Europe stands at the forefront of the global energy transition, transforming its economy while creating millions of jobs across renewable energy sectors. As the European Union accelerates toward climate neutrality by 2050, new industries are emerging and traditional sectors are evolving, fundamentally reshaping the continent's employment landscape and energy future.
Europe's Renewable Energy Employment Landscape
The renewable energy sector across the European Union has experienced significant transformation in recent years. The renewable energy industry employed 1.69 million people in the EU in 2022, with heat pumps representing the largest sector at over 416,000 workers, followed by photovoltaics with over 346,000 workers.
According to the European Commission, in 2020, approximately 1.3 million people were directly or indirectly employed in the EU renewable sector, representing a 5.2% increase from 2019 to 2020. Germany led with 242,100 jobs (18% of all EU renewable employment), followed by France with 164,400 jobs (13%), Spain with 140,500 jobs (11%), and Italy with 99,900 jobs (8%).
However, the European renewable energy job market has experienced notable challenges in 2024-2025. Following rapid market growth in 2023 and early 2024, Europe has seen a noticeable slowdown in the renewable energy job market, correlating to wholesale electricity prices and investment in new and existing clean energy projects.
The Solar Sector: Growth Amidst Challenges
The EU solar sector achieved remarkable milestones in 2024, yet faces headwinds ahead. At the end of 2024, the EU solar sector employed a record 865,000 jobs, representing 5% growth since 2023. This growth significantly outpaced the wider EU labour market's 0.8% expansion.
Despite this achievement, the outlook for 2025 presents challenges. For the first time in nearly a decade, solar jobs are decreasing, with the solar workforce anticipated to drop by 5% to around 825,000 jobs in 2025. This temporary slowdown is attributed to slower residential solar deployment and manufacturing challenges.
Looking at country-specific dynamics, despite a 17% decrease in Germany's solar workforce from 2023 to 2024, the country remains the EU's largest solar employer with 128,000 jobs. Spain ranks second with 122,000 solar workers, while Italy holds third place and is expected to overtake Spain by 2029.
A report from Solar Power Europe showed that 2024 brought only 4% annual growth to the EU solar market, representing a 92% growth deceleration compared to previous years, impacted by rising inflation rates and costs of raw materials squeezing margins.
Policy Drivers: Green Deal and REPowerEU
Europe's renewable energy employment growth is fundamentally shaped by ambitious policy frameworks. The EU reached a 24.5% share of renewable energy in gross final energy consumption in 2023, up from 23.0% in 2022 and nearly three times higher than 2004's 9.6%.
The regulatory ambitions continue to escalate. The revised Renewable Energy Directive entered into force in November 2023, establishing a binding target of at least 42.5% renewable energy in the EU's energy mix by 2030, with an ambition to reach 45%. This represents a dramatic increase from the previous 32% target and would nearly double the existing share of renewable energy.
The European Commission has mobilized close to €300 billion to fund the REPowerEU Plan, with the Recovery and Resilience Facility at the heart of this funding. REPowerEU was launched in response to Russia's invasion of Ukraine to rapidly reduce European dependence on Russian fossil fuels while accelerating the green transition.
The results are tangible. Solar generation increased by 179 TWh (+144%) from 2019 to 2024, an amount equivalent to the annual production of over 50 coal power plants, nearly tripling its share of EU generation from 4% to 11%. Wind and solar installed over the past five years cumulatively avoided €59 billion in fossil fuel imports, including approximately 92 billion cubic metres of gas and 55 million tonnes of coal.
Offshore Wind and Grid Infrastructure
Offshore wind represents a critical growth sector for European renewable energy employment, though facing near-term challenges. The wind energy sector plays a key role in achieving the EU's renewable energy targets for 2030. The European Investment Bank approved a €5 billion package to support the EU-based wind industry, catalyzing up to €80 billion of investments to manufacture and install components for wind farms.
To reach the 45% renewable energy share target by 2030, installed wind capacity will need to increase to approximately 440GW—more than double the current capacity of 203GW—requiring €600 billion in investment.
However, a lack of viable bids for new offshore wind projects in the UK and Denmark can be attributed to insufficient margins between construction costs and the existing energy price cap, with similar results for Spain and Germany.
Grid infrastructure modernization emerges as both a challenge and an employment opportunity. Much-needed enhancements to Europe's grid infrastructure are slowing down the rate at which projects can be realized and causing further reduction in profit margins for development companies. The importance of electrical engineering skillsets in adapting the outdated electrical grid infrastructure across Europe is required if countries are going to be able to hit their renewable energy goals.
In-Demand Renewable Energy Roles in Europe
The European renewable energy sector demonstrates strong demand for specific professional profiles. According to industry research, Spain leads the EU in demand for renewable energy professionals, with the highest-demand profiles including qualified technicians in solar, wind, and hydraulic energy; project managers with specialized knowledge in regulations, occupational safety, construction and maintenance; specialists in energy rehabilitation; and experts in green finance and sustainability with training in economics, finance, and law.
Compensation trends reflect this demand. In 2025, 48% of renewable energy workers received a pay raise, with 21% reporting salary increases exceeding 5%, particularly in high-skill, high-demand roles. Engineers, project managers, and AI specialists top the pay scale, with some AI-focused roles in grid optimization and forecasting commanding six-figure salaries in advanced markets like Germany.
Emerging AI Jobs in European Renewable Energy
The integration of artificial intelligence into renewable energy systems is creating an entirely new category of high-value employment opportunities across Europe. These roles represent the convergence of energy expertise with cutting-edge technology:
1. AI Grid Optimization Specialists
AI uses data from sensors and smart meters to forecast energy use and production, manage renewable variability, and prevent grid congestion or disruptions. Professionals in this role develop machine learning models that balance supply and demand across increasingly complex distributed energy networks.
2. Renewable Energy Forecasting Analysts
I predicts wind and solar output and manages energy flows, helping stabilize the grid and make renewable energy easier to use. These specialists combine meteorological data, historical patterns, and real-time information to optimize energy production and trading decisions.
3. Energy Trading Algorithm Developers
AI algorithms analyze large amounts of market data to support faster, more accurate trading decisions. These professionals build automated systems that maximize revenue from renewable energy assets across multiple European electricity markets.
4. Smart Building Energy Management Engineers
Specialists who develop AI-powered systems for optimizing energy consumption in buildings, integrating rooftop solar, heat pumps, and battery storage with grid signals and pricing data to minimize costs and carbon emissions.
5. Predictive Maintenance AI Engineers
Professionals who create machine learning models that analyze sensor data from wind turbines, solar panels, and other renewable infrastructure to predict equipment failures before they occur, reducing downtime and maintenance costs.
6. Generative AI Energy Consultants
Europe's first generative AI Competence Center in the energy sector is bringing together specialists in data analysis, cloud computing, and AI who are revolutionizing the way we understand energy. These consultants apply large language models and generative AI to energy transition challenges.
7. Blockchain Energy Transaction Specialists
Blockchain enables safe data management and transparent energy trade, while IoT allows real-time monitoring and automation. These professionals develop decentralized systems for peer-to-peer energy trading in renewable energy communities.
8. Data Scientists for Energy Systems
Specialists who build advanced analytics platforms processing vast amounts of data from distributed renewable energy assets, enabling better decision-making across planning, operations, and investment.
According to PwC research, skills sought by employers are changing at a 25% higher rate in occupations most exposed to AI, underscoring the rapid evolution of job requirements in the renewable energy sector.
Skills Development and Workforce Transition
The renewable energy transition presents both opportunities and challenges for workforce development. The renewable energy sector in Europe faces a dual challenge and opportunity due to the shortage of qualified talent. While companies seek to adapt to emerging technologies and growing demand for specialized skills, there is considerable potential for professionals willing to develop in this dynamic field.
In response to the growing demand for skilled professionals, there will be an expansion of training and educational programs focusing on emerging renewable technologies and sustainable energy practices.
The shift toward skills-based hiring is accelerating. Rather than relying solely on formal degrees, employers are now placing greater emphasis on practical competencies and hands-on experience, with micro-credentials, technical certifications, and on-the-job training gaining serious traction.
Regional Variations and Future Outlook
The renewable energy employment landscape varies significantly across Europe. Poland, previously the country with the second-largest solar workforce, fell to fourth place with around 90,000 jobs as its job-intensive residential rooftop market decreased. Meanwhile, different countries emphasize different sectors based on their renewable resources and policy priorities.
Looking ahead, the EU solar workforce is expected to grow over the coming years and reach 916,000 jobs by 2029, despite the temporary 2025 slowdown. Solar and wind capacity additions continue to drive Europe's energy transition, with solar capacity almost tripling from 120 GW in 2019 to 338 GW in 2024, and wind capacity growing by 37% from 169 GW to 231 GW over the same period.
However, challenges remain. Despite these challenges, the transition to Net Zero across Europe is still driving investment in clean energy transition and continuing to support demand for skilled labour, spanning a variety of roles.
Conclusion
Europe's renewable energy sector represents a dynamic employment landscape undergoing profound transformation. With 1.69 million jobs in 2022 and projections for continued growth through 2030, the sector is creating diverse opportunities from traditional installation and maintenance roles to cutting-edge AI and data science positions.
The policy framework established through the European Green Deal, REPowerEU, and the Renewable Energy Directive provides a strong foundation for continued expansion, even as near-term headwinds challenge specific sectors. The 42.5% renewable energy target for 2030 represents an ambitious goal that will require massive investment, infrastructure development, and workforce mobilization.
For professionals, businesses, and policymakers, the European renewable energy transition offers both challenges and opportunities. Success will depend on addressing skills gaps, modernizing grid infrastructure, maintaining supportive policies, and fostering innovation at the intersection of energy and technology. The jobs data makes clear: Europe's energy future is renewable, and that future is being built by a new generation of workers combining traditional energy expertise with digital capabilities.
