The US has quit the Just Energy Transition Partnership (JETP) initiative it helped launch to support several developing countries in their shift away from coal to clean energy, ending its contribution to the $45 billion in climate finance pledged to back their efforts.
The withdrawal is the latest in a rapid-fire series of US funding cuts for work in developing countries after President Donald Trump, a climate change sceptic, came to power in late January. His right-wing administration has since given notice that the US will leave the Paris Agreement, rescinded pledges of $4 billion to the Green Climate Fund, and given up the US seat on the loss and damage fund board.
The JETP initiative was launched in 2021 to great fanfare, with South Africa signing the first deal with the International Partners Group (IPG) – including the European Union, Germany, the UK, France and the US – at the COP26 climate summit in Glasgow.
The group pledged to mobilise an initial $8.5 billion between 2023 and 2027, a total that increased by several billion dollars as the Netherlands and Denmark joined. In 2022, Indonesia negotiated a JETP deal with a $20-billion commitment from the IPG, including $10 billion from commercial investors, followed by Vietnam with $15 billion.
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Last week, the US wrote letters to those three recipient countries – Indonesia, Vietnam and South Africa – informing them of its decision to withdraw funding as part of the IPG, a coalition of donor countries and financial institutions providing funding and other technical support to the deal.
A fourth JETP was agreed with Senegal, but the US was not part of that from the beginning.
Germany described the US decision to exit as “regrettable”. However, German Development State Secretary Jochen Flasbarth said his government is convinced the work of the JETPs “can be continued successfully”.
As Climate Home News reported last year, Germany and the UK disclosed at the COP29 climate summit last year that they were hesitant to pursue additional JETPs and set out the lessons learned so far.
Why rich countries are “reluctant” on additional JETP coal-to-clean deals
But in his statement on the US withdrawal, Flasbarth said the partnerships “have grown”, adding that “the decision to share responsibility between so many partners is now turning out to be very helpful”.
He added that while public funding plays an important role in the JETPs, the mobilisation of private investment “is far more important”. The partnership has been working on the “conducive environment and reliable regulations” to stimulate such investment flows, he noted.
In South Africa, for example, energy legislation reforms laid the foundation for “a market-led boom in renewable energy”, Flasbarth said, meaning that renewables are now mostly cheaper than fossil fuels.
UK climate envoy Rachel Kyte said in South Africa this week that while the US exit is “regrettable”, she believes there is a “clear path forward”, in comments reported by the Financial Times.
Kyte went on to announce additional funding support for South Africa’s JETP to help prepare the country’s wholesale electricity market and explore interim transmission solutions.
‘Dangerous precedent’
While the IPG plans to move on without the US, environmental group 350.org said the US remains morally bound to deliver on its financial obligations to developing countries, adding that the exit is “deeply concerning” for the future of the planet and communities dealing with escalating climate chaos.
“Big polluters like the United States are financially obligated to support climate-vulnerable nations,” said Norly Mercado, Asia regional director at 350.org. Mercado said the US exit sets a “dangerous precedent” and signals to the rest of the world that the second-biggest emitter of planet-heating gases will no longer be accountable for its climate obligations.
Mercado added that the JETP withdrawal by the world’s richest country should not serve as an excuse for developing countries to roll back their commitments to phase out coal and urged them to accelerate the adoption of cleaner renewable energy sources.
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Joanne Yawitch, head of South Africa’s Presidential Just Energy Transition Project Management Unit, said in a statement on Thursday, that the government remains “steadfast in its commitment to achieving a just and equitable energy transition”. She added that the country will seek alternative funding, while other partners in the IPG remain “firmly committed to supporting South Africa’s Just Energy Transition Investment Plan” .
The US pledge to South Africa included grant funding of $56 million and $1 billion in commercial investments, which the JETP unit said did not amount to a significant reduction from the total investment of $13.8 billion.
Thandolwethu Lukuko, Climate Action Network’s director for South Africa, said South Africa had not relied heavily on aid from the US for its JETP – which accounted for about 10% of the initial investment – and could proceed without it, with other partners able to fill the space left by the US.
But, he warned, broader climate policy changes and funding cuts by the US to mechanisms like the Green Climate Fund are “more worrisome” and could affect other countries’ ability to meet their climate goals.
The post US withdraws from coal-to-clean JETP deals for developing nations appeared first on Climate Home News.
US withdraws from coal-to-clean JETP deals for developing nations
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Climate Change
DeBriefed 19 June 2026: Bonn talks end in ‘gridlock’ | Energy’s ‘new era’ | Oceans in climate negotiations
Welcome to Carbon Brief’s DeBriefed.
An essential guide to the week’s key developments relating to climate change.
This week
Bonn talks close
‘SIDE-STEPPING AND STALLING’: UN climate talks in Bonn have ended in “gridlock”, according to Climate Home News. The outlet reported on the failure to balance developing countries’ need for climate-adaptation finance with “richer nations’ desire to move forward” on emissions cuts. It added that both topics were subject to “rule 16”, meaning no agreement could be reached and work will be pushed to the COP31 summit in Turkey. Inside Climate News quoted UN climate executive secretary Simon Stiell, who said the talks had seen “side-stepping and stalling”.
JUST TRANSITION: One “glimmer of hope” came from negotiations on achieving a “just transition”, reported Euronews. The news outlet said negotiators “made headway on operationalising the Belém-Antalya mechanism”, intended to support people in the shift to a low-carbon economy. However, Politico concluded that much of the focus in Bonn had “shift[ed] to efforts outside diplomatic talks – raising questions about the future of global climate negotiations”.
‘ATTACKING SCIENCE’: Agence France-Presse reported on the EU, Switzerland and “dozens of developing nations” warning of “attacks on science” by a “small group of fossil-fuels interests” in Bonn. Table Briefings explained that “the 1.5C target is increasingly being challenged” and the role of the UN climate-science panel – the Intergovernmental Panel on Climate Change (IPCC) – in an upcoming assessment of global climate progress “remains controversial”. See Carbon Brief’s full write-up of the talks for more detail.
US-Iran deal
PRICE DROP: The US and Iran announced that they have reached an interim agreement to halt the war and reopen the strait of Hormuz, reported Bloomberg. Oil prices have fallen, as the “long-awaited deal” began the process of “eas[ing]” the global energy crisis triggered by the conflict, according to the New York Times. The Associated Press noted that high fuel prices will “likely outlast the Iran war”.
‘OIL GLUT’: The Financial Times reported that the International Energy Agency (IEA) has forecast a “glut of oil” emerging next year, if the peace deal holds. The IEA said this would allow countries to build new strategic reserves, as they “review their energy strategies and policies in response to the crisis”, according to Reuters.
‘NEW ERA’: Agence France-Presse reported that oil and gas companies have “few illusions about a return to normal for the Gulf energy industry after more than three months of blockage”. One analyst told the newswire that the war “showed the oil and gas industry that Hormuz risk is no longer just a geopolitical headline”.
Around the world
- OCEAN MONITOR: The Trump administration is “abandoning its plan” to dismantle a $368m ocean monitoring system key for tracking climate change after a “bipartisan backlash on Capitol Hill”, reported the New York Times.
- CORAL HAVEN: The New York Times covered preliminary research, presented at the Our Ocean Conference in Kenya, suggesting there could be three times as many “coral refugia” – where corals are relatively safe from climate change – than previously thought.
- BAD CREDIT: Down to Earth reported that the first carbon credits issued under the Paris Agreement’s new Article 6.4 mechanism are “facing scrutiny over alleged links to institutions controlled by Myanmar’s military junta”.
- OIL BACKTRACK: Reuters reported that oil-and-gas company Equinor has dropped a renewable-energy target and scaled back clean investments, while another Reuters story noted that Shell is selling off its offshore wind assets.
1.1 billion
The number of children facing “at least three overlapping climate hazards”, according to a new Unicef report covered by Agence France-Presse.
Latest climate research
- Including the “permafrost carbon-climate feedback” in climate models increases the chance of exceeding “tipping elements” – such as the Greenland ice sheets, Atlantic Meridional Overturning Circulation or Amazon rainforest – by up to 50% | Environmental Research Letters
- The intensity of influenza outbreaks could decline in temperate regions, but increase in tropical areas over the next century, as the climate warms | PNAS Nexus
- European snow cover has declined by 20% for December and January since the start of the industrial era, revealing an “unprecedented ongoing shrinkage of European winters” | Communications Earth & Environment
(For more, see Carbon Brief’s in-depth daily summaries of the top climate news stories on Monday, Tuesday, Wednesday, Thursday and Friday.)
Captured
The more than 2m battery electric vehicles (BEVs), 1m “plug-in” hybrids (PHEVs) and 100,000 electric vans on UK roads are already saving drivers a total of around £3bn a year, according to new Carbon Brief analysis. This amounts to savings of more than £1,100 a year in fuel costs for each BEV driver in the UK. The analysis comes amid reports in UK media this week that the government is considering “watering down” its EV sales targets.
Spotlight
Oceans rising at UN climate talks
The state of the world’s oceans is inextricably linked to the changing climate – and many delegates at UN climate talks want to see more focus on this issue, reports Carbon Brief.
Oceans are often described as the world’s “greatest ally” against climate change – absorbing 30% of carbon dioxide (CO2) emissions and most of the heat generated by those emissions.
They are also the site of important climate solutions, such as huge offshore windfarms and the shipping industry’s transition to cleaner fuels.
At the same time, the oceans themselves present a growing danger to coastal communities and sea life due to sea level rise, marine heatwaves and ocean acidification.
These diverse issues have led to growing calls within the UN climate process for more focus on oceans. During climate negotiations this week in Bonn – known as SB64 – nations and civil society had a chance to air these views during an “ocean and climate change dialogue”.
‘Elevate action’
Oceans first entered UN climate outcomes in 2019, when the final COP25 negotiated text requested a new “dialogue” on “the ocean and climate change to consider how to strengthen mitigation and adaptation action”.
The following years saw this dialogue established as an annual event. However, the political weight of these discussions has been limited.
COP31 is being co-led by Turkey and Australia, but with Pacific islands playing a supporting role. These small islands sometimes self-identify as “large ocean states”, stressing the ocean’s centrality in their societies.
In Bonn, figures from across the presidency threw their weight behind this issue. Chris Bowen, an Australian minister and incoming COP31 “president of negotiations”, told attendees:
“Australia, Turkey and the Pacific see an important opportunity to elevate ocean-based climate action.”
Strategies and finance
The two-day dialogue in Bonn involved a series of panels, statements and breakout groups.
One of the main topics was how oceans are integrated into national climate plans under the Paris Agreement, known as “nationally determined contributions” (NDCs).
Three-quarters of the latest round of NDCs mention oceans, with conservation of “blue carbon” ecosystems the most frequently described action. (Landscapes such as mangroves can both absorb CO2 and protect coastal areas.)
Delegates also discussed alignment with the UN biodiversity process, as well as ocean finance, which currently makes up less than 1% of all climate finance.
(As discussions were taking place in Bonn, country officials also gathered in Mombasa, Kenya for the 11th Our Ocean Conference. Carbon Brief’s associate editor Giuliana Viglione attended the conference and will publish a full summary shortly.)
Developing countries were clear that many of the ocean-related actions in their NDCs would depend on receiving more financial support.
‘Political momentum’
With the backing of the COP31 presidency, delegates were hopeful about where this year’s dialogue could lead.
Charles Hamilton, an advisor for the Bahamas who spoke for the Alliance of Small Island States (AOSIS) in the dialogue, told Carbon Brief that island representatives “are not traveling thousands of miles to just talk and pat ourselves on the back”. He added:
“A dialogue that just remains a dialogue is just more talk – no action.”
Given that, he said “discussions in the dialogue must move into COP decisions and the decisions must be actioned”, noting the importance of finance.
Marina Corrêa, oceans lead at WWF-Brazil, pointed to an upcoming UN climate change Standing Committee on Finance forum as a space to ramp up pressure on ocean finance.
More broadly, she wanted to see the presidencies translate their support into a “leader-level ocean initiative” that could “mainstream” oceans across negotiations.
“We have a really interesting opportunity, in terms of political momentum,” Corrêa told Carbon Brief.
Watch, read, listen
‘HOTTER THAN HELL’: An episode of the BBC’s Rare Earth podcast titled “hotter than hell” considered the issue of extreme heat, with input from experts and “people facing up to the hottest temperatures on the planet”.
NOT BROKEN?: John Drake, a professor of ecology at the University of Georgia, wrote an essay for Aeon – also re-published as a Guardian “long read” – questioning the framing of ecosystems and climate systems “breaking down”.
ON COURSE: On his Volts podcast, US climate journalist David Roberts interviewed UK climate minister Katie White, quizzing her about whether the UK will “stay the course with its climate plans”.
Coming up
- 20-28 June: London climate action week
- 21 June: Colombia presidential runoff
- 24 June: UK Climate Change Committee progress in reducing emissions 2026 report to parliament
Pick of the jobs
- Mongabay, managing editor – Africa | Salary: Unknown. Location: Global
- Contexte, environment reporter – Brussels | Salary: €45,000-€60,000. Location: Brussels
- Climate 200, communications director | Salary: Unknown. Location: Australia
- Energy Tracker Asia, energy transition correspondent | Salary: $3,000-$4,000 per month. Location: South-east Asia (remote)
DeBriefed is edited by Daisy Dunne. Please send any tips or feedback to debriefed@carbonbrief.org.
This is an online version of Carbon Brief’s weekly DeBriefed email newsletter. Subscribe for free here.
The post DeBriefed 19 June 2026: Bonn talks end in ‘gridlock’ | Energy’s ‘new era’ | Oceans in climate negotiations appeared first on Carbon Brief.
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