Analysis of the South African Renewables Initiative (SARi)

The KfW Entwicklungsbank commissioned this study to determine the feasibility of and preconditions for the South African Renewables Initiative (SARi) during the stage of its conceptualization. Special attention was paid to the role that the German government could play as an international funder of SARi and the implications of this support for the German government, German businesses, and the international climate change negotiations.

The project highlights the scope, development and implementation efforts of SARi, with a particular focus on the possible avenues through which a collaborative role could be played by donor institutions and countries in the implementation of SARi. Starting from a fundamental understanding of current South African energy and climate policy, the project considers: the strengths and weaknesses of the present SARi concept; identifies economic and political implications of SARi for South Africa and Germany; explores the financial needs of SARi in its current form; and outlines the legal and other preconditions necessary for the eventual successful implementation.

Ecologic Institute conducted the analysis with two South African partners (Trade & Industrial Policy Strategies) and IMBEWU Sustainability Legal Specialists (Pty) Ltd. to provide German and South African perspectives and knowledge. Further, the contact to the SARi team in South Africa offers good insights into the development and aim of the initiative. Interviews with 20 experts and stakeholders (from several ministries and the private sector) were carried out as part of the project to provide a comprehensive description of the current situation and prospects of Sari.