WEF’s Gomez on the need make the energy transition process more resilient to disruptions

The global energy transition process continues to evolve, with the World Economic Forum (WEF) highlighting both progress and challenges in its latest Energy Transition Index report. Pedro Gomez, the head of oil and gas at the WEF, recently discussed the need to make the energy transition process more resilient to disruptions in an interview with CNBC Africa. The report emphasizes the importance of adapting methodologies to accurately reflect the complexity of the transition. While minor changes were made to the methodology, the focus remains on decarbonization efforts and renewable energy expansion. The report assesses countries based on their current energy performance and readiness for future transitions. It underscores the significance of long-term transition roadmaps, political commitment, stable policy environments, attracting investments, and diversifying energy systems. These factors are essential for countries to improve their scores and progress in the energy transition journey. When it comes to South Africa, Pedro Gomez highlights both opportunities and challenges. The country has shown improvements in environmental sustainability and energy security, particularly in access to electricity and clean cooking fuels. However, South Africa still faces challenges related to its high carbon intensity in the energy mix and supply constraints leading to blackouts. The share of renewables remains lower compared to middle-income countries, while the reliance on coal, although declining, poses hurdles for transitioning to a cleaner energy mix. One of the critical aspects of energy transition is managing the impact on jobs in the fossil fuel sector. With an estimated 17 million net job losses expected globally, addressing the socio-economic implications of the transition is crucial. Pedro Gomez emphasizes the need for a just transition that ensures vulnerable populations are supported during the shift to lower carbon energy systems. He underscores the importance of political support, private sector engagement, and societal involvement in driving successful energy transitions, highlighting the collaborative nature of the process. Despite overall positive progress in energy transition, only 13 countries have made steady gains in the past decade, underscoring the complex nature of the challenge. Gomez emphasizes the need to make the energy transition process more resilient to disruptions like the COVID-19 pandemic and economic crises. Investment in solar energy has been a key trend, signaling a growing interest in renewables. However, vulnerabilities remain, particularly impacting marginalized communities, emphasizing the importance of inclusive and equitable energy transition strategies. As countries navigate the complexities of the energy transition, the WEF's report serves as a roadmap for identifying key areas for improvement and resilience. South Africa's journey towards a cleaner and more diversified energy mix reflects both progress and persistent challenges, highlighting the need for concerted efforts from various stakeholders to drive sustainable energy transitions.