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Hire fast, fire slow: the employment benefits of energy transitions

Author

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  • Yann Füllemann
  • Vincent Moreau
  • Marc Vielle
  • François Vuille

Abstract

The transition towards decarbonized and efficient energy systems has broad socio-economic implications. We estimate the potential impacts on employment from efforts in energy efficiency in industry, transport and buildings as well as substituting local renewable energy sources for fossil fuels. Both energy supply and demand are accounted for. We use a hybrid approach that combines national energy transition scenarios with input–output tables, adjusted for new energy and non-energy activities. We conclude that the transition has a net positive impact on employment as illustrated by the case of Switzerland. The local and decentralized nature of energy efficiency and renewables retains a greater share of value-added domestically than does a supply chain of fossil fuels. Moreover, we find that more jobs are created in demand-side activities, such as building renovation, than in renewable energy generation. Positive impacts on jobs from spillover effects in all non-energy activities are also found.

Suggested Citation

  • Yann Füllemann & Vincent Moreau & Marc Vielle & François Vuille, 2020. "Hire fast, fire slow: the employment benefits of energy transitions," Economic Systems Research, Taylor & Francis Journals, vol. 32(2), pages 202-220, April.
    • Handle: RePEc:taf:ecsysr:v:32:y:2020:i:2:p:202-220
    DOI: 10.1080/09535314.2019.1695584
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    Cited by:

    1. Clora, Francesco & Yu, Wusheng, 2022. "GHG emissions, trade balance, and carbon leakage: Insights from modeling thirty-one European decarbonization pathways towards 2050," Energy Economics, Elsevier, vol. 113(C).
    2. Carfora, Alfonso & Pansini, Rosaria Vega & Scandurra, Giuseppe, 2022. "Energy dependence, renewable energy generation and import demand: Are EU countries resilient?," Renewable Energy, Elsevier, vol. 195(C), pages 1262-1274.
    3. Wadim Strielkowski & Anna Sherstobitova & Patrik Rovny & Tatiana Evteeva, 2021. "Increasing Energy Efficiency and Modernization of Energy Systems in Russia: A Review," Energies, MDPI, vol. 14(11), pages 1-19, May.
    4. Gourdel, Régis & Monasterolo, Irene & Dunz, Nepomuk & Mazzocchetti, Andrea & Parisi, Laura, 2024. "The double materiality of climate physical and transition risks in the euro area," Journal of Financial Stability, Elsevier, vol. 71(C).
    5. Saboori, Behnaz & Gholipour, Hassan F. & Rasoulinezhad, Ehsan & Ranjbar, Omid, 2022. "Renewable energy sources and unemployment rate: Evidence from the US states," Energy Policy, Elsevier, vol. 168(C).
    6. Satoshi Nakano & Ayu Washizu, 2022. "Creation and Application of the 2015 Input-Output Table for Analysis of Next-generation Energy Systems:Analysis of the Effects of Introducing Carbon Tax," RIEEM Discussion Paper Series 2103, Research Institute for Environmental Economics and Management, Waseda University.

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