NUSA DUA, Nov 15 — A coalition of countries will mobilise US$20 billion of public and private finance to help Indonesia shut coal power plants and bring forward the sector’s peak emissions date by seven years to 2030, the United States, Japan and partners announced today.
To access the programme’s US$20 billion worth of grants and concessional loans over a three- to five-year period, Indonesia has committed to capping power sector emissions at 290 million tonnes by 2030 — and with a peak that same year. The public and private sectors have pledged about half of the funds each.
The plan will eliminate 300 million tons of greenhouse gas emissions through 2030 and a reduction of well over 2 billion tonnes through 2060, the partners said in their statement. Yesterday, Japan announced it would help Indonesia transition away from coal power through public and private institutions, including the state-affiliated Japan Bank for International Cooperation .
The US officials said that public finance would include concessional lending and equity, as well as some grants.