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Just Energy Transition Must Balance Economic Priorities and Decarbonisation

Pretoria: Mineral and Petroleum Resources Minister Gwede Mantashe has emphasised that South Africa must define its own just energy transition on its own terms, prioritising economic survival, energy security, and poverty reduction. The Minister delivered an address at the 8th edition of the Coal and Energy Transition Day held in Johannesburg.

According to South African Government News Agency, Mantashe highlighted that the global energy transition debate has often been influenced by complex geopolitical considerations, with developed nations attempting to dictate the pace and scale of transition for developing countries. He stressed that such an approach is neither practical nor equitable, reducing the conversation to a binary choice between coal and renewable energy. Instead, the focus should be on transitioning from high-carbon to low-carbon emissions while maintaining energy security, industrial competitiveness, and economic growth.

Mantashe further noted that environmental sustainability and economic development must reinforce each other, stating that sustainable development cannot exist where there is widespread unemployment, lack of electricity, or poverty. He pointed out that coal remains a foundational pillar for South Africa's industry and grid stability.

The Minister referenced International Energy Agency research, indicating a global increase in coal demand and production, underscoring the continued global reliance on coal. In South Africa, coal supports numerous jobs, generates export earnings, underpins industrial activity, and provides the majority of electricity supply. Mantashe stated that South Africa's coal reserves could sustain the country for the next 200 years, and the Critical Minerals and Metals Strategy recognizes coal as essential for economic growth, employment, and poverty eradication.

Mantashe acknowledged the significant transformation within the coal sector, now largely black-owned and managed, demonstrating its rapid transformation and contribution to the economy. He attributed the absence of load shedding to Eskom's deliberate investment in improving the Energy Availability Factor of its coal-powered stations, emphasizing the need for a responsible and carefully managed energy transition.

The government is investing in technologies to reduce emissions from coal combustion, such as the Carbon Capture, Utilisation, and Storage Pilot Project in Leandra, Mpumalanga. This project aims to validate geological storage potential and demonstrate the commercial viability of carbon capture technologies. Additionally, the Coal Reimagined Programme led by Mintek seeks to unlock new economic opportunities and strengthen South Africa's position in global mineral value chains.