Days before its annual conference in Davos, the World Economic Forum (WEF) reported that the world is experiencing an unprecedented global energy crisis, but that quick fixes will only make the situation worse in the long run
The current energy crisis is driving inflation, slowing economic growth and creating social turmoil, a new report said on Thursday while calling for new solutions that advance a sustainable and inclusive energy transition.
The World Economic Forum (WEF) report, released days before its annual meeting in Davos, said the world is in the grip of an unprecedented global energy crisis but short-term fixes will lead to a bleak future.
To achieve energy security and sustainability, the only solution is to accelerate the low-carbon transition and a comprehensive re-appraisal of energy systems is needed, it added.
Geneva-based WEF, which describes itself as an international organisation for public-private cooperation and is known for holding an annual meeting of top leaders from across the globe every year in the Swiss ski resort town of Davos, called for prioritising solutions that advance both security and sustainability while building resilience to potential shocks.
The report titled 'Securing the Energy Transition', has proposed 10 key actions to align immediate responses with long term goals and a framework to prioritise energy security for a just and sustainable energy transition.
These solutions include prioritising renewable energy investments, plugging methane leaks, maximising electrification, driving consumption efficiencies, and leveraging the excess profits made by energy companies in 2022.
"The energy crisis has brought energy security to the forefront of political and corporate agendas and prompted the need to develop responses that are adapted to how the energy system has evolved and to where it needs to transition," said Roberto Bocca, Head of Shaping the Future of Energy, Materials and Infrastructure, WEF.
"What is now a global crisis is a real opportunity to steer a more direct course towards a secure, sustainable and affordable energy future for everyone. This requires radical collaboration and a pragmatic approach to confront the complexities of the energy transition with immediate actions," Bocca added.