ArmInfo. Armenia ranked 65th out of 120 countries in the 2026 Energy Transition Index (ETI) in 2026, scoring 55.2 points—a decline of 1.3 points compared to the previous year. According to the Luys Foundation, this downturn is primarily attributed to a 3.3-point drop in the "Transition Readiness" sub-index and a marginal decrease in "System Performance."
According to the source, within the "Transition Readiness" subindex, the most significant decline was recorded in the "Finance and Investment" category, which dropped from 59.9 to 51.5 points. This drop stems from a reduction in clean energy investment—measured as a percentage of GDP—covering capital allocation toward renewable energy, nuclear power, hydrogen technologies, electric mobility, and other transition-related sectors.
For the "Innovation" indicator, Armenia's score fell from 24.5 to 23.3 points. The report highlights the innovation sector as one of the country's persistent weaknesses in the global assessment.
"In the global ranking, the country has dropped 7 positions compared to the previous year, and 12 positions compared to 2017, indicating a decline in competitiveness in the energy transition," the Luys Foundation study states. While the global average ETI score increased by 2.8 points between 2017 and 2026, Armenia's score declined by 0.3 points. Consequently, Armenia has shifted from outperforming the global average by 0.9 points in 2017 to trailing it by 2.2 points in 2026.
While the report identifies the cost-effectiveness of natural gas as a current relative strength, analysts warn that this advantage could diminish if external economic conditions fluctuate.
"Overall, it is argued that sustainable progress in the energy transition is impossible without improving the investment climate, modernizing infrastructure, stimulating innovation, and developing human capital," the analysts noted.
The full version of the Luys Foundation analysis is available at: https://shorturl.at/hEmfP
