22 November, Johannesburg – In a National Treasury and South African Revenue Services (SARS) response to the carbon tax meeting today, the National Treasury agreed to uphold the carbon tax as it is. In response, Greenpeace Africa Climate and Energy Campaigner Thandile Chinyavanhu said: 

“Greenpeace Africa commends the National Treasury for upholding the carbon tax and not giving into the pressure from polluting businesses. The carbon tax is one tool that we have at our disposal for holding polluters accountable, compelling them to fundamentally change their toxic business models, and enabling a just transition. 

“As it stands, the carbon tax could be strengthened in the following ways:

  • Do away with phase 1 of the carbon tax act which enables carbon majors to avoid up to 95% of their tax liability;
  • Remove provisions which enable carbon majors to claim incentives while already facing minimal tax liability; 
  • Remove carbon off-set and sequestration provisions which only serve to undermine decarbonisation efforts and endanger Indigenous communities; and 
  • Clarify how revenue collected from carbon majors will be used towards mitigation and adaptation measures.

“To fully enable a just transition away from fossil fuels, we need to see the political will that will shift systemic priorities from profits towards people. A just transition which prioritises the health and well-being of people and the environment has the potential to do this, while providing relief for South Africa’s energy and unemployment crises [1,2],” ended Chinyavanhu. 

ENDS

Notes to the editor

[1] This is according to the Meridian Economics report, Resolving the Power Crisis Part A: Insights from 2021 – SA’s worst load shedding year so far. 

[2] This is according to a 2019 Greenpeace report, Employment Effects of a Global Energy Transition.

Contact details

Greenpeace Africa Press Desk: [email protected] 

Chris Vlavianos,
Greenpeace Africa Communications Officer,
+2779 883 7036, [email protected]