While businesses support decarbonisation, coal remains critical for many industrial operations due to cost, supply security and infrastructure limitations, according to Energy Partners.
South Africa’s push toward decarbonisation may be accelerating, but industry experts warn that the country’s heavy dependence on coal means the transition away from fossil fuels will be far more complex than many policymakers anticipate.
According to Manie de Waal, CEO of Energy Partners, coal remains deeply embedded in South Africa’s industrial economy and cannot simply be switched off without creating major operational and financial risks for businesses.
Coal still accounts for more than 80% of the country’s electricity generation and nearly three quarters of total energy consumption, making it one of the most coal dependent economies in the world.
De Waal said industrial heat generation remains particularly reliant on coal, largely because affordable and reliable alternatives are not yet available at sufficient scale.
