Green Taxes To Enable Climate Justice On Agenda At Global Conference

The use of environmental taxes to stimulate action to combat climate change and drive a just transition to cleaner energy that leaves no-one behind comes under the spotlight at the Global Conference on Environmental Taxation GCET held for the first time in Africa and hosted by Stellenbosch Business School from 18-20 September.

With the European Unions Carbon Border Adjustment Mechanism CBAM set for full introduction in 2026, the impact on developing countries of this mechanism to tax carbon-intensive production of goods imported into the EU, often manufactured in the global South, is a key topic of the conference.

On the theme Towards a just energy transition ' perspectives from the global North and South, the influential international conference for policy makers, academics and professionals marks its 25th anniversary this year. Participants at this years conference include senior leaders of several influential global economic organisations, including the World Bank, International Monetary Fund IMF, the UN Environmental Tax Subcommittee, South African Revenue Service SARS, South African Institute of Taxation SAITAfrican Tax Administration Forum ATAF and the International Chamber of Commerce ICC.

At a time when the UN Intergovernmental Panel on Climate Change IPCC has said humanity is at a crossroads and it is now or never for limiting global warming, it is apt that the conference is coming to the Africa for the first time. Accelerating the transition to cleaner energy through measures to incentivise greener business practices must be inclusive and fair, particularly in countries facing extreme inequalities, unemployment and poverty, said conference chair Prof Lee-Ann Steenkamp, associate professor in taxation at Stellenbosch Business School.

The conference comes at a time when initiatives such as the Just Energy Transition Partnership JETP deal that South Africa signed in 2021 at COP26 with international partners are changing the landscape as far as transformative climate finance deals are concerned, she said.

Other developing nations will also require international climate finance and support from developed countries to fund their low carbon development pathways.

The conference will be hosted at the Stellenbosch Institute of Advanced Study STIAS in Stellenbosch and will explore topics including global carbon pricing developments, public-private partnerships in achieving a just energy transition, emissions trading schemes, green fiscal reform, and sustainable business practices.

The keynote speaker is Saliem Fakir, founder and executive director of the African Climate Foundation, the first strategic grant-making foundation on the African continent to focus on supporting interventions at the nexus of climate action and inclusive socio-economic development.

Prof Steenkamp said that, in line with the conference theme, the plenary sessions were structured to feature experts from the both the global South and North, in order to foster dialogue on the varying role and impacts of environmental taxation and climate finance instruments on developed vs developing countries.

The notion of a just energy transition has gained prominence in South Africa and elsewhere in emerging economies in recent years. Market and policy signals, coupled with targets to reduce greenhouse gas emissions, are required to help achieve the economic and social changes necessary for sustainable development, while simultaneously protecting workers and vulnerable communities through a more socially equitable distribution of benefits and risks.

The conference will unpack what a just energy transition means, for not only greener but also fairer and more inclusive economies, through the lens of taxation and economic policy instruments, Prof Steenkamp said.

GCET is considered the leading global forum for interdisciplinary exchange of the latest research and experiences on the use of environmental taxation and other market-based instruments for addressing climate change, protecting the environment and promoting a just transition to energy security and sustainable economic development.

The conference enables dialogue amongst academics, taxation and legal professionals, economists, government officials and policymakers, and representatives of international and non-governmental organisations.

More information about GCET25 and the conference programme can be found at https//gcet25.co.za/