Cabinet approves Just Energy Transition Implementation Plan

Monday, November 20, 2023

Cabinet has approved the Just Energy Transition Implementation Plan (JET IP), which will guide South Africa’s transition to a low carbon economy through the scaling up of renewable energy sources.  

The JET IP sets out a number of interventions South Africa needs and investments required for the country to transition to a low carbon and climate resilient economy in line with the National Determined Contributions presented to the United Nations. 

Minister in The Presidency Khumbudzo Ntshavheni said on Monday Cabinet is of the view that the JET IP demonstrates South Africa’s commitment to a just transition in line with the country’s energy needs. 

She said the JET IP will be driven by a combination of reforms in the energy sector, including the Mpumalanga Just Transition, new energy vehicles and green hydrogen, among others.

“The plan further responds to South Africa’s commitments under the Paris Agreement and United Nations Framework Convention on Climate Change as well as NDP [National Development Plan] commitments.

“The Jet IP will enable South Africa to gradually meet its carbon emissions reduction commitments while at same time, it will ensure inclusive economic growth, energy security and employment,” Ntshavheni said during a post-Cabinet media briefing. 

Criminal Assets Recovery Account

Cabinet has also approved the use of monies in the Criminal Asset Recovery Account to fight against illegal mining and other crimes. 

Ntshavheni said R2 172 359 is allocated to fight illicit mining which continues to be a threat to the South African economy.  

“The money is allocated to the SAPS [South African Police Service], SANDF [South African National Defence Force], Department of Home Affairs and Border Management Agency. The SAPS will use the funding to buy vehicles, helicopters, nyalas and will deploy more than 4000 officers for 18 months,” Ntshavheni explained.

Illegal mining and other organised crimes cost South Africa billions of rands each year and it affects the country’s position as an investment destination, the Minister said.

National Petroleum Company Bill

Cabinet has also approved the publication of the South African National Petroleum Company (SANPC) Bill for public comment. 

The Bill gives effect to the Cabinet decision to merge PetroSA, South African Gas Development Company (iGas) and the Strategic Fuel Fund.

Ntshavheni noted that the Bill makes provisions for the establishment of a state-owned company that will ensure South Africa participates meaningfully in oil and gas development. 

“It will also guarantee the country’s security of energy supply to support economic development and growth. The SANPC will oversee strategic planning, coordination and governance of the country’s petroleum resources and this will contribute to development and job creation,” the Minister explained.

Draft National Public Transport Subsidy Policy 

Cabinet also approved the Gazetting of the draft National Public Transport Subsidy Policy for public comment. 

The policy proposes that South Africa’s public transport funding should move from subsidising a particular mode of transport to a user-subsidy model.

“Government recognises that the transport sector is at the heart of the country’s development with most households completely reliant on public transport for mobility.”

African Peer Review Mechanism celebrations  

Meanwhile, Cabinet has considered and supported the request for South Africa to host the 20th anniversary celebrations of the African Peer Review Mechanism (APMR) from 23 to 30 November 2023. 

The Minister said South Africa supports the APRM mission to promote the African Union’s shared values of democratic governance and inclusive development on the continent. 

The 20th anniversary celebrations will include the participation of current and former Heads of State and government, and the African Union Commission. –