India ranks 71st on Energy Transition Index 2025: WE

Context: India has ranked 71 out of 118 countries in the recently launched Energy Transition Index (ETI) by the World Economic Forum

Energy Transition Index (ETI)

Launched By:

  • World Economic Forum (WEF)

Purpose:

  • To rank countries based on their progress in transitioning from fossil fuels to clean energy.


Assessment Framework

Three System Performance Dimensions:

  1. Energy Security:

    • Ensuring stable and resilient energy supply through diverse sources, reliable grid and power systems.

  2. Equity:

    • Universal access to affordable and reliable energy for individuals and industries.

  3. Sustainability:

    • Use of environmentally sustainable energy sources with lower carbon emissions.

Five Transition Readiness Factors:

  1. Political Commitment

  2. Finance and Investment

  3. Innovation

  4. Infrastructure

  5. Education and Human Capital

Indicators & Methodology:

  • 43 indicators across the above dimensions.

  • Scores countries on a scale of 0 to 100 using data from various global sources.


Energy Transition Index 2025 – Global Highlights

  • Top Performers:

    • 1st – Sweden (Score: 77.5)

    • 2nd – Finland

    • 3rd – Denmark

  • Major Economies:

    • China – 12th, US – 17th

  • Progress Overview:

    • While most countries improved, only 28% advanced in all three energy dimensions, showing uneven progress.

    • Despite $2 trillion in clean energy investment in 2024, emissions rose to a record 37.8 billion tonnes, due to a 2.2% increase in energy demand.

    • Demand rise was driven by AI growth, data centres, electrification, and cooling needs in the world’s hottest year.


India-Specific Highlights (2025)

  • Rank:

    • 71st out of 118 countries, down from 63rd in 2024

  • Score:

    • 53.3 / 100

Progress Areas:

  • Reduction in energy intensity and methane (CH₄) emissions.

  • Improvements in energy policies, regulatory framework, and clean energy investments.

Challenges:

  • Grid reliability and rural energy access still need significant improvement.

  • High dependence on imported energy remains a concern.

  • Need for:

    • Greater investment in renewable infrastructure

    • Development of a skilled energy workforce

    • Enhanced financing mechanisms to support transition


Global Implications

  • The top 5 largest economies (China, US, EU, Japan, India) will shape the global energy transition due to:

    • ~50% of global GDP

    • ~50% of world population & energy supply

    • ~2/3 of global emissions

  • Their consumption, investment, and policy decisions will have an outsized impact on the world’s transition to sustainable energy.

Leave a Reply

Your email address will not be published. Required fields are marked *

Scroll to top