Despite the notable progress in the energy transition, concerted efforts are needed to ensure momentum picks up. Actions should be taken to regain
momentum across security, equity and sustainability while advancing transition readiness. The top 10 actions that emerge from the ETI 2024 are:

1. Implement regulations to advance decarbonization. Strong political commitment is needed to ensure progress and continuity in decarbonization policies. While countries must adapt to their specific circumstances, this can
include enabling policies for renewable energy expansion, carbon pricing, green stimulus packages and reducing fossil fuel subsidies. These measures can help to integrate centralized and decentralized renewable energy sources while enhancing energy security and equity.

2. Deliver energy equity for vulnerable households, such as social safety nets and compensatory measures, including cash transfers and temporary basic income initiatives to alleviate energy-related costs. This is key to ensuring fair access to energy across different socioeconomic groups and preventing energy poverty. These initiatives can be ramped up or down in an agile manner based on macroeconomic conditions.

3. Increase investments in clean energy infrastructure. Clean energy investments reached $1.8 trillion in 2023 but remain well below the $4.5 trillion needed annually by 2030.¹⁰¹ Additionally, investment has been concentrated in advanced economies and China. Emerging and developing countries need high-income countries to ramp up support while also ensuring a conducive environment for investments in key areas like clean fuels, electricity and energy storage.

4. Invest in energy efficiency solutions. To meet COP28 target of doubling energy efficiency by 2030, private companies need to focus on accelerated action, investing in energy efficiency, implementing a strong governance process with clear top-level ownership and operationalizing the value chain through effective collaboration. This includes awareness building, mindset shifts, and capability and technology sharing and financing. Governments also need to prioritize policy interventions in this space to enable private sector investments and incentivize people to save energy.

5. Upgrade grid capabilities for more efficient distribution of energy. With increasing electrification and proliferation of decentralized energy, the role of transmission and distribution is gaining prominence and requires a ramp-up in investments. Grids need to maintain reliability while connecting variable loads from renewable sources.

6. Enhance collaboration between sectors and nations. Implement initiatives to attract capital for clean energy projects and enhance the effectiveness of these investments. Foster strong partnerships with philanthropies, development finance institutions and private investors to drive growth in the clean energy sector. As interest rates continue to weigh in on the cost of capital, public and private entities
need to offer favourable terms to accelerate clean energy infrastructure buildout.

7. Lower emission intensity of fossil fuels. Fossil fuels are likely to continue contributing significantly to the overall energy mix in the coming years. However, coal-to-gas switching, focusing on lighter oil products and minimizing oil and gas extraction emissions could help reduce fossil fuel emissions intensity.

8. Drive R&D and adoption of new technologies, including new battery technologies, offshore wind, and green ammonia-based hydrogen for shipping and steel production. Despite the availability of many of these viable solutions, they lack broader accessibility. Investing in digital adoption is important to build data management capabilities, which are essential for accurate product-level emission reporting and green standards. Scaling AI and GenAI use cases can drive efficiency and productivity in the energy system.

9. Accelerate the decarbonization of hard-to-abate sectors. Progress has stalled in hard-to-abate sectors across industry, production and transport. Technology, market and regulatory environments need to deliver cost reduction of green technologies, define clear standards and solidify green premium mechanisms.

10. Prioritize the development of a skilled workforce for the energy sector. This includes reskilling workers affected by the energy transition and providing new skills and capacity building to those who will benefit from newly created jobs. As jobs in carbon-intensive energy sectors are expected to decrease in the coming decades, companies and policy-makers need to help reskill employees to transition to clean energy jobs.

The message from this year’s ETI is clear: there is no time to waste. Decision-makers across the globe must act decisively and collaboratively to accelerate the transition towards an equitable, secure and sustainable energy future.