‘Up in Smoke: Human rights and environmental impacts of export credits to coal. The case of South Africa, 23 September 2020

The coal industry is well-known for its serious climate implications and effects on local communities. Still, European export credits have contributed to expand the coal industry in countries already dependent on coal, including South Africa, a new Swedwatch report finds. Coal is the most polluting source of energy and emissions from coal-fired power plants the single largest contributor to climate change. Still, global efforts to phase out coal are highly insufficient.

…For the report Up in Smoke: Human rights and environmental impacts of export credits to coal. The case of South Africa, Swedwatch visited South Africa’s Mpumalanga province, home to some of the world’s most polluting coal-fired powerplants. Human rights and environmental defenders, community members and health experts all expressed grave concerns regarding the industry’s effects on health, water and livelihoods. Impacts included respiratory disease, food security issues and decreased access to clean water. It was also evident that women and girls were disproportionately affected by a range of impacts while also at risk of sexual exploitation.

The review of the ECAs also makes clear that there is an extensive lack of transparency in relation to export credits, guarantees, insurances and other means of export support. To address this concern, states should regulate their ECAs to disclose information on all high-risk projects to which they provide export credits, in particular those related to coal and fossil fuels.