The Perceived Effectiveness of Tax Policies in Renewable Energy Transition
DOI:
https://doi.org/10.51137/wrp.ijsbe.725Keywords:
Environmental Taxes, Renewable Energy Tax, Tax Incentive, Carbon Tax, Greenhouse GasAbstract
This study examines the perceived effectiveness of tax policies in the renewable energy transition in South Africa, with particular attention to policy visibility, perceived effectiveness, and the channels through which awareness is formed. A quantitative research design was adopted, and survey data were collected from 169 respondents. The data were analysed using descriptive statistics and chi-square tests to identify patterns in respondents’ awareness and effectiveness of specific renewable energy tax measures and their assessments of policy effectiveness across selected renewable energy objectives. The findings show that awareness of renewable energy tax policies is moderate but uneven across instruments. Higher levels of awareness were reported for solar water heater rebates, the tax on incandescent light bulbs, REIPPPP, and the Energy Efficiency Tax Incentive, while awareness of biofuel rebates and the Carbon Tax was comparatively lower. Industry and professional networks emerged as the leading source of awareness, followed by government publications, traditional media, and word of mouth, whereas social media played a less prominent role. Respondents viewed tax policies as relatively more effective in promoting investment in renewable energy infrastructure and energy efficiency, but less effective in reducing greenhouse gas emissions, lowering technology costs, encouraging renewable energy adoption, and creating green jobs. Renewable energy tax policies in South Africa have achieved partial visibility and policy relevance, but their broader perceived impact remains constrained by uneven awareness and uncertain practical outcomes. The study recommends stronger policy communication, simplified incentive structures, and closer integration between fiscal measures and broader energy transition strategies.
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