Mid-sized players lead rapid workforce growth in Africa

From the newsletter

UK’s Chariot Energy and Norway’s Scatec posted the fastest workforce growth in Africa’s green hydrogen sector over the past year. Analysis from Hydrogen Rising shows Chariot Energy grew by 43.5%, reaching 33 senior staff, while Scatec expanded its workforce by 38%, hiring 122 senior leaders across African markets.

• Chariot Energy is a key player in Morocco's renewable energy sector, while Scatec is undertaking major green hydrogen projects in South Africa and Egypt. These strategic projects likely explain part of the companies' aggressive workforce expansion.

• While larger firms such as TotalEnergies and OCP Group increased their senior employees in absolute numbers, Chariot Energy and Scatec are scaling aggressively relative to their size—demonstrating a nimble, high-growth strategy as they capitalise on Africa’s emerging green hydrogen opportunities.

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• Germany’s publicly traded energy company Siemens Energy ranks third with a 16.48% workforce increase, hiring 238 new senior staff. Siemens’ growth in Africa’s green hydrogen sector is bolstered by its large-scale projects in South Africa and Egypt, demonstrating the company’s ongoing commitment to Africa’s renewable energy transition.

• France-based global integrated energy firm TotalEnergies is in fourth place, with a 16.67% increase in its workforce, hiring 2,657 new employees. While not all of these hires are dedicated to clean hydrogen, the company’s expanding green hydrogen projects across Morocco, Egypt and Mauritania are driving significant growth in its African operations.

• The gap widens between the fourth and fifth companies, with Saudi Arabian firm ACWA Power increasing its workforce by 9.6%, hiring 17 new staff. While its expansion is more modest compared to others, ACWA Power's green hydrogen projects in Morocco and South Africa signal its strategy for steady sector growth.

• AMEA Power, OCP Group, Masdar, CWP Global and Globeleq saw more modest workforce growth, with the lowest percentage increases in new hires. AMEA Power posted a 9.15% increase, while OCP Group followed closely at 7.79%. Masdar had a 6.94% rise, CWP Global at 3.72% and Globeleq at just 1.48%. 

• These slower increases in staff could be due to the larger, more established nature of these companies, which might not need to scale at the same rapid pace as their smaller counterparts. However, despite the slower growth in staffing, these firms remain significant players in Africa’s green hydrogen market, with ongoing projects and investments to solidify their positions.

• A noticeable trend is Scatec's prioritization of sales and business development (BD) staff. While the company grew its senior workforce by 37.9%, hiring 122 new employees, 60% of those hires were focused on expanding its BD team, with 9 new staff specifically recruited for these roles. This targeted strategy suggests that Scatec is positioning itself for aggressive market penetration, particularly in South Africa and Egypt, where it has secured significant green hydrogen projects.

• In contrast, Globeleq experienced a noticeable decline, losing three staff members, resulting in a 10.34% decrease in its workforce. Similarly, CWP Global faced challenges in retaining its sales and BD staff, losing 2 employees in the past year, which translated to a 4.76% drop. These losses could indicate difficulties in maintaining key talent within these crucial departments, particularly as the competition intensifies in the green hydrogen sector.

• CWP Global and OCP Group distinguish themselves with the most academically credentialed senior workforces. With 55% of CWP’s staff and 52% of OCP’s holding master’s degrees, both companies most likely prioritize R&D and technical expertise. This focus on advanced education strengthens their ability to drive innovation, refine production processes and scale operations, all of which are essential to their ongoing success in green hydrogen technologies.

• In a different but equally significant way, Chariot Energy stands out for its highly experienced workforce, boasting an average of 15.8 years of experience per employee. As a mid-sized company, this wealth of expertise provides Chariot with a strategic edge, enabling the company to navigate the complexities of green hydrogen projects with greater precision and efficiency. 

Our take

• Chariot Energy and Scatec’s rapid workforce growth demonstrates the strategic advantage that mid-sized companies can have in a burgeoning sector like green hydrogen. While larger firms may increase their workforce in absolute numbers, mid-sized players are scaling quickly relative to their size. This allows them to be more agile, adapt faster to market demands and position themselves effectively in competitive environments like Africa's green hydrogen sector.

• The losses in sales and BD departments at Globeleq and CWP Global are concerning, highlighting potential challenges in retaining key talent. As competition intensifies in the green hydrogen sector, these setbacks could hinder their ability to secure contracts and capitalise on growth opportunities.

• The rapid workforce growth in Africa’s green hydrogen sector signals a rising demand for talent and expertise, particularly in mid-sized firms like Chariot Energy and Scatec. These trends highlight the sector’s potential for innovation and aggressive market positioning.