A final plan for Indonesia’s $20 billion climate deal could be in place by the end of October, according to Edo Mahendra, the head of the coordinating body for the Just Energy Transition Partnership, or JETP, a financing package President Joko Widodo agreed to last year with wealthy nations and a coalition of global financial institutions.
(Bloomberg) — A final plan for Indonesia’s $20 billion climate deal could be in place by the end of October, according to Edo Mahendra, the head of the coordinating body for the Just Energy Transition Partnership, or JETP, a financing package President Joko Widodo agreed to last year with wealthy nations and a coalition of global financial institutions.
A draft of the investment plan has been distributed to the partner groups — the Group of Seven economies, plus Norway and Denmark, and to the Glasgow Financial Alliance for Net Zero (GFANZ) — who are expected to respond by September. After that, the plan will be open for public consultation.
If all goes well, a final plan could be ready before November, Mahendra said. That would be before the 28th United Nations Climate Change Conference, also known as COP28, begins Nov. 30 in Dubai.
“All eyes are looking at Indonesia’s JETP because this is a new mode of energy financing,” said Mahendra, who has had stints at the United Nations population and economic affairs departments that include looking at climate change and technology.
“This is the test whether it would work or not. So, the stakes are high, it’s high profile. It is my understanding, actually everyone wants this to succeed.”
The launch of the plan was originally scheduled for August. The JETP is supposed to provide affordable financing to help the Southeast Asian nation speed up a transition toward renewable energy and away from coal. But there are still significant disagreements over emissions targets, costs of funds and what projects will qualify.
(Corrects the full name of the Glasgow Financial Alliance for Net Zero)
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