Institute for Energy Economics and Financial Analysis (IEEFA): Grantee Spotlight (Q3 2026)

The Giving Green Fund is awarding a restricted grant to the Institute for Energy Economics and Financial Analysis (IEEFA) for its power sector finance program in Indonesia to build the investment roadmap for the 100 GW solar program, analyze subsidy and tariff reform opportunities, and identify pathways to improved financial sustainability of state-owned enterprises (SOEs). Earlier in 2026, we awarded a grant to IEEFA’s India program to develop the financing roadmap for the energy transition for the Indian state of Odisha. IEEFA is an independent energy and financial research organization that analyzes energy markets, investment trends, and policies, with a growing team focused on Indonesia. 

IEEFA's work in Indonesia falls within our philanthropic strategy of decarbonizing Indonesia's power sector and, more specifically, our sub-strategies of advancing policy and regulatory reforms that accelerate clean energy deployment and supporting evidence generation to derisk clean energy and transmission projects. IEEFA’s work in India falls within our philanthropic strategy of decarbonizing India’s power sector and, more specifically, our sub-strategy of providing technical assistance and capacity-building support to state governments and institutions for energy transition planning and implementation. Please see Giving Green's strategy reports for more information, including potential risks and co-benefits, recommended sub-strategies, theory of change, funding need, and key uncertainties. 

Last updated: September 2026

What Is IEEFA?

IEEFA combines rigorous financial and economic analysis with sustained stakeholder engagement, working with governments, financial institutions, regulators, and industry to translate analytical findings into actionable investment and policy decisions. It has core expertise across energy finance, sustainable finance frameworks, climate risk, asset-level investment analysis, and just transition economics. As a global organization, IEEFA has a presence in Asia, Australia, Europe, North America, and South Asia.

IEEFA’s Indonesia team analyzes energy transition-related policies and the financial pathways needed to bridge the gap between the country's net-zero ambitions and implementation. It actively engages key stakeholders in energy policy and investment decision-making—including government agencies, SOEs, financial institutions, investors, and industry leaders—to inform policy development and shape investment decisions.

IEEFA’s India team researches and analyzes energy pricing, subsidy reform, innovative business models, and market design, while convening regulators, financial institutions, and multilateral agencies on sustainable finance and energy transition issues.

What Are We Funding, and How Could It Help Address Climate Change?

Indonesia power sector finance and fiscal reform: Historically, Indonesia’s fossil fuel sector has benefited from disproportionate subsidies, incentives, and market interventions that make clean energy deployment financially unattractive. At the same time, these subsidies and regulated pricing structures weaken the financial position of the state-owned utility, Perusahaan Listrik Negara (PLN), and constrain the country’s fiscal capacity to meet its clean energy targets. We are funding IEEFA to identify opportunities to unlock clean energy investment while strengthening SOEs through the following program workstreams: 

• Solar financing and fiscal roadmap: developing a comprehensive roadmap for the investment requirements and fiscal support mechanisms needed to advance Indonesia's 100 GW solar program, including options to mobilize private capital, green loans, and blended finance.
• Fossil fuel subsidy reform: designing a phased pathway to redirect fossil fuel subsidies toward clean energy investment while assessing the fiscal and economic implications of reform.
• Tariff and SOE reform: assessing electricity and fuel tariff reforms and measures to strengthen the financial sustainability, governance, accountability, and transparency of state-owned energy companies.
• Stakeholder engagement: working with policymakers, SOEs, financial institutions, and industry through policy dialogues, workshops, and other engagements to build consensus around the proposed reforms and support implementation.

The above workstreams generate evidence on the fiscal and financial conditions needed to accelerate renewable energy deployment in Indonesia. The financing roadmap and reform analysis can provide a systematic approach to redirecting public resources toward clean energy while improving the financial position of state-owned energy companies. Greater financial sustainability and clearer investment pathways will be critical to increase investor confidence and mobilize private capital for accelerated deployment of solar and other clean energy projects. 

Financial roadmap for Odisha’s energy transition: We are funding IEEFA to support NITI Aayog—the think tank of India's central government—in developing a sustainable finance roadmap for Odisha’s energy transition. This work supports NITI Aayog’s Accelerating Sustainable State Energy Transition (ASSET) Platform, and includes two workstreams: 

• Category-level finance mapping: translating Odisha's energy transition investment needs into category-level opportunities (e.g., utility-scale renewables, distributed renewables, etc.) that can attract capital.
  
  • Diagnostic and context-setting: analyzing Odisha's energy and economic context, including the role of conventional energy sources, and identifying financing gaps.
  • Projectization: mapping category-level investment opportunities by classifying project categories, identifying suitable financing instruments, and profiling potential capital providers.
  • Risk assessment: evaluating bankability and mapping risk mitigation options using IEEFA's sustainable finance framework.
• Financing roadmap development: building a structured, actionable strategy to mobilize capital for energy transition in Odisha. 
  
  • Roadmap development: developing a comprehensive financing strategy for priority sectors, defining stakeholder roles, and sequencing capital mobilization.
  • Stakeholder engagement: conducting bilateral consultations with government departments, NITI Aayog, financial institutions, and industry to validate findings and build consensus.
  • Validation and dissemination: convening a workshop to refine assumptions, build stakeholder ownership, and disseminate findings.

By linking policy, investment opportunities, and capital mobilization in a single framework, this work strengthens Odisha's capacity to attract clean energy investment and accelerates renewable energy deployment in a state with high socio-economic risks. The approach is designed to be replicable, offering a model for states facing similar transition risks. Co-benefits include economic diversification, reduced fiscal risk from stranded assets, and more equitable transition planning for affected communities.

Why Do We Think IEEFA Will Use This Funding Well?

IEEFA’s Indonesia program: Indonesia’s Ministry of Finance invited IEEFA, in collaboration with GIZ Indonesia—a German development agency supporting Indonesia's sustainable development—to develop the financing roadmap for the 100 GW solar program. The engagement gives IEEFA a direct working relationship with key decision-makers responsible for fiscal policy and a pathway to translate recommendations into national policies.

IEEFA has extensive experience in energy finance analysis, and its Indonesia team brings expertise and direct experience in the power sector. Government ministries, SOEs, investors, and lenders involved in decisions affecting power sector investment read IEEFA’s research and analysis. Its established expertise in energy finance, emerging relationships with government and financial sector stakeholders, and engagement with the Ministry of Finance provide a strong foundation for further work. 

IEEFA’s India program: In addition to specialized expertise in finance, IEEFA has directly applicable experience from its ongoing work in Jharkhand, a state that faces similar transition risks, where it is supporting the state government with a cost of transition framework, financial modeling, and technical assistance to the state’s Just Transition Taskforce. This work has helped develop analytical frameworks and stakeholder engagement approaches that can be adapted for Odisha.

IEEFA’s engagement in supporting NITI Aayog through the ASSET platform creates opportunities to contribute research and analysis that can inform state energy policy. ASSET, NITI Aayog's primary vehicle for supporting state-level energy transitions, is a particularly high-leverage entry point as success in Odisha will create a validated model that can be scaled to other states.

Philanthropic funding for fiscal policy reform to advance clean energy in Indonesia, and technical assistance on developing subnational financing strategies to support energy transition in India, is limited. In Indonesia, the 2025 presidential announcement of a 100 GW solar target by 2029 has created a time-sensitive opportunity, as policymakers explore pathways to create an enabling environment for clean energy projects while reconsidering existing fiscal support for fossil fuels. Similarly, in India, NITI Aayog’s ASSET platform is supporting energy transition planning in Odisha, creating a timely opportunity to accelerate decarbonization efforts in the state. We believe IEEFA’s financial expertise, proven approach across contexts, and institutional positioning in both Indonesia and India position it well to unlock capital flows that would otherwise delay key energy transitions.

We publish grant spotlights to offer transparency to Giving Green Fund donors and resources for those interested in the impact strategies each grant supports. Giving Green believes our Top Climate Nonprofits have the greatest impact potential for large, unrestricted gifts. For several reasons, we also disburse and recommend grants to other organizations surfaced through our research process for work that we believe is at least as impactful as grants to our top recommendations. 

This is a non-partisan analysis (study or research) and is provided for educational purposes. IEEFA is a registered U.S. nonprofit with 501(c)(3) tax-exempt status. As Giving Green is itself a charitable, tax-exempt organization, we are only offering an opinion on IEEFA’s charitable activities under its 501(c)(3) status.

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