Sasol Ltd. obtained a whopping $490 million profit enhance final year thanks to the country’s fuel subsidies and its exemption from a South African carbon tax, according to the International Institute for Sustainable Development.
In a press briefing, the institute says that Sasol’s proprietary coal-to-fuel technology is a significant source of greenhouse gases from its Secunda plant but it nevertheless advantages from authorities coverage on emissions and gas fee regulation.
The company’s largest shareholder is the fund supervisor that oversees state employee pensions, the Public Investment Corp.
The gasoline and chemicals corporation obtained a carbon tax exemption of 6.5 billion rand ($394 million) closing year as nicely as 1.6 billion rand in direct subsidies through South Africa’s regulated fuel price, according to the report.
Researchers had have been finding it difficult to calculate Sasol’s Ltd production fee versus gasoline sophisticated from crude oil, however be aware the procedure of the use of coal creates 2.5 instances greater emissions than the conventional method per unit produced.
Sasol Ltd is South Africa’s second-biggest producer of greenhouse gases after the kingdom power utility, Eskom Holdings SOC Ltd. Secunda, which substances about a 0.33 of the motor gasoline produced in South Africa, is the world’s largest single-site emitter of the pollutants.