Investment Policy Monitor
-
UNCTAD has been collecting information on changes in national foreign direct investment (FDI) policies on an annual basis since 1992. This collection has provided input to the analysis of global and regional investment policy trends in the World Investment Report, the quarterly Investment Policy Monitor (since 2009) and the UNCTAD-OECD Reports on G20 Measures.
In 2011, to further strengthen the quality of reporting, UNCTAD revised the methodology of monitoring investment policy measures. and revised the measures going back to 2000 accordingly.
The Investment Policy Monitor provides the international investment community with country-specific, up-to-date information about the latest developments in foreign investment policies.
Through its monitoring of investment policy changes, UNCTAD offers cutting-edge and innovative contributions to investment policy discourse, and contributes to preparing the ground for future policymaking in the interest of making foreign investment work for growth and development.
-
Note: the policy measures are identified through a systematic review of government and business intelligence sources. Measures are verified, to the fullest extent possible, by referencing government sources. The compilation of measures is not exhaustive.
Disclaimer: the boundaries and names shown and the designations used on this map do not imply official endorsement or acceptance by the United Nations.
Share





- Home >
- Investment Policy Monitor >
- South Africa - Offers incentives for investment in renewable-energy projects
South Africa
Offers incentives for investment in renewable-energy projects
23 Feb 2023On 22 February 2023, The Minister of Finance of South Africa delivered the annual Budget Speech. The 2023 Budget includes tax incentives to support businesses and households who invest in renewable energy, including rooftop solar, in a bid to offset the impact of intensifying power cuts. The Minister announced that the tax incentives available for businesses to promote renewable energy would be temporarily expanded.
Businesses are currently able to deduct 50 per cent of the costs in the first year, 30 per cent in the second and 20 per cent in the third for qualifying investments in wind, concentrated solar, hydropower below 30 MW, biomass and photovoltaic (PV) projects above 1 MW. Investors in PV projects below 1 MW are able to deduct 100% of the cost in the first year. Under the expanded incentive scheme, businesses will be able to claim a 125 per cent deduction in the first year for all renewable-energy projects with no thresholds on generation capacity.
-
Type:
- Promotion and facilitation (Investment incentives)
-
Industry:
- Not industry specific (SDG)
- Services (Electricity, gas, steam and air conditioning supply)
-
Sources:
- National Treasury Website, 2023 Budget, https://www.treasury.gov.za/documents/National%20Budget/2023/speech/speech.pdf, 22 Feb 2023
- Torchlight, South Africa – Tax incentives for renewable energy projects in 2023 budget will moderately boost investment in power sector in next year, https://www.torchlight.ai/full-report-south-africa-tax-incentives-for-renewable-energy-projects-in-2023/, 01 Mar 2023
- Engineeringnews, Govt aims to stimulate renewables investment with R9bn in tax incentives, reworked bounce-back scheme, https://www.engineeringnews.co.za/article/govt-aims-to-stimulate-renewables-investment-with-r9bn-in-tax-incentives-reworked-bounce-back-scheme-2023-02-22, 22 Feb 2023
-
UNCTAD has been collecting information on changes in national foreign direct investment (FDI) policies on an annual basis since 1992. This collection has provided input to the analysis of global and regional investment policy trends in the World Investment Report, the quarterly Investment Policy Monitor (since 2009) and the UNCTAD-OECD Reports on G20 Measures.
In 2011, to further strengthen the quality of reporting, UNCTAD revised the methodology of monitoring investment policy measures. and revised the measures going back to 2000 accordingly.
The Investment Policy Monitor provides the international investment community with country-specific, up-to-date information about the latest developments in foreign investment policies.
Through its monitoring of investment policy changes, UNCTAD offers cutting-edge and innovative contributions to investment policy discourse, and contributes to preparing the ground for future policymaking in the interest of making foreign investment work for growth and development.
-
Note: the policy measures are identified through a systematic review of government and business intelligence sources. Measures are verified, to the fullest extent possible, by referencing government sources. The compilation of measures is not exhaustive.
Disclaimer: the boundaries and names shown and the designations used on this map do not imply official endorsement or acceptance by the United Nations.
Share




