Tariffs on renewables

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The government wants to increase the price of renewable energy products imported from other countries to promote local manufacturing, which has raised concerns among stakeholders.
DEAR-SOUTH-AfFRICA
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comments individually delivered (closes 24 May, 2025)

The International Trade Administration Commission of South Africa (ITAC) has gazetted a review of the tariff structure for input materials, components, and final goods within the renewable energy value chain.

This includes solar panels, wind turbine components, lithium-ion batteries, steel and aluminium structures, and even screws, bolts, and nuts used in green energy installations.

Comments  are hereby invited from interested and affected people or parties.
All comments will be considered  before a decision is made.

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    Government wants to make solar panels and batteries more expensive in South Africa

    BusinessTech — The government wants to increase the price of renewable energy products imported from other countries to promote local manufacturing, which has raised concerns among stakeholders.

    According to ITAC, the review covers 82 tariff codes linked to inputs and final goods used in renewable energy and storage systems.

    This includes solar panels, wind turbine components, lithium-ion batteries, steel and aluminium structures, and even screws, bolts, and nuts used in green energy installations.

    ITAC is seeking public comment on the possibility of raising tariffs on the listed items to their World Trade Organisation (WTO) bound rates. These rates are the maximum duties allowed under international trade rules.

    The commission wants to engage with stakeholders to determine whether local capacity exists to produce the items listed.

    The ITAC is also considering introducing or removing rebates, particularly the existing rebate on imported solar panels, and considering new local-content provisions.

    The commission said that a “carefully balanced” tariff structure could boost both demand for and the competitiveness of locally made products, enhance export opportunities, and strengthen the domestic renewable energy sector.

    ITAC has invited input on whether relaxing import controls on critical minerals might incentivise local production.

    Additionally, it is reviewing whether export controls on these minerals could help secure the domestic supply, especially for battery manufacturing.