India Ranks 71st on WEF Energy Transition Index 2025

India Ranked 71st on WEF Energy Transition Index 2025

India has been ranked 71st out of 118 countries on the World Economic Forum’s (WEF) Energy Transition Index (ETI) 2025, released recently. The index evaluates countries based on their energy system performance and readiness for transition to a more secure, sustainable, affordable, and inclusive energy future. This assessment is crucial in understanding the global energy transition and its impact on various nations, particularly in the context of reducing global emissions and managing energy demand growth.

Despite slipping from 63rd position in 2024, India and China were recognized for showing the greatest overall improvement among major economies in the context of the global energy transition. Their progress was particularly notable in areas like energy efficiency, renewable energy adoption, and investment capacity for clean energy innovations.

Key Highlights:

• Top 5 Countries: Sweden (1st), followed by Finland, Denmark, Norway, and Switzerland.
• India’s Peers: China (12th), USA (17th), Pakistan (101st), and Congo ranked the lowest.

India showed notable gains in:

• Energy access and equity
• Energy efficiency and reduced energy intensity
• Transition investment environment and clean energy investments

However, challenges such as a high reliance on coal, need for grid modernization to improve grid reliability and address grid congestion, and regional disparities in energy access continue to impact India’s overall ranking. The country also faces issues related to energy prices and the need for robust energy regulations to support its transition efforts, particularly in the realm of finance and investment for sustainable energy projects.

About ETI:

The Energy Transition Index is a benchmark tool developed by the WEF that ranks countries on the basis of:

• System Performance (security, sustainability, equity)
• Transition Readiness (political stability, investment climate, infrastructure, etc.)

The index takes into account factors such as energy security, geopolitical tensions, and the overall energy system structure of each country, including their total energy supply and efforts to reduce CH4 emissions.

Conclusion:

India’s progress in clean energy initiatives, energy diversification, and efficiency measures is commendable, especially considering its growing energy demand. The focus must now shift towards faster grid upgrades, decarbonization, and sustainable energy development policies to climb the ranks in coming years and address delivery bottlenecks in the energy sector.

To improve its standing, India needs to address investment gaps in the energy sector and demonstrate strong political commitment to energy transition progress. By fostering clean energy innovation and implementing effective subsidy reforms, India can accelerate its journey towards a more sustainable and secure energy future.

As the world grapples with the challenges of climate change and the need for sustainable development, India’s efforts in renewable energy capacity expansion and adoption of clean technologies will play a crucial role in shaping the global energy landscape. The country’s ability to balance its energy demand growth with sustainable practices and increase its clean energy investment will be pivotal in determining its future rankings on the Energy Transition Index and its contribution to reducing global emissions.