IISD has criticised subsidies paid to Sasol for failing to protect consumers from price rises and failing to incentivise carbon emission reductions.


South Africa’s subsidy support for Sasol is inefficient and fails to achieve what it sets out to do, namely protect consumers from price shocks, according to the International Institute for Sustainable Development (IISD).

The group calculated that subsidy support for Sasol was worth $490 million in 2019.

Subsidies for the company come through the market price support (MPS) for Sasol and exemptions from the carbon tax.

Looking at Sasol’s coal-to-liquids (CTL) plant at Secunda, the company supplies around 30% of South Africa’s fuel needs.

When prices are high, Sasol generates…



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