The Talent Gap in Clean Energy: Why Millennials and Gen Z are Key to the Future

As the clean energy sector grows, it faces a critical talent gap. Engaging Millennials and Gen Z, the ‘Impact Generations,’ is key to sustaining this high-growth industry.

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The clean energy sector is at a transformative crossroads, promising to reshape the U.S. economy and redefine the job market. With substantial growth in renewable energy, grid modernization, and energy efficiency, the sector is positioned to lead the next wave of economic development. However, despite these advantages, the industry faces a significant challenge: a talent gap driven by misconceptions about job requirements and a lack of awareness among potential recruits.

To address this gap, a recent survey commissioned by 2023 Project of the Year Award Winner, Ameresco explores the career priorities, perceptions, and attitudes of Millennials and Generation Z—the “Impact Generations”—toward clean energy careers. The survey was conducted by Regina Corso Consulting in August 2024, which engaged 600 respondents aged 18 to 43, evenly split between Millennials (ages 28-43) and Generation Z (ages 18-27). As these two generations represent nearly 45% of the U.S. workforce, understanding their motivations and concerns is critical to developing a future-ready clean energy workforce.

Clean Energy Growth and Opportunities

The clean energy sector has demonstrated impressive growth, adding 142,000 jobs in 2023 alone. According to the U.S. Department of Energy’s 2024 Energy and Employment Report, clean energy jobs grew by 4.2%, more than double the overall U.S. economy's growth rate of 2%. This expansion is largely driven by the adoption of renewable technologies, infrastructure modernization, and built-environment efficiency projects. Furthermore, these roles often provide higher compensation, with wages up to 25% above the national median. Positions also commonly include benefits such as health insurance and retirement packages, setting them apart from roles in other sectors.

Despite this promising outlook, the clean energy industry faces a global shortage of skilled workers. A recent report predicts a shortfall of seven million skilled employees by 2030, which could slow climate and energy progress. Addressing this labor shortage requires understanding Millennials and Gen Z’s career motivations and clarifying the sector’s opportunities.


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Values-Driven Careers: What Millennials and Gen Z Want

According to the survey, nearly 90% of respondents from these groups believe it’s essential that their work makes a difference, with 88% noting that their job should align with their values. While competitive salaries remain a priority, respondents also ranked community impact, employee welfare, and sustainability as essential factors when choosing an employer.

The survey revealed that these generations view their careers holistically, balancing income with a desire to contribute to the greater good. An overwhelming 93% of respondents feel that their generation will be remembered for making a positive difference globally, and 89% stress that knowing their work benefits society.

Interest in Clean Energy—Despite Misconceptions

Clean energy careers align well with these values, with 81% of survey respondents indicating they see the sector as a good career path. Top reasons cited include environmental benefits (51%), growth potential (47%), and the opportunity to be part of something bigger (43%). Among those already employed in other fields, 65% expressed a willingness to switch to a clean energy career, highlighting the strong appeal of sustainability-driven roles.

However, the survey uncovered widespread misconceptions about the industry. Many respondents associate clean energy jobs with specific types of energy (23%) or environmental roles (20%), while 8% mistakenly linked them to "cleaning” jobs. This confusion is compounded by misperceptions about qualifications, with over half of respondents—particularly Gen Z—believing that engineering or science degrees are mandatory. For example, 59% of Gen Z participants think an engineering background is essential, while 60% believe a science degree is necessary.

The clean energy sector offers many roles that don’t require technical degrees. From marketing and policy roles to hands-on positions like solar panel installation, wind turbine repair, and energy efficiency auditing, opportunities in clean energy are diverse and accessible. By expanding the narrative to include these non-technical roles, the sector could attract a broader, more diverse workforce.

Policies Driving Clean Energy Job Growth

Significant government support for the growth of clean energy jobs is bolstered through policies like the Inflation Reduction Act (IRA) and the Bipartisan Infrastructure Law (BIL). The IRA, signed in 2022, seeks to reduce U.S. carbon emissions by 40% by 2030, providing tax credits, incentives, and subsidies to drive renewable energy adoption. Since its enactment, over 330 projects have been announced, potentially creating more than 109,000 jobs across 40 states.

The BIL, a $1.2 trillion initiative to modernize U.S. infrastructure, supports clean energy growth. Investments include $7.5 billion for electric vehicle charging networks, $65 billion for grid improvements, and $39 billion for transit system modernization. This law will create approximately 1.5 million jobs annually over the next decade.

Impact of the Trump Administration’s Potential Policies

President Trump’s administration may shift the landscape of clean energy careers, particularly through changes in federal policy and funding priorities. Previous indications suggest a focus on expanding domestic fossil fuel production, which may redirect some government resources and incentives from renewables to traditional energy sources. This shift could impact the availability of certain tax credits and subsidies that have spurred sector growth in recent years.

However, it’s essential to consider the strong momentum clean energy has gained from prior bipartisan support and recent private investments. The sector has grown due to market forces and public demand for sustainable energy solutions, particularly among Millennials and Gen Z, who prioritize environmental impact in their career choices. As such, while federal support may fluctuate, the private sector’s and states’ commitments to clean energy initiatives are expected to continue, sustaining job growth to meet energy transition goals.

The industry may need to strategically adapt to potential policy changes by emphasizing workforce development, partnerships with states, and innovative financing models that support growth regardless of federal policy shifts. As the demand for clean energy remains high, especially in states with aggressive renewable energy targets, the sector’s potential to provide meaningful, high-quality careers remains strong.

Closing the Gap: Opportunities to Engage the Impact Generations

To attract Millennials and Gen Z, clean energy companies must address the misconceptions discouraging talent from entering the industry. Here are three strategic approaches recommended by the report:

  1. Define Clean Energy Careers: Clear definitions and communication are crucial. By breaking down roles into technical and non-technical categories and specifying educational requirements, the industry can dispel myths about needing engineering degrees for entry. Highlighting diverse career paths can open up opportunities for those who may not have technical backgrounds but share the sector’s commitment to sustainability.
  2. Offer Advancement Through Education: Millennials and Gen Z value continuous learning and career growth. Over 90% of survey respondents stressed the importance of working for companies that invest in employee development. Companies can offer scholarships, professional development programs, and mentorship initiatives to attract and retain talent, empowering employees to advance within the industry. STEM and sustainability initiatives in schools and local communities can also build a pipeline of future professionals.
  3. Leverage Government Incentives and Partnerships: Companies can benefit from government policies by expanding their recruitment efforts to include apprenticeship programs, internships, and partnerships with community organizations. By building awareness and offering hands-on experiences, companies can better engage young professionals motivated to make an impact.

The Path Forward for Clean Energy Careers

The 2024 Clean Energy Careers Report reveals a strong alignment between the career aspirations of Millennials and Gen Z and the values of the clean energy sector. The industry can attract these purpose-driven generations with the right messaging, educational outreach, and professional development opportunities. By clarifying the diversity of roles available and leveraging the sector's policy-driven growth, companies can build a skilled, motivated workforce ready to lead the U.S. toward a sustainable future.

Environment + Energy Leader