Low carbon economy

South Africa produces high levels of greenhouse gas emissions relative to the size of its economy, principally due to its heavy reliance on coal for electricity generation and, to a lesser extent, the manufacture of liquid fuel from coal. To this end, the South African Government has to committed to reductions in emissions from the business-as-usual scenario by 34% by 2020 and 42% by 2025 on condition that it receives finance and technology support from developed countries. In order to achieve this, the South African Government will need to make a number of policy interventions in the economy, but questions arise as to what the appropriate interventions would be. This article expands on the debate looking at the South African energy sector.