World Earth Day 2025: How Renewable Energy Is Reshaping India’s Job Market and Rural Economies

April 22, 2025. By News Bureau

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Subburathinam P

World Earth Day 2025

Renewable energy sector in india

As we mark World Earth Day 2025, the conversation around sustainability is continuously evolving, from carbon footprints and conservation to opportunity and livelihoods. Nowhere is this shift more visible than in India’s renewable energy sector.

As wisely quoted by UN Secretary-General António Guterres, “ Renewables are renewing economies. They are powering growth, creating jobs, lowering energy bills and cleaning our air. And every day, they become an even smarter investment.” What began as a climate imperative is now firmly rooted in economic ambition. The renewable sector is not just decarbonising the grid but also recharging the employment landscape. While the headlines often focus on solar parks and wind farms, the real transformation is playing out on the ground: in rural training centres, in reverse migration trends, and in the growing demand for skilled technicians.

A record-breaking year for renewable growth

India added a substantial 29.52 GW of renewable energy capacity in FY25, taking the total to 220.10 GW. In doing so, it moved past Germany to become the world’s third-largest producer of electricity from wind and solar power. Most importantly, this scale of growth is enabling something more fundamental. It is paving the way to jobs and a more balanced spread of economic opportunity.

Today, around 1.25 to 1.5 lakh professionals are employed across the clean energy value chain, from project planning and installation to operations and maintenance. Many of these roles didn’t exist a decade ago. The sector has become a strong and growing source of employment, particularly in regions that have traditionally seen fewer such opportunities.

Green jobs are expanding beyond cities and into rural India

India’s target of achieving 500 GW of non-fossil fuel energy capacity by 2030 is creating a ripple effect in employment. Job growth in the sector has maintained a 14% compound annual growth rate in recent years and shows no signs of slowing. As investments pour into emerging domains like green hydrogen, offshore wind, and grid-scale storage, demand for a skilled and semi-skilled green workforce is skyrocketing.

New job profiles are emerging—solar PV technicians, turbine operators, storage specialists, and energy auditors are no longer niche roles. These positions are increasingly accessible through hands-on training, making them viable for a broader section of the population that may not hold formal degrees. The rise of green jobs is also reshaping aspirations, especially among youth in smaller towns and rural areas.

New geographies as employment hubs

The ongoing job boom in the renewable sector is also redrawing the employment map. States like Rajasthan, Gujarat, Tamil Nadu, and Karnataka are leading solar capacity additions and becoming magnets for talent in the clean energy space. These regions are evolving into full-fledged employment ecosystems, complete with local training centres, service providers, and entrepreneurial ventures.

Notably, renewable projects tend to be decentralised and are increasingly located in rural or semi-urban settings. Unlike traditional power plants that concentrate employment in industrial zones, renewables enable job creation closer to where people live. This is also leading to reverse migration as more and more workers return home in search of stable employment. This, in turn, is bringing economic activity and resilience to their communities.

Skilling to ensure a well-equipped workforce

While the renewable sector is growing, it also faces a bottleneck: the availability of skilled workers. Technicians trained in advanced areas such as battery storage, smart grid integration, and hybrid energy systems are in short supply. In Tier 2 and Tier 3 cities, access to targeted vocational training remains patchy.

Addressing this gap requires collaboration. The government’s Skill India Mission has laid a strong foundation, but the next step is to make skilling more agile and aligned with real-world needs. Modular training programs, digital platforms, and partnerships between companies, academia, and training institutes will be essential.

Moreover, hiring patterns are changing. With project-based demand rising, many companies are using contract and temporary staff. This allows for quicker deployment without long hiring cycles. For workers, this means more short-term roles but also more chances to build experience across projects. Over time, this can create a flexible, skilled workforce ready to meet the sector’s needs.

Government policies for workforce growth

India’s clean energy transition is being catalysed by a robust policy ecosystem. Flagship programmes such as the PM Surya Ghar: Muft Bijli Yojana, Solar PV Module PLI Scheme, PM KUSUM, and the National Green Hydrogen Mission are doing more than boosting generation capacity. They are creating the scaffolding for a green economy, where infrastructure, innovation, and human capital move in tandem.

According to estimates, these policy moves could create a significant number of direct and indirect jobs in the coming years. For companies in the sector, this translates into a strategic shift. Investing in talent is no longer optional, it’s a business-critical priority. Companies that nurture in-house skill pipelines, offer on-site training, and use flexible staffing models will be best positioned to scale and stay competitive.

Looking ahead
India will drive 35 percent of global energy demand growth over the next 20 years. Meeting that demand with clean energy will take more than infrastructure. It will take people with the right skills to get to the right places. This ongoing clean energy transition is becoming a job engine. It’s bringing income and opportunity to areas that were often left out. It’s building careers in new industries. And it’s giving workers a way to stay connected to their communities.

What happens next depends on how India invests in its workforce. If training becomes more inclusive and job access improves, clean energy will power homes and cities, as well as the future of the nation.

- Subburathinam P, Chief Operating Officer, TeamLease Services