Green Bonds in South Africa: How green bonds can support South Africa's energy transition

South Africa has a huge opportunity - to be the first coal-based economy in the global south to make a successful transition to a low carbon economy, particularly in the energy sector. With its aging fleet of coalfired power stations , it must build more energy generation capacity both to offset coal closures and to meet the growing demand for energy.

Green bonds are part of the solution to the financing challenge of this transition. They are not by themselves a magic wand but global experience to date has shown they are a vital tool
in harnessing the increasing investor appetite for investments with green and social impacts.

This report outlines the importance and potential for green bonds in South Africa. It provides an overview of the global and South African green bond markets and insights into the use of green and transition bonds to finance a credible transition for South Africa. It includes examples from two of South Africa's largest emitters: Sasol and Eskom


This report and the South Africa work programme is kindly supported by Agora Energiewende.