Engineering skill shortages a big risk to Australia’s green energy transition

Renewable projects have been a major talking point over the past few months during the build-up to the federal election, with the alarming skills shortages sprouting as a key roadblock.

With several large-scale renewable projects on the horizon, Paul Carmignani, managing director of Powertech, has sent out a warning about the current skills shortage throughout the energy sector.

According to Carmignani, the changes of a successful implementation of critical infrastructure developments currently rest on the shoulders of a workforce that Australia does not possess.

Australia is set to fall short of approximately 200,000 engineers by 2040, handcuffing the country’s ability to keep up with the growing demand of development projects – as well as the increase in maintenance projects to keep up with strict compliance standards.

“Australia’s green energy transition is at risk, not due to a lack of ambition but due to a dire and growing shortage of engineering talent,” said Carmignani.

“We’re talking about an expected shortfall of 200,000 engineers by 2040, which will severely constrain our ability to deliver the infrastructure needed to meet climate targets.”

“Australia has some of the highest compliance and safety standards in the world, meaning that we need more engineers trained and experienced in domestic regulations and operating environments. Outsourcing or importing solutions can’t substitute for homegrown skills when it comes to long-term infrastructure resilience.”

Carmignani claimed that funding into skills programs isn’t going to cut it, calling for better pathways and new recruitment strategies such as introducing flexible work environments and diversity initiatives.

“Grant funding and skills programs simply aren’t doing enough, often focusing on start-ups or large tier 1 companies, when it’s the mid-sized engineering and industrial firms that are delivering these projects that remain overlooked. These businesses struggle to access the funding needed to train or retrain staff, offer cadetships, or participate in large-scale projects,” said Carmignani.

“More vocational pathways are needed into engineering, not just university avenues, with more targeted grants for mid-sized firms needed to build their own talent development programs. Partnerships between industry and universities or TAFEs can assist in aligning training with real-world needs.”

“People need to be considered first and foremost in this, with flexible work environments and diversity initiatives needed to attract underrepresented groups into engineering roles.”