Case study 02

This case study examines the regulatory barriers hindering the development of a regional fuel ethanol market within the Southern African Development Community (SADC), focusing on sugarcane as a primary feedstock.

• The primary obstacle to a regional renewable fuels market in SADC is the absence or uncertainty of regulatory frameworks, specifically regarding blending mandates and pricing formulas, which are essential for securing corporate investment.
• Sugarcane is identified as the most viable feedstock for ethanol in the region because the industry is well-established, it has an existing policy framework via Annex VII of the SADC Protocol on Trade, and its production in rural areas stimulates local infrastructure and industrial activity.
• There is a significant regional imbalance where South Africa possesses a large liquid fuel market but lacks sufficient domestic renewable fuel capacity, while other SADC states like Mozambique, Zimbabwe, Zambia, Angola, Malawi, and Mauritius have small markets but high supply potential.
• Addressing regulatory constraints could lead to substantial economic and energy gains: up to 60% of new petrol requirements over 20 years could be met using 2–4% of available cropland, generating 6,000–9,000 MW of electricity and creating 1.5–1.8 million direct and 4 million indirect jobs.
• Five critical political economy issues must be managed to ensure success: the 'food vs fuel' debate, resistance from established petroleum interests, land ownership and displacement of small-scale farmers, the tension between national and regional energy security, and the need for protective trade policies against subsidized non-SADC imports.
• The document outlines a path forward that includes implementing national blending mandates, mobilizing capital for equipment, managing imports through the SADC Protocol on Trade, and incorporating local communities into project planning to protect land rights.

APA

Braude, W. (n.d.). Case study 02. South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2014/10/141125_EDIP_GIZreport_pg31-37_CS2rev.pdf

Chicago

Braude, Wolfe. Case study 02. South African Institute of International Affairs, n.d. https://saiia.org.za/wp-content/uploads/2014/10/141125_EDIP_GIZreport_pg31-37_CS2rev.pdf.

Wikipedia

{{cite report |last1=Braude |first1=Wolfe |title=Case study 02 |publisher=South African Institute of International Affairs |url=https://saiia.org.za/wp-content/uploads/2014/10/141125_EDIP_GIZreport_pg31-37_CS2rev.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{braudendcase, author = {Braude, Wolfe}, title = {{Case study 02}}, institution = {South African Institute of International Affairs}, url = {https://saiia.org.za/wp-content/uploads/2014/10/141125_EDIP_GIZreport_pg31-37_CS2rev.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }