Germany is in talks to provide an additional €720 million ($845 million) to South Africa to support its shift from coal to cleaner energy under the Just Energy Transition Partnership (JETP). If approved, Germany’s total contribution to the programme would rise to €2.68 billion.

The JETP is a climate-finance initiative involving South Africa and several wealthy nations. It aims to help the country invest in renewable energy, upgrade its electricity grid, and manage the social and economic effects of moving away from coal. About 80% of South Africa’s electricity currently comes from coal, making it the most carbon-intensive economy in the G20.

Rainer Baake, Germany’s special envoy for the programme, said the new funding would build on previous support, including a €500 million concessional loan approved in July 2025 and earlier commitments totaling €1.3 billion. The JETP itself is part of a larger $8.3 billion package, with contributions also coming from France, the UK, the US, and the European Union.

South Africa’s Finance Minister, Enoch Godongwana, said the financing would strengthen the country’s energy security in the short and medium term, while supporting long-term plans to reduce carbon emissions. The funds are expected to accelerate renewable energy projects, modernise the national power grid, and help communities affected by the coal-to-clean-energy transition.