CURRENT AFFAIRS
CURRENT AFFAIRS
Description
India has been ranked 71st in the 2025 Energy Transition Index (ETI) published by the World Economic Forum (WEF). This marks a decline from its previous position of 63rd in 2024. The ETI assesses how well countries are progressing toward a secure, sustainable, and inclusive energy future across 118 economies.
Despite the drop in overall rank, India, along with China, has demonstrated measurable improvements in energy access and readiness for transition, reflecting its continuous efforts in strengthening the energy ecosystem.
Global Rankings Snapshot
The Nordic countries continue to dominate the top positions in the index:
1st: Sweden
2nd: Finland
3rd: Denmark
4th: Norway
5th: Switzerland
Other key rankings include:
China: 12th
United States: 17th
Pakistan: 101st
Democratic Republic of Congo: 118th (last)
The top-performing countries also represent a large share of global GDP, population, and greenhouse gas emissions, indicating their crucial role in the global energy transition journey.
India’s Progress In Energy Transition
India has shown significant strides in improving energy equity by enhancing electricity access and promoting the adoption of cleaner cooking fuels across rural and urban areas. The country has also made progress in:
Strengthening energy governance and regulations
Expanding renewable energy capacity, particularly in solar and wind
Enhancing energy security by diversifying energy sources and boosting domestic production
Factors Impacting India’s ETI Ranking
According to the WEF report, several elements contributed to India’s placement in the index:
Improved rural electrification and grid reliability
A push to reduce dependence on imported fossil fuels
Steady investments in green infrastructure
Regulatory improvements promoting energy affordability and sustainability
Despite these achievements, India’s transition remains challenged by financial constraints, urban energy demand, and technological deployment gaps.
Energy Efficiency And Investment Strength
India performed relatively well in terms of:
Lowering energy intensity
Reducing methane emissions
Creating a favourable investment environment for renewable energy and clean technologies
These factors underscore India's strong investment capacity and growing efficiency, signaling readiness to support future clean energy development.
Global Energy Transition Trends
Out of the 118 assessed countries:
77 showed score improvements compared to previous years
However, only 28% improved in all three dimensions: sustainability, security, and equity
The United States emerged as a global leader in energy security, while India was recognised for progress in investment readiness and efficiency.
Challenges And Risks
Despite the gains, global and domestic challenges persist:
Geopolitical conflicts and economic uncertainties are affecting energy supply chains
Investment shortfalls may hinder deployment of clean technologies
A lack of alignment between innovation in clean energy and its real-world adoption
These issues threaten to slow the pace of energy transition globally.
Path Forward: Key Recommendations
The “Fostering Effective Energy Transition 2025” report emphasises the need for:
Stronger political commitment
Increased financial investments
Enhanced research, innovation, and technical education
Promoting global collaboration to share best practices and technologies
For India and other emerging economies, addressing infrastructure gaps, scaling up renewable investments, and adopting inclusive energy policies will be crucial to accelerate the transition toward a sustainable and secure energy future.
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