Investing.com -- The United States has decided to withdraw from the Just Energy Transition Partnership (JETP), a coalition of 10 donor nations working to assist developing countries in transitioning from coal to cleaner energy sources. This information was shared by several sources involved in the partnership, according to Reuters.

The JETP was first introduced during the U.N. climate talks in Glasgow, Scotland, in 2021. Following its introduction, South Africa, Indonesia, Vietnam, and Senegal were named as the first recipients of loans, financial guarantees, and grants to support their shift away from coal.

On Wednesday, Joanne Yawitch, leader of the Just Energy Transition Project Management Unit in South Africa, confirmed that the U.S. had communicated its decision to withdraw from the plan in South Africa. Two foreign officials in Vietnam with direct knowledge of the situation also confirmed that the U.S. was pulling out of the JETP in Vietnam. One of these officials indicated that the U.S. was exiting all JETP programs, including those in Indonesia.

Additional sources confirmed that the U.S. had withdrawn from the JETP in Indonesia and South Africa. A South Africa-based source within the donor group said, "We have been informed by the U.S. of their withdrawal."

Despite the U.S. withdrawal, the source assured that there is still significant finance available and the International Partners Group remains fully committed to supporting South Africa in its just energy transition through the partnership.

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