Australia’s transition to net zero risks stalling without a substantial increase in the skilled energy trades workforce, warns the Powering Skills Organisation (PSO) in its 2025 Workforce Plan released today at Parliament House, Canberra.
The landmark plan, High Load, Short Supply – Bridging the Gap to 2030, highlights the complex challenges and opportunities in building the workforce necessary for Australia’s energy, gas, and renewables sectors to meet net zero targets and support the nation’s electrification and technological advancements.
PSO projects a shortage of 42,000 qualified energy trades workers by 2030, worsening by 2050 if steps are not taken.
The organisation estimates training has lagged by 40 per cent over the past decade, resulting in a current deficit of 22,000 apprentices.
Critical bottlenecks identified by PSO include a shortage of trainers, limited training infrastructure, and employers’ inability to onboard apprentices despite high demand.
However, the plan expresses optimism that, with the government’s active involvement and the long-term nature of clean energy goals, Australia can adopt a sustainable, world-leading pathway to fill these workforce gaps.
“We have a once-in-a-generation opportunity to prepare our labour and training markets for a fundamentally different future,” said PSO CEO Anthea Middleton.
“If we get workforce planning right now, we can deliver a just transition that provides safe, stable and highly skilled careers for Australians while helping the world address climate change.
“The challenge now is to remove the bottlenecks and ensure people can access the training and support they need to succeed.”
Developed with input from over 280 organisations nationwide, the plan outlines 31 targeted actions to enhance workforce capacity, capability, culture and industry confidence.
Key initiatives include expanding training infrastructure and number of trainers to reduce apprentice wait times, supporting employers to take on more apprentices, improving support for mature-aged apprentices, upskilling the existing workforce, increasing workforce diversity, developing a National Career Progression Framework for the VET sector, and updating National Training Packages to stay aligned with clean energy technologies.
PSO noted Australia’s existing energy workforce foundations are strong, with more than 300,000 workers in trades — up 20 per cent since 2010 — and record numbers of apprentices in training, including women and First Nations Australians.
Government investment in energy apprenticeships and training remains a high priority.
Middleton acknowledged the federal government’s proactive role in addressing workforce challenges.
“We applaud the government for the actions it has taken to date, including Fee-Free TAFE and its $91 million investment towards skilling the clean energy workforce.
“But as PSO’s research shows, there is still more to do.
“We look forward to working with the government on the further decisive actions needed to close the skills gap and build the workforce Australia needs for the future.”
Minister for Skills and Training, the Hon. Andrew Giles, emphasised the need for continued collaboration.
“We need to continue to work together – governments, industry, unions and other stakeholders – to get more apprentices into Australia’s energy sector.
“Our government’s New Energy Apprenticeship Program is seeing more Australians signing up to work in the sector, and we’re making a $30 million investment in our VET trainer workforce that will help grow the number of electrical VET teachers.”
PSO also provided state-based data this year to help target local workforce needs.
The full 2025 Workforce Plan and related state reports are available on PSO’s website.
This plan is a critical step in ensuring Australia builds the skilled trades pipeline essential to meeting its clean energy and net zero ambitions.
Without urgent action, the country could face significant workforce shortages in the coming decade, hampering its energy transition goals.
