COP27: U.S., Japan and partners mobilise $20 billion to move Indonesia away from coal
"U.S., Japan and partners mobilise $20 billion to move Indonesia away from coal", 15 November 2022
A coalition of countries will mobilise $20 billion of public and private finance to help Indonesia shut coal power plants and bring forward the sector's peak emissions date by seven years to 2030, the United States, Japan and partners said on Tuesday.
The Indonesia Just Energy Transition Partnership (JETP), more than a year in the making, "is probably the single largest climate finance transaction or partnership ever", a U.S. Treasury official told reporters.
The Indonesia JETP is based on last year's $8.5 billion initiative to help South Africa more quickly decarbonise its power sector that was launched at the COP26 climate summit in Glasgow by the United States, Britain and European Union.
To access the programme's $20 billion worth of grants and concessional loans over a three- to five-year period, Indonesia has committed to capping power sector emissions at 290 million tonnes by 2030, with a peak that year. The public and private sectors have pledged about half of the funds each...
The Treasury official said peak power emissions for Indonesia in 2030 under the plan would be at a level 25% lower than their currently estimated peak in 2037. Indonesia's annual emissions reduction over those years would be larger than Britain's annual power sector emissions, the official said.
The plan will eliminate 300 million tonnes of greenhouse gas emissions through 2030 and a reduction of well over 2 billion tonnes through 2060, the partners said in their statement...