EU and South Africa partner to fund energy transition

European Union representatives are in South Africa this week in a first-of-its-kind investment roadshow aimed at furthering the country’s clean energy and infrastructure ambitions, among others.

The EU roadshow was hosted at the Johannesburg Stock Exchange on 1 and 2 June and is in Cape Town on 3 and 4 June, before concluding the visit in Durban on 5 June.

The event brings together 350 European and South African investors, companies and financial institutions as well as project promoters around business and investment opportunities.

This is being done under the Global Gateway umbrella, Europe’s external investment programme focused on “high quality” investments, and the EU-South Africa Clean Trade and Investment Partnership.

South African and European companies have a platform to pitch their projects and follow-up one-to-one meetings with investors.

Sectors set to benefit

The roadshow focuses on investment areas where EU–South Africa cooperation is already generating opportunities:

• Just energy transition: accelerating investment in renewable energy and clean technologies;
• Critical raw materials: promoting the development of sustainable minerals and metals value chains, with a focus on local beneficiation;
• Pharmaceutical value chain: Strengthening local production and innovation capacities;
• Infrastructure, transport and logistics: upgrading transport corridors, ports, rail and logistics systems to improve connectivity, facilitate trade and support regional value chains;  
• Digital connectivity: investing in digital infrastructure and technologies to enhance competitiveness and integration.

South Africa’s Minister of Trade, Industry and Competition Parks Tau said: “This is a concrete example of bringing the commitments of the €11.5 million Global Gateway Investment Package and the Clean Trade and Investment Partnership to life.

“South Africa has both huge investment needs and investment capacity. We are working with the European Union to tackle this investment gap head-on.”

Ambassador of the European Union Sandra Kramer said of the event: “This is a unique opportunity for EU and South African business to be brought together with financial institutions and public and private investors.

“This is Global Gateway in action: closing the circle between the investment needs and the investment tools.”

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Deputy Minister of Electricity and Energy Samantha Graham-Maré noted that the energy sector in South Africa has huge potential, but not without the investments needed to turn ambition into concrete projects.

“This is what the EU Investment Roadshow is all about and we are delighted to be a part of it. We look forward to seeing this partnership evolve from commitments to delivery.” 

Deputy Minister of Transport Mkhuleko Hlengwa said the Investment roadshow in Durban will focus on transport and logistics “and is an immensely valuable opportunity for a sector that needs investments”.

Companies pitching for investment are from the water distribution, e-mobility, renewable energy and health sectors.