Billions of South African Rands are trickling through pipes, wires, walls, wallets, and disappearing into the abyss of nothingness. As bleak as it sounds, all the issues are solvable with the right partner that can bring proven solutions which optimally integrate with existing infrastructure. The journey towards efficient, green buildings can be found through a combination of simple innovations and smart technologies that reduce emissions significantly.
Burning fossil fuels for electricity production accounts for the largest share of South Africa’s carbon emissions, followed by transport, and the industrial production of materials such as cement. Coal is the country’s primary energy supply and South Africa is among the top largest per capita emitters globally.
Tax deductions will likely motivate more building owners and managers, developers, contractors, architects, engineers, and anyone else planning any sort of construction or retrofit to install systems that reduce energy consumption and operating costs.
How exactly does the Carbon Tax work?
The Carbon Tax Act of 2019 came into effect on 1 June 2019. It will be administered and collected by SARS. The CBT is assessed, collected and enforced as an environmental levy in terms of the Customs and Excise Act, 1964, read with the relevant provisions of the Carbon Tax Act, 2019.
The first phase had a carbon tax rate of R120 per ton of carbon dioxide equivalent emissions. In the 2022 draft Taxation Laws Amendment Bill (Draft TLAB), a number of proposals were made regarding amendments to the Carbon Tax Act 15 of 2019 (Carbon Tax Act). The most significant proposal related to an increase in the carbon tax rate from 2023 onwards. The proposals were made against the backdrop of the announcement in the 2022 Budget Review (2022 Special Edition Budget Speech Alert) that Phase 1 of the carbon tax would be extended until the end of 2025 and would not come to an end on 31 December 2022, as was previously stated, dioxide equivalent emissions to provide current emitters time to transition their operations to cleaner technologies through investments in energy efficiency, renewables, and other low-carbon measures. [SARS]
Carbon emission reduction
There are many ways in which MEB can help you with compliance and implementation of carbon neutral and climate change resilient utility level solutions. Our portfolio of products has been carefully selected, with emphasis on quality solutions that are designed with the future in mind. Our unsurpassed skills are strategically positioned to maximise on efficiency and the intelligence our experts bring to the table.
Our recommendation is to always speak to us about any requirements that relate to water, energy and IoT integrated infrastructure solutions in areas you probably didn’t think we could potentially assist you. It won’t hurt to take a closer took at our service offering displayed on our website and chat to one of our experts about what you are looking for.