South Africa pitches $84bn plan to shift from coal to clean energy

(Climate Home News, 4 Nov 2022) South Africa has pitched the international community a 1.5 trillion rand ($84bn) plan to kick start the decarbonisation of its coal-dependent economy over the next five years.

President Cyril Ramaphosa presented the 2023-2027 investment plan to his presidential climate commission on Friday. He called the 200+ pager “a blueprint” for an economic transition from fossil fuels to renewable energy, to address South Africa’s frequent blackouts, “unacceptable levels of poverty” and the climate crisis.

“In essence, this investment plan is the first of its kind in both scale and ambition. It provides a vision of a future South Africa which is a leading player in a new low carbon global economy,” Ramaphosa said.

The government estimates it lacks financing for ZAR 700bn ($39bn) – around 44% of its investment needs – and is working to mobilise more funding from other country partners, the private sector and philanthropies.

The $8.5bn coal to clean package wealthy nations have agreed to spend to support the transition will “play an important catalytic role but it is not sufficient to meet the scale of our ambition,” Ramaphosa said.

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Climate Home News, 4 Nov 2022: South Africa pitches $84bn plan to shift from coal to clean energy