Research Department Working Paper n°28

The transition in play: Worldwide employment trends in the electricity sector

This paper analyses the employment effects of electricity generation by different sources on a worldwide scale as observed since the year 2000.

Electricity generation from renewable sources has been touted as a win-win solution for the advancement towards both environmental sustainability and decent work for all. This paper analyses the employment effects of electricity generation by different sources on a worldwide scale as observed

since the year 2000. It finds that the additional generation from renewable, non-hydro, energy sources has been related to higher job creation in the electricity sector when compared to other energy sources, notably fossil fuel-based technologies. As predicted, renewables also help reduce GHG emissions. Estimating the economy-wide effects through employment multipliers provide more evidence that developing renewable energy has positive environmental and employment impact throughout the entire economy.