FOR IMMEDIATE RELEASE | 7 March 2025
350.org Asia responds to US exit from the Just Energy Transition Partnership
The United States has withdrawn from the Just Energy Transition Partnership (JETP), an international climate financing agreement, backed by rich nations, to help developing countries transition away from coal towards cleaner energy sources. Launched during the UN climate talks in 2021, South Africa was the first country to secure a JETP agreement, with Indonesia securing a partnership during its hosting of the G20 Summit in 2022.
This news comes on the heels of the announcement earlier this year that the United States’ plans to exit the Paris Agreement. Indonesia’s USD 21.6 billion agreement was designed to be financed by all G7 nations, along with Denmark and Norway. While the nominal financial pledge remains unchanged, the retreat of the US from the deal will impact the issuance of grants and transition studies.
The rolling back of climate finance commitments by the world’s richest country is deeply concerning for the future of our planet and communities amid escalating climate chaos and growing economic inequality. But the retreat of the US from its international obligations should not prevent world leaders from channeling critical finance to the world’s most climate-impacted nations.
Speaking at United Nations headquarters in New York on Wednesday, Brazil’s COP30 President André Aranha Corrêa do Lago emphasized the importance of multilateralism and “deep, rapid and sustained cooperation among all countries” to tackle climate change.
Norly Mercado, 350.org Asia Regional Director says:
“Big polluters like the United States are financially obligated to support climate-vulnerable nations. Indeed, the US exit from the JETP sets a dangerous precedent and signals to the rest of the world that the US will no longer be accountable for its climate obligations.
“Big polluters like the United States are financially obligated to support climate-vulnerable nations.
Indeed, the US exit from the JETP sets a dangerous precedent and signals to the rest of the world that the US will no longer be accountable for its climate obligations.”
Norly Mercado, 350.org Asia Regional Director
However, this should not be used as an excuse for developing nations such as Indonesia and Vietnam to delay their own commitments to phase out coal, and accelerate the shift to cleaner renewable energy sources. Money exists to fund Asia’s clean energy future–but it’s concentrated in the hands of billionaires and big polluters. Now more than ever, governments must demonstrate leadership and cooperation in solving the climate crisis by redirecting billionaire wealth to community-led renewable energy.”
Sisilia Nurmala Dewi, 350.org Indonesia Team Lead says:
“While the US withdrawal from JETP will significantly impact the initiative’s momentum and financial structure, Indonesia’s commitments to the Paris Agreement remain binding and scientifically necessary. Indonesia has already established firm, unconditional climate commitments under its existing climate action plans or Nationally Determined Contributions. At last year’s G20 Summit, President Prabowo Subianto also committed to phase out coal plants within 15 years. Indonesia must fulfill these important commitments, regardless of US support.
“Instead of seeing the US withdrawal from the JETP as a setback, Indonesia should seize this opportunity to demonstrate climate leadership by fulfilling its core climate commitments while actively developing alternative funding partnerships with other dedicated nations.
This could include strengthening cooperation with countries such as Germany, Japan, China, and other countries willing to commit to joint climate action.”
Sisilia Nurmala Dewi, 350.org Indonesia Team Lead
Instead of seeing the US withdrawal from the JETP as a setback, Indonesia should seize this opportunity to demonstrate climate leadership by fulfilling its core climate commitments while actively developing alternative funding partnerships with other dedicated nations.
This could include strengthening cooperation with countries such as Germany, Japan, China, and other countries willing to commit to joint climate action. Financing for Indonesia’s just energy transition can also be generated domestically through government policies that redirect substantial fossil fuel subsidies toward renewable energy development.”
Media Contact:
Pascale Hunt
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Ilang-Ilang Quijano
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