Industry insights on skills needs
The top priority skills for the Electricity Supply Industry (ESI) Generation sector include health and safety, operational (plant and control systems) and coding/programming. The top priority industry and occupation skills include maintenance/servicing and electrical.
According to the job vacancy data, the top advertised VET-related occupations in the Electricity Supply industry are Other Building and Engineering Technicians and Electricians. Job vacancy data suggests the top generic skills in demand are communication and planning. The top employers for workers in this industry were Origin Energy Limited and Energy Queensland.
The top generic skills listed in the ESI Generation IRC’s 2019 Skills Forecast in order of importance to the industry are:
- Technology
- Design mindset / Thinking critically / System thinking / Solving problems
- Science, technology, engineering, mathematics (STEM)
- Learning agility / Information literacy / Intellectual autonomy and self-management
- Language, literacy and numeracy (LLN).
The ESI Generation IRC's 2019 Skills Forecast highlights challenges and opportunities within the sector that include:
- improved customer service and operational efficiency through the adoption of automated systems, the Internet of Things, cloud computing, big data, customer-service platforms and social media
- the dependence of the electricity grid on digitally connected information systems requires workers with the skills to protect consumers’ personal information and the grid infrastructure from cyber attacks
- there is increasing adoption of renewable electricity generation, including sources from wind, solar, hydro, and bioenergy:
The ESI Generation IRC’s 2021 Industry Outlook builds on the workforce challenges and opportunities identified in the 2019 Skills Forecast, reporting industry trends that relate to renewables and new control systems, automation and digital technologies, remote area service and microgrids, cybersecurity, and environmental impact:
- The transition to renewable energy has led to changes in the skills requirements of workers and a growing need for workforce mobility across the generation industry. The UEP Control Room Operations Case for Change states that ten coal plants have already shut down, and 55% of those remaining will be over 40 years old by 2030. The predicted closure of these plants and further integration of solar panels, battery storage, and wind generation technologies presents the challenge and opportunity to upskill and retrain the workforce in the operation and maintenance of existing and emerging generation technologies, and some sectors may be able to transition workers from fossil fuels to renewables.
- There is an increasing need for digital literacy and data analytics skills as sensors and digital devices are being used to provide real-time information about electricity consumption, potential power outages and fault identification. The integration of energy from wind and solar into the grid is also being managed using intelligence systems.
- Remote power systems, or microgrids, that operate separately or can be connected to the main grid, are used to supply remote areas and communities with reliable and affordable electricity. An increasing reliance on renewable energy and new technology for the microgrids requires new skills, and provides opportunities for employment for people in remote communities, to support power generation maintenance and repair, emergency technical response, and ongoing monitoring and reporting of remote power generation installations.
- The use of cloud-based systems and Industrial Control Systems (ICS) such as supervisory control and data acquisition (SCADA) exposes the sector to cyber threats, and organisations need to know how to handle information securely when digital systems are engaged in data sharing. A robust cyber security strategy and industry-specific cyber security awareness and training to enable the workforce to minimise the risk of cyber attacks and be capable of reinstating digital systems as quickly as possible if a cybersecurity incident occurs, including compliance with regulatory requirements.
- The Electricity sector accounts for 33% of Australia’s total CO2 emissions. Australia has committed to reducing its CO2 emissions to 26-28% below 2005 levels by 2030. The industry trend towards green energy sources and methods such as demand management will improve the efficiency of electricity generation, and workers will be required to be aware of the regulatory and compliance issues regarding these technologies.
Scenario analysis for the 2020 Australian Energy Market Operator (AEMO) Integrated System Plan (ISP) projects the National Energy Market (NEM) is evolving from a centralised coal-fired generation system, to a highly diverse portfolio dominated by distributed energy resources (DER) and variable renewable energy (VRE), supported by enough dispatchable resources to ensure the power system can reliably meet demand at all times. The analysis expects that by 2040, coal-fired generation will fall, mainly in line with announced retirements, small scale DER may double or triple, more new grid-scale VRE and dispatchable resources will be needed beyond what is already anticipated, and investment in power system services will be needed due to the reduction in centralised thermal generation.
The Lower Emissions Technology Statement 2021, the second statement to accompany the Commonwealth Government Technology Investment Roadmap, introduces ultra low-cost solar electricity generation as a priority technology, setting an economic stretch goal for solar electricity generation at $15 per MWh, or approximately a third of today’s costs. Australia’s Bioenergy Roadmap states that bioelectricity, along with gas, pumped hydro, and long duration batteries, can address the additional firming requirements for intermittent renewable energy such as wind and solar combined with the progressive reduction in baseload fossil generation. State and Territory Climate Action: Leading Policies and Programs in Australia reports the current state and territory 2030 renewable energy targets represent an implicit Australian renewable energy target of approximately 55 per cent.
High profile renewable distributed and dispatchable energy projects that have already commenced include a Virtual Power Plant (VPP) in South Australia and the Battery of the Nation in Tasmania. The VPP initially involved 1,000 interconnected batteries in homes and businesses and is currently expanding to a network of potentially 50,000 solar and Tesla Powerwall home battery systems. The Battery of the Nation project includes pumped hydro as part of an expansion of wind, hydropower, transmission and interconnection. Distributed energy resources were investigated in the Western Australian Inquiry into the Emergence and Impact of Microgrids and Associated Technologies in Western Australia. The final report notes the rapid pace of change, the extent of innovation, and the opportunities along the value chain that include their ability to act as reliable, dispatchable energy and over-gene ration balancing resources and can reduce system costs by deferring or removing the need to invest in new or replacement infrastructure.
For occupations related to the Electricity Generation Industry, the Skills Priority List includes Fitter (General), Fitter and Turner, Fitter-Welder, and Metal Machinist (First Class) under occupations in national shortage, with moderate future demand. Occupations in national shortage, with strong future demand include Electrician (General), Electrician (Special Class), and Electrical Engineer. The analysis undertaken by Infrastructure Australia to assess and understand the labour and material requirements for the transmission and generation projects identified in the Australian Energy Market Operator (AEMO) 2020 Integrated System Plan, which estimates that over the next 15 to 20 years $66 billion will be invested in large-scale renewable energy generation and storage (mostly in regional areas) and $27 billion in rooftop solar and battery storage, includes in the key findings that labour and skill shortages may become a significant factor for the build out of renewable generation and transmission infrastructure, especially in regions with tight labour markets. Key risks for shortages and constraints are identified both in the larger occupational groups such as electricians, construction managers, electrical and grid engineers, but also some more specialised jobs.
