The Minister of Finance, Mr Enoch Godongwana, told Members of the National Assembly when he delivered his budget speech yesterday that together with climate change, the lack of a reliable electricity supply is the biggest threat facing South Africa’s economy.
“Part of addressing the persistent electricity supply shortage must involve implementing a just transition to a low-carbon economy. Climate change poses considerable risks and constraints to sustainable economic growth in South Africa,” he said.
South Africa is among the most water-scarce countries in the world, and recent events have shown that extreme weather events such as floods, heatwaves and drought are occurring more often. The government believes its’ Just Energy Transition plan addresses these climate challenges. “Through the Just Energy Transition Investment Plan, launched by the President in 2022 at the COP27, the country will make significant invests in our economy over the next five years, supported by a coherent industrial policy to enable innovation and economic diversification,” the Minister said.
Mr Godongwana reassured his listeners in the National Assembly that communities tied to high carbon-emitting energy industries will not be left behind. They will be provided with new skills and new economic and employment opportunities. The aim is to significantly lower emissions of greenhouse gases and harness investments in new energy technologies, electric vehicles and energy-efficient appliances.
Sibongile Maputi
23 February 2023
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