Latest news with #JETPs
Bloomberg
07-03-2025
- Business
- Bloomberg
Japan, Germany Step Up on Indonesia Climate Deal as US Exits
Japan's finance minister confirmed the nation will continue to support Indonesia's energy transition following the exit of the US from a $20 billion initiative to help one of Asia's biggest polluters shift away from fossil fuels. Global backers of Just Energy Transition Partnerships, or JETPs — which also include a roughly $15.5 billion deal for Vietnam and South Africa's $9.3 billion package — are assessing the financial impacts as US President Donald Trump pulls billions of dollars pledged to climate initiatives.
Zawya
07-03-2025
- Politics
- Zawya
South Africa notes the decision by the United States Government to withdraw from the Just Energy Transition Partnership
USA President Donald Trump signed Executive Order 14162 in terms of which the United States is engaging in a re-prioritisation exercise and is thus revoking and rescinding the U.S. International Climate Finance Plan issued by the previous administration, including policies that were implemented to advance JETP. As a result, effective immediately, the USA has announced the termination of its membership of the International Partners Group (IPG) for JETPs South Africa, Indonesia and Vietnam. With the USA withdrawal, associated financial pledges are also withdrawn. Grant projects that were previously funded and in planning or implementation phases have been cancelled. South Africa notes the decision and remains committed to the implementation of international agreements, including decisions taken at the historic Paris Climate Change Conference. South Africa and other international partners will evaluate the implications of the US withdrawal from the JETP. Distributed by APO Group on behalf of Republic of South Africa: Department of International Relations and Cooperation.
Reuters
26-02-2025
- Business
- Reuters
South Africa's G20 presidency to prioritise climate finance
CAPE TOWN, Feb 26 (Reuters) - South Africa's G20 presidency this year will prioritise efforts to help developing countries finance their shift to a low-carbon economy, President Cyril Ramaphosa said, even as the United States radically scales back its support. President Donald Trump's administration, whose top officials have skipped two meetings of the Group of 20 nations held in South Africa this week and last, has cut overseas aid programmes, raising concerns of a potential clean energy funding shortfall. "Significantly more funding is required to limit (the) global temperature rise in line with the goals of the Paris Agreement, and to do so in a manner that is equitable and just," Ramaphosa said on Wednesday at the opening of a G20 finance ministers and central bankers' meeting in Cape Town. Despite being the first country to agree a so-called Just Energy Transition Partnership (JETP) deal, to help it shift away more quickly from burning climate-damaging coal for energy, South Africa has struggled to get the money it needs. Launched at the U.N. climate conference in 2021, JETPs aim to bring together money from governments, multilateral lenders and the private sector to renewable energy projects in a way that benefits local communities. Similar deals have been struck with countries including Indonesia and Vietnam. However, the U.S. move to cut development funding, and similar actions in Europe where some governments including the United Kingdom are redirecting overseas development cash to defence budgets, has been weighing on minds at the gathering in Cape Town. Major energy companies are also slashing investment in renewables, refocusing on oil and gas. Annual global climate financing has risen since 2018, but the share going to poorer nations in, for example, Africa has lagged, with officials estimating the continent's share at under 5%. AMBITIOUS TARGETS FOR COP30 South Africa will push G20 members to spearhead the drive to set ambitious targets for climate action for the next round of U.N. climate talks in Brazil later this year, Ramaphosa said. "We continue to advocate for greater concessional and grant funding to support the energy transition in developing economies," he said. As droughts, floods and other extreme weather events pick up in frequency and severity, he called for more funding to cushion the least-polluting countries from the worst impacts of climate change, and further development of carbon markets. South Africa will also push for an agreement to harness critical minerals - which are key to the world's energy transition - to support economic growth and decarbonisation, Ramaphosa said. Africa, which has about 30% of the world's critical minerals reserves but attracts only 3% of global energy investments each year, wants to rely on that wealth to fund climate action. "As minerals extraction accelerates to match the needs of the energy transition, the countries and local communities endowed with these resources must be the ones to benefit the most," Ramaphosa said.
Yahoo
26-02-2025
- Business
- Yahoo
South Africa's G20 presidency to prioritise climate finance
By Duncan Miriri CAPE TOWN (Reuters) - South Africa's G20 presidency this year will prioritise efforts to help developing countries finance their shift to a low-carbon economy, President Cyril Ramaphosa said, even as the United States radically scales back its support. President Donald Trump's administration, whose top officials have skipped two meetings of the Group of 20 nations held in South Africa this week and last, has cut overseas aid programmes, raising concerns of a potential clean energy funding shortfall. See for yourself — The Yodel is the go-to source for daily news, entertainment and feel-good stories. By signing up, you agree to our Terms and Privacy Policy. "Significantly more funding is required to limit (the) global temperature rise in line with the goals of the Paris Agreement, and to do so in a manner that is equitable and just," Ramaphosa said on Wednesday at the opening of a G20 finance ministers and central bankers' meeting in Cape Town. Despite being the first country to agree a so-called Just Energy Transition Partnership (JETP) deal, to help it shift away more quickly from burning climate-damaging coal for energy, South Africa has struggled to get the money it needs. Launched at the U.N. climate conference in 2021, JETPs aim to bring together money from governments, multilateral lenders and the private sector to renewable energy projects in a way that benefits local communities. Similar deals have been struck with countries including Indonesia and Vietnam. However, the U.S. move to cut development funding, and similar actions in Europe where some governments including the United Kingdom are redirecting overseas development cash to defence budgets, has been weighing on minds at the gathering in Cape Town. Major energy companies are also slashing investment in renewables, refocusing on oil and gas. Annual global climate financing has risen since 2018, but the share going to poorer nations in, for example, Africa has lagged, with officials estimating the continent's share at under 5%. AMBITIOUS TARGETS FOR COP30 South Africa will push G20 members to spearhead the drive to set ambitious targets for climate action for the next round of U.N. climate talks in Brazil later this year, Ramaphosa said. "We continue to advocate for greater concessional and grant funding to support the energy transition in developing economies," he said. As droughts, floods and other extreme weather events pick up in frequency and severity, he called for more funding to cushion the least-polluting countries from the worst impacts of climate change, and further development of carbon markets. South Africa will also push for an agreement to harness critical minerals - which are key to the world's energy transition - to support economic growth and decarbonisation, Ramaphosa said. Africa, which has about 30% of the world's critical minerals reserves but attracts only 3% of global energy investments each year, wants to rely on that wealth to fund climate action. "As minerals extraction accelerates to match the needs of the energy transition, the countries and local communities endowed with these resources must be the ones to benefit the most," Ramaphosa said.
Euronews
11-02-2025
- Business
- Euronews
Billions of dollars of life-saving climate funds at risk of being stolen or misused, experts warn
Corruption is eating into climate funds in the world's most vulnerable countries, experts warn. For 30 years, Transparency International's Corruption Perceptions Index (CPI) has tracked abuses of power across the world, giving nations a rating out of 100. Many climate-vulnerable nations and recent UN climate summit hosts score poorly in the new 2024 CPI. The findings have worrying implications for projects intended to protect people. "We must urgently root out corruption before it fully derails meaningful climate action,' says CEO of Transparency International Maíra Martini. 'Today, corrupt forces not only shape but often dictate policies and dismantle checks and balances - silencing journalists, activists and anyone fighting for equality and sustainability.' Where are climate funds at risk from corruption? More than two-thirds of countries score below 50 out of 100, according to the report, which ranks 180 places on a scale of zero (highly corrupt) to 100 (very clean). It draws on data from the World Bank, World Economic Forum, private risk and consulting companies, think tanks and other sources. It also reflects the views of experts and business people. The global average rating has remained unchanged at 43, highlighting the need to root out this 'evolving global threat,' in the words of François Valérian, Transparency International's chair. In the context of the climate crisis, it means that billions of dollars of climate funds are at risk of being stolen or misused. Corruption in South Africa (41), Vietnam (40) and Indonesia (37), for example, is endangering the delivery of Just Energy Transition Partnerships (JETPs), the researchers say. These partnerships are designed to help coal-dependent countries embrace a greener future, but Transparency International has found that insufficient safeguards create opportunities for unscrupulous actors to muscle in. In South Africa, around a billion rand (more than €52 million) is stolen each month from Eskom, the state-owned energy provider, according to its former chief executive. Countries suffering the worst impacts of the climate crisis have the lowest scores - including South Sudan (8), Somalia (9) and Venezuela (10). Climate corruption is creeping up in developing countries too Corruption can obstruct climate policies in countries with both high and low ratings, Transparency International says. But it is in wealthy, developed countries that this interference has the most serious impact because it undermines their work to agree on ambitious goals, reduce emissions and support developing countries. The US, for example, fell from 69 to 65 points last year. Mads Christensen, executive director of Greenpeace International, comments that fossil fuel corruption is undermining climate efforts in the country. The organisation is currently being sued by pipeline giant Energy Transfer, which 'is trying to wipe us off the map in the US with a massive, specious lawsuit,' he says. 'It's up to all of us who care about the future to stand up to these corporate bullies, no matter the cost." In Europe, Denmark has obtained the highest score on the index (90) for the seventh year running, closely followed by Finland (88). Kosovo (44) and Moldova (43) have taken significant steps to rise up the rankings in recent years, while France (67), Germany (75), Hungary (41) and Switzerland (81) dropped to their lowest levels yet in 2024. Is corruption holding back climate summits? The report found that transparency from the host countries of recent UN climate summits was also seriously lacking. Azerbaijan, host of last year's COP29 - which granted access to at least 1,773 fossil fuel lobbyists - scored just 22 on the scale. Eyes are turning to COP30 hosts Brazil, which will be responsible for securing last year's finance deal and deciding on a key pledge to transition away from fossil fuels. But in this year's CPI it received an all-time low score of 34. 'Governments and multilateral organisations must embed anti-corruption measures into climate efforts to safeguard finance, rebuild trust and maximise impact,' Martini urges.
