Tens of thousands of new workers are needed to power Australia’s “unprecedented” energy boom, yet the apprenticeships to train them are in short supply.
A report has found 40,000 workers must be recruited by 2030 if we have a chance of meeting demand driven by AI data centres, renewable targets, and housing expansion.
The Powering Skills Organisation research also identified the need for more than 20,000 trainees – up 40 per cent from current apprentice numbers.
Demand is there, but growth is restricted because only one in four employers currently hire apprentices, and apprenticeships are the only pathway into the industry.
“It can cost between $190,000 to $220,000 to support an apprentice,” independent Tertiary Education Council Australia chief executive Felix Pirie said.
Interest in trades is also uneven. One electrical apprenticeship may attract 100 applications, while vital adjacent energy-related trades such as civil construction struggle to fill spots.
To break the impasse, peak bodies are calling for reshaped government incentives, improved high-school alignment and further investment in training colleges.
Small and medium companies employ over 70 per cent of all apprentices — and more than 95 per cent in electrical contracting.
While the first two years are “a cost centre” for the employer, there is no easy alternative, with demand for skilled labour already outstripping supply.
Government help exists, but it’s shrinking: employers will get $4000 per apprentice in 2027, down from $5000 this year. Companies with more than 200 employees get nothing.
“For an individual employer, we’re talking very small amounts of money,” Mr Pirie said.
Minister for skills and training Andrew Giles said new apprentices in housing and clean energy will receive $10,000.
“These incentives, alongside the support we’re delivering through free TAFE courses in construction trades, has contributed to a 19 per cent increase in electrical apprentice commencements year-on-year,” he said.
Even if more employers were willing to take on apprentices, over 70 per cent of electrical training providers are at capacity, according to the report.
An apprentice must complete formal training alongside hands-on learning.
While free TAFE dominates headlines, Mr Pirie said independent colleges train 91 per cent of vocational students.
“We are spending billions of dollars on a very small portion of the system,” he said.
Providers struggle to retain educators, because experts can command higher wages on jobs than in classrooms.
The government has committed $65 million to upgrade clean energy training facilities and recruit and train vocational teachers.
Apprenticeship Employment Network executive director Gary Workman said students arrive unprepared for the technical demands of modern trades, despite the pathway being touted as a natural alternative for students who feel disengaged at school.
“We are not preparing them well enough,” he said. “If they want to get into the electrical industry, that is an industry where your mathematics skills have to actually be quite good.”
Year 9 and 10 mathematics must be linked more clearly to real-world trade, Mr Workman said.
Carpentry apprentice Harry Tanner, 20, said his trade pathway was a lucky break.
“When I was at school, one of the teachers said, ‘would you be interested in doing an apprenticeship?’ I started doing plumbing for two weeks, but I didn’t really like it,” he said.
“A carpenter was there. He said ‘do you want to work with me for a couple weeks?’ I did and really enjoyed it.”
Mr Tanner now earns $1000 a week with Red Cedar Construction, in Sydney.
The Back Australia series is supported by Harvey Norman, Ampol, Bunnings, Qantas, AAMI, Journey Beyond, Gippsland Critical Minerals and News24.
Read related topics:Energy crisis