Global Energy Transition Index Current Affairs - 2020
On May 13, 2020, the World Economic Forum released Global Energy Transition Index (GET Index). India has moved up to 74th rank showing improvements in key parameters such as energy security, growth and environmental sustainability.
About the index
The World Economic Forum has ranked 115 countries based on GET Index in its report “WEF Fostering Effective Energy Transition 2020 report”. The index has been framed based on the current performance of the energy systems of the countries, environmental sustainability, energy security and also based on indicators such as readiness for transition to sustainable, secure, affordable and inclusive energy systems.
According to the report, 75% of the countries have improved their environmental sustainability.
Sweden has topped the ranking for the third consecutive year. It was followed by Switzerland and Finland. Only France (on the 8th position) and UK (on the 7th position) were the only G20 countries under top 10.
According to the ranking, India and China were the emerging centres of demand in the world.
The United States stood at 32nd rank, Canada at 28th, Brazil at 47th and Australia at 36th rank. For the first time, the US ranked outside top 25%.
The report says that India has made significant improvements by expanding its energy programme. This has been achieved by making bulk procurement of LED bulbs and smart meters and also by launching programmes for labelling of appliances.
Also, India is one of the few counties that has made consistent progress since 2015 according to the report. The report also says that only 11 countries have made significant progress since 2015.
Tags: Energy Security • Environmental Sustainability • Global Energy Transition Index • Inclusive Growth • Smart metering
The Global Energy Transition index 2019 report has been released by the World Economic Forum (WEF). The index compares the energy sectors of 115 countries and analyses their readiness for energy transition. The index benchmarks the countries energy systems based on an “energy triangle”, comprised of energy security and access, economic development and growth, environmental sustainability and how well they are set-up to succeed in the future.
The index takes into account six individual indicators: capital and investment, regulation and political commitment, institutions and governance, institutions and innovative business environment, human capital and consumer participation, and energy system structure.
Global Energy Transition Index 2019
- Sweden has topped the index and is followed by Switzerland and Norway in the top three.
- China is ranked even lower than India in the 82nd position.
- The United Kingdom (UK) is ranked seventh and Singapore has been ranked thirteenth, while Germany, Japan and the US have bagged the seventeenth, eighteenth and the twenty-seventh place respectively.
- Among the Asian Countries, Malaysia is ranked highest at 31st, Sri Lanka is 60th, Bangladesh 90th and Nepal 93rd.
- The report states that the world’s transition to secure, affordable and sustainable energy has stagnated, with little or no progress achieved in the past five years.
- The index notes that continued use of coal for power generation in Asia, increasing commodity prices and slower-than-needed improvements in energy intensity have contributed to this year’s stagnation in performance.
- Even though more people across the globe have access to energy, this has been offset by reduced affordability and almost no progress in making energy systems environmentally sustainable.
Where does India stand?
- India has moved up two places to rank 76th and the report states that India is amongst the countries with high pollution levels and has a relatively high CO2 intensity in its energy system.
- The report also acknowledges the significant strides made by India to improve energy access in recent years. India scores well in the area of regulation and political commitment towards energy transition.
- The report suggests a ground of optimism regarding India despite the current outdated energy system not being ready for the transition because an enabling environment is being built to support the future transition.
- India has ranked low in terms of system performance (ranking 97 and 86, respectively) and has been ranked considerably higher when it comes to readiness (45 and 61, respectively).
- India is the second best in the BRICS group of emerging economies, with Brazil being the best at 46th place globally. India is the only BRICS country to improve its rank since last year.
The Index considers both the current state of the countries’ energy system and their structural readiness to adapt to future energy needs.