Germany invests US$810 million in South Africa’s coal phase-out

Germany and other high-income countries seek to support South Africa in its phase-out of coal-based power; Germany announced that it will invest €700 million (US$810 million) in a new energy partnership. 

€670 million (US$775 million) will be contributed by the ministry for economic cooperation and development and €30 million (US$35 million) will be contributed by the ministry for the environment.

The commitments are part of a new energy partnership with South Africa, which includes the EU, Great Britain, France, and the US. The participating states published a political declaration marking the launch of the partnership, which outlines US$8.5 billion in investments within the next five years. Funding will primarily take the form of loans and will target clean energy development. The partnership additionally wants to mobilize private investments and World Bank funding to contribute to South Africa’s coal phase-out.

Press Release - UN COP26

News article – Deutsche Welle

News article – Redaktionsnetzwerk Deutschland (in German)