South African mining faces pressure for fairer tax rules

DW
DW 3M South Africa
South Africa's coal-dependent energy sector is under scrutiny as COP30 seeks fossil fuel elimination. A study warns the Northern Cape may become a 'sacrifice zone' due to pollution and resource extraction.
South African mining faces pressure for fairer tax rules
Why it matters
During COP30, South Africa's coal-heavy energy sector faces criticism as it seeks to transition to cleaner energy. A study presented at the People's Summit warns that the Northern Cape could become a 'sacrifice zone,' burdened by pollution and industrial projects. Environmental experts argue that unfair taxation allows multinationals to profit while local communities are left behind. The study, part of a report from various NGOs, links climate discussions to tax negotiations. It highlights how mining and gas companies benefit from tax incentives, raising questions about development and climate justice. The Northern Cape, shaped by mining, still suffers from health issues linked to past extraction. The government's revival plan includes Special Economic Zones promising investment but raises concerns about environmental impacts and tax losses.
TOPICS

Climate & Environment Climate Change Energy & Power Energy Transition

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