Policy Brief: THE IMPACT OF STRANDING POWER SECTOR ASSETS IN SOUTH AFRICA

Context Increasing attention is being given internationally to the risks associated with unburnable carbon and stranded assets (UNEP 2015, IEA, 2014; Citi, 2015). Stranded assets are assets that “have suffered from unanticipated or premature write-downs, devaluations or conversion to liabilities” (Caldecott et al, 2014), arising from environmental regulation or other regulatory shifts, as well as market forces and other causes, including the falling costs of competing technologies and structural market decline. Citibank (2015) has estimated that the value of stranded… Read morePolicy Brief: THE IMPACT OF STRANDING POWER SECTOR ASSETS IN SOUTH AFRICA