Just Energy Transition Partnerships (JET-Ps)

Just Energy Transition Partnerships (JET-Ps) are a structure for accelerating the phase-out of fossil fuels in emerging markets and developing economies, which coordinate financial resources from developed countries and the private sector to partner recipients.

2030 Goals

Learning from the current process, effectively scale JETPs as transformational plans for decarbonization that include stakeholders from across the domestic and international system.
Use the experience gained from the initial group of countries to ensure the challenges encountered are mitigated, as JETPs are extended to other economies.
Determine how JETPs can be used to enable other revenue streams, for example private sector financing and carbon markets, and how these relate to transition financing. Explore additional focus areas within JETPs, such as Just Adaptation and Resilience Transition Plans, to ensure a comprehensive approach that integrates mitigation, adaptation, and resilience

Status
Moderate progress

Four JETPs have been announced to date, with a variety of lessons learned from the development and initial implementation of each. They remain a high-potential source of both public and private financing for early coal phaseout in EMDEs, where domestic financing alone cannot cover the infrastructure burdens of changing to a cleaner energy mix.
An important aspect to engage with is benefit and/or revenue sharing models for impacted communities. This is poorly understood, and there are few models of operationalization.

Relevant Actors & Audiences

Private FIs

Citigroup, HSBC, Bank of America

Public FIs

KfW (Germany), AFD - France, Development Bank of Southern Africa

Multilateral Development Banks

Asian Development Bank (ADB), African Development Bank (AfDB)

Governments

Ministry of Energy and Mineral Resources of Indonesia, MOF of South Africa, United Arab Emirates Just Transition Work Programme

Supportive Stakeholders

Glasgow Financial Alliance for Net Zero (GFANZ), South Africa PCC, Green Cape Development Agency, National Business Initiative, Rockefeller Foundation, The Environmental Defense Fund

International Organizations

International Partners Group (IPG- members: Canada, Denmark, France, Germany, Italy, Japan, Norway, The Netherlands, UK, US).

Leading Countries and Alliances

Vietnam, Indonesia, Senegal, South Africa (existing JETP), Philippines (exploring a JETP), Glasgow Financial Alliance for Net Zero (GFANZ)