The Presidency has signed a memorandum of understanding (MoU) with the Mpumalanga Green Cluster Agency (MGCA) to cooperate on implementing a Just Transition portfolio for the province.

The portfolio marks a critical component of the country’s Just Energy Transition (JET) – or shift from coal-based energy to sustainable alternatives.

The Presidency was represented by Cabinet secretary Phindile Baleni, while MGCA was represented by its CEO Nkosinathi Nkonyane, in the signing of the MoU.

The Presidency’s JET Project Management Unit is leading the implementation of South Africa JET Investment Plan, which was approved by Cabinet in November 2023.

The unit’s responsibilities in this regard include providing the national roadmap for JET implementation, mobilising funding, maintaining an investments register and overseeing strategic alignment with national energy goals.

In turn, the MGCA plays a crucial role in unlocking economic opportunities within the green economy to support job creation and economic diversification in coal-dependent communities.

The partnership between the two entities confirms the MGCA’s function in the Mpumalanga Just Transition Portfolio and identifies the capacity-building needs for MGCA and how the JET Project Management Unit can support its growth – including by securing donor funding to support MGCA’s additional staffing and operational needs. 

The MGCA will act as the secretariat for the provincial coordination efforts on JET initiatives, support community organisations in preparing JET projects, facilitate access to funding resources for green economy projects in Mpumalanga and ensure consistent reporting of JET implementation progress.

Quarterly reports on JET progress in Mpumalanga will be shared nationally to provide accountability.

The MoU between MGCA and the Presidency is effective until December 31, 2027, but may be extended further.

"This agreement marks a significant step towards carbon reduction in Mpumalanga, contributing to economic, social and environmental benefits for local communities," Nkonyane says.

With this agreement, South Africa strengthens its commitment to a JET that prioritises sustainable growth and local economic empowerment.

“By working together, the Presidency and the MGCA aim to drive investment, create jobs and facilitate a greener future for Mpumalanga,” the Presidency states.