The Good, The Bad, and The Ugly
Earlier this year The World Economic Forum published a report titled Fostering Effective-Energy Transition 2018. Within this report researchers explore national energy systems around the world.
In the Fostering Effective-Energy Transition 2018 report, 114 countries are ranked. The report references what it calls the “Energy Transition Index” (ETI). The ETI provides a scoring method for each country’s energy infrastructure in the face of growing climate and supply threats.
The ETI benchmarks data points across “Energy system performance” and “ Transition readiness”. In more details these data sets are explained in an excerpt from the report.
System performance: This measures current performance, based on the delivery of the energy system on the imperatives of the energy triangle, namely promoting an energy system that supports inclusive economic development and growth, secure and reliable access to energy, and environmental sustainability
Transition readiness: This measures the future preparedness of countries’ systems. Transition readiness is defined using six dimensions, which support effective and timely progress in system performance. They are the availability of investment and capital, effective regulation and political commitment, stable institutions and governance, supportive infrastructure and an innovative business environment, human capital, and the ability of the current energy system to accommodate change.
The best performing countries in the report are all European countries:
Best Prepared Counties for Energy Risks
ETI Score – 75.8
ETI Score – 75.0
ETI Score – 72.9
ETI Score – 72.4
ETI Score – 72.4
ETI Score – 69.3
7. United Kingdom
ETI Score – 69.0
ETI Score – 69.0
ETI Score – 68.5
ETI Score – 67.8
Inversely, the countries most at risk to threats facing national energy systems are more spread out across the globe. The countries least prepared for growing climate and supply threats are:
Worst Prepared Counties for Energy Risks
ETI Score – 36.8
113. South Africa
ETI Score – 37.8
112. Kyrgyz Republic
ETI Score – 39.3
ETI Score – 39.6
ETI Score – 40.2
109 Bosnia and Herzegovina
ETI Score -40.6
ETI Score – 40.8
ETI Score – 41.1
106 Iran, Islamic Rep.
ETI Score – 41.3
ETI Score – 41.4
The countries at the bottom of the group all shared weaknesses related to their energy infrastructure security and accessibility. Security and accessibility was the indicator with the biggest gap between highest and lowest performing countries.
Key Findings & Outlook
One of the key findings from this year’s report was that globally we are behind on the Paris Agreement on climate goals. According to data from The World Economic Forum carbon emission levels stayed flat and energy productivity improved by 1.8%, falling short of the 3% per annum threshold believed to be required to meet the Paris climate change agreement.
Energy is at the heart of modern economic prosperity. Technological innovation, changes in climate, policy shifts are all factors creating a world of increasingly complex energy demands. The energy we consume affects many different parts of our lives. From the way we work and live, to the way we communicate and travel. Without enough energy – visions of a high-tech future come to a halt. Global energy systems are experiencing significant change to meet this demand in a sustainable manner. The most important question here is will we have enough time?