US exits $9.3 billion climate deal with developing nations

"The United States has exited #JETP, a massive climate deal designed to help South Africa, Indonesia and other developing nations transition to #CleanEnergy."

https://www.dw.com/en/us-exits-93-billion-climate-deal-with-developing-nations/a-71847744

Seems China gets all the soft power in clean energy development.

Global plan for early ditch of #coal power hits Indonesia hurdle

"The legal and financial implications of closing Cirebon-1 are a stumbling block. Jakarta is worried that costs for replacing it with renewable energy could reach $1.3 bn, mostly in subsidies to cover more expensive renewable power.

Under #Indonesia's #JETP, richer nations have pledged $20 billion to help the nation with its energy transition, although little of that money has been disbursed."

https://www.reuters.com/sustainability/climate-energy/global-plan-early-ditch-coal-power-hits-indonesia-hurdle-2024-09-25/

@Sustainable2050 @stepien_przemek
#Poland could be a good example for other coal-dependent countries in transition, like #JETP partners South Africa, Indonesia and Vietnam

"#SouthAfrica has secured pledges of $9.3 billion under the so-called Just Energy Transition Partnership — an agreement with Germany, France, the European Union, UK, US, Netherlands and Denmark - in the form of grants, loans and guarantees. While the pact was initially inked in 2021 a series of procedural setbacks and infighting in the South African government over a promise to shut #coal plants has delayed its implementation."

https://www.bloomberg.com/news/articles/2024-07-15/south-africa-to-raise-2-4-billion-from-climate-pact-this-year
#JETP

"#Indonesia, a country that continues to be heavily dependent on coal, has just announced a major investment in a #RenewableEnergy plan, marking an important shift. The funding comes from global lenders and is expected to spur greater investment in Indonesia’s renewable energy sector, as well as support decarbonisation. However, the Asian country will require significantly more funding in the coming decades if it hopes to undergo a meaningful transformation. "

#JETP
https://oilprice.com/Alternative-Energy/Renewable-Energy/Indonesias-20-Billion-Leap-into-Renewable-Energy.html

When "help" looks more like rent-seeking:

"Reviewing leaked documents last month, the Reuters news agency noted that, of the €7.3 billion in public funding committed to Vietnam, only 2% will be as grants, mostly provided by the European Union. Almost the entirety of the funding will be in the form of loans, and a high percentage of those will be at market rates."

#JETP
https://www.dw.com/en/can-southeast-asia-afford-to-retire-its-coal-plants/a-67832965

Everything depends on what the J means in a #JETP deal.

Sure, "The just transition is country and context specific."

But before that, JETPs need to address social, racial, and finance justice on an international level.

Otherwise it's just sparkling colonialism.

I hope environmental and climate justice groups become the watchdogs on these deals, and *hound* the participants until they get it right.

https://rmi.org/jetps-101-helping-emerging-economies-go-from-coal-to-clean/

#Senegal's is the fourth #JETP following deals with #Indonesia, #Vietnam and #SouthAfrica.

"The money will be used to help Senegal achieve its target of 40% of installed capacity from renewable energies by 2030"

Great!

"and a draft investment plan will be finalised within 12 months."

Ummm. Again: this could either jumpstart Senegal, or lead to more crippling debt. We don't know. But the power imbalance does not bode well.

https://www.reuters.com/sustainability/climate-energy/senegal-seals-25-bln-euro-investment-deal-help-renewable-energy-push-2023-06-22/

#Vietnam recently got $15.5 billion in #JETP funding.

While news coverage focused on that amount, this is a deal, I'd love to know the conditions:
What's the #InterestRate?
What are those private funders getting? They're not in it for charity: to them, it's a $10 bn investment. What are the expected returns?

Did Vietnam have to agree to any other concessions, economic or otherwise?

I'm guessing treating climate activists better was not part of the deal?

https://www.reuters.com/sustainability/climate-energy/senegal-seals-25-bln-euro-investment-deal-help-renewable-energy-push-2023-06-22/

What is a Just Energy Transition Partnership?

"The #JETP model focuses on expanding access to both public and #PrivateFinance to support critical and catalytic #energy system #investment needs. The funds come from a group of international countries called the International Partner Group (IPG) and private financial institutions. "

So the private money is there to beef up the national contributions. (for what returns?)

As for the "Just": the devil is in the details.

https://rmi.org/jetps-101-helping-emerging-economies-go-from-coal-to-clean/