Partnership targets R300 million fund for carbon offset tax-free allowance
Rhodes University and UK’s leading innovator for Greentech environmental solutions in the carbon fuels industry, ElimiNOX, have signed a ground-breaking memorandum of understanding that aims, among other objectives, to set up R300 million fund for carbon offset tax-free allowances to big industry players.
The proposed fund is in accordance with the Carbon Tax Act of 2019. The Act gives effect to the polluter-pays-principle for large emitters. It also provides for financial incentives towards adopting cleaner technologies.
Rhodes University is home to the Africa’s first and only Chair of Environmental Education that is recognised as a United Nations’ Centre of Expertise in Education for Sustainable Development and Environmental Learning Research Centre.
ElimiNOX Limited on the other hand, is the winner of the 2023 UK and Ireland Fuel Distributors award (UKIFDA) for Greentech Innovation. The award recognises significant, innovative, and positive contribution to the liquid fuels industry.
The envisaged fund will invest in carbon-reducing projects to enable investors to claim tax allowances. Rhodes University and ElimiNOX will collaborate to assess projects for investment purposes and provide educational and practical support to emitters.
As part of the agreement, Rhodes University will use ElimiNOX environmental fuel conditioner in its own fleet of vehicles and generators as part of its contribution to reduce its carbon footprint.