REQUEST FOR INFORMATION: KARPOWERSHIP SOUTH AFRICA

The Centre for Environmental Rights, on behalf of Fair Finance Southern Africa (FFSA), has requested information from Investec Group concerning a US$ 140 million loan provided by a syndicate of four banks to Karpowership. The letter highlights that Karpowership SA's proposed floating gas-to-power projects in Coega, Richards Bay, and Saldanha face significant opposition due to environmental impacts and the risk of prolonging fossil fuel reliance. FFSA argues that the projects would emit substantial methane, potentially totaling 80 to 142 million tonnes CO2e over 20 years, and may become stranded assets. The request asks Investec to clarify if the loan finances South African operations and how this aligns with its membership in the Net Zero Banking Alliance and its own net-zero carbon emission claims.

• Karpowership SA is a joint venture between Karpowership (51%) and Powergroup (49%) intending to deploy three floating gas-to-power vessels with a total installed capacity of 1,220 MW, distributed as 450 MW in Coega, 450 MW in Richards Bay, and 320 MW in Saldanha.
• The Department of Forestry, Fisheries and the Environment (DFFE) refused environmental authorisations for the projects and dismissed a subsequent appeal due to "procedural irregularities such as inadequate public participation" and a "lack of information related to actual and potential environmental and socioeconomic impacts."
• The projects are estimated to emit between 80 to 142 million tonnes CO2e of greenhouse gas over 20 years through full cycle methane emissions, which the document compares to the annual emissions of 17.2 to 30.5 million petrol-based passenger vehicles.
• Research by Profundo indicates that Investec Group was part of a four-bank syndicate—including Standard Chartered, Isbank, and MCB Group—that provided a US$ 140 million loan to Karpowership in March 2020 for general corporate purposes, maturing in March 2025.

APA

Centre for Environmental Rights (2022). REQUEST FOR INFORMATION: KARPOWERSHIP SOUTH AFRICA. https://cer.org.za/wp-content/uploads/2022/12/Letter-to-Investec-re-Karpowership-SA.pdf?x21779

Chicago

Centre for Environmental Rights. REQUEST FOR INFORMATION: KARPOWERSHIP SOUTH AFRICA. 2022. https://cer.org.za/wp-content/uploads/2022/12/Letter-to-Investec-re-Karpowership-SA.pdf?x21779.

Wikipedia

{{cite press release |author=Centre for Environmental Rights |title=REQUEST FOR INFORMATION: KARPOWERSHIP SOUTH AFRICA |date=September 2022 |url=https://cer.org.za/wp-content/uploads/2022/12/Letter-to-Investec-re-Karpowership-SA.pdf?x21779 |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{centreforenvironmentalrights2022request, author = {{Centre for Environmental Rights}}, title = {{REQUEST FOR INFORMATION: KARPOWERSHIP SOUTH AFRICA}}, publisher = {Centre for Environmental Rights}, year = {2022}, month = sep, url = {https://cer.org.za/wp-content/uploads/2022/12/Letter-to-Investec-re-Karpowership-SA.pdf?x21779}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }