Janet Yellen calls for ‘gradual’ coal transition

United States Treasury Secretary Janet Yellen recently concluded a three-country visit to Africa, with stops in Senegal, Zambia, and South Africa. During a media briefing in Johannesburg, she discussed the U.S. administration's commitment to supporting South Africa's gradual energy transition. Yellen emphasized the importance of a 'just' energy transition, stating that an equitable shift away from coal is essential for sustainable economic growth and community empowerment. The United States, in collaboration with international partners, has established the Just Energy Transition Partnership (JET-P) with South Africa to facilitate this transition. South Africa's Just Energy Transition Investment Plan, developed over the course of a year, outlines the need for $98 billion in investments in clean energy, green hydrogen infrastructure, and electric vehicle manufacturing. Yellen highlighted the significant focus on supporting coal miners and mining communities in the transition process, with over 60 billion Rand allocated for initiatives in the Mpumalanga region, a key coal mining area. These investments include job training, community support, infrastructure development, and reskilling programs to ensure that impacted communities are not left behind. President Biden has pledged additional financial support of $45 million for the just transition element, underscoring the U.S. government's commitment to addressing the challenges faced by coal-reliant regions. Yellen called for swift and tangible actions to demonstrate support for coal communities, who are already grappling with unemployment, poverty, and health issues related to coal mining. The urgency of the situation in South Africa demands immediate action to maintain the momentum of the JET-P initiative. At the Conference of Parties (COP27), various organizations committed to investing $500 million in low and middle-income countries with ambitious energy transition agendas. South Africa's alignment with these goals positions it as a prime candidate for collaborative efforts aimed at fostering sustainable energy solutions. Yellen urged stakeholders to consider extending their support to South Africa's JET-P, highlighting the critical role of partnerships in achieving meaningful impact for the country's residents. In conclusion, Janet Yellen's visit underscored the United States' dedication to supporting South Africa's energy transition in a manner that prioritizes equity, community involvement, and economic sustainability. The collaborative efforts outlined in the JET-P framework offer a roadmap for addressing the complex challenges associated with transitioning away from coal reliance, emphasizing the need for immediate and impactful interventions to secure a prosperous future for all South Africans.