With one of the most turbulent quarters in the UK’s short lived solar history – it’s extremely important to get a “real” indication of the effect the government’s latest FiTs review is really having on the UK Solar Job Market.

The index tracks the fluctuation in demand across the entire UK solar job market, within certain positions and national & regional variations. Additionally we offer a little analysis. The data reported has been gathered by tracking solar job data across job boards, career portals and in a selection of newspapers.

The below chart shows the overall number and the percentage fluctuation in the UK solar job market over the last quarter. The major headline is that overall there has been a major increase in the number of solar jobs advertised across the UK. In-fact there is a 32% increase in the amount of solar jobs advertised in April 2011 compared to the first job index in January 2011. 

The below chart shows the increases and decreases in the different position types over the last quarter. This chart gives us the greatest insight into how the UK Solar Job market has changed since January. The largest percentage increases in positions are within technical positions (Installers, Engineers, Technical & Project Managers) and the largest decrease in percentage terms is within sales positions. The below chart outlines the fluctuation in position advertised across the UK over the last quarter from January to April 2011. Not much to report here, a slight increase in the numbers of solar jobs in England and small decreases in Scotland and Wales. The below chart shows the regional spread of solar positions across England in April 2011. The below chart shows the regional fluctuation in UK solar jobs over the last quarter. The biggest increase in advertised solar jobs has come from the North of England and the biggest decrease in advertised numbers is in London and the Midlands.

While not an exact science this index tells an interesting story. Although we are under a constant barrage of commentary about the government killing the UK solar industry overall job numbers are on the increase – a 32% increase over a turbulent quarter is no small number!

Over the last quarter we see a significant increase in the amount of technical positions and a percentage decline in sales positions advertised. Although sales positions still make up the largest majority of available positions it would appear that the UK is finally seeing “pipelines” converting and the roll out is beginning.

While we don’t need to wait too long for the government to put an end to all the uncertainty surrounding FiTs and whether we are looking at market beyond 50kW the UK solar industry from a “hiring” prospective looks relatively healthy.

About Capital Green Talent and the author. Capital Green Talent specialises in renewable energy and cleantech executive search and recruitment. Three consultants headed by Regan George specialise in Solar Recruitment across Europe and Asia. If you would like more information about their solar recruiting solutions, this index etc. please don’t hesitate to contact the regan@capitalgreen.eu

My big decision hasn’t been should I or shouldn’t I – it’s been do I publish this on Capital Green Talent’s blog and all over LinkedIn or send to Wikileaks.

It started at Ecobuild last week; someone quietly mentioned details of a leak that had come out of Whitehall outlining what the government “is” going to announce following the latest FiTs review.

The rumour began….

Now at my desk and back to my day job (head-hunting “hard-to-find” talent for solar companies) and “blow me down”——— over the last three days I have had two totally unrelated UK solar/PV people tell me pretty much the same information about what the announcement from the UK government is going to say.

The gossiping starts…..

Here it is –

• All rooftop solar will not be affected; this means the proposed limit of 50Kw is a red herring.

• Ground-mounted, large scale solar farms will be re-classified and taken out of the current FiTs scheme and put in the same category as large scale wind.

Petrol goes on the fire…..

While it’s completely possible this is only idle gossip and totally fabricated it seems to make a lot of sense.

After all it was the large scale solar farms that scared the government (with the help of the Big 6 Energy Companies lobbying) into this urgent review. So while Solar Parks will probably still see the “silver” bullet the government doesn’t want to stop the hundreds of schools, universities, supermarkets etc. from benefiting from FiTs (nor do the Big 6 Energy Companies).

Two weeks ago I wrote a blog “UK FiTs Review —- If You Think UK Solar is Dead…Think Again” that pretty much predicted what this leak is saying.

So for those who have been busy getting options on land parcels, pushing to get planning done for large solar farms, I’m sorry to say the news probably won’t be great (no big surprises there).  For those in the commercial or industry roof space that have been feeling grey about their prospects,  chin-up, your business is about to take OFF (Again) !

As an active recruiter within the UK solar space I’m lucky to speak to a very wide cross section of people every day.  Whether it’s a German CEO wondering if the UK is a market they should go into or a Business Development Manager telling me about the “big” deal they are closing, I’m extremely selective about the information I “circulate” or “share”. However as the latest FITs review has put a serious dampener on large parts of the market, I hope you don’t mind me passing on what I have “heard”.

About Capital Green and the author.

Capital Green Talent specialises in renewable energy and cleantech executive search and recruiting. Three consultants headed by Regan George specialise in Solar Recruitment across Europe and Asia. If you would like more information about their renewable energy / cleantech recruiting solutions, job index’s etc. please don’t hesitate to contact regan@capitalgreen.eu

A reliable source from within one of the “majors” has informed me that they have been quietly, but determinedly lobbying Whitehall/Downing Street for months about reducing FiTs for large scale solar/PV in the UK.

In fact there are teams of people within all the big six whose sole reasonability is to “work” aka “lobby” central government over regulatory affairs.  What part have they played in the government’s last move toward cutting FiTs for large scale Solar/PV?

The Big six have been against FiTs and certainly the level of FiTs for large scale PV from the start and now their “power” (pun-intended) is clearly demonstrated through the puppetry of the coalition government.

I guess if I was in a cartel I would NOT want hundreds of power producers muscling in on my action either!

Don’t shot the messenger.

About Capital Green and the author.

Capital Green Talent specialises in renewable energy and cleantech executive search and recruiting. Three consultants headed by Regan George specialise in Solar Recruitment across Europe and Asia. If you would like more information about their solar recruiting solutions, this index etc please don’t hesitate to contact the regan@capitalgreen.eu

The Facts: -

• UK Feed In Tariffs are paid for by the major Energy Companies, not the government

• Major Energy Companies have an agreement with the Government that they will recover FIT’s
through Energy Bills to all customers by increasing the price slightly

• The headline Inflation rate of 4% announced yesterday is driven in part by recent Energy Price rises
along with fuel

• This is a “review” not a final policy change

The Analysis: -

• Changing the FIT’s does not impact on government spending and therefore is not related to reducing
the government deficit.

• The Large Energy Companies have been noticeable in their absence in commenting on FIT review.
Traditionally Energy companies have been used either as a provider of tax (additional special tax
levy’s) or as a tax collector e.g. Climate Change Levy applied to all non domestic energy bills and now
FIT’s recovery. The Energy industry dislikes this position allied to which if they can reduce the FIT paid
out, but maintain the Recovered amount from all customers, they stand to benefit commercially.

• In addition the Energy Companies have large customers who are considering investing in Solar PV, for
example Sainsbury’s (50kW+), Kings Cross Station, so have a stake in the success of these customers.
Whilst the Government is encouraging the Public Sector like Cornwall County Council (with large scale
ground based schemes up to 5MW output – the current maximum to qualify for FIT’s) to invest in
Renewables. Without this investment the Government may well fail to meet its Renewable Targets as
early as 2020

• The Government in setting Energy Regulation has traditionally consulted with the industry and wider
Stakeholders and in fact it did so with the introduction of FIT’s. The Energy Companies are well versed
and practised in regulation and therefore will undoubtedly already have been lobbying hard for this
review (and one might even dare to suggest promoted it). It therefore comes as no surprise that the
government has been dropping hints to the wider market as Early as the Energy Ministers comments in
The Energy Debate a couple of months ago as a means of prompting wider views. It is also not so
strange that it is doing this almost as an “Agent Provocateur”, which is one of its often used tactics
(look at The Code for Sustainable Homes – Zero Carbon Homes)

The Possible Outcomes: -

• The Energy Companies need to support investment in Renewables, as long as they can recover the
cost (or a bit more)

• The Government cannot disincentivise Renewable Energy Investment and knows the Large
Commercial Organisations and Public Sector Buildings will contribute significantly to its targets

• The Government will want an easy to implement solution and not prejudice its introduction in
“June” of a Renewable Heat Incentive (RHI) – although it intends funding the £860m itself?

• The Government will reduce the maximum size of a Solar PV installation from 5MW to 200kW
to 300kW. However they “might” make some special exemptions on Brownfield Sites, where there is
Economic Benefit to the Community. This enables most commercial and Public Sector Roofs to benefit
from FITs, but rules out the pure large scale generation

• Of course one might argue as a result of this the responsibility for generation (5MW and above)
from Renewables therefore falls back again almost entirely on the Major Energy Companies. In this
scenario they would probably favour large scale such as Wind as that plays to their strengths of
Engineering and Implementation of Complex Generating Solutions, which many new entrants and
small scale investors would not even contemplate

Conclusion: -

• The impact of a review is unlikely to affect more than 5% of Solar PV opportunities and with a market
growth forecast at £500m p.a. by 2014 (which was estimated by EPA before Ground Mounted large
Solar PV arrays were considered) from its current £10m p.a., there is massive opportunity in the UK
market

Final Word

While I agree Huhne’s statement last week increased the uncertainty within the market, it’s vital to not lose sight of that fact that we need to prepare ourselves for a “review” and not the “end” of large PV arrays.

The PV and renewables industry needs to start immediate action – lobby the government collectively and aggressively to counter what the big Utilities have been doing!

The final word – If I was a betting man (I am) I would put money (I have) on the fact the government will make something circa 250kW the upper limit and will put a silver bullet through ground mounted solar.

About Capital Green and the author.

Capital Green Talent specialises in renewable energy and cleantech executive search and recruiting. Three consultants headed by Regan George specialise in Solar Recruitment across Europe and Asia. If you would like more information about their solar recruiting solutions, this index etc please don’t hesitate to contact the regan@capitalgreen.eu

The data reported has been gathered by tracking position demand and regional information across online job boards, career portals and in a selection of newspapers.

This month we are establishing statistical benchmarks so will not be presenting a full index but have some interesting “information” to report, none the less.

Position analysis across the UK Solar Job Market

Spread of Solar positions across the UK

Regional Spread of Solar positions across England

The fact that we see an even split between commercial and technical positions strongly indicate that the UK is in a period of rapid growth, being driven by a large influx of sales and business development staff. One would suspect that as the UK solar sector matures we will see the balance shift more towards technical positions. After-all, it takes a good sales person a few hours / days to sell a solar solution and many more days to design, engineer and install.

Although the spread between commercial and technical positions are even, the solar team at Capital Green Talent are finding it more difficult to recruit strong technical & project managers than for most commercial positions. This trend will continue as the sector grows.

One solution to combat the shortage of technical & project management experience in the UK is to recruit this expertise from the continent, certainly while the UK sector is gaining its experience. With feed-in-tariffs around Europe being reduced or stopped and a lot of highly skilled technical and project managers are wondering what and where to go next, the UK is a logical step.  The last three technical positions filled by our team have been with Spanish and German candidates.

The regional breakdown doesn’t hold too many surprises. Circa 90% of all the solar positions in the UK are based in England, with almost 50% of those being based in the South East of England (including London).  Maybe a little surprising is how few positions seem to be in the South West, I guess once we see a lot of the planning consent granted to the large solar farms we will see this percentage increase.

While it’s not an exact science – we feel this solar job index will give us some interesting information over the coming year. Stay tuned.

About Capital Green and the author.

Capital Green Talent specialises in renewable energy and cleantech executive search and recruiting. Three consultants headed by Regan George specialise in Solar Recruitment across Europe and Asia. If you would like more information about their solar recruiting solutions, this index etc please don’t hesitate to contact the regan@capitalgreen.eu

An experienced, target hitting, part of the furniture Sales Manager within an established solar business is headhunted into a well-funded early-stage/fast-growth company as Sales Director.

Not only are you getting the warm-fuzzy feeling as you sign the employment contract agreeing a 25% salary increase, more aggressive commission structure, latest E-Class etc. – You also have the distinct impression that your new company is truly going deliver on their promise of taking the market by storm – and you are going to be there in the front line.

Six months into the job, when your old work mate calls to ask “how the new job is going?” You can honestly say, “pretty bloody well”.

The best way of putting it is that you have gone from part of the furniture-to-hero in six months. The Sales Strategy you implemented is hitting the mark, the team you have recruited and are managing are above target, you are earning 40% more than this time last year and the founding directors of the firm have now taken you into their “inner circle” and treat you as a vital part of their business.

What is your ex-work colleague thinking now? His slightly itchy feet will now be so itchy that within a week or two they’ll be walking into a pub to have a “proper catch-up” over a beer.

And as timing would have it, you are looking for an additional Sales Manager. A couple of pints later, your ex-work colleague has agreed that he’d be better off working with you, after all he’s only ever felt like part of the furniture with your old company too.  Another quiet battle for talent won and lost.

It’s relatively easy for well-funded early-stage and fast-growth “players” with forward thinking founders to come into a market and attract unsung warriors from established firms and transform them into heroes.

Early-stage companies are small, lean and nimble enough to have the advantage when it comes to these small talent battles, I won’t try and weave a SAS metaphor into this…..

• The vision and ambitions of an early-stage company are often articulated better and sold with more passion, igniting a much higher level of excitement when a potential employee is considering moving.
• It’s a lot easier to have a flat-structure, showing a higher level of inclusion in an early-stage business to potential employees.
• Early-stage companies are often leaner (less overheads) so able to support higher salaries and more aggressive commissions.
• Founders of new and early-stage businesses are often more willing to offer share-options to key staff.

These new/newish organisations on the block are the early winners as the smaller battles for solar talent take place.

The other clear winners are the unsung warriors who after spending most of their career as “working parts of a bigger machine” are being recognised both professionally and financially for the importance of their contribution.

It’s pretty obvious who are losing these battles. While a number of the bigger, established solar firms are talking about increased employment numbers and growth they are certainly not talking about the key staff they are losing. I bet behind closed doors HR Managers and Directors are now moving employee retention up their agendas.

If you are a Line Manager, HR Manager or a Director in an established solar firm it’s imperative you are identifying your unsung warriors (those that given the right opportunity, support, resources etc. could be heroes) and start listening to them, then mapping a path (within your company) for them to reach their potential, professionally, financially and personally. If you don’t someone else will.

In our next blog in the series on the “war for solar talent”, we’ll suggest a methodology for identifying unsung warriors and the tactics and strategies to implement to help you retain your warriors.

As the debate goes on about exactly how big the UK solar industry will grow to over the coming years, there is one certainty; the UK solar industry is facing a chronic skill shortage or what we in the industry call a “war for talent”.

The early signs are already here – many of the UK’s “established” solar firms, while growing are losing an extremely high number of their experienced staff to well-funded start-ups, dynamic home-grown early-stage solar companies and to the big German manufacturers & developers hitting on our shores.

Although we are not seeing outright war yet, there are dozens of many smaller less conspicuous battles being fought as this blog goes out.

If the impending “war for talent” is not high on the agendas of board rooms and executive suits (can I say “war rooms”) of any ambitious solar company in the UK, beware.

Over the next few weeks we are going to be writing a series on the “impending war” for Solar Talent.  Essentially how to win the small battles, to plan and fight against the onslaught and ensure victory

Credit (is that the right word) also needs to be given to the British media for giving the “free solar brigade” a helping hand with a massive amount of “free” publicity. Ever since I saw a BBC lunchtime TV report “Solar panels for Roofs offered free of charge” there seems to have been a pretty constant stream of newspaper, magazine, internet etc. stories and articles surrounding the “free” solar movement.

Although the media coverage hasn’t always been kind – I guess if you pay your PR agency enough (and you don’t offer free solar) the press will just about say anything.

So for the thousands that now have free panels we ALSO have a million other UK home owner who have now been introduced to feed-in-tariff (FiTs), have managed to get their heads around the benefits and have probably spoken to their banks manager about re-mortgaging.

In fairness, if I had a spare £10k or a willing bank manager and an un-shaded south facing roof I won’t be going for the “free solar” option. Let’s face it, other than lining the pockets of these companies and their bankers, what’s the point in saving £400.00 a year on your electricity bill when you make get a return-on-your-investment (ROI) of 8% to 10%.

So well done the “free solar mob”, ROI aside you have kicked started the UK Solar Industry brilliantly.

What will we be labelling 2011?

In March 2009, when searching using the keyword “Solar” on www.indeed.co.uk, 700 jobs came back. Eighteen months later, when you search using the keyword “solar” www.indeed.co.uk comes back with 3400 jobs.  You don’t need to be a mathematician or a Management Consultant to spot there is a trend..

While sites like indeed and other job aggregator can’t be used to give you an accurate guide on the precise amount of “live and real” jobs in a market (too many duplicates etc.) the percentage increase from March 2009 to November 2010 is startling. We can safely assume that there not be many other “jobs” seeing such a massive increase as we battle our way through recession.

The above figures reflect the last eighteen months, what’s the future going to bring for the UK solar job market? Here is what some in the market are saying.

In October the Electronics, Sensors and Photonics Knowledge Transfer Network (ESP KTN) forecast that UK Solar Electricity industry could providing 150,000 jobs by 2016. Personally I think the ESP KTN figures are vastly inflated, and anyone with an acronym that long needs to be carefully considered.  One only needs to consider that the entire German solar industry is reported to employ around 150,000 people.

However, I feel much more realistic figures presented in a report in June by the Centre for Alternative Technology (CAT) claiming in excess of 100,000 people could be employed in the installation of solar across the country by 2030.  When we look beyond installation, up and down stream would think the entire UK solar industry could be employing around 140,000.

OK – not much need to talk more about the numbers, anyone involved in the UK solar industry today will already have a good feeling that we are on the start of a massive wave (a .green Tsunami!), how big, only time will tell.

However with growth, comes growing pains and already I am witnessing them.

How big do you think it will get?