U.S. Withdrawal Won't Impede Indonesia's Clean Energy Ambitions

The U.S.'s withdrawal from the Just Energy Transition Partnership will not affect the other nations' commitment to support Indonesia's clean energy transition, says Airlangga Hartarto. The U.S. was contributing $2 billion to Indonesia, part of a $20 billion commitment from developed countries collaborating to reduce emissions globally.

The United States' exit from the Just Energy Transition Partnership (JETP) will not deter other participating nations from aiding Indonesia's transition to cleaner energy. According to a senior Indonesian minister, the U.S. withdrawal is not a setback, maintaining the overall commitment to the initiative.

JETP, which involves financial pledges from wealthier countries and international lenders, aims to help less affluent nations reduce carbon emissions. For Indonesia, this meant access to $20 billion, with $2 billion originally promised by the U.S. through various financial instruments. However, Japan and Germany will now co-lead the efforts.

Despite the U.S. pulling out, Indonesia remains steadfast in its goal to achieve net-zero emissions by 2060, or sooner. Under the JETP framework, Indonesia plans to dramatically cut carbon emissions while increasing its renewable energy share to 44% by 2030. The nation intends to continue its projects and seek alternative funding sources.

(With inputs from agencies.)