The United States plans to exit the global initiative aimed at helping developing countries transition from coal, ending financial commitments in Vietnam, Indonesia, and South Africa

The United States is preparing to withdraw from the Just Energy Transition Partnership (JETP), a collaborative effort designed to assist developing nations in moving away from coal and adopting cleaner energy sources. As per the media reports, the decision, which comes after the initiative was first declared in 2021 at the United Nations climate talks in Glasgow, will see the USA end its support for energy transition programs in Vietnam, Indonesia, and South Africa.

According to multiple sources with knowledge of the matter, the USA is expected to pull back from its substantial financial commitments to these countries. In total, USA pledges for Indonesia and Vietnam exceed USD 3 billion, while its commitment for South Africa stands at USD 1.063 billion as part of a larger USD 11.6 billion package. These funds were intended to help these nations reduce their reliance on coal and invest in renewable energy infrastructure.

The JETP initiative, which includes 10 donor nations, was initially aimed at providing loans, guarantees, and grants to help countries like Vietnam, Indonesia, and South Africa transition to more sustainable energy systems. However, sources indicate that the US is withdrawing from all JETP programs, signaling a shift away from its previous commitments to global climate action.

This move follows a broader trend in US foreign policy under President Donald Trump’s administration, which has seen cuts to foreign aid and an increased focus on fossil fuel development. The US State Department has yet to comment on the reported withdrawal.

As the future of JETP now appears uncertain, the sudden shift in US policy raises concerns about the potential impact on clean energy projects in these nations.