South Africa: Country Set to Score From Trade in Carbon Credits

Business Day (Johannesburg)

12 October 2007
Posted to the web 12 October 2007

Thabang Mokopanele
Johannesburg

THE Central Energy Fund (CEF) has launched an international carbon trading business, CEF Carbon, which it expects will earn billions in revenue from carbon trading opportunities as the worldwide movement to combat climate change takes off.

CE Mputumi Damane said CEF's international carbon markets business -- which is aimed at developing clean development mechanism (CDM) projects across the continent -- would be headed by Deven Pillay.

International trade in carbon credits is estimated to have exceeded R200bn last year and CEF estimates that carbon credits projects already in the pipeline could earn SA annual revenue of about R900m.

"The continent has been slow in taking advantage of all the opportunities that have opened up in the arena of carbon trading. In SA only about 20 CDM projects are in the pipeline, while Latin America and China have more than 500 and India more than 600," Damane said.

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