In light of Malaysia's reduction of fossil fuel employment, what steps can workers take to adapt to the shift in energy sector?
In the rapidly evolving landscape of energy, Malaysia is grappling with the implications of its transition from fossil fuels to renewable sources. This shift, while promising for the environment, raises concerns about job security and the need for new skills.
Aznita Pharmy, a researcher with Klima Action Malaysia, underscores the importance of ensuring that new jobs in renewable energy are high-quality jobs. Meanwhile, Manickam, a worker representative, stresses the need for workers to be better informed about the energy transition's impact on their jobs. However, it remains unclear what skills are being offered under HRDC's renewable energy training programmes.
The energy transition poses a significant risk to workers in emissions-intensive industries such as coal, oil and gas, steel and cement, as well as sectors such as petrol and diesel-dependent automotives, chemicals, construction, manufacturing, and agriculture. The report produced by Klima Action Malaysia highlights a lack of awareness of the energy transition among trade unions in Malaysia.
On a positive note, renewable energy is creating more jobs globally with better job security. Malaysia's 2022 to 2040 National Energy Plan calls for strategic workforce planning and future-proofing of skills across the energy sector. Dr. Norasikin Ahmad Ludin, deputy director of the Solar Energy Research Institute (SERI) at the National University of Malaysia, emphasizes the role of universities in building skills and capabilities related to the energy transition.
SERI offers masters of science and doctorate programmes in renewable energy, as well as certification courses related to the clean energy industry. Perovskite-based solar panels, which are more environmentally friendly and fully recyclable, are still under research and development globally.
Petronas, Malaysia's national oil company, foresees an urgent demand for skilled manpower in the decommissioning of old oil rigs, requiring up to 25,000 workers in early 2026 and 2027. Yet, the current income disparity between solar power and oil and gas workers is significant, with workers in the solar industry typically earning less than their peers in oil and gas.
Discussions about the impact of the energy transition on workers, including potential job losses or new skill requirements, are not happening at a grassroots level. Manickam questions whether employers will prioritize the use of the Human Resources Development Fund (HRDF) for reskilling or upskilling due to the energy transition. KAMY recommends that relevant government agencies conduct an in-depth assessment of the energy transition's impact, prioritizing sectors and communities most directly affected.
The energy transition is a topic of concern for policymakers and large energy company leaders in Malaysia, but awareness among the broader workforce is low. The Malaysia National Energy Transition Roadmap (NETR) estimates that a successful energy transition would generate 310,000 jobs in the country by 2050. However, it does not offer any estimates of how many workers would be affected by the energy transition.
In conclusion, the energy transition in Malaysia presents both opportunities and challenges. It is crucial for relevant agencies to conduct comprehensive assessments and for workers to be adequately informed and prepared for the changes ahead. International partners, such as the GIZ, may also contribute expertise or partnership on such evaluations in Malaysia.
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