Africa’s green economy to create three million direct jobs by 2030

…as South Africa, Kenya, and Nigeria top with 16%

Africa’s Green Economy is expected to create 3.3 million direct jobs by 2023 with the majority in the renewable energy sector, particularly solar.

This is because South Africa, Kenya and Nigeria represent the highest job creation potential of 16 per cent due to population, gross domestic product (GDP) and industry maturity.

Shortlist, a talent and impact advisory firm and FSD Africa, with analysis from the Boston Consulting Group disclosed this in a report released Wednesday titled “Forecasting Green Jobs in Africa’.

The study, being the first in-depth analysis of workforce needs within major green value chains over the next five years, provides detailed forecasts for five focus countries, the Democratic Republic of Congo (DRC), Ethiopia, Kenya, Nigeria and South Africa, which together account for more than a fifth (22 percent) of new jobs, and in key sectors such as renewable energy, e-mobility, agriculture, construction and manufacturing.

“Forecasting Green Jobs in Africa” underscores the critical importance of a skilled workforce as an input accelerating African green industries, emphasizing the need for substantial investment in skills development and workforce mobilization.

Moreover, the millions of jobs created in the green revolution will also contribute to the formalization of African economies, and the inclusion of whole populations in stable systems of remuneration, social security and taxation for the first time.

Based on the findings, the report also outlines key strategies required to cultivate Africa’s green jobs ecosystem: from targeted investments in high-potential sectors and value chains, the fostering of cross-sector collaboration among governments, private sector, educational institutions and investors, to the development of comprehensive support policies for green sectors.

There is a cross-sector effort across Africa to spur employment and sustainable development,” said Mark Napier, CEO of FSD Africa, “but stakeholders lack a shared, granular understanding of where the green jobs are going to come from. This report offers a methodology for forecasting green jobs which allows us to get practical about where we need to invest to make these jobs happen.”

“This is the first public report that takes seriously the notion that human capital and talent is important as both an input to green economic growth, and as a positive outcome – in the form of millions of new, direct jobs,” says Paul Breloff, CEO of Shortlist. “Now policymakers, and funders, and workforce developers need to step up to meet this near-term demand with effective training, apprenticeships, and job/skill matching, in hopes of achieving Africa’s green promise.”

Significantly, it predicts that 60 per cent of the employment generated by the green economy over the coming six years will be skilled or white-collar in nature.

Within this, 10 per cent constitute “advanced jobs” (highly skilled, requiring university degrees to fulfil), whilst a further 30 per cent are projected to be “specialized” (requiring certification or vocational training) and 20 per cent will be administrative in emphasis.

Crucially, these job types tend to attract higher salaries and will, therefore, play a central role in spurring the growth of the middle class in countries hosting these high-growth sectors.