Government

5 important things happening in South Africa today

Luke Fraser

 ·2 Jun 2023

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

• No Putin: South Africa is looking to move the BRICS summit in August to China as the country tries to avoid any potential issues with the International Criminal Court’s arrest warrant for Russia’s Vladimir Putin. Despite international relations minister Naledi Pandor saying that Putin’s arrival has not been discussed with foreign ministers, South African official sources told Daily Maverick that they are seriously considering moving the event to China or, as a second option, online. [Daily Maverick]

• Renewable push: The Presidential Climate Commission (PCC) says increasing the share of renewable energy in South Africa’s energy mix from 7% to 40% by 2030 is the quickest way to solve the nation’s energy crisis. The PPC also said that switching to renewables would be the cheapest option for providing the energy sector South Africa needs to meet its global climate goals. It added that South Africa should try to get at least 8,000 MW of wind and solar onto the grid each year for the next two to four years. [Business Day]

• Coal fight: The Durban High Court has dismissed the formerly-Gupta owned Optimum Coal’s case to be given access to the Richards Bay Coal Terminal (RBCT) via its export entitlement. In January, the RBCT argued that it would suffer reputational damage if it were eventually found that the export entitlement was used to launder money. The court said that, following South Africa’s greylisting, prosecutors would target individuals implicated in money laundering, with the Gupta’s involvement bringing unwanted attention to the terminal. [Moneyweb]

• Premier v President: Eastern Cape Premier Oscar Mabuyane will take President Cyril Ramaphosa, the SIU and the University of Fort Hare to court. Mabuyane is approaching the High Court to interdict the SIU from investigating allegations of maladministration at the University of Fort Hare following claims that the premier received special treatment and academic support from a lecturer. He said that there was a smear campaign against him. [SABC]

• Markets:  The South African rand hit a fresh record low in early trade on Thursday, extending a hammering from May on the back of souring investor sentiment. Andre Cilliers at TreasuryONE said that the rand remains entrenched at the R19.50/R20.00 range; however, short-term risks remain for a breach of the R20.00 level as investors flock out of the country. On Friday (2 June), the rand was trading at R19.61/$, R21.11/€, and R24.58/£. Brent crude is trading at $74.42 a barrel. [Nasdaq]