RELEVANT INFORMATION IN RELATION TO ABSA GROUP LTD’S ROLE IN FINANCING PROPOSED NEW COAL-FIRED POWER PLANTS

The Centre for Environmental Rights (CER), writing on behalf of groundWork, urges Absa Group Ltd to cease financing for proposed coal-fired power plants, specifically the Thabametsi and Khanyisa independent power producers (IPPs). The letter argues that continuing to fund coal projects poses significant financial, reputational, and environmental risks, noting that other major South African banks like Nedbank have already withdrawn support.

• The CER notes that Absa has not indicated an intention to stop financing coal IPPs, nor has it committed to refusing financing for coal-fired power generation or coal mine projects.
• Global financial institutions are rapidly divesting from coal; an IEEFA report indicates that over 100 globally significant financial institutions have divested from thermal coal, including 20 insurers and 40% of the top 40 global banks.
• South Africa faces a transition risk exceeding $120 billion in present value terms between 2013 and 2035, with risks expected to accelerate in the mid-2020s.
• Planned investment decisions, including the coal IPPs, could increase South Africa's transition risk by more than $25 billion.
• The Thabametsi and Khanyisa IPPs are estimated to be 80% more expensive than new generation from alternative sources like wind and solar; investing in them over a least-cost-plan could cost South Africa R20 billion (over $1 billion) between 2015 and 2052.
• The CER asserts that 'clean coal' is a myth and a misnomer, arguing that no technology can neutralize the environmental, health, and climate impacts of the entire coal cycle.
• Air emissions from Eskom's power stations alone are estimated to have an annual cost of 2.4 billion US dollars.

APA

Centre for Environmental Rights (2019). RELEVANT INFORMATION IN RELATION TO ABSA GROUP LTD’S ROLE IN FINANCING PROPOSED NEW COAL-FIRED POWER PLANTS. https://cer.org.za/wp-content/uploads/2019/04/CER-gW-Letter-to-Absa-11-4-19.pdf?x21779

Chicago

Centre for Environmental Rights. RELEVANT INFORMATION IN RELATION TO ABSA GROUP LTD’S ROLE IN FINANCING PROPOSED NEW COAL-FIRED POWER PLANTS. 2019. https://cer.org.za/wp-content/uploads/2019/04/CER-gW-Letter-to-Absa-11-4-19.pdf?x21779.

Wikipedia

{{cite press release |author=Centre for Environmental Rights |title=RELEVANT INFORMATION IN RELATION TO ABSA GROUP LTD’S ROLE IN FINANCING PROPOSED NEW COAL-FIRED POWER PLANTS |date=11 April 2019 |url=https://cer.org.za/wp-content/uploads/2019/04/CER-gW-Letter-to-Absa-11-4-19.pdf?x21779 |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{centreforenvironmentalrights2019relevant, author = {{Centre for Environmental Rights}}, title = {{RELEVANT INFORMATION IN RELATION TO ABSA GROUP LTD’S ROLE IN FINANCING PROPOSED NEW COAL-FIRED POWER PLANTS}}, publisher = {Centre for Environmental Rights}, year = {2019}, month = apr, url = {https://cer.org.za/wp-content/uploads/2019/04/CER-gW-Letter-to-Absa-11-4-19.pdf?x21779}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }