⁠The Indonesian government has revealed an updated and seemingly ambitious plan to reduce carbon emissions to 250 million tonnes by 2030 and increase renewable energy generation to 44% under its USD 20 billion Just Energy Transition Partnership (JETP). The initial targets were 290 million tonnes by 2030 and an increase in the share of renewables to 34%, respectively. The new targets, however, do not include off-grid systems developed and managed by industries for their use (captive power plants), for which close to 14 gigawatts (GW) of capacity is currently operating, with another 20 GW planned.

The World Bank plans to provide a USD 1 billion loan to South Africa in an effort to help the country’s struggling energy system and the transition to a low-carbon electricity grid. The Development Policy Loan aims to support the restructuring of the power sector through the unbundling of Eskom, South Africa’s power utility, encouraging private investment in renewable energy and strengthening carbon pricing instruments. There will also be technical assistance for better management of the social costs associated with decommissioning coal-fired power stations.

G7 Members have offered Vietnam approximately USD 300 million in grants to wind down its coal use as part of the country’s agreed USD 15.5 billion JETP. Another USD 2.7 billion in concessional loans at low interest rates has also been pledged, with the remainder covered by market-rate loans. As just 2% of the package consists of grants, the Vietnamese government has been reluctant to accept the JETP proposal.

India’s renewable energy investment has so far largely benefited the country’s western and southern states, with coal-rich states set to face financial loss from both declining coal royalties and the need to import electricity. The resulting inter-state policy frictions run the risk of delaying India’s energy transition ambitions. Just transition is one way to rebalance these regional differences.

According to the IEA’s new World Energy Outlook (WEO) 2023, global demand for coal, oil, and natural gas will peak sometime this decade—before 2030—as a result of existing policies implemented by governments thus far. Were governments to fully align their policies with their stated climate ambitions, the peak would be reached sooner still. The projected scenarios, based on current momentum seen across clean energy uptake, economic diversification, and policy, feature in the latest edition of the IEA’s flagship energy analysis report.

The Biden administration will invest USD 10 million this year to rehabilitate former coal mining communities in Colorado, according to the Interior Department. The investment will support local projects that shutter dangerous mine shafts, rehabilitate unstable slopes, improve water quality, and restore water supplies hindered by mining—and consequently create new job opportunities and catalyse economic growth in these areas. The funding will come from the Bipartisan Infrastructure Law and adds to the USD 10 million that the Colorado state government provided for the same purpose last year.

A new just transition research centre launched by four South African trade union federations aims to develop technical expertise to support the workforce during the energy transition. The Congress of South African Trade Unions, the Federation of Unions of South Africa, the National Council of Trade Unions, and the South African Federation of Trade Unions will unite to address the risks posed to workers as the process of restructuring the energy sector in line with climate goals advances.

According to the recent benchmark progress report from Climate Action 100+, the world’s largest investor engagement initiative designed to spur companies into taking climate action, a large majority of focus companies are failing to deliver on just transition. The analysis revealed that only 1% of companies met all three requirements under just transition commitments, while 31% partially met them. Alignment with just transition planning and monitoring is even lower. Only 1% of companies showed full and 9% partial alignment.