Eskom’s decision to keep coal power stations running for longer could put billions of rand in funding at risk, the environment department warns.
South Africa is risking a $9.3 billion climate finance pact by delaying the closing of a number of coal-fired power plants, a panel appointed by the country’s environment minister said.
The worst power cuts on record last year prompted Eskom, the state power utility, to delay shutting down the facilities. The JETP partner nations have been understanding of the energy security concerns but a misalignment with the goal of rapid decarbonization to the lower level of an emissions target range the government submitted to the United Nations could risk this finance, the National Environmental Consultative and Advisory Forum said in its report.The UK, US, France, Germany and the European Union signed up to the pact in 2021 while the Netherlands and Denmark joined later.
She accepted the recommendation that retrofitting five of the oldest plants with equipment to reduce sulfur-dioxide pollution was impractical and granted them exemptions until 2030.
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