South African President Cyril Ramaphosa has signed into law a groundbreaking climate change act, establishing emissions caps for major polluters and mandating adaptation plans for all towns and cities.
The Climate Change Bill is designed to help South Africa meet its emissions reduction commitments under the Paris climate agreement. South Africa, known for being the world’s most carbon-intensive major economy and one of the top 15 greenhouse gas emitters, has struggled to meet these targets due to its heavy reliance on coal for electricity.
“This is significant as it marks the first time our climate change response is codified into domestic law,” stated Brandon Abdinor, a lawyer at the Centre for Environmental Rights, a South African non-profit organization. “While much work remains, this act lays the foundational structure for future efforts.”
The new law mandates that each province and municipality assess climate change risks and create response plans. Specific emissions targets will be set for high-emitting sectors such as agriculture, transport, and industry, with relevant ministers tasked with implementing measures to achieve these goals.
Additionally, the environment minister will allocate carbon budgets to large greenhouse gas-emitting companies, setting limits on their emissions over specified periods. Although the law does not impose penalties for exceeding these limits—a point of contention for climate advocates—companies that surpass their budgets may face higher carbon taxes.
“With mandatory carbon budgets now in place, we expect significant emissions reductions from large companies,” said Harald Winkler, a climate policy expert at the University of Cape Town, on X. “Transparency in annual reporting will be crucial.”
This bill signals a potentially more aggressive stance on climate change and renewable energy by South Africa’s new government. Although the new energy minister has pledged to expedite the transition to renewables, detailed plans are still forthcoming.
Funding for the new bill remains uncertain. While Western donors have offered billions of dollars in loans to support the transition, South African officials have indicated that these funds are insufficient to cover the full financial requirements.