South Africa: Just Energy Transition Partnership

Lord St John of Bletso Excerpts

Thursday 30th June 2022 Lords Chamber

[Lord Ahmad of Wimbledon (Con)]

My Lords, I agree with the noble Lord. I will be open with noble Lords: when you sit down directly with many countries across the developing world, as I did at CHOGM last week, there can be quite challenging discussions at times over the issue of transition, particularly in light of the current global crisis and what we are seeing on energy prices from Ukraine and, indeed, on food prices. That said, I can assure the noble Lord, Lord Collins, that British International Investment, the UK development financial institution, is very much a part of this £1.8 billion commitment. In terms of lessons learned, I think the speed with which these structures can be set up is a direct learning but, equally, we need to ensure local buy-in. This is not about a country such as the United Kingdom prescribing a solution; it must come from within.

[Lord St John of Bletso (CB)]

My Lords, does the Minister agree that at a time when South Africa is facing one of the worst energy supply crises, with stage 6 load shedding, initiatives such as this partnership are to be welcomed but that action also needs to be taken to curb corruption and mismanagement at Eskom, the monopoly electricity supplier in the country?

[Lord Ahmad of Wimbledon (Con)]

I agree with the noble Lord. My right honourable friend the Prime Minister met President Ramaphosa in the margins of the G7 meeting this week. He mentioned Eskom specifically. Eskom’s ambition is to facilitate and be part of this accelerated decommissioning. We are fully aware of Eskom’s record and the sustainability issues surrounding its existing debt. I assure noble Lords that these are being dealt with in a very practical manner.