South Africa: R6-Billion - First Estimate of Just Transition in South Africa

analysis

This estimated cost model figure of R6-billion could prove instrumental in shaping the strategies employed to transform the South African economy.

South Africa has a unique opportunity to be the first coal-based economy in the global south to successfully transition to renewable energy -- the energy source of the 21st century. South Africa is also unique because it has an ageing fleet of coal-fired power stations that must be decommissioned over the next 20 years. South Africa has no choice: it must build more energy-generation capacity to offset the closures. But does this mean replacing coal-fired power with more coal-fired power?

The rationale for an energy transition from coal to renewables can be traced back to our Nationally Determined Contributions (NDCs) as part of the Paris Accord. South Africa's international commitment to climate action spells out a Peak-Plateau-Decline trajectory for our carbon emissions. On the domestic front, we have recently witnessed the ratifying of our electricity roadmap to 2030 (the Integrated Resource Plan) that commits South Africa to a decarbonisation pathway hinging on the decommissioning of coal-fired power stations and the rapid uptake of renewable energy.

IRP: lowest-cost energy future hinges on the 'just transition'

The Integrated Resource Plan 2019-2030...

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