Bangladesh improves in energy transition
Energy system performance measures countries’ current energy systems, with a focus on balancing equity, environmental sustainability and energy security
Bangladesh has ranked 109th on the global Energy Transition Index (ETI) 2024, which has assessed the performance of 120 countries on their current energy systems and on their transition-readiness.
According to the report titled "Fostering Effective Energy Transition" released by Geneva-based World Economic Forum (WEF) on 19 June, the country has gone up slightly from 111th on last year's index thanks to an improvement in System Performance score.
We must make sure competition can take place in the energy sector to ensure that demand can be met with supply.
Energy system performance measures countries' current energy systems, with a focus on balancing equity, environmental sustainability and energy security.
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In this category, Bangladesh scored 60.8, which is higher than last year's 59.8.
Transition readiness is split into two groups: core enablers and enabling factors. Core enablers include regulations and political commitment, and finance and investment. Enabling factors include innovation, infrastructure, and education and human capital.
The country's score in this category fell to 25.6 from last year's 26.1.
A country's final ETI score is a composite of its scores on the two sub-indices of system performance and transition-readiness, weighted at 60% and 40% respectively, on a scoring scale of 0-100, where a score of 100 signified the highest global performance on each indicator.
Energy expert Dr Mohammad Tamim told The Business Standard, "The country cannot be ready for transition to renewable sources if proper competition and investment is not fostered. Therefore, policy making parameters have to be adjusted in line with energy transition preparedness."
"We must make sure competition can take place in the energy sector to ensure that demand can be met with supply," he added.
India leads the South Asian Pack
India has ranked first among the South Asian countries at 63rd owing to its significantly higher transition readiness score, followed by Sri Lanka at 69th, Nepal at 100th and Bangladesh.
Pakistan had the lowest rank in the region at 113th.
Bangladesh scored the lowest in the region in terms of transition readiness, but increased its System Performance score from last year's index, now only lower than that of Sri Lankas and India.
Top Global Performers
Sweden, Denmark, Finland and Switzerland lead the rankings, with France entering the top five performers due to its effective energy efficiency policies, resulting in a 12% reduction in energy intensity in 2022 compared to 2021.
Meanwhile, Estonia, Ethiopia and Lebanon have seen the fastest improvements in the past five years, prioritizing off-grid renewable energy to enhance access and sustainability.
Challenges
Global average Energy Transition Index (ETI) scores reached their highest levels, with 107 out of 120 countries making progress over the past decade. However, energy transition momentum has been slowed by setbacks in energy equity, driven by rising energy prices in recent years, while energy security continues to be tested by geopolitical tensions.
"In the past decade, the sustainability dimension of energy system performance has improved with a shift to renewables and the integration of electric vehicles into mainstream use. However, progress has been uneven globally," read the report.
Aside from increased adoption of wind and solar, it has not kept pace with the trajectory needed to reach net zero by 2050, particularly regarding energy efficiency gains, system electrification and adoption of low-carbon energy sources and fuels.
