Page 19 - Energize November 2021

NEWS

SA wind industry gives green funding a thumbs up

he South African Wind Energy ‘Accelerating Coal Transition Investment Programme’, formulated by the Climate Investment
Association (SAWEA) has put its Funds (CIF). The programme is the first to target developing countries that lack adequate
Tvoice of support behind the first-of- resources to finance the shift away from coal, which is crucial to limit the global temperature
its-kind green financing deal, announced rise to 1,5°C by 2030.
at COP26 climate talks last week. Speaking “This makes sense as sustainable, cost-effective financing is necessary to enable
on behalf of the wind power industry developing countries to be able to implement their climate change mitigation targets and
and the country’s broader renewable accelerate the required energy transition away from carbon-intensive power production to
energy sector, this deal, which comprises renewable energy,” added Tanton, who also reiterated that this announcement coincides
multi and bi-lateral grants, concessional with the expected parliamentary tabling of South Africa’s Climate Change Bill this month.
loads, guarantees and private investment, Whilst many details as to the structuring of the funds and exactly how it will be utilized
will provide impetus for South Africa’s are still to be ironed out, SAWEA notes there are a number of considerations. This includes
accelerated uptake of green energy. what is referred to as the ‘Just Energy Transition’, which looks at the effect on people
“We view our sector as a key resulting from decommissioning coal-fired power stations, as well as Eskom’s need to
implementer for the country to upgrade and add new transmission lines and renew its distribution network to accommodate
decarbonise its power sector and additional green electrons.
increase its energy availability. Hence, “In a nutshell, we need to remove CO 2 from the atmosphere as fast as possible, and
we look to the various policy makers at the same time we need to drastically increase our Energy Availability Factor, so that we
within the Department of Forestry, can bring a halt to the ongoing and crippling load shedding. The answer to all of this is a
Fisheries and the Environment, the renewables-dominated power system, which is also the most cost-competitive system for
Department of Mineral Resources and South Africa,” concluded Tanton.
Energy; and the Department of Public Cabinet has endorsed a new Nationally Determined Contribution (NDC) range of 420- to
Enterprises to facilitate and lead this 350-million tonnes of carbon dioxide equivalent (Mt CO 2-eq) for 2030, which represented a
transition, which will no doubt be marked improvement on its 2015 pledge of 614 Mt CO 2-eq to 398 Mt CO 2-eq.
abetted by this financing deal,” said The Climate Change Bill is expected to be tabled in Parliament in November 2021. It
Mark Tanton, SAWEA Board Member. provides for a coordinated and integrated response by the economy and society to climate
The US$8,5 package, committed by change and its impacts; provides for the effective management of climate change impacts;
the UK, France, Germany and the USA, is addresses that mitigation efforts should be based on the best available science, evidence
intended to speed South Africa’s transition and information; and gives effect to SA’s international commitments and obligations in
away from coal and represents a new relation to climate change.
model of green financing for emerging
economies. This forms part of the global Contact SAWEA, Phone 010 007-5655, admin@sawea.co.za, https://sawea.org.za

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