- Satu Kahkonen, World Bank Country Director for South Africa delivered a key-note address at the National Treasury Climate Resilience Symposium which kicked off yesterday.
Satu Kahkonen is the World Bank Country Director for South Africa, Botswana, Namibia, Lesotho and Eswatini. Image credit: World Bank
Kahkonen pointed out that two years ago, the World Bank published 2 years ago a South Africa Country Climate Development Report that examines how climate change is expected to impact its economic development. He highlighted three key messages from this report:
The first message is that South Africa can build a prosperous economy while also responding to climate change. But this depends on the extent it shifts from coal to low-carbon fuels, and addresses risks from rising temperatures.
The second message is that this low-carbon transition must be people-centered. It must create jobs and protect the poorest.
The third message that South Africa can accelerate growth, address climate change and protect its people through a so called “triple transition”: that is, a transition that is low-carbon, climate-resilient, and just.
“Without this kind of triple transition, climate change could drive almost 1 million South Africans into poverty by 2030. At the same time, for each job eliminated in the transition, two to three jobs could be created by 2050. However, since new jobs will not necessarily emerge immediately or in the same sectors and locations, public-private interventions will be necessary to equip people with new skills, facilitate labor movements, and provide safety nets,” said Kahkonen.
The cost of this transition will be at least $500 billion by 2050, of which $140 billion will be needed before 2030. “Financing from the international community and mobilization of private capital will be vital,” he added.
“The World Bank is ready to assist South Africa in this transition. We are proud to already support the energy transition. This includes the restructuring of the power sector, decommissioning of the first coal-fired power plant, private investment in renewable energy and storage, and just aspects of the transition. But we are ready to do much more,” concluded Kahkonen.
Author: Bryan Groenendaal
