Coal power could cost South Africa over R1.6 trillion — and it’s not because of load-shedding 

The European Union’s new carbon border adjustment mechanism, which imposes a cross-border carbon tax on imports from countries heavily reliant on coal power, could cost the South African economy over R1.6 trillion in the next 15 years.  

The tax aims to reduce Europe’s greenhouse gas emissions by 55% by 2030. South Africa’s government has objected to the tax, arguing that it unfairly burdens the country’s economy with the responsibility for climate change.  

The carbon tax is set to be implemented in 2026 and will initially affect South Africa’s iron, steel, and aluminum sectors, with other industries, including plastics and fertilizers, potentially impacted in the future.  

South Africa’s dependence on coal power has been well-documented, and the country is facing an ongoing energy crisis, which has led to load-shedding. 

Read the full article here.