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South Africa
A 'just transition' shifts from historically high-emisions and exclusive development to low-emissions and inclusive development. A just transition in South Africa’s electricity sector from coal to cleaner energy is critical for climate change mitigation. And to be just, the transition must leave no-one behind. A just transition transaction as a mechanism, mobilises blended finance to fund 1) the accelerated phase out of coal, thereby accelerating a transition from coal to renewable energy and 2) protection of livelihoods of those communities and workers affected.
[Originally posted at https://zivahub.uct.ac.za/articles/report/Just_transition_transaction_in_South_Africa/13022489/files/24983501.pdf]
A 2020 paper which estimates the cost of coal worker protection over 20 years in two scenarios. In scenario 1, an 82% attrition rate is calculated, with 6 600 coal workers needing retraining and re-employment over 20 years. In the second scenario, about 75% of electricity will be decommissioned by 2043 and 32 920 (1 646 per year) workers will need retraining. The estimated cost of a 'just transition' for coal workers over 20 years is R6 billion: salaried compensation costs up to R1.2 billion, retraining at R621 million, relocation costs of R100 million, and regional development and rehabilitation costs of R4 billion.
[Originally posted at https://www.tips.org.za/just-transition/item/4104-estimating-the-cost-of-a-just-transition-in-south-africa-s-coal-sector-protecting-workers-stimulating-regional-development-and-accelerating-a-low-carbon-transition]
A 2022 report which seeks to highlight issues that will need to be considered within the context of IMF's role in supporting South Africa's 'just transition'. (The report focuses on government and civil society. The private sector falls outside its scope.)
[Originally posted at https://www.africaportal.org/publications/exploring-potential-role-imf-supporting-south-africas-just-transition/]
A 2022 research which finds that such institutions have exacerbated South Africa’s prospective stranded asset exposure, and by doing so, have accrued a Stranded Asset Debt (SAD)—as a supply-side counterpart to the demand-side climate debt, which they have also accumulated—perhaps to the tune of at least several dozens of billions of dollars.
[Originally posted at https://onlinelibrary.wiley.com/doi/full/10.1111/anti.12868]
A 2021 paper which reviews the regulatory and policy barriers to renewable energy in the country in relation to global growth, using South Africa as a case study.
[Originally posted at https://www.researchgate.net/publication/352925085_Legal_regulations_and_policy_barriers_to_development_of_renewable_energy_sources_in_South_Africa]
A 2020 study which explores the role of South African banks in mobilising the necessary financial resources for the country’s energy transition, and particularly the two important questions of whether there are presently sufficient funds, and whether the banks are presently promoting or delaying technological innovation in the renewable energy sector.
[Originally posted at https://repository.up.ac.za/bitstream/handle/2263/79625/Mulibana_Transitioning_2020.pdf?sequence=1&isAllowed=y]
A 2015 paper which presents an in-depth and historical analysis of the key features of South Africa’s electricity sector and the stakeholders and beneficiaries operating within it.
[Originally posted at https://www.africaportal.org/publications/the-political-economy-of-decarbonisation-exploring-the-dynamics-of-south-africas-electricity-sector/]
A 2020 paper which explores the theory and global practices of coal gasification, reviews the recent research efforts on advances in the processes and questions if the approach could be a partial contribution towards a just transition in South Africa’s bulk power generation.
[Originally posted at http://ieomsociety.org/harare2020/papers/114.pdf]
A 2022 report which develops five comparative case studies on wind turbine manufacturing and windfarm deployment in Denmark, Germany, England, Scotland and South Africa.
[Originally posted at https://www.thebritishacademy.ac.uk/publications/wind-energy-and-the-just-transition-political-and-socio-economic-pinch-points-in-wind-turbine-manufacturing-and-windfarm-communities-in-europe-and-south-africa/]
Hot Reports
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The COVID 19 pandemic hit India hard in early 2020, with negative GDP growth and a surge in unemployment. In the energy sector, coal fired power generation was already under pressure from overcapacity, low electricity demand growth, and increasingly competitive renewables.
Considerations for a Just and Equitable Energy Transition
As the energy transition accelerates, it is our responsibility, it is our opportunity, to ensure that in addition to contributing to a healthy planet by replacing fossil fuels with clean energy sources, this is accomplished in a just and equitable manner providing prosperity for all.
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