SIU to probe Nelson Mandela Bay and South Africa needs R1.7 trillion for JET

Here’s what is happening and affecting South Africa today:

• SIU to investigate Nelson Mandela Bay: The Special Investigating Unit (SIU) will probe allegations of serious maladministration allegations within the Nelson Mandela Bay Metropolitan Municipality, focusing on alleged illegal activities by municipal employees and aims to recover losses from a questionable streetlight supply contract. Investigations, spanning from 2020 to 2024, will examine the procurement of LED streetlights and floodlighting for fairness and cost-effectiveness, along with investigating potential financial mismanagement and misconduct by officials or service providers. [GroundUp]

• South Africa needs R1.7 trillion for JET: Speaking at the Climate Resilience Symposium, President Cyril Ramaphosa said that South Africa requires a $98 billion (R1.7 trillion) investment from 2023 to 2027 to meet its 2050 decarbonisation targets, according to the Just Energy Transition Investment Plan. This plan includes, among other things, transitioning to a low-carbon economy by amplifying renewable energy use and cutting down on coal reliance, as per the cabinet-approved Just Energy Transition Implementation Plan. [Mail & Guardian]

• National Treasury throws weight behind former director-general amid VBS scandal: Following a scandalous affidavit by VBS Mutual Bank’s ex-chairman Tshifhiwa Matodzi, National Treasury defended Dondo Mogajane, former director-general, praising the efforts in handling the bank’s collapse due to corruption among other crimes. Despite accusations against Mogajane in recent reports, the Treasury underlines that these claims are unverified and stands by its actions since 2016 to prevent illegal municipal investments in VBS. [Daily Maverick]

• Bell Equipment set to exit JSE: Bell Equipment’s stock price soared 49% following a buyout proposal from its founding family, who offered R53 per share to minority shareholders. This move values the company at around R5 billion and marks a significant increase from a 2021 offer of R10 a share. The surge in share value, climbing to its highest since 1995, comes as the Bell family, through their investment company IA Bell, plans to take the company private after 30 years on the JSE. [Business Day]

• Markets: The rand, in line with moves seen in other emerging market currencies, tumbled against the dollar on Monday, as the assassination attempt on former U.S. president Donald Trump this weekend dented appetite for riskier assets and spurred safe-haven demand globally. On Tuesday (16 July), the rand was trading at R18.22 to the dollar, R23.47 to the pound, and R19.92 to the euro. Oil is trading at $84.62 a barrel. [Reuters]