Fair Finance Asia (FFA), in collaboration with Think Policy Society (TPS), ResponsiBank Indonesia, Fair Finance Guide Japan, and Fair Finance Philippines, has launched a video, titled, “Accelerating Asia’s Energy Transition: What’s Finance Got to Do With It?” The video highlights the urgency for accelerating a just, inclusive, and equitable shift from fossil fuel-based power generation to renewable energy in Asia that aligns with the 1.5-degree Celsius commitment under the Paris Agreement, and the critical role that financial institutions play in this process. 

According to a 2022 FFA and Stockholm Environment Institute (SEI) study, many Asian countries like Indonesia are currently experiencing an energy addition instead of an energy transition due to a slow uptake of renewable energy policies. Renewable capacity is growing but fossil fuels are not being phased out. In addition, the justice element is often overlooked, leaving marginalized communities, workers, and local ecosystems to bear the brunt of the transition’s impacts. 

The video highlights that the global transition from fossil fuels to renewable energy requires scaling up the mining of transition minerals. However, without a total policy overhaul from the private and public sectors, we are bound to repeat the same mistakes of the fossil fuel era where power generation projects ended up irreparably harming communities and the environment. 

Despite these challenges, the video showcases the resilience of local communities that continue to demand accountability and justice, calling on financial institutions, companies, and governments to prioritize climate action and human rights and environmental safeguards in their financing decisions. 

Watch the video here. 

To learn more about Think Policy Society, click here.