Latest news with #EnergyTransitionIndex
Scoop
2 days ago
- Business
- Scoop
Global Energy Transition Gains Ground, According To Energy Transition Index 2025
The World Economic Forum 2025 Energy Transition Index shows the fastest progress since pre-COVID-19, with 65% of countries improving and 28% advancing across all core dimensions – security, sustainability and equity. Sweden, Finland, Denmark, Norway and Switzerland top the Index, driven by strong policy commitment, infrastructure and clean energy diversification. Emerging Europe posted the biggest gains while Emerging Asia outpaced the global average. Despite $2 trillion in clean energy investment in 2024, energy security stalled and emissions hit record highs, highlighting the need for resilient grids, digital infrastructure and targeted capital flows. Read the new report here. Geneva, Switzerland, 18 June 2025 – Global progress towards secure, equitable and sustainable energy is accelerating after years of sluggish gains, according to a World Economic Forum report released today. However, rising geopolitical tensions, investment gaps, and a growing disconnect between clean energy innovation and deployment where it is needed most threaten to undermine momentum. The Fostering Effective Energy Transition 2025 report, developed in collaboration with Accenture, benchmarks the performance of energy systems of 118 countries across three performance dimensions – security, sustainability and equity – and five readiness factors: political commitment, finance and investment, innovation, infrastructure, and education and human capital. In 2025, 65% of countries improved their Energy Transition Index scores, with 28% advancing across all three core dimensions. While advanced economies grapple with grid congestion, high prices and delivery bottlenecks, regions like Emerging Europe and Emerging Asia are making gains, driven by targeted reforms, improved infrastructure and growing clean energy investment. 'Energy systems are evolving at varying speeds,' said Roberto Bocca, Head of the Centre for Energy and Materials, World Economic Forum. 'We are seeing more holistic approaches and visible progress. It is encouraging that 28% of countries, including major energy consumers and producers like Brazil, China, the US and Nigeria, have advanced across multiple dimensions. Staying on track demands urgent investment in fast-growing emerging economies.' The 2025 Energy Transition Index recorded a 1.1% year-on-year gain – the fastest since pre-COVID levels. Equity showed the strongest gains, aided by stable energy prices and subsidy cuts, while sustainability improved thanks to increased renewable energy adoption and improvements in energy efficiency. But energy security stagnated due to inflexible power systems, import reliance and limited diversification. Despite $2 trillion in clean energy investment in 2024, emissions hit a record 37.8 billion tons in the hottest year on record, as energy demand rose 2.2% driven by artificial intelligence (AI), data centres, cooling and electrification. 'AI is the most transformative technology of our lifetimes and the single greatest lever of a more intelligent, adaptive and resilient energy future,' said Muqsit Ashraf, Group Chief Executive for Accenture Strategy. 'Leading companies are harnessing technology, data and AI to accelerate their reinvention and placing people at the core of that change – ultimately becoming more resilient and delivering long-term profitable growth.' Energy Transition Index 2025 scores Sweden, Finland and Denmark topped the Energy Transition Index, reflecting their long-standing policy commitment, robust infrastructure and diversified low-carbon energy systems. Norway and Switzerland rounded out the top five, underscoring renewed momentum in their energy transition. Austria, Latvia and the Netherlands followed closely, with strong performances in equity, clean energy capital flows and renewable energy capacity buildout. Germany and Portugal completed the top 10. Among the top 20, China reached a record 12th place, fueled by its scale and leadership in innovation and clean energy investment. Brazil ranked 15th, leading Latin America with greater energy diversification, lower prices and rising clean energy use. The United Kingdom placed 16th, while the US rose to 17th overall and ranked 1st in energy security, supported by a diversified energy system and strong innovation. India advanced on energy efficiency and investment capacity, while the United Arab Emirates recorded the strongest year-on-year gain in a decade, driven by rapid infrastructure upgrades, targeted subsidy reforms, rising clean energy use and lower energy intensity. The report highlights three system-level priorities to keep the energy transition on track. These include redefining energy security beyond traditional supply concerns to include grid resilience and digital infrastructure; correcting capital imbalances, particularly in emerging economies; and addressing infrastructure bottlenecks, such as permitting delays, workforce gaps and grid capacity, which now constrain progress more than technology availability. To sustain momentum and build resilience, the report calls for adaptive policies to attract long-term capital and foster cooperation; modernise infrastructure; invest in workforce skills and innovation; scale deployment of clean tech, especially in hard-to-abate sectors; and enhancing capital investment in developing economies. Since 2021, over 80% of energy demand growth has come from emerging and developing economies, but more than 90% of clean energy investment has been seen in advanced economies and China, revealing a misalignment between capital flows and future demand. Emerging Europe recorded the strongest gains with notable progress in infrastructure (+8.3%) and equity (+5.8%). Latvia scored the highest, whereas Bosnia and Herzegovina grew the most. Emerging Asia, with leadership from China, followed by Malaysia, has seen regulatory improvements (2.6%) and rising clean energy investment (18.7%). Sub-Saharan Africa also made progress through stronger political commitment and financial flows. Notably, Nigeria made notable progress, rising from 109th place in 2016 to 61st in 2025. These trends underscore the growing impact of targeted reforms and localized transition strategies across diverse markets. The Energy Transition Index emphasises the need for context-specific strategies, as energy systems evolve amid climate pressures, conflict and economic fragmentation. Sustained progress will also depend on resilience, adaptability, and stronger regional and global cooperation.
Economic Times
2 days ago
- Business
- Economic Times
India slips to 71st place on Energy Transition Index; efficiency, investment capacity up
Helped by significant improvement in energy efficiency and investment capacity, India has been ranked 71st on a global Energy Transition Index released on Wednesday by the World Economic topped the list of 118 countries, followed by Finland, Denmark, Norway and Switzerland in the top was ranked 12th, the US was 17th and Pakistan at 101st place. Congo was ranked India's rank has fallen from 63rd last year, the WEF said India and China experienced the greatest overall improvement among large economies, especially in increasing access to energy and strengthening transition WEF said the top five largest economies - China, the US, EU, Japan and India - will ultimately determine the pace and direction of the global energy transition due to their sheer size. Together, they account for around half of the global GDP, population and total energy supply (TES), and also nearly two-thirds of global emissions, giving them an outsized influence through their consumption patterns, investment flows and policy the past decade, India has made significant strides in increasing equity through greater access to energy and clean fuels, while also improving energy regulations and investment in renewable and other clean-energy said that continued improvement in grid reliability, energy access for rural areas and further reducing dependence on imported energy may enable further progress in energy security and equity."Further investment in infrastructure, renewables, labour force development and financing conditions could help boost the country's energy transition," it also made progress in lowering energy intensity and CH4 emissions, creating more favourable energy regulations and increasing clean energy investments, it 77 of 118 countries improved their scores in 2025, the share of countries advancing across all three energy dimensions -- security, sustainability and equity -- was only 28 per cent, highlighting that the majority still progressed US led in energy security, while India advanced in energy efficiency and investment WEF said global progress towards secure, equitable and sustainable energy is accelerating after years of sluggish rising geopolitical tensions, investment gaps, and a growing disconnect between clean energy innovation and deployment where it is needed most threaten to undermine momentum. The Fostering Effective Energy Transition 2025 report, developed in collaboration with Accenture, benchmarked the performance of energy systems of 118 countries across three performance dimensions - security, sustainability and equity - and five readiness factors -- political commitment, finance and investment, innovation, infrastructure, and education and human capital. It noted that despite USD 2 trillion in clean energy investment in 2024, emissions hit a record 37.8 billion tonnes in the hottest year on record, as energy demand rose 2.2 per cent driven by artificial intelligence (AI), data centres, cooling and electrification. PTI
The Wire
3 days ago
- Business
- The Wire
India Slips to Rank 71 on World Economic Forum's Energy Transition Index
From a rank of 63 in 2024, India has now slipped to rank 71 on the World Economic Forum (WEF)'s Energy Transition Index (ETI), which ranks countries on their progress towards energy transition from fossil fuels to clean energy. However, the report that compared the annual progress of 118 countries also noted that India had advanced in energy efficiency and investment capacity. The ETI is a tool developed by the WEF, an international non-profit for public-private cooperation set up in 1971, to quantify the yearly progress of nations in energy transition – the move from high carbon-emitting fuels such as coal to what are generally considered cleaner and renewable fuels such as solar power. The Forum takes into account two main aspects to put together the Index. One is 'system performance', which includes three factors – energy security (the presence of a stable and resilient energy supply through developing a diversity of energy sources as well as grid and power supply reliability), equity (wherein there is access to energy for all, including consumers and industries) and sustainability (promoting energy sources that have lower impacts on the environment such as lower carbon footprints). The second is 'transition readiness', which includes regulation (legal structures that facilitate energy transition), infrastructure, education, innovation and investment capacities. The Index used 43 indicators under these broad categories using data from multiple sources and organisations, and scored countries on a scale of 0 to 100. In 2025, 77 out of 118 countries (65%) recorded an increase in their overall ETI scores, with an average gain of 1.1% that signals 'a broad, though uneven, recovery in transition momentum', the Index report published on Wednesday (June 18) said. Overall, advanced economies dominated the ETI rankings, accounting for 16 of the index's top 20 performers. The top four are all Nordic countries: Sweden, followed by Finland, Denmark and Norway. Sweden, ranked first in the Index, scored 77.5, and had a system performance score of 77 and a transition readiness score of 78.1. How India fared At rank 71, India scored 53.3 on the Index. India's system performance score was 60.4 and transition readiness score 42.7. Major economies 'showed selective gains with potential to lead', the Index report noted. China topped the 'Emerging Asia' category which India is also part of, with a 2.2% year-on-year ETI score gain and the fifth-highest transition readiness score globally, which per the report, was 'driven by strong innovation ecosystems and financial capacity'. The report noted that in the 2025 Index, India advanced in 'energy intensity, methane emissions and regulations and financial investments'. It also claimed that over the past decade, India had made 'significant strides in increasing equity through greater access to energy and clean fuels, while also improving energy regulations and investment in renewable and other clean-energy technologies'. However, it does not provide details on how India did this. Among the challenges that India faces are a consistent improvement in grid reliability, energy access for rural areas and further reducing dependence on imported energy. 'Further investment in infrastructure, renewables, labour force development and financing conditions could help boost the country's energy transition,' the report noted. Overall, the report noted that one of the main challenges that several nations in Asia still face is their huge reliance on fossil fuels. 'While the ETI top ten continue to offer strong examples of long-term leadership, it is the top five largest economies – China, the US, the EU, Japan and India – that will ultimately determine the pace and direction of the global energy transition due to their sheer size,' the report said. The report also underlined that several 'disruptions' – geopolitical, economic and technological – exposed vulnerabilities in global energy systems, thus 'heightening the urgency of securing more resilient, adaptive energy strategies'. These included geopolitical tensions that have intensified, including in the Middle East and Africa. Top among the global risk factors affecting energy transition are armed state conflicts, followed by extreme weather events and geoeconomic confrontation (such as the use of sanctions, tariffs and investment screening).
Time of India
4 days ago
- Business
- Time of India
India slips to 71st place on Energy Transition Index; efficiency, investment capacity up
Helped by significant improvement in energy efficiency and investment capacity, India has been ranked 71st on a global Energy Transition Index released on Wednesday by the World Economic Forum . Sweden topped the list of 118 countries, followed by Finland, Denmark, Norway and Switzerland in the top five. China was ranked 12th, the US was 17th and Pakistan at 101st place. Congo was ranked lowest. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Irish Citizens Should Get This Large Benefit Read More Undo While India's rank has fallen from 63rd last year, the WEF said India and China experienced the greatest overall improvement among large economies, especially in increasing access to energy and strengthening transition readiness. The WEF said the top five largest economies - China, the US, EU, Japan and India - will ultimately determine the pace and direction of the global energy transition due to their sheer size. Live Events Together, they account for around half of the global GDP, population and total energy supply (TES), and also nearly two-thirds of global emissions, giving them an outsized influence through their consumption patterns, investment flows and policy choices. Over the past decade, India has made significant strides in increasing equity through greater access to energy and clean fuels, while also improving energy regulations and investment in renewable and other clean-energy technologies. WEF said that continued improvement in grid reliability, energy access for rural areas and further reducing dependence on imported energy may enable further progress in energy security and equity. "Further investment in infrastructure, renewables, labour force development and financing conditions could help boost the country's energy transition," it added. India also made progress in lowering energy intensity and CH4 emissions, creating more favourable energy regulations and increasing clean energy investments, it said. While 77 of 118 countries improved their scores in 2025, the share of countries advancing across all three energy dimensions -- security, sustainability and equity -- was only 28 per cent, highlighting that the majority still progressed unevenly. The US led in energy security, while India advanced in energy efficiency and investment capacity. The WEF said global progress towards secure, equitable and sustainable energy is accelerating after years of sluggish gains. However, rising geopolitical tensions, investment gaps, and a growing disconnect between clean energy innovation and deployment where it is needed most threaten to undermine momentum. The Fostering Effective Energy Transition 2025 report, developed in collaboration with Accenture, benchmarked the performance of energy systems of 118 countries across three performance dimensions - security, sustainability and equity - and five readiness factors -- political commitment, finance and investment, innovation, infrastructure, and education and human capital. It noted that despite USD 2 trillion in clean energy investment in 2024, emissions hit a record 37.8 billion tonnes in the hottest year on record, as energy demand rose 2.2 per cent driven by artificial intelligence (AI), data centres, cooling and electrification. PTI
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Business Standard
4 days ago
- Business
- Business Standard
India slips to 71st spot on Energy Transition Index; investment capacity up
Helped by significant improvement in energy efficiency and investment capacity, India has been ranked 71st on a global Energy Transition Index released on Wednesday by the World Economic Forum. Sweden topped the list of 118 countries, followed by Finland, Denmark, Norway and Switzerland in the top five. China was ranked 12th, the US was 17th and Pakistan at 101st place. Congo was ranked lowest. While India's rank has fallen from 63rd last year, the WEF said India and China experienced the greatest overall improvement among large economies, especially in increasing access to energy and strengthening transition readiness. The WEF said the top five largest economies China, the US, EU, Japan and India will ultimately determine the pace and direction of the global energy transition due to their sheer size. Together, they account for around half of the global GDP, population and total energy supply (TES), and also nearly two-thirds of global emissions, giving them an outsized influence through their consumption patterns, investment flows and policy choices. Over the past decade, India has made significant strides in increasing equity through greater access to energy and clean fuels, while also improving energy regulations and investment in renewable and other clean-energy technologies. WEF said that continued improvement in grid reliability, energy access for rural areas and further reducing dependence on imported energy may enable further progress in energy security and equity. "Further investment in infrastructure, renewables, labour force development and financing conditions could help boost the country's energy transition," it added. India also made progress in lowering energy intensity and CH4 emissions, creating more favourable energy regulations and increasing clean energy investments, it said. While 77 of 118 countries improved their scores in 2025, the share of countries advancing across all three energy dimensions -- security, sustainability and equity -- was only 28 per cent, highlighting that the majority still progressed unevenly. The US led in energy security, while India advanced in energy efficiency and investment capacity. The WEF said global progress towards secure, equitable and sustainable energy is accelerating after years of sluggish gains. However, rising geopolitical tensions, investment gaps, and a growing disconnect between clean energy innovation and deployment where it is needed most threaten to undermine momentum. The Fostering Effective Energy Transition 2025 report, developed in collaboration with Accenture, benchmarked the performance of energy systems of 118 countries across three performance dimensions security, sustainability and equity and five readiness factors -- political commitment, finance and investment, innovation, infrastructure, and education and human capital. It noted that despite USD 2 trillion in clean energy investment in 2024, emissions hit a record 37.8 billion tonnes in the hottest year on record, as energy demand rose 2.2 per cent driven by artificial intelligence (AI), data centres, cooling and electrification. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
