SA’s Ramaphosa pushes for renewable energy to avoid carbon tax

South Africa’s President Cyril Ramaphosa cautioned developing nations that carbon taxes proposed by wealthy countries could harm their economies unless they swiftly transition from fossil fuels to green energy.

Speaking at a National Treasury and World Bank climate change conference in Pretoria, Ramaphosa emphasised that South Africa’s heavy reliance on coal for electricity is unsustainable.

As per data from think tank Ember, South Africa produced 709 grams of carbon dioxide per kilowatt hour of energy in 2022, making it the most carbon-intensive major economy that year and placing it among the world’s top 15 greenhouse gas emitters, surpassing countries like Turkey, Italy, France, and Britain.

“Instruments like the European Union’s Carbon Border Adjustment Mechanism ..(have) the potential to cause great damage to developing economies,” Ramaphosa said.

He pointed to recent storms in Cape Town that caused extensive damage to infrastructure as evidence of climate change’s detrimental effects.

The new energy minister has pledged to accelerate the shift to renewable energy, but specific plans remain unclear. While Western donors have offered billions in loans for this transition, officials say the funding falls far short of what is needed.

Despite having significant solar and wind resources, bureaucratic hurdles and policy uncertainty have deterred investors, and the government has delayed the closure of eight coal-fired power stations until 2030 for energy security reasons.

Attribution: Reuters.