The Workforce Behind Renewable Energy, Solar Manufacturing, and How Climate Policy Actually Works

At least 16.6 million people worked directly or indirectly in renewable energy in 2024, according to the International Renewable Energy Agency (IRENA) and the International Labour Organization (ILO). That represented an increase of about 2.3% from 2023.

“Directly” can refer to work such as manufacturing equipment, constructing projects, operating facilities, or maintaining systems. “Indirectly” can include related work across suppliers, logistics, services, and other parts of the value chain.

The figure shows that renewable energy is not only an electricity story. It is also a workforce story.

Progress is visible in the scale of employment. The limitation is that employment growth does not automatically move at the same pace as renewable-energy deployment. Automation, economies of scale, changing manufacturing conditions, and supply-chain pressures can affect the number of workers needed for each unit of capacity.

The quality and distribution of jobs also matter. A growing sector still requires skills development, accessible career pathways, safe working conditions, and participation across regions and communities.

Solar manufacturing expanded in 2024. In the IRENA–ILO Renewable Energy and Jobs: Annual Review 2025, global solar-module manufacturing capacity expanded by roughly 25%. Production reached approximately 719 GW, or 719.5 GW, while total manufacturing capacity was approximately 1,554 GW.

The difference between production and capacity is important.

Manufacturing capacity describes what factories could produce under stated conditions. Production describes what they actually produced. When production is lower than capacity, factories are operating below their potential output. This is often described as lower utilization.

More capacity can support future growth and expand the industrial base. Lower utilization can also signal an imbalance between factory capacity and current demand, with consequences for companies, workers, investment, and supply-chain planning.

Manufacturing is also geographically concentrated. The IEA PVPS Snapshot of Global PV Markets 2025 reports that China produced about 86% of global solar PV modules in 2024. This is more than 80% of global production.

Concentration can bring scale, established expertise, and efficient supply chains. It can also leave the global market dependent on a limited number of production locations. The result is a continuing policy and industry question: how can countries build reliable, efficient, and more diverse clean-energy supply chains without creating unnecessary duplication or waste?

Solar and wind represented approximately 97.5% of net new renewable capacity added globally in 2024, according to IRENA’s updated July 2025 statistics.

This describes additions during the year. It is different from the total renewable-energy capacity already operating around the world.

The figure shows where new renewable power growth was concentrated in 2024. Solar and wind technologies accounted for nearly all net new renewable capacity added during that period.

That progress also brings practical requirements. Electricity systems need transmission, storage, balancing resources, skilled workers, planning, financing, and clear rules. New generation capacity is one part of an energy system. Connecting, operating, and maintaining that capacity are equally important.

Climate work includes reducing energy use as well as producing cleaner energy.

The U.S. Department of Energy’s 2025 United States Energy & Employment Report counted approximately 2,381,700 energy-efficiency jobs in 2024.

Energy-efficiency work can include improving buildings, installing efficient equipment, managing energy use, and providing related services. These activities connect climate goals with everyday infrastructure such as homes, offices, factories, schools, and public buildings.

Efficiency can reduce energy demand while improving how buildings and equipment perform. Its workforce is distributed across many occupations and local markets, which makes the sector an important part of the broader clean-energy economy.

The limitation is measurement. Different reports may define and count energy-efficiency work in different ways. Clear definitions are necessary when comparing employment figures across countries, sectors, and years.

Climate policy often begins with a law. A law establishes authority, goals, responsibilities, or requirements. It may then direct a public agency to create more detailed regulations.

A typical rulemaking process includes several stages:

The U.S. Environmental Protection Agency’s overview of the regulatory process explains this general progression.

A law is therefore not always the final operating instruction. Regulation translates a broad legal direction into requirements that organizations and agencies can apply. Implementation determines how those requirements work in practice. Enforcement provides a response when requirements are not met.

The process can be detailed and time-consuming. That structure is intended to provide public notice, evidence, review, and accountability.

Under the Paris Agreement, countries communicate national climate plans known as nationally determined contributions, or NDCs.

Article 4 describes the process for preparing, communicating, maintaining, and updating these plans. Each Party communicates an NDC every five years, and successive plans are expected to represent progression beyond the previous one.

Article 14 establishes the global stocktake. This is a collective review of progress toward the goals of the Paris Agreement. Its outcomes inform countries as they update and strengthen their climate plans.

The process can be understood as a cycle:

The UNFCCC text of the Paris Agreement sets out Articles 4 and 14.

NDCs are nationally determined, so countries choose their own plans and targets. The process creates a shared framework for communication and review without making every national policy identical.

The Intergovernmental Panel on Climate Change assesses existing research. It does not function as a single research laboratory. Its reports synthesize published scientific, technical, and socioeconomic evidence.

The assessment process includes:

The IPCC’s review-process fact sheet describes these stages.

This process creates a link between research and public decision-making. Experts assess the evidence. Governments review the Summary for Policymakers. The final assessment is designed to remain grounded in the underlying scientific report.

Renewable-energy employment, solar manufacturing, energy efficiency, climate rules, NDCs, and scientific assessment are connected parts of one system.

The workforce builds and operates the technologies. Manufacturing determines how equipment is produced and supplied. Efficiency shapes demand. Policy establishes rules and incentives. National plans organize commitments. Scientific assessment helps clarify what the evidence shows.

Progress is measurable. It is also uneven.

The next questions are practical: Which skills will be most needed as deployment grows? How will manufacturing capacity align with demand? How can policy remain clear through implementation and review? And how will national plans translate into changes across workplaces, infrastructure, and communities?

Explore more perspectives through the Women of Climate archive, and subscribe for future editions of Climate, Explained.