ANNOUNCEMENT 29 Nov 2011
The South African Government has announced a new policy to promote the development of the green economy. Among the measures announced, it has included local content requirements (LCRs) and low-cost loans.
NUMBER OF INTERVENTIONS
South African Government. Newsroom. Media Statements. "South Africa's Green Economy Accord" of 21 November 2011. Available at: https://www.gov.za/south-africas-green-economy-accord
On 21 November 2011, the South African Executive has launched the Green Economy Accord, a new national policy that seeks to promote the use of renewable energies and the development of a green economy.
One of the key measures presented in the new legislation aiming at increasing the local industrial capacity is the establishment of local content requirements for solar and wind energy installations. In this sense, the initial LCR has been targeted at 35% with the intention to increase it up to 75%.
The Green Economy Accord that has been launched by the South African Executive on 21 November 2011, also includes the distribution of loans with beneficial interest rates. These loans are to be distributed by the Industrial Development Corporations, a national development finance institution which will distribute up to ZAR 25 billion (over USD 3 billion at the time of the announcement). These resources will be distributed among all economic sectors with the intention to promote the development of the Green Economy.