ETB 1 st Joint Business & industry and Education & Skills panels meeting 21 st April 09 Skills Agenda – Supply, Demand & Diversity Sue Guest Energy & Utility.

ETB 1st Joint Business & industry and Education & Skills panels meeting 21st April 09

Skills Agenda – Supply, Demand & Diversity

Sue GuestEnergy & Utility Skills

Demographics – everybody’s problem

1971 2021

WW 1

WW 2

60s Baby Boom

80s Baby Boom

Between 2021 and 2031 some 50,000 Men and 78,000 Women will reach 55 years of age

140

145

150

155

160

165

170

175

180

185

1997 1999 2001 2003 2005 2007

ST

EM e

nro

lmen

ts (

000s

)

9.0%

9.5%

10.0%

10.5%

11.0%

11.5%

12.0%

ST

EM en

rolm

ents %

total

STEM enrolments (LHS)

STEM enrolments % total (RHS)

40

41

42

43

44

45

46

47

48

1997 1999 2001 2003 2005 2007

STEM

qua

lifie

rs (0

00s)

9%

10%

11%

12%

13%

14%

15%

STEM

qualifiers %

total

STEM qualif iers (LHS)

STEM qualif iers % total (RHS)

STEM enrolments at UK universities

STEM qualifiers from UK universities

Source: Energy & Utility Skills Workforce & Qualifications Forecasts, June 08, Oxford Economics

STEM Enrolments and Qualifiers

STEM and non-STEM enrolments at UK universities (Base 1997=100)

90

95

100

105

110

115

120

125

130

135

1997 1999 2001 2003 2005 2007

Un

der

gra

du

ate

enro

lmen

ts (

1996

=100

)

All subjects

STEM

Non-STEM

80

90

100

110

120

130

140

150

160

1997 1999 2001 2003 2005 2007

Und

erg

rad

uate

qua

lifie

rs (

1996

=100

)

All subjects

STEM

Non-STEM

STEM and non-STEM qualifiers from UK universities (Base 1997=100)

Source: Energy & Utility Skills Workforce & Qualifications Forecasts, June 08, Oxford Economics

STEM vs. Non-STEM enrolments / qualifiers

Trends in students on electrical / electronic engineering courses

YEAR Total Grads in HE on Electrical/Electronic Courses

FT Undergrads

FT Postgrads

PT Undergrads

PT Postgrads

% Female % Foreign

2000/01 33,560 21,120 4,190 4,840 3,405 9.8% 27.5%

2001/02 33,545 22,995 4,510 4,700 3,335 10.1% 28%

2002/03 37,440 23,635 5,955 4,390 3,465 9.8% 32.2%

2003/04 35,650 21,065 6,455 4,495 3,635 10.3% 36.8%

2004/05 34,590 19,565 6,645 4,740 3,635 9.5% 39.3%

2005/06 32,795 18,315 6,235 4,665 3,575 9.4% 36.3%

2006/07 32,345 17,640 6,675 4,540 3,490 9.2% 40.3%

2007/08 30,340 17,605 6,720 4,270 1,745 9.4% 39.7%

HESA data

STEM qualifiers from UK universities (supply forecasts)

25

30

35

40

45

50

55

1995 1998 2001 2004 2007 2010 2013 2016 2019

STE

M e

stim

ated

un

iver

sity

leav

ers

4%

6%

8%

10%

12%

14%

16%

STE

M %

tota

l uni

vers

ity le

aver

s

STEM university leavers (LHS)

STEM % total (RHS)

Source: Energy & Utility Skills Workforce & Qualifications Forecasts, June 08, Oxford EconomicsY Axis: student numbers in 000’s

Chartered Engineer Age Profile

From the ETB guide to Labour Supply 2006 Report.

“Engineering” ApprenticeshipsApprenticeship

framework

Number of starts in year Number of completers in year

05/06 06/07 07/08 05/06 06/07 07/08

211 – Electricity Industry

200 100 200 100 100 200

105 – Electrotechnical 5,800 6,500 6,500 3,200 3,100 3,200

106 – Engineering 11,500 11,600 13,900 8,100 7,200 7,800

107 – Engineering Construction

300 300 600 100 200 100

335 – Engineering Technology

- 100 - - - -

265 – Gas Industry 700 600 700 500 500 500

347 – Gas Network Operations

- - 100 - - -

117 – Plumbing4,400 5,300 5,500 2,100 2,900 3,500

277 – Water Industry - - 100 - - -

Total 22,900 24,500 27,600 14,10014,000 15,300

Source LSC

Skills Issues for the Power Sector

• Ageing workforce

• Poor sector Image

• Limited long term resource planning

• Reducing recruitment pool

• Sector growth (infrastructure replacement and new build)

• Rapid technology changes in a global market

• Limited training capacity & availability of “educators”

Even more aging workforce

Workforce Age profiles

0%

5%

10%

15%

20%

25%

30%

35%

40%

< 30 30-39 40-49 50-65 65+

Power

UK

Source: census data 2001

Transmission workers – skills required to 2012

Supply and demand of skilled Linesworkers (2005-2012)

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2005 2006 2007 2008 2009 2010 2011 2012

Year

Fo

reca

st N

um

ber

s

Forecastdemand basedon 100%investment

Forecastdemand basedon 75%investment

Numberscoming out oftraining"Schools" (at2005 levels)

Currentcapacity

600

825

1,050

1,215

1,380

1,555

1,710

1,875

450

619

788

911

1,035

1,166

1,283

1,406

365

620

875

50110

234

358

482

Supply and demand for engineers in the electricity generation industry 2007 to 2013

0

500

1,000

1,500

2,000

2,500

3,000

2007 2008 2009 2010 2011 2012 2013

Year

Nu

mb

er

Additionaldemand forengineers

Supply atcurrent rates

PSSSG Research: Public Perceptions of Careers in the Electricity Sector, April 2008

• Low awareness of electricity industry

“How well informed do you feel, if at all, about the work of the electricity industry?”

1

Nothing at all

10

Detailed understanding

4

48% of respondents answered 1 - 4

• 28% of respondents felt knowledgeable about the industry, particularly:

– Men (33% )

– Over 55s (32%)

– AB and C2 Social Grades (32% and 37%)

– Those living in North of England (32%)

• However – workshop findings suggest that self perceptions are not always borne out in reality

– Seems to be ‘confidence’ in the extent to which feel informed

PSSSG Research: Public Perceptions of Careers in the Electricity Sector, April 2008

• Generally unfamiliar with work conducted within the electricity industry - only 19% of survey respondents able to highlight roles

• Within workshop – 7 career ‘types’ emerged

Understanding of work undertaken by industry

The SparkyThe Boiler Suited

Meter ReaderThe Eccentric

ScientistThe Grey Executive

The Salesman

The High Risk Engineer

The Contact Centre Girl

0% 20% 40% 60% 80% 100%

Varied

Exciting

Manual

White collar

Non-creative

Structured

Excellent pay

Serious

Science related

1 to 4 5 6 to 10

Arts related

Fun

Thinking

Flexible

Poor pay

Blue collar

Creative

Boring

Image of Working in the Electricity Industry

Routine

Power Sector Skills Strategy

– National Skills Academy for Power – increased training capacity, capability and competence

– Extensive, long term & robust data – EUS Workforce Planning Model

– Sector Attractiveness Strategy incl sector brand

– Standards & qualifications frameworks up-to-date & fit for purpose

– Clarity on career routes & structures

– Standardising skills activities where appropriate

– Influencing key stakeholders eg Ofgem

– Significant increased investment from employers

Thank you

Sue GuestEnergy & Utility Skills

[email protected]: 07900 052701