Glossary

Energy Security

Policy

Definition

Energy security refers to a nation's ability to reliably access affordable energy to meet economic and social needs. Energy security is threatened by dependence on imported fossil fuels, supply disruptions, price volatility, and geopolitical conflicts. Renewable energy is a cornerstone of energy security because it reduces dependence on imported oil and gas, leverages domestic resources (sun and wind), and insulates economies from volatile global energy prices. Countries investing in renewable energy infrastructure strengthen energy security while reducing geopolitical risk. This macro trend is driving government mandates and corporate commitments to renewable energy globally. For investors, energy security concerns create structural, long-term demand for renewable energy projects, supporting stable cash flows and project economics over decades.