Industrialized countries are responsible, both historically and currently, for the majority of greenhouse gas (GHG) emissions, but developing countries are increasingly contributing to the problem because of their rapid economic growth (IEA, 2007). Access to existing technologies and technological innovations is commonly seen as a prerequisite for the reduction of emissions in developing countries. Consequently, transfer of technology will be a key pillar in any agreement on a future regime to combat climate change through CDM (Clean Development Mechanism). CDM incentivizes in the private sector to finance emissions reduction projects and thereby potentially contributes to the transfer of technologies previously unavailable in developing countries. Hence, it is important to analyses the technology transfer contribution of the current CDM regime from SA (South Africa) perspective to see how SA can overcome negative factors affecting environmentally clean technology transfer from Annex I countries? SA generates its power from coal powered plant and this puts the country a foremost country in GHG emission in sub-Saharan Africa countries and makes the most eligible country to host CDM projects. However, the country still do not fully utilized its CDM potential due to lack of awareness and absences of political willingness of the government to confront the problem. Therefore, this study attempted to identify some factors affecting the environmentally clean technology transfer through CDM to SA. From literature review, interview conducted and questionnaires sent to project participants in SA, the author identified the following factors which are affecting technology transfer through CDM projects to SA and they are Eskom (National Utility Company) and Feed-in tariff policy, red-tape and corruption level, showhow transfer rather than know-how and Lack of incentives to investors involved in low carbon technology transfer though CDM. To demonstrate the case in question, the author employed two case studies of CDM projects from South Africa.

Key words: CDM, show-how technology transfer, know-how technology transfer, feed-in tariff, red tap.
 

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