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Carbon Tax Liability Dashboard

South Africa's most comprehensive carbon tax calculator and strategic planning tool. Calculate your Scope 1, 2 & 3 emissions, model Phase 1 and Phase 2 tax exposure, apply allowances and get an AI-generated carbon reduction strategy — all in one dashboard.

Carbon Tax Act 15 of 2019 Phase 2: 2026–2030 R236/t → R462/t by 2030 DFFE 2024 Grid EF AI Strategy
2025 Rate
R236/tCO₂e
Phase 1 final year
2026 Rate
R308/tCO₂e
Phase 2 commences
2027 Rate
R347/tCO₂e
+13% increase
2028 Rate
R385/tCO₂e
+11% increase
2030 Rate
R462/tCO₂e
Phase 2 target
SA Grid Factor
0.8665
kg CO₂e/kWh (DFFE 2024)
Phase 2 Allowance Cut
−10%
vs Phase 1 (from 2026)
Carbon Budget Period
2026–2030
SA Climate Change Act 2024
🌿 Scope 1 — Direct Emissions
L/yr
L/yr
kg/yr
GJ/yr
t/yr
L/yr
⚡ Scope 2 — Electricity
kWh/yr
EF: 0.8665 kg CO₂e/kWh
L/yr
kWh/yr
Displaces grid — reduces Scope 2
Eskom Tariff (for cost modelling)
c/kWh
Used for electricity cost vs solar savings
🌎 Scope 3 — Indirect
km/yr
km/yr
km/emp/yr
t/yr
kL/yr
reams/yr
Total Footprint
0
tCO₂e / year
Scope 1
0
tCO₂e direct
Scope 2
0
tCO₂e electricity
Scope 3
0
tCO₂e indirect
2025 Tax Liability
R0
gross before allowances
// Carbon Tax Liability Projection 2025–2030
// Emissions by Scope
// Emissions Breakdown by Source
// Carbon Tax Projection 2025–2030
YearRate (R/tCO₂e)Gross TaxAllowanceNet Tax PayableΔ vs 2025Risk
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Phase 2 Begins 2026 — Allowances Drop, Rates Rise

South Africa's Carbon Tax Phase 2 (2026–2030) brings significantly higher tax rates and reduced allowances. The basic tax-free threshold drops by approximately 10 percentage points, meaning your effective tax rate nearly doubles compared to Phase 1. Organisations that have not started their carbon reduction journey face rapidly escalating costs.

2023
R159
per tonne CO₂e
Phase 1 — 60–95% tax-free allowance. Most companies paid minimal effective tax.
2024
R190
per tonne CO₂e
Phase 1 — 19.5% annual increase. Carbon tax reform discussions intensify.
2025 — Current
R236
per tonne CO₂e
Phase 1 final year. 24.2% increase. Last year of Phase 1 allowance levels.
2026
R308
per tonne CO₂e
Phase 2 begins. 30.5% rate increase. Allowances reduce. Effective tax rate rises sharply.
2028
R385
per tonne CO₂e
Phase 2 mid-point. Continued allowance reductions. Carbon budget compliance penalties active.
2030
R462
per tonne CO₂e
Phase 2 target rate. 96% higher than 2025. Minimum allowances apply. Full carbon budget enforcement.

Carbon tax exposure varies significantly by sector. High-carbon sectors with limited abatement options face the greatest Phase 2 risk. Use this guide to understand your sector's specific emission factors and reduction opportunities.

⛏️
Mining & Extraction
Key EF: Diesel 2.68 kg CO₂e/L • Explosives: 0.87 kg CO₂e/kg
High exposure from diesel fleet, blasting, processing and electricity. AMD management adds indirect emissions. Limited abatement without electrification of fleet and process heat.
Very High Risk
⚡
Energy & Utilities
Key EF: Coal 2,425 kg CO₂e/t • Gas 56.1 kg CO₂e/GJ
Highest absolute emissions in SA. Coal-fired power faces stranded asset risk. Renewable transition is both mitigation and opportunity. DMRE carbon budget enforceable from 2026.
Critical Risk
🏭
Manufacturing
Key EF: Grid elec 0.8665 kg CO₂e/kWh • LPG 1.51 kg CO₂e/kg
Electricity-intensive manufacturers face compound risk from rising Eskom tariffs AND carbon tax on grid imports. Solar PV + efficiency = dual cost reduction.
High Risk
🌾
Agriculture
Key EF: Diesel 2.68 kg CO₂e/L • Fertiliser: 3.1 kg CO₂e/kg
Agriculture is currently exempt from carbon tax on most activities. Key exposure from diesel irrigation pumps, cold storage and supply chain transport. Watch for Phase 3 inclusion from 2031.
Lower Risk
🏗️
Construction
Key EF: Cement 830 kg CO₂e/t • Steel 1,800 kg CO₂e/t
Embodied carbon in materials is Scope 3. Direct exposure from plant and equipment diesel. Green building specifications increasingly required by JSE-listed developers.
Medium Risk
🚚
Transport & Logistics
Key EF: Diesel 2.68 kg CO₂e/L • Petrol 2.31 kg CO₂e/L
Fleet electrification is the primary decarbonisation lever. SA fuel levy includes an implicit carbon price already. Scope 3 from freight is increasing in supply chain reporting requirements.
Medium Risk

South Africa's carbon tax uses a complex allowance system that reduces your effective tax liability. Phase 2 (2026–2030) significantly reduces these allowances. Understanding and maximising your allowance position is critical to managing tax exposure.

60%
Basic Tax-Free Allowance
All entities receive a 60% basic allowance on Scope 1 emissions. Applied first before any other allowances. Drops to 50% in Phase 2 for most sectors.
10%
Trade Exposure Allowance
Available to trade-exposed sectors (mining, iron & steel, chemicals) to maintain competitiveness. Requires SARS verification of trade exposure percentage.
10%
Performance Allowance
Awarded for demonstrating emissions intensity improvement below sector benchmark. Requires annual reporting to SARS and DFFE verification.
5%
Carbon Budget Allowance
Available to companies that have an approved carbon budget under the SA Climate Change Act (2024). Incentivises early adoption of sectoral carbon budgets.
5%
Carbon Offset Allowance
Up to 5% of tax liability can be offset using approved SA carbon offsets (Gold Standard, VCS or SANAS-accredited). Offset market is growing rapidly.
10%
Process Emissions Allowance
For fugitive and process emissions from industrial processes (cement, steel, chemicals) where abatement is technically limited. Must be justified to SARS.
⚠ Phase 2 Warning: Allowances Reduce from 2026

In Phase 2, the basic allowance drops from 60% to 50% for most sectors, and trade exposure allowances are tightened. The effective net tax rate on Scope 1 emissions could increase by 40–60% from 2026 even before the headline rate increase. Companies that have not implemented carbon reduction measures will face a significant cost shock.

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SSK Consulting · Carbon Tax Liability Dashboard · Emission factors: DFFE 2024 Grid EF 0.8665 kg CO₂e/kWh · Petrol 2.31 · Diesel 2.68 · LPG 1.51 · Natural gas 56.1 kg/GJ · Coal 2,425 kg/t · Paraffin 2.54 · Tax rates per Carbon Tax Act 15 of 2019 as amended · Allowances indicative only — consult SARS and a registered tax practitioner for formal tax advice · This tool provides indicative estimates and does not constitute formal tax or legal advice · sskenviro.com
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