing and filling the skills gap and a road map for reaching
maximum employment and entrepreneurship potential. The Concept Note touches upon the following
key areas: (i) the current initiatives and outcomes of ongoing programs to accelerate deployment and
skilling (ii) some key issues prevalent in the ecosystem (iv) suggestive points of discussion and (v)
way forward.
II. Context
Over the years, India has emerged as a leader in driving action to mitigate the impact of climate
change. India has pledged to achieve 50 per cent cumulative power installed capacity from non-fossil
fuel-based energy resources by 2030, amongst other commitments. During the United Nations
Framework Convention on Climate Change - 26th Conference of Parties (COP), India has set a target
to achieve Net Zero by 2070. India’s leadership and commitments to decarbonization have opened up
multi-faceted opportunities in clean energy. These opportunities include employment, income
supplementation, entrepreneurship, market opportunities and investment opportunities in the clean
energy sectors. The focus of discussions would be to leverage the opportunities across value chains
of all renewable energy (RE) sectors including solar, wind, bioenergy, green hydrogen, energy storage
systems, energy storage, decentralized renewable energy (DRE) etc.
India’s non-fossil power generation capacity has seen a rapid growth, with 81.3 GW in 2014 to 205.39
GW as of July 2024, which makes up about 46 per cent of the total installed capacity of 446.19 GW
capacity in the country. This expedited deployment of RE technologies and ambitious targets ahead
gives a significant opportunity to create new employment opportunities. The International Renewable
Energy Agency (IRENA) estimated that as of 2022, India had created 2.8 lakh jobs in the solar PV
sector, 85,000 jobs in the biogas sector, 58000 in solid biomass, 40,000 in wind energy, 35,000 in
liquid biofuels and 22,000 in solar heating/cooling.
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The estimated employment generation based on CEEW analysis, CEA etc. for RE-sector by 2030 are
as under:
Thus, it is estimated that the RE sector has the direct employment potential of 31.67 lakh by 2030 out
of which about 21.49 lakh are to be generated during August 2024 to March 2030. In addition,
Green Hydrogen sector is estimated to create six lakh jobs.
III. Objective
The objective of the 4th National Chief Secretaries Conference with theme ‘Opportunities in Green
Economy, Skills and Jobs in the Renewable Energy Sector’ would thus be to:
i. Leverage the renewable energy sectors for job creation and entrepreneurship through
estimating job potential and workforce requirement.
ii. Identify enablers that ensure youth are skilled in line with global standards and can seize
opportunities in RE sector.
iii. Develop actionable activities (policies, schemes, missions) to operationalize these enablers.
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IV. Initiatives and Outcomes
The Ministry of New and Renewable Energy (MNRE) has taken several initiatives to promote
diversified deployment and production of RE technologies. Some of the key schemes and policies are
shown below:
Production-linked
incentive Scheme for National Bioenergy
Solar Park Scheme PM-KUSUM
solar cell/modules, Programme
batteries etc
The Ministry has also undertaken various initiatives to impart skills and trainings to the eligible
persons through its specialized National Institutes of Solar, Wind and Bio-energy. Skill development
and training is further supported by institutions such as the Ministry of Skill Development and
Entrepreneurship (MSDE), the National Skill Development Corporation (NSDC) and the Skill
Council for Green Jobs (SCGJ). Recently, RE companies have also set up training institutes and
centers of excellence in order to impart necessary training to the workforce.
The figure below shows the institutional ecosystem for skill development and trainings in India. In
addition, there are more than 400 private non-affiliated, independent institutes offering specialized
courses in online and offline modes.
i. Under PM-Surya Ghar: Mufti Bijli Yojana (PMSGMBY), the Ministry aims to create
more than three lakh skilled manpower through skilling and upskilling, of which at
least one lakh will be solar technicians. The technicians/electricians/installers/
engineers/supervisors/vendors/officials of banks and DISCOMs/trainers will be
provided trainings for installation/design/O&M for solar rooftop systems.
ii. Skilled manpower for Green Hydrogen Sector under the National Green Hydrogen
Mission (NGHM) is being created through a Scheme on skilling, up-skilling and
re-skilling under NGHM.
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iii. National Renewable Energy Fellowships at MTech, M.Sc., and Ph.D. levels are
provided to students to pursue higher studies in the area of renewable energy and post-
doctoral research to develop workforce for technological, managerial as well as
supervisory jobs of RE sector.
iv. MNRE also supports short term specialized trainings on new technology areas,
innovative approach, women-oriented programmes, resource assessment, detailed
project report preparation, project appraisal etc.
V. Issues to be resolved
Schemes and policies in skilling and entrepreneurship in India have faced myriad challenges. It is
critical to recognize and reflect on these, in order to design effective programs in the future. Some of
these issues include:
i. Lack of data on the type of training required by the sector and quantum of training: There
is a dearth of data on the requirement of skilled workforce from the private sector as well as
particulars on the jobs roles and skills required. Similarly, at the State level, not all States have
clear targets for the yearly deployment trajectory of renewable energy. Planning for the quantum
of training and the type of training to be provided becomes difficult with a lack of proper data.
ii. High attrition rates: A CEEW 2022 evaluation of the Suryamitra Skill Development Program
revealed that Suryamitras have a high attrition rate due to contract-based work, out-station
posting and lower salaries/ remuneration. This is an urgent issue for restoration to restrain
migration of trained workforce from RE to other sectors.
iii. Lack of practical exposure to trainees: There is a need to ensure that courses dedicate a
longer duration of on-ground training, shop floor training, and exposure to the industry. While
on-ground training is mandatory for Suryamitra, participants highlighted the scope for
improvement. Many times, due to lack of coordination with industry, the on-the-job training
(OJT) remains unfulfilled.
iv. A mismatch between skilling opportunities and needs: Courses for training are developed
without constant industry participation, leading to a mismatch between industry requirements
and training provided. This means a large section of the youth remain unemployed regardless of
whether they have been skilled or not. In sectors such as solar and wind energy, which are
characterized by rapidly evolving technologies, the pace of change often outstrips the ability of
training programs to update their curricula and training methodologies.
v. Lack of synergies between skilling institutes and RE industry: The private sector needs to
be an equal stakeholder in skilling initiatives. Currently, there is no incentive for the private
sector to work closely with skilling institutes or provide opportunities for youth under training
to participate in hands-on work at project sites. While the Government and other industry
associations constantly engage with the industry, skilling remains an area where synergies are
not yet identified and leveraged.
vi. Need for quality trainers: There is a need for well-qualified trainers who have industry and
hands-on experience in RE technologies. Ensuring good quality trainers will further enhance the
credibility of the training programs.
vii. Gender inclusivity: There is a need for greater focus on social and gender inclusivity by way
of ensuring provisions are made to accommodate all, data is collected in a disaggregated manner,
and action to improve diversity of trainees is undertaken.
viii. Low entrepreneurship commercialization: The startup and entrepreneurship ecosystem in
India has evolved a lot over the last few years. There are several avenues to access finance for
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new-age innovators coming up with new technologies or business models. However, many
startups struggle to scale and commercialize after the initial funding is unlocked by existing
schemes, a phenomenon called the ‘valley of death’. Sometimes, this situation is also a result of
the limited business acumen of entrepreneurs, even though they are great technological
innovators.
Despite efforts to improve the skilling ecosystem, the sector further struggles with low enrollment,
poor alignment with labour market needs, affordability challenges, and a perception problem.
Addressing these challenges is essential to effectively channel the young population into vocational
training and maximize the potential demographic dividend in India.
i. Granular, State-wise estimates of RE jobs: States have dedicated RE policies with certain
targets. However, the pipeline capacity and long-term targets for various technologies are
often not clearly known in the public domain. Identifying the priority areas and technologies
for deployment, States can then plan for skilling and training accordingly in coordination
with the private sector. Based on deployment trajectory, skills training can be planned for
the short, medium and long-term duration. The discussions will focus on making these
granular estimates for States and supporting decision-making by related departments.
ii. Mapping the entire ecosystem of RE technologies: Jobs in RE technologies is not limited
to project deployment or equipment manufacturing. Instead, it spans across the entire
ecosystem of allied industries and services that bring indirect jobs. Often, the presence of
the larger ecosystem leads to the emergence of demand centers, therefore boosting job
opportunities. An ecosystem approach will also make the green jobs story a reality for
both rural and urban India. For example, through PM Surya Ghar: Muft Bijli Yojna(PM-
SGMBY), and Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan (PM-
KUSUM) an ecosystem of developers, channel partners, and service and repair personnel
would be required to deploy rooftop solar systems, solar water pumps, solar power plants
etc,. By focusing on diversifying the penetration of different technologies, demand centers
can be created. This discussion will focus on mapping the presence and preparedness of the
local ecosystem for RE technologies in States. It will also guide the efficient deployment of
training centers catering to the local requirements.
II. Skills mapping, training and anticipating future skills: This theme will focus on identifying
the new skills frontiers for RE sector and building public-private partnerships for efficient skill
development programs.
i. Detailed skill mapping across RE sectors: Detailed skill mapping in various RE
technologies will inform the design and delivery of skill development programs. It will
also present opportunities for upskilling to enhance the employability of the trained
workforce.
ii. State-Industry synchronization: With newer technologies such as Green Hydrogen it is
critical to work closely with the private sector to understand the emerging skilling and
labour requirements. A key issue is a mismatch between industry's requirements and the
trained workforce. Ensuring industry’s participation in developing these skilling
programs and leading some of the training would strengthen industry’s perception of these
courses.
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iii. Globally harmonized skills: It is essential to be forward-looking and anticipate the
possible shifts in the nature of jobs and skills required in Industry 4.0. Nudging higher
education systems to introduce relevant courses and working closely with the industry to
track the implementation of the latest technologies will aid in identifying the demand for
new skills. Preparing students to adapt to a changing job market is critical for ensuring a
seamless transition to new technologies. Similarly, it is essential to ensure that skilling
programs are of global standards and that opportunities for interoperability exist.
iv. Train the Trainer by Industry Expert: Research and development is a continuous part
of the process to develop more efficient products. Manufacturers are the key owner of the
newly developed technologies. Therefore, the synergy between industries and training
centers is a very important aspect and thus the trainers will also be trained by the industry
sector. The training course content should also be in accordance with the nature of the
job-roles of the industry requirement.
v. Trainings and skill development in new emerging technologies i.e., geothermal, tidal
and wave energy, solar cold storage, solar cooling and heating, solar desalination,
building integrated PV(BIPV), agro PV, Floating PV etc. will also be required in future.
The discussion will also focus on creation of Centers of Excellence for these technologies.
III. Spurring entrepreneurship in the RE sectors: This theme will focus on promoting entire
RE and clean technologies through existing or new schemes. However, to scale up these
technologies, an ecosystem of manufacturers, distributors, inventors and financiers and
skilling and training would be required. Furthermore, access to finance is seen as a key
bottleneck to expanding or keeping businesses running. It is critical to investigate the key
reasons for hindrances in access to credit even though multiple schemes are in place at the
central and state levels. Similarly, necessity of skilling and developing market linkages will be
discussed to commercialize entrepreneurship. Further, more incubation centers also need to be
created.
IV. Increasing women’s and other vulnerable groups' participation in the workforce:
Women make up only 32 per cent of the workforce in the RE sector at the global level. Fully
involving women in roles across the value chain, from manufacturing to service delivery,
would require opportunities to be created for women to upskill and nudge to companies
to invest in greater inclusivity. Solutions to address social barriers and creating enabling safe
and healthy working conditions will be discussed.
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