India Drops to 71st Place on Energy Transition Index Amid Efficiency and Investment Up

India has dropped to the 71st position on the World Economic Forum’s (WEF) Energy Transition Index for 2025, falling from 63rd place last year. Despite this dip, the nation showed marked improvements in energy efficiency and investment capacity. India, alongside China, demonstrated notable advancements among major economies in enhancing access to energy and boosting readiness for a sustainable transition. 

Sweden retained its top ranking, followed by Finland, Denmark, Norway, and Switzerland. Meanwhile, the US stood at 17th, China at 12th, and Pakistan at 101st, with Congo at the bottom.

Key Drivers and Progress in India’s Energy Transition

India has made considerable progress in recent years, particularly in providing equitable energy access and promoting clean fuel usage. Enhancements in regulatory frameworks, investment in renewables, and reduction in energy intensity and methane emissions have contributed to this progress. 

The WEF highlights that continued upgrades in grid reliability, rural electrification, and reduced reliance on imported energy could strengthen India’s energy security and equity. Furthermore, increasing infrastructure investment, expanding renewable capacity, and focusing on workforce development and financing conditions are seen as essential for India’s future transition.

Global Transition: Progress, Challenges, and Future Outlook

Globally, the shift towards secure, sustainable, and fair energy systems is gaining speed after years of stagnation. Yet, only 28% of the 118 assessed nations made balanced progress across energy security, sustainability, and equity. Despite a record $2 trillion investment in clean energy in 2024, carbon emissions reached an all-time high of 37.8 billion tonnes. 

This surge was fuelled by increased energy demand linked to AI, data centres, cooling needs, and broader electrification. The report stresses that while nations like the US lead in energy security and India in efficiency and investment, rising geopolitical instability, funding gaps, and the lag in deploying clean technology where it’s most needed remain significant roadblocks.

Read more: India's Renewable Energy Share in Total Power Mix Rises to 49% as of April 2025!

Conclusion 

India’s drop in ranking highlights the complexities of energy transition, but its improvements in efficiency and investment signal strong future potential. Continued focus on infrastructure, clean energy, and rural access will be key to accelerating progress, both nationally and globally, amid rising challenges.

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