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South Africa plans jail time, fines under new emissions rules

South Africa will seek jail time, fines and higher taxes for breaches of proposed rules to govern carbon emissions that will apply to almost all sectors of the economy. The proposed regulations, due to take effect at the beginning of next year, will see the setting of so-called carbon budgets for emitters of climate-warning greenhouse gases. A failure to meet reporting requirements could see executives imprisoned, while exceeding emission limits may trigger a higher carbon-tax rate. “We are the only ones that have this price across our whole economy” with the exception of waste and agriculture, said Jarredine Morris, co-head of the Africa Office of Carbon Trust, a carbon emissions consultancy. It will mean “we really have a way to have industry to start to do things rather than kick the can down the road,” she said.
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South Africa urged to firm up developmental vision for universal electricity access

A leading advocate for the provision of free basic electricity (FBE) to poor South African households has welcomed moves by government to pursue its universal access goal through a “developmental” lens but believes more still needs to be done to firm up what affordable access means and the best ways of achieving that objective. In his Budget Vote speech, Dr Kgosientsho Ramokgopa announced that government’s revised universal access strategy would reframe electrification as a developmental and rights-based obligation rather than a legacy infrastructure backlog.
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Govt sets out plan to derisk private grid projects

Engineering News editor Terence Creamer discusses the launch of the much-anticipated process to shortlist bidders for South Africa’s inaugural procurement of independent transmission projects, or ITPs; how procurement of these projects will be carried out; and the plan to launch a new Credit Guarantee Vehicle to derisk these projects.
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$500m Credit Guarantee Vehicle to be launched in time for first private grid projects

The National Treasury has confirmed that it will inject 20% of the $500-million initial funding required to set up the Credit Guarantee Vehicle (CGV) being established to derisk South African public infrastructure projects that will be built by private investors without recourse to any government guarantees. The CGV will be set up as a private non-life insurance company, regulated by the Prudential Authority, in July 2026; a timeline that is aligned to the scheme supporting the first independent transmission projects (ITPs) that will be procured in the coming months.
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Progress and barriers as South African energy market begins to shift

South Africa’s energy market is changing and becoming more diversified, but barriers and significant constraints also remain ahead on the journey to shape a reliable, inclusive, competitive and decarbonised power sector. These sentiments were highlighted during the ‘How is South Africa’s renewable energy landscape changing?’ webinar hosted by Creamer Media on July 30.
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Prequalification launched for South Africa’s inaugural procurement of independent …

The Department of Electricity and Energy (DEE) has formally launched the first stage of its independent transmission projects (ITP) procurement programme with an invitation for companies to respond to a request for prequalification (RFQ) by September 23. Through the RFQ, the department aims to identify and shortlist prequalified bidders with the technical expertise, financial capacity and experience to build the transmission lines and associated substations to participate in a subsequent request for proposal (RFP).
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Eskom’s legal challenge against traders raises questions over reform momentum

Eskom has launched its long-threatened legal review of the regulator’s decision to grant licences in 2024 to five electricity traders, as well as a cross-border trading licence – a move that has again raised some concern that South Africa’s electricity reforms are stalling. Eskom’s challenge comes despite the fact that similar licences have been approved in favour of several other electricity traders over the past more than ten years and against the backdrop of the recent launch by the National Energy Regulator of South Africa (Nersa) of a process to consult on and Gazette trading rules by June next year.
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Masterplan development on the cards for Namibia–Western Cape hydrogen pipeline

Namibiaʼs Green Hydrogen Mid-Year Review 2025 reports that a conceptual master plan for the cross-border hydrogen pipeline between South Africa and Namibia will be developed between the middle of this year and mid-2026, at an estimated budget of N$30-million. A prefeasibility study covering the project, which will traverse the Western and Northern Cape in South Africa and southern Namibia, was completed in December last year.
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South Africa secures €500m KFW loan to advance the just energy transition

The German Society for Cooperation, or GIZ, has, through KFW Development Bank, concluded a €500-million loan for the implementation of South Africa’s Just Energy Transition (JET). The loan will span 13 years, with a three-year grace period, and accumulate interest at 4.31% a year.
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SAWEM School opens as ‘launchpad’ into competitive electricity market

The National Transmission Company South Africa (NTCSA) has announced the launch of a flagship and mandatory educational programme for those seeking accreditation to participate in the South African Wholesale Electricity Market (SAWEM), which is due to become operational in April next year. Known as the SAWEM School, the three-day-a-month programme kicks off in July, and combines theoretical insight with real-world simulations to prepare independent power producers, aggregators, traders, large customers and other stakeholders for participation in a more open electricity market.
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