The United States has informed the Government of South Africa and the International Partners Group of its withdrawal from the Just Energy Transition Partnership (JETP)
The partnership, originally announced at COP 26, aims to support South Africa to move away from coal and to accelerate its transition to a low emission, climate resilient economy.
The US contribution to South Africa’s Just Energy Transition (JET), as set out in the JET Investment Plan, was $56m in grant funds and $1bn in commercial debt/equity from the US International Development Finance Corporation (DFC).
While the withdrawal of the US is regrettable, the International Partners Group (IPG) remains fully committed to supporting South Africa to deliver its just energy transition. The level of investment made to date and remaining pledges demonstrate this. Over $2.5bn of the IPG pledge has been spent to date. The total pledged funding to support South Africa’s just energy transition also remains higher than the original pledge due to increases in pledges from both the IPG and other development partners who are not part of the IPG. Some partners are exploring possibilities for supporting work previously being carried out by the US.
We look forward to continuing to work with the government of South Africa and other stakeholders to allocate existing funding in support of a just energy transition that will benefit all South Africans. The political, technical and financial support from the IPG remains strong and steadfast.
On behalf of the International Partners Group – United Kingdom, Germany, France, the European Union, Denmark and the Netherlands.
Further Information
overall international pledges is $12.8bn total. This includes over $9bn from IPG and Spain, Switzerland and Canada (excluding Spanish export credits)