Former Labor climate change minister Greg Combet has been picked to head the agency tasked with easing the transition to a renewable energy-fuelled economy.

The ex-union boss will chair the Net Zero Agency, which the Albanese government has established to ensure workers, industries and communities don’t miss out during the push to reach net-zero carbon emissions.

Mr Combet will resign from his chair roles at Industry Super Australia and IFM Investors to take on the full-time position at the government body.

He will be joined by 10 other board members, including economist Professor Ross Garnaut, head of the Australian Energy Regulator Anthea Harris, Australian Council of Trade Unions president Michele O’Neil, and Rio Tinto Australia chief Kellie Parker.

The Albanese government committed to legislating the authority last month to manage the transition.

Assistant Climate Change and Energy Minister Jenny McAllister said the agency would have three main tasks: supporting workers during the transition, co-ordinating business investment, and assisting the most affected communities.

“We want to work with local government or state government, with local institutions that may have been established to deal with this challenge, with union representatives – all sorts of entities that have an interest in seeing our regions transformed,” she said.

Senator McAllister defended the appointment of three union voices to the board.

“These are important questions for workers and we want working people to know that they have a stake in the new economy,” she said.

She added there was also representation from business and economics professions to guide the transition of the energy market and economy.

The Net Zero Agency will start work in July.