16/08/2025

Australia’s Green Shift: How Combating Climate Change Can Create Jobs and Boost the Economy - Lethal Heating Editor BDA

Renewable energy and employment opportunities in Australia
Key points
  • Clean energy could add $89 billion and 395,000 jobs by 2040 [1]
  • Net-zero by 2050 could boost economy by $680 billion [2]
  • One million new jobs possible with stronger climate policy [3]
  • Trades and electricians urgently needed to meet renewable targets [4]
  • Green iron could add $250 billion to exports [5]

Australia can grow its economy and create hundreds of thousands of jobs by tackling climate change.

The nation stands at an economic crossroads where climate action can deliver both environmental protection and large-scale job creation.

Clean Energy and Renewable Exports

The clean energy sector already employs about 30,000 Australians and could grow by another 40,000 by 2030 if current projects proceed [1].

With the right policies and investment, renewable-powered exports could inject $89 billion into the economy and create 395,000 sustainable jobs by 2040 [1]

These jobs would be spread across the nation, including regional communities transitioning away from fossil fuel industries.

National Job Creation Through Stronger Climate Policy

Modelling by the Australian Conservation Foundation and the Australian Council of Trade Unions suggests that stronger climate and energy policies could add one million new jobs by 2040 [3].

The Clean Jobs Plan identifies immediate opportunities in utility-scale renewable energy and ecosystem restoration, generating thousands of jobs in every state. 

For example, Victoria could see 3,000 to 4,000 new jobs from clean energy projects and nature repair programs [3].

Economic Growth from Net-Zero Action

Deloitte research finds that acting now to reach net-zero by 2050 could grow the economy by 2.6%, adding 250,000 jobs and boosting GDP by $680 billion [2]

In contrast, business-as-usual could lead to $3.4 trillion in losses and 880,000 fewer jobs over the next 50 years.

Investing in climate resilience could avoid $380 billion in future costs from extreme weather and disasters [2].

Trades, Electricians, and Workforce Readiness

The Australian Energy Market Operator warns that without a rapid scale-up in electricians and mechanical trades, renewable energy projects risk delays [4]

 By 2050, two million workers in building and engineering trades will be needed, a 40% increase on current levels. 

Residential electrification alone is expected to create 13,500 jobs in the coming decade.

Green Iron and Critical Minerals

Transitioning to green iron production using renewable energy and hydrogen offers a major export opportunity. 

Success could double export revenues to $250 billion, while failure could mean $70 billion in lost opportunities [5]

This would also strengthen Australia’s role in global decarbonisation supply chains.

Broader Benefits and Regional Development

Renewable projects support regional economies through local procurement, infrastructure upgrades, hospitality growth, and community benefit funds [1]

Improving energy efficiency in buildings, upgrading public transport, and expanding green infrastructure create jobs while reducing emissions [2]

Globally, climate mitigation and adaptation are projected to generate six million jobs by 2050, and Australia can capture a share of this growth.

References

  1. Clean Energy Council    Renewable Energy Jobs in Regional Communities
  2. ABC News    Economic impacts of climate action and inaction
  3. ACF    Million New Jobs from Strong Climate Policy
  4. The Australian    Electricians Needed for Renewable Energy Targets
  5. News.com.au    Australia and the Green Iron Opportunity

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