India emerged as one of the strongest performers in the global energy transition race, improving its position in the World Economic Forum's (WEF) Energy Transition Index (ETI) 2026 even as global readiness for the shift to cleaner energy systems declined for the first time in more than a decade.
India moved up two places to rank 70th in the index, while Sweden, Finland and Denmark retained the top three positions globally.
"India was one of the strongest improvers globally in the Energy Transition Index 2026, recording one of the largest gains in transition readiness and strengthening its position as a key player in the next phase of the global energy transition," the WEF said.
The report attributed India's progress to stronger energy transition readiness and broad-based system gains, supported by a sharp rise in infrastructure and improvements in equity, sustainability and financial investment.
India's score rose by 1.9 per cent during the year. The report highlighted the country's infrastructure-led clean energy strategy, including expansion of renewable energy capacity, grid development and green hydrogen initiatives.
The proportion of low-carbon jobs in India increased by 24 per cent in 2024. Renewable energy employment reached 1.3 million, up 25 per cent from 2023, with hydropower emerging as the largest source of jobs in the sector.
At the global level, the report painted a more challenging picture. The WEF said the energy landscape has become increasingly fragmented and security-driven as countries attempt to balance sustainability, affordability and resilience goals.
Despite record clean energy investment in 2025, global transition momentum weakened. The report noted that transition readiness declined for the first time in over a decade, even as total energy investment touched USD 3.3 trillion, including USD 2.3 trillion in clean energy.
Developed in collaboration with Accenture, the report found that the global energy transition — defined as progress toward more sustainable, equitable and secure energy systems — has stalled despite unprecedented capital deployment.
The research pointed to a growing disconnect between investment and transition readiness, indicating that funding alone may no longer be sufficient to sustain progress.
The WEF also cited disruptions in the Strait of Hormuz as an example of vulnerabilities in global energy systems already under pressure from rising demand, infrastructure constraints and concentrated clean energy investments.
The Energy Transition Index evaluates countries on energy security, sustainability and equity, along with the readiness of their policy, financial and infrastructure environments to support the transition.
Nordic nations continued to dominate the rankings, while Singapore posted one of the largest improvements, climbing 10 places to 42nd due to stronger regulations and political commitment.
Advanced economies occupied 14 of the top 20 positions, although overall progress remained limited, with average scores increasing by only 0.2 per cent year-on-year.
Six G20 members featured in the top 20: Germany (9th), France (10th), the United Kingdom (11th), China (14th), Brazil (17th) and the United States (19th).
"Among major economies, China continued to scale clean energy investment at record levels, India recorded one of the strongest gains in transition readiness, while the United States maintained strong energy security performance despite slipping modestly overall," it said.
The report also flagged rising electricity demand as a major challenge for the energy transition. Global power demand grew 3 per cent, driven by electrification, cooling requirements, digital infrastructure and artificial intelligence.
Emerging economies accounted for around 80 per cent of this demand growth but continued to face higher financing costs and infrastructure deficits.
Published for the past 16 years, the Energy Transition Index assesses 120 countries using 44 indicators to measure current energy system performance and preparedness for future energy needs.