WASHINGTON : The US is withdrawing from the Just Energy Transition Partnership (JETP), a collaboration between richer nations to help developing countries transition from coal to cleaner energy, the US treasury department said on Thursday. Reuters reported on the withdrawal on Wednesday, based on several sources in key participating countries.

Since President Donald Trump returned to office in January, Washington has slashed foreign aid and championed development of fossil fuels. The U.S. state department did not immediately respond to a request for comment. The sources declined to be named as they were not authorised to speak on the matter.

The US's withdrawal from the Just Energy Transition Partnership raises concerns over South Africa's electrification initiatives and broader energy transition commitments.

Japan’s finance minister confirmed the nation will continue to support Indonesia’s energy transition following the exit of the US from a $20 billion initiative to help one of Asia’s biggest polluters shift away from fossil fuels.