Fostering an effective energy transition report released by the World Economic Forum is based on findings from Energy Transition Index 2020.
Energy Transition Index benchmarks countries on their current energy system performance, and also measures their readiness for energy transition to a secure, affordable, sustainable and inclusive future energy system. It is intended to enable policy-makers and businesses to plot courses for a successful energy transition.
Insights of Report
Sweden has topped the index.
India moved up two positions to 74th with improvements on all key parameters of economic growth, environmental sustainability and energy security. Gains for India have come from renewable energy expansion programmes and focus on energy efficiency.
The COVID-19 pandemic has affected the global energy demand, oil prices volatilities and subsequent geopolitical implications, delayed/stalled investments and projects etc.
The report shows that countries are transforming their energy systems, but improvements are not consistent across countries.
With strong correlation between economic inequality and energy poverty they are mutually reinforcing.
The report suggests that countries should follow a sector-specific approach, gradual implementation and distributional considerations are critical for success where a carbon pricing mechanism is established.
Incentives and regulations can increase coverage of corporate commitments to climate action.