Member News: The industry qualifications gap is a significant barrier for young people interested in energy sector careers

October 30, 2024
Member News: The industry qualifications gap is a significant barrier for young people interested in energy sector careers

74% of young people across key international energy markets would consider a career in the energy sector but highlight the perceived requirement for technical qualifications and lack of understanding of opportunities as preventative.

With talent acquisition continuing to be an industry challenge, the global research project ‘Energy Sector Entry and the Perceived Barriers’ was commissioned by OPITO, the global skills authority for the energy industry, who for over half a century have been committed to developing a safe, skilled and competent energy workforce both now and in the future. The not-for-profit organisation has published the full results in an exclusive report highlighting the research undertaken in major global energy hubs; the United Arab Emirates, Malaysia, Brazil and USA, to better understand young people’s perceived barriers to entering the energy sector.

The report findings clearly identify young people’s perceived barriers to joining the sector as: the requirement for specialist industry qualifications and certifications; a lack of knowledge about the industry and the opportunities it offers; and a requirement to have a STEM-based education. To see the findings in more detail, please download our report here: My Energy Future – Industry Research  – OPITO

Key findings:

  • 45% of respondents indicated a high level of familiarity with employment opportunities in the energy sector
  • 42% saw a need for special qualifications or certifications as the most significant barrier to entry
  • 52% were most encouraged to consider energy careers due to good pay

In the last decade, the energy sector has been faced with a skills deficit on a global level, with international recruitment agencies such as Adecco identifying the core reasons as: an ageing workforce; technological advancements that many upskilling programmes can’t keep up with; and a lack of awareness for the opportunities the sector has to offer.

It is hoped that the data collected from this research will support companies globally to identify opportunities to engage more effectively with young people and develop the sector’s future workforce, by showcasing the wide range of opportunities available, engaging at a younger age and informing students of STEM qualifications needed for the sector. The data highlights many commonalities across the globe; it’s clear that young people are drawn to the sector by job stability and competitive pay but concerns around a perceived lack of technical qualifications and limited understanding of the industry are significant barriers in attracting new talent to the industry.

 

Infographic about industry qualification gap for young people interested in the energy sector

 Stephen Marcos Jones, OPITO Chief Executive Officer, commented “OPITO work globally supporting workforce development and we are seeing first-hand the struggles to recruit at all levels across the energy mix. As nations across the globe look to meet ambitious climate targets, the need for a diverse and sustainable energy mix is more pressing than ever. We must ensure that relevant skills across more mature sectors are applied properly to emerging areas, and that the workforce can see tangible and realistic pathways put in place for them. Additionally, in terms of raw numbers, human capital is our most precious asset; these complex, multi-phase projects that we need to build a secure energy future will not happen without the right workers in the right numbers. That is why appealing to the younger generations, and modernising attraction practices, is also core to success.

“In commissioning this research, we have gained  valuable insights into the barriers young people identify, particularly around technical qualifications and limited sector knowledge. Both collaboratively as an industry and at a localised recruitment level we can use this information to work with project and industry partners to break down these barriers and drive young people towards careers in the energy sector.”

Alex Spencer, OPITO Chief Operating Officer, said “We are proud to invest significantly in global STEM initiatives through My Energy Future powered by OPITO, which aims to inspire and attract young talent to the energy workforce. Understanding this data and being able to share it with the industry to demonstrate awareness of the challenges in attracting new talent into the industry, is a vital next step for OPITO in supporting the sector to adapt its approach and develop innovative recruitment strategies.”

“OPITO have a deep-rooted commitment to building the provisions necessary to bridge the skills gap within the energy industry. This research makes it clear that we must provide the correct tools to allow young people to fulfil their ambition for energy careers. Through global initiatives like My Energy Future, OPITO’s Energy Transition Qualifications and by working closely with governments and industry leaders, we remain committed to making sure that individuals are equipped with the skills they need to support the demands of the energy transition both now and in the future.”

A new approach looking to build innovative apprenticeship pathways alongside other upskilling and on-the-job training programmes must be considered in conjunction with more traditional education pathways. A real driver to modernise these systems currently is a focus on meta-skills, which equip young people with crucial skills that can be applied in a number of contexts. This, coupled with innovation is allowing employers more flexibility in terms of what training they can fund, resulting in shorter-term programmes, as well as apprenticeships, receiving the appropriate attention and credence they deserve.

My Energy Future are continuing their sponsorship of the Young ADIPEC zone this year, launching their new VR experience that showcases the energy mix through a variety of traditional, clean and renewable energy sources. The interactive experience sees users explore various assets and answer questions about the energy transition, while exploring the opportunities the transition has to offer.

In addition, OPITO Chief Executive Officer, Stephen Marcos Jones is taking part in a podcast interview hosted in the Young ADIPEC zone where he’ll be discussing the development of skills and technology for a sustainable energy future and the report findings in more depth. Other podcast panellists include senior representatives from ADNOC Technical Academy and Saudi Arabia Drilling Academy.

Get in touch

AREG is the original energy transition organisation, working on behalf of members to empower the energy supply chain and champion its expertise. Please get in touch if you have any questions or would like to find out more about membership.

AREG has played an important role in the growth of Scotland’s renewable energy sector, engaging the supply chain and developing the European Offshore Wind Deployment Centre. However, we are only at the very beginning of the transition that AREG was established to both lead and support so there are still opportunities for companies to get into the constantly evolving renewables supply chain. We look forward to continuing our work together as renewables builds on its place as Scotland’s main source of power, and as we seek to deliver real change in the crucial areas of heat and transport.

Scottish Renewables

Aberdeen & Grampian Chamber of Commerce has worked closely with AREG since its formation. The recent progress in the developments of offshore wind projects by Equinor and Vattenfall are as a result of the work of the group over many years. The north-east is known as the oil and gas capital of Europe. At the Chamber, we believe the region must evolve its position to being recognised as the energy capital. Whilst hydrocarbons will continue to be essential in driving our economy for years to come, the generation of renewable resources will play an increasingly important role in providing cost-effective power, innovative development and economic growth.

Aberdeen & Grampian Chamber of Commerce

The enthusiasm and dedication of the early group that would become AREG was fundamental in us choosing to launch All-Energy in Aberdeen. The first tiny show was held in 2001, and AREG’s Chairman at the time, Jeremy Cresswell, played such an active role that I often describe him in terms such as All-Energy’s ‘midwife’. All-Energy is now the UK’s largest renewable and low carbon energy exhibition and conference in terms of number of attendees, space booked, and number of exhibiting companies. As AREG became firmly established, their presence and support for the event grew spectacularly over the years. We thank them most sincerely for their invaluable input.

All-Energy

Vattenfall has forged a strong working relationship with AREG through the development of the European Offshore Wind Deployment Centre. AREG has worked tirelessly on behalf of the North East and it can take enormous credit for the growth of sustainable energy in the region and the path it has cleared for the region to capture further investment.

Vattenfall

Aberdeen City and Shire is emerging as a key location for renewables by successfully transferring its world-class oil and gas expertise into the sector and AREG has done much to advance this through a broad range of initiatives. It has acted as a catalyst in driving further investment in the local economy by engaging with companies, Government, public bodies and existing projects and we have been pleased to support their efforts. Scottish Enterprise will continue to engage with AREG as we increase Scotland’s use of renewable energy.

Scottish Enterprise