Interview: Sumit Kumar
Chief Strategy Officer at Teamlease Degree Apprenticeship
Skilled Apprentices: A Key to Higher ROI in Renewable Energy
September 10, 2024. By Abha Rustagi
Que: What is the role of Apprenticeship programs in meeting the specific skill requirements of employers in the solar/renewable energy industry?
Ans: India's energy demand is expected to rise more than any other country in the coming decades due to its size and growth potential. With India's commitment to achieving net zero carbon emissions by 2070 and meeting 50% of its electricity needs from renewable sources by 2030, the demand for skilled professionals in this sector is rapidly growing. As of 2023, India ranks fourth globally in wind power capacity, solar power capacity, and renewable energy installed capacity, with a renewable power generation capacity of 125.15 GW, posting a CAGR of 15.4% between FY16 and FY23. The renewable energy sector, poised to create 3.5 million jobs by 2030, is crucial for reducing oil import dependency and providing economic benefits, as renewable energy costs less than conventional modes. The Union Government is actively expanding renewable energy, shifting micro and small industries to cleaner forms, and addressing challenges like reliance on imported goods and the intermittent nature of renewable energy. The Budget aims to reduce dependency on China for rare earth minerals essential for renewable energy components through the Critical Mineral Mission, allocating funds for production, recycling, and overseas acquisition of these assets while augmenting technology, training, and financing mechanisms for private entities. Additionally, the Budget has exempted 25 critical minerals from essential customs duty and reduced rates on elements like Graphite, Silicon Quartz, and Silicon Dioxide to support local manufacturing in the electronic vehicle and renewable industries. This growth necessitates emerging green roles like Renewable Energy Business Engineer, Project Finance Analyst, Land Acquisition Manager, and Project Specialist, which apprenticeship programs can effectively fill by integrating theoretical knowledge with practical experience to meet the evolving needs of this dynamic sector.
Apprenticeships provide a structured pathway for individuals to gain hands-on experience in real-world settings, ensuring they develop the specific skills employers require. Through on-the-job training, apprentices can learn about the latest technologies and practices in renewable energy, such as solar panel installation, wind turbine maintenance, and energy storage solutions, while acquiring soft skills like project management and problem-solving. Furthermore, apprenticeships can be tailored to address regional skill shortages, offering targeted training that meets local industry demands. By collaborating with educational institutions and industry leaders, apprenticeship programs can continuously update curricula to reflect technological advancements and emerging industry trends, ensuring a steady supply of highly skilled workers ready to drive the renewable energy sector forward.
Que: What role do apprenticeships play in bridging the skill gap between the demands of the solar open-access market and the available workforce?
Ans: India's solar energy market, estimated at $11 billion in 2023, is set to grow at an estimated 13-15% CAGR during 2024-2030, reaching approximately $26-28 billion by 2030. This growth is fueled by rising investments in renewable energy and supportive government regulations such as the National Solar Mission. The Indian government has implemented schemes to promote solar energy adoption, including incentivising grid-connected solar PV projects for paramilitary forces and defence establishments with Viability Gap Funding (VGF). Additionally, the PM-Surya Ghar Yojana, launched in February 2024 with a total cost outlay of Rs 75,021 crore, aims to significantly bolster India's renewable energy capacity by adding 30 GW of solar capacity to the national grid, reducing 720 million tonnes of CO2 equivalent, and creating around 17 lakh direct jobs across the solar value chain. As the sector expands, addressing skill gaps is critical, with solar energy projected to host 3.26 million jobs by 2050.
Apprenticeship programs in India are crucial for bridging the skill gap between the demands of the solar open-access market and the available workforce. These programs provide hands-on training and practical experience in various job roles within the solar sector, such as Solar PV Cell Manufacturing Technicians, Installers, Solar Lighting Assemblers, Solar PV Project Helpers, Solar PV Manufacturing Operators, and Solar Technicians (Electrical). For instance, Solar PV Cell Manufacturing Technicians are trained to execute various tasks in the production line, including cleaning silicon wafers and performing chemical and thermal processes. Installers focus on assembling and maintaining photovoltaic systems, while Solar Lighting Assemblers are trained to test and repair solar lamps. These apprenticeships ensure individuals have the technical skills and knowledge to meet industry demands. Since its establishment in 2015, the Skill Council for Green Jobs (SCGJ) has trained and certified over 1.2 lakh candidates for various solar job roles, enhancing their employability and readiness to meet the demands of the rapidly expanding solar market.
Que: Through its apprenticeship initiatives, how does Teamlease Degree Apprenticeship contribute to the overall growth and sustainability of India's renewable energy goals?
Ans: We have positioned ourselves at the forefront of skilling initiatives, recognising the swift expansion of India’s Renewable Energy sector. Partnering with leading universities, like Jain University, TeamLease Degree Apprenticeship spearheads the development of specialised Work-Integrated Learning Programs (WILP) tailored for the Sunrise sectors. These programs are designed to equip students with comprehensive knowledge and practical skills essential for forging their career paths in the Green industry.
In tandem with our university partnerships, we are also closely collaborating with the Green Skills Council and the Power Skills Council to develop courses specifically designed for inculcating skills and knowledge related to grid integration, Electrical Systems, SCADA systems, Hydraulic Engineering, PV System Installation, Energy Modelling, and more. Students undergo extensive training covering the design, manufacturing, installation, and repair of renewable sector technologies. Simultaneously, our partnership with the Power SSC is dedicated to developing competencies related to renewable energy infrastructure—a critical aspect of the renewable energy ecosystem. This includes comprehensive training in setting up, managing, and maintaining renewable energy systems, ensuring they meet stringent efficiency, reliability, and scalability standards amid the sector's exponential growth. By synergising traditional skills with cutting-edge technological expertise, our initiatives aim to empower the workforce with the necessary capabilities to support, drive, and sustain the rapid expansion of the renewable energy industry in India and beyond.
Que: How employing skilled apprentices can lead to a greater return on investment (ROI) for companies operating in the renewable energy industry?
Ans: The renewable energy industry stands to gain substantial benefits and increase its return on investment (ROI) by strategically employing skilled apprentices, particularly in light of India's current employment landscape. According to the Economic Survey 2024, a significant employability gap exists, with only 51% of the youth deemed employable, highlighting the pressing need for alternative skill development pathways. Apprenticeships and degree apprenticeships offer a compelling solution to this challenge, providing hands-on, industry-specific training that bridges the gap between academic knowledge and practical skills required in the renewable energy sector. These programs allow companies to shape their future workforce, tailoring abilities to meet specific industry demands while fostering innovation through fresh perspectives. The impact of such initiatives is substantial, with data showing that apprenticeships can reduce attrition rates by 10-25%, significantly lowering turnover costs and enhancing workforce stability. Furthermore, companies can expect a reduction in hiring costs by up to 50% as they cultivate talent in-house rather than relying on external recruitment. Perhaps most notably, productivity can increase by 20-25% as apprentices are trained to meet the company's operational needs. This approach addresses immediate skill shortages and contributes to long-term workforce planning, ensuring a pipeline of skilled and diverse workforce for the future.
please contact: contact@energetica-india.net.