Parks Tau Calls for Bold, Low-Carbon Reindustrialisation at Mining Indaba

The Minister emphasised that the energy transition must ensure reliable, green and affordable electricity to sustain industrial competitiveness.

Minister of Trade, Industry and Competition Parks Tau says South Africa’s industrial future will depend on bold, collaborative decisions anchored in a low-carbon development path.

Speaking at the Sasol Engagement Dinner on the sidelines of the Mining Indaba in Cape Town on Thursday, Tau outlined a vision of reindustrialisation that positions South Africa as a competitive player in the global green economy.

Low-Carbon Policy to Drive Growth and Investment

Tau said the country’s path to a thriving and sustainable economy lies in adopting a low-carbon industrial policy capable of attracting global investment, expanding market access and safeguarding domestic manufacturing capacity.

“If we build the energy system of the future, mobilise capital at scale, and secure our position in the global critical minerals economy, we will not only decarbonise, but we will also reindustrialise,” he said.

He stressed that decarbonisation and industrial expansion should not be viewed as competing objectives, but as mutually reinforcing goals.

Energy Security and Hard-to-Abate Sectors

The Minister emphasised that the energy transition must ensure reliable, green and affordable electricity to sustain industrial competitiveness.

He acknowledged that certain “hard-to-abate” sectors cannot be fully electrified and would require alternative solutions.

“There are hard-to-abate sectors that cannot be fully electrified, and for these industries we must unlock sustainable fuels that are competitive at scale,” Tau said.

He highlighted the importance of sustainable fuel technologies and diversified energy sources in supporting heavy industry and advanced manufacturing.

Sasol’s Strategic Role

Tau described Sasol as central to building South Africa’s next-generation industrial economy, noting that its operations span energy, chemicals, fuels and advanced manufacturing.

“The opportunities include unlocking giga-scale investment in renewable energy, mega-storage, High-Voltage Direct Current (HVDC) transmission, and gas-to-power—especially as Liquefied Natural Gas (LNG) becomes central to our industrial feedstock strategy post-2028,” he said.

The Minister said Sasol and its clients have a pivotal role in driving this transition and affirmed government’s readiness to partner with industry to convert the transition into a transformative growth opportunity.

Global Partnerships and Policy Certainty

Tau stressed the need for coordinated planning, transparency and long-term policy certainty to attract capital and enable large-scale industrial transformation.

He said collaboration must extend beyond domestic stakeholders to international partnerships, including:

• Deepened commercial dialogue with the United States

• Strengthened cooperation with China

• Engagement with the European Union through the Clean Trade and Investment Partnership

Such partnerships, he noted, are essential for securing South Africa’s place in the global critical minerals value chain and advancing green industrialisation.

Turning Transition into Opportunity

Tau concluded that South Africa’s reindustrialisation agenda must harness the energy transition as a catalyst for inclusive growth.

“Together, we can turn this period of transition into a transformative opportunity that drives growth, strengthens competitiveness and expands opportunities for all South Africans,” he said.