The INETTT Annual Meeting 2025

The INETTT Annual Meeting 2025 brought member think tanks from across the globe to Mexico City for 4 days of in-depth discussions, strategic collaboration and the exchange of knowledge. It was hosted by the International Network of Energy Transition Think Tanks (INETTT) Secretariat and Instituto de Desarrollo, Energía y Ambiente (IDEA).

The meeting unfolded around the two central themes of transforming power systems and decarbonising industry, both critical elements on the path to climate neutrality by mid-century. Throughout the conversations, another core message emerged: embedded equity lies at the heart of successful energy transitions.

Transforming power systems

The power sector is one of the most significant sources of GHG emissions, which have likely peaked, or will do soon. A key driver of its transformation is the expansion of renewables, while at the same time supporting effective grid integration and distribution upgrades. As one participant put it: “Lack of grids keeps the fossil fuels burning.”

Members shared country experiences on grid stability and flexibility, from Mexico, Colombia and Türkiye to India and South Korea. Sector coupling, decentralised renewables and storage are emerging as important solutions, with members across Asia and Africa contributing their experiences to the discussions. A fireside chat highlighted what tomorrow’s power systems will need to deliver stability on the path to 100% renewables.

Reliable and affordable electricity underpins socio-economic growth. The energy transition is not only technological but also a socio-economic transformation. Our work helps ensure transitions support both climate and development goals.

Delivering this transformation means rethinking markets, regulation and infrastructure at scale. Bold policies are essential. Our member think tanks bring independent expertise to policymakers, helping shape solutions across diverse market designs.

The conversations reinforced that the power sector is a lever for the whole economy: “We need to change the framework of how we think about grid stability. It’s not only about building data centres; it’s about supporting low-heat industry, buildings and transport.”

INETTT’s Power Sector Working Group tackles exactly these challenges, with members collaborating across regions to guide one of the most critical areas of the transition. Our sessions in Mexico were also a timely opportunity to agree on priority areas for upcoming INETTT work.

Industrial decarbonisation

Another core theme in Mexico City was industrial decarbonisation. Heavy industry is both energy- and emissions-intensive, yet vital to economic development. Participants discussed how to reconcile these realities while moving towards climate neutrality by mid-century.

Industry accounts for a significant share of emissions and is closely tied to economic growth and energy demand. While high-temperature processes and complex supply chains pose challenges, coordinated policy, strategic siting and clear demand signals can accelerate decarbonisation. Our lively discussions centred on several key elements for success:

· Build industrial strategies around local strengths, such as abundant renewable energy, access to critical minerals or established industrial clusters – considering the implications of cross-border measures such as Article 6 and CBAM.

· Locate new facilities near renewable energy sources to reduce costs, lower carbon intensity and make efficient use of grid and generation capacity.

· Leverage the role of small and medium enterprises in the transition: interesting examples shared included those from Pakistan’s textile industry and tequila companies in Mexico.

· Embed equity through policies that support workers and communities in traditional industries, ensuring a #justtransition.

· Focus on both demand and supply: with examples from Brazil to South Africa, clear signals, supportive policy, market incentives and committed off-takers can turn low-carbon technologies into actionable investments.

· Plan for system-wide coordination: clean electricity for industry must be balanced with residential, health and other economic needs to maximise benefits across society.

Industrial decarbonisation is complex but feasible. Success depends on aligning policy, technology and demand, leveraging local strengths and embedding equity into the transition. With coordinated action, industry can become a driving force for decarbonisation.

INETTT members come from diverse regions with very different industrial landscapes, providing a unique opportunity to share experiences, learn from one another and design country-specific solutions. The network’s dedicated Industry Working Group supports this collaboration, helping members exchange insights, best practices and solutions tailored to their local contexts.

Embedded equity in energy transitions

Energy transitions are not only a technical challenge. They are also deeply socio-economic in nature and embedded equity is central to making them work.

· Discussions highlighted the importance of integrating socio-economics into modelling, so we can anticipate labour market shifts and design the right education, training and industrial policies. This is how we build the enabling framework that maximises benefits for both society and the economy.

· Geopolitics also shapes transitions. Questions of global North-South relations, historical responsibility, trade dynamics and today’s economic order are inseparable from how transitions unfold and who stands to gain… or lose.

· The very meaning of “just energy transition” varies across regions and communities, reflecting different histories, needs and priorities. What unites them is the recognition that transitions must be fair, inclusive and rooted in local realities.

Just transition is not an “add-on” to technical change in the power and industrial sectors. It is what links systems transformation with broader development and equity goals. In the Just Transitions Working Group, our member think tanks work across regions to bring these perspectives to the table, ensuring that socio-economic considerations are part of decision-making from the start.

The conversations at the INETTT’s Annual Meeting 2025 underscored that placing people at the centre of the energy transition is what makes it durable, legitimate and ultimately successful. To learn more about INETTT’s just transition work, check out our recent brief Just energy transitions in developing countries.