The Green Economy Skills Gap Report

The Green Economy Skills Gap: Why Environmental Studies Matter for America’s Future Workforce

For universities teaching environmental science, sustainability, business, engineering or climate-related subjects, the classroom can only go so far.

Students can learn about carbon accounting, renewable energy and sustainable business models, but something shifts when they see these challenges playing out in the real world.

They start to see that sustainability isn’t just an environmental issue. It’s an economic one too.

Across the US, demand is growing for people who can build renewable energy systems, modernise electricity grids, decarbonise buildings, manage natural resources and help businesses reduce their environmental impact.

But is the workforce ready?

Our research into the US green economy skills gap shows a growing divide between states building strong education and employment pathways and those where demand for green skills is moving faster than the supply of skilled workers.

For Kagumu Adventures, the question is no longer whether the green economy needs new skills. It’s whether education can keep up.

The green economy is becoming a workforce issue

It’s easy to think of green jobs as just solar installers, environmental scientists or conservation specialists, but for us the issue is much broader. 

Almost every industry will need people who understand sustainability and can apply it in practice. As the research puts it, the gap isn’t just about “green” knowledge – it’s about combining sustainability with skills in data, finance, technology and operations.

Most of all, hiring a workforce that’s passionate about sustainability is key, and that’s where education matters. Giving students the chance to work in real environments, engage with communities and experience sustainability challenges first-hand can help turn knowledge into practical skills – and prepare them to shape the green economy.

Where the US is best prepared

Some states are already ahead of the curve. Our research ranks California, Massachusetts and Colorado as the three best-prepared states, followed by Washington, New York, Oregon, Michigan, Vermont, Virginia and Illinois.

What sets these states apart is a combination of strong higher education, established sustainability programmes, growing clean-energy industries and better links between education and employment.

More importantly, they show what’s possible when students have clear pathways from learning to real-world experience – -giving them the skills and confidence to step into a changing economy.

 

America’s 10 best-prepared green economy states

Rank

State

Primary driving industries

Leading university talent pipelines

Preparedness score

1

California

Solar PV, EVs, grid modernisation

UC Berkeley, Stanford, UC Davis

96.4

2

Massachusetts

Offshore wind, clean-tech R&D, building decarbonisation

MIT, Harvard, UMass Amherst

91.2

3

Colorado

Onshore wind, land conservation, smart-grid technology

CU Boulder, Colorado State

88.7

4

Washington

Hydroelectric systems, sustainable forestry, clean tech

University of Washington, Washington State

86.3

5

New York

Building retrofitting, offshore wind, ESG finance

Columbia, Cornell, SUNY ESF

84.9

6

Oregon

Forestry management, renewable generation

Oregon State, University of Oregon

82.5

7

Michigan

EV battery manufacturing, clean automotive technology

University of Michigan, Michigan State

81.0

8

Vermont

Energy efficiency, micro-hydro, sustainable agriculture

University of Vermont, Middlebury

79.6

9

Virginia

Commercial solar, grid resilience, clean policy

Virginia Tech, University of Virginia

78.1

10

Illinois

Wind energy, clean transit, smart grids

Northwestern, UIUC

77.4

 

When looking at the data, we can see that the strongest states are not just those with renewable resources, but are states where education, industry and policy are beginning to reinforce one another.

Our research identifies specialised higher-education programmes combining technical science with business, policy and data analytics as one of the major advantages these states have developed.

We also estimate that more than 68% of sustainability graduates in these leading states remain in the state after graduation, and we can see that in states performing well, education has become part of their economic development infrastructure. 

But the skills gap is not confined to states that are “falling behind”

One of the most important findings is that even some of the country’s strongest green economies are experiencing significant workforce shortages.

A good example of this is California. The state ranks first for overall preparedness, yet the state has an estimated 34,987-worker gap between official green jobs and the skilled green workforce.

This is followed by Florida having a gap of 26,500 workers and Texas with a gap of 26,468. 

In many places, demand is simply growing faster than the talent pipeline.

Selected U.S. state skills gaps

State

Official green jobs

Green-skilled workforce

Skills gap

Gap status

California

552,987

518,000

+34,987

High

Texas

281,468

255,000

+26,468

High

Florida

168,500

142,000

+26,500

High

New York

165,400

148,000

+17,400

High

Ohio

112,800

96,200

+16,600

High

North Carolina

112,400

96,500

+15,900

High

Michigan

123,400

108,000

+15,400

High

Pennsylvania

108,400

94,200

+14,200

High

Illinois

124,500

112,000

+12,500

High

Massachusetts

126,862

123,500

+3,362

Low

 

So why does the gap exist?

When analysing the findings, three key factors stand out: education, economic transition and geography.

The education pipeline simply hasn’t kept pace with demand. In 2020, US universities awarded around 7,000 Environmental Science degrees compared with 391,000 Business degrees. As sustainability becomes part of almost every industry, environmental knowledge can no longer sit with a small group of specialists.

States are also transitioning at very different speeds. California is investing heavily in solar, EVs and grid modernisation, while Michigan is building around batteries and clean automotive technology. Other states remain more closely tied to traditional energy industries, making the shift more complex.

Geography adds another layer. In states such as Alaska, Wyoming and North Dakota, smaller populations and limited access to specialist training can make it harder to build a strong local talent pool.

Here we can see that there are fewer opportunities to develop green skills, there are fewer skilled workers to meet growing demand.

We also identified the lowest-ranked states and highlighted how different the problem can look from one region to another.

Rank

State

Vulnerable sector

Primary structural deficit

Preparedness score

41

Louisiana

Industrial energy efficiency

Fossil-fuel inertia; low graduate retention

42.1

42

Alabama

Smart-grid integration

Sparse climate-tech and renewable university tracks

40.8

43

Kentucky

Renewable power generation

Slow transition of legacy energy workforce

39.5

44

Oklahoma

Clean transit & EV systems

Shortage of specialised technical trades

37.2

45

Arkansas

Sustainable forestry & AgTech

Low environmental degree completions

35.6

46

Mississippi

Energy-efficiency retrofitting

Low per-capita clean-job availability

33.9

47

West Virginia

Renewable-grid integration

Shortage of environmental engineers and technicians

31.4

48

North Dakota

Biofuels & carbon capture

Low annual sustainability graduate output

29.8

49

Wyoming

Wind infrastructure & solar

Small talent pipeline relative to resource potential

27.3

50

Alaska

Energy storage & adaptation

Geographic isolation and limited training hubs

24.5

 

If investment in the green economy is concentrated in places that already have the universities, training centres and skilled workers to support it, the economic benefits can become concentrated there too. This risks creating a second divide alongside the skills gap: a geographic opportunity gap.

Why environmental studies matter to the economy

Environmental studies are no longer just a pathway into conservation or environmental policy. Sustainability is becoming a valuable skill across business, engineering, finance, agriculture, technology and beyond.

As Simon Willis, Director of Kagumu Adventures, puts it: “There is nothing better than real-world experience. Students need opportunities to work with business leaders, challenge themselves and develop practical problem-solving skills.”

That combination of knowledge and experience is exactly what employers are looking for: people who can bring fresh thinking, adaptability and a practical approach to solving real-world challenges.

Turning the skills gap into opportunity

The green economy is creating exciting opportunities across the US, from renewable energy and EVs to sustainable buildings, technology and environmental management.

The opportunity for education is to help students step confidently into this changing world. That means going beyond the classroom and giving them the chance to work with real organisations, communities and challenges.

Study abroad and experiential learning can play a big part in this. By seeing sustainability in action, students can connect what they learn with the wider economy and start turning knowledge into action.

 

The Kagumu Jaguar Changemaker Grant

At Kagumu Adventures, we believe in helping make those opportunities more accessible. The Kagumu Jaguar Changemaker Grant offers a $500 scholarship to students demonstrates how their studies and study abroad experience will help them create positive environmental or social impact.

The grant is open to eligible students studying sustainability, conservation or related fields, with applications closing December 15, 2026.

 

Data Sources

  • Kagumu Adventures  “Costa Rica Study Abroad: Teaching Climate Change Through Fieldwork” Kagumu Adventures
  • U.S. Department of Energy – U.S. Energy & Employment Report (USEER)  workforce and energy-employment data.
  • Environmental Entrepreneurs (E2) – Clean Jobs America – state-level clean-energy employment data. E2 Clean Jobs America
  • National Center for Education Statistics (NCES) – IPEDS – higher-education and environmental/sustainability degree data. NCES IPEDS
  • U.S. Bureau of Labor Statistics (BLS) – occupational and employment data. U.S. Bureau of Labor Statistics
  • O*NET — Green Economy Taxonomy – green occupations and skills classification. O*NET Green Economy Taxonomy
  • National Renewable Energy Laboratory (NREL) – renewable-energy and regional workforce context.
  • OECD – Future-proofing Workforces for the Green Transition – workforce-development and labour-market context. OECD report
  • PV Magazine – U.S. clean-energy employment growth – recent green-job growth context.
  • Columbia University School of Professional Studies – Green Jobs – green-skills supply and demand context.
  • Lightcast – Green Jobs Now – green-skills hiring and wage-premium context.
  • Center of Sustainability and Excellence – sustainability workforce and hybrid-skills context.
  • Research interviews/survey comments supplied in the Eco Workforce Gap & Green Economy Research Brief, including perspectives from Julio Andrés Rozo, Sistema.bio, Julian Gamboa and Simon Willis.

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