US Withdraws from Just Energy Transition Partnerships, Impacting South Africa and Indonesia

The United States has withdrawn from the Just Energy Transition Partnerships (JETP), a multi-billion-dollar initiative aimed at assisting emerging economies in transitioning away from non-renewable energy sources. The withdrawal affects South Africa and Indonesia, both beneficiaries of the program. South Africa was promised $56 million in grants and an additional $1 billion in potential commercial investments under the JETP agreement. According to South African President Cyril Ramaphosa's office, projects previously funded or in planning stages have been canceled. Indonesia's JETP Secretariat head, Paul Butarbutar, confirmed that the US embassy in Jakarta cited an executive order from President Donald Trump as the reason for the withdrawal. While the $21.6 billion pledge from other donors remains, the US exit impacts transition studies and grant funding in Indonesia. UK climate envoy Rachel Kyte called the US withdrawal regrettable, while South Africa's Energy Minister Kgosientsho Ramokgopa affirmed the country's commitment to a just energy transition regardless of the US decision.