Customs Revenue in the Renewable Energy Sector: Evidence from South Africa
Abstract
This report assesses the effects of customs revenues in the renewable energy industry in South Africa. After ESKOM (State-owned enterprise) presented the firm’s biggest loss of R9.7 ($0.6) billion in August 2009, several applications for higher tariffs were performed over the years. South Africa has been going through an energy crisis, with more loadshedding expected in 2024, which is predicted to hamper GDP development. Indeed, the country’s economy has been adversely disturbed by the COVID-19 pandemic, and its improvement path is at this instant stifled by incessant power cuts. There is no doubt that this energy crisis will continue for a while in the future, and it is unlikely to get better soon. This policy report provides a customs revenue analysis of the market participants or entities in the renewable energy industry. This study adopted a pragmatic research methodology and found that the government could propose to the National Treasury the scrapping of value-added tax (VAT) and Customs Duties on the importation of solar panels and parts in order to help reduce the cost of purchasing for both businesses and households.
Downloads
Copyright (c) 2024 Jean Luc Erero
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-NonCommercial 4.0 International License (CC BY-NC 4.0) that allows others to copy and redistribute the material, to remix, transform and bulid upon the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
- Artists may discuss alternative copyrights with the editors.
