Green Economy Journal Issue 46

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ISSUE 46 | 2021

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PLANET PRECAUTION: The current crisis is precursor to acute climate change LOCAL CONTENT: Developing a lithium-ion battery value chain in SA POWER PIPELINE: The gas industry anticipates major growth PESSIMISM/OPTIMISM: The Earthshot revolution set to repair the earth

YOU SEE USED BOTTLES. COLLECTORS SEE VALUE.

Plastic bottles are not trash.

18.2 BILLION PET plastic bottles collected for recycling

R7.7 BILLION injected into South Africa’s economy

65 900

income opportunities created** ** 2019 specifically

1905356_FP_E

Recycling PET plastic bottles creates over 60 000 income opportunities every year in South Africa. Many of these are reclaimers, who helped divert upwards of 95 000 tonnes of PET plastic bottles from landfill in 2019. The used bottles they collect are recycled, ensuring that they become bottles yet again. This creates yet more jobs in the process, contributing positively to our country’s GDP while eliminating the chance that they end up harming the environment.

Recycling ensures that a circular economy is established where the value of plastic bottles continues indefinitely.

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The battle humanity is waging against the coronavirus is only the preliminary round, next is the climate emergency

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ENERGY Industrial energy efficiency

SPECIAL REPORT An excerpt from the report: Opportunities to develop the lithium-ion battery value chain in South Africa

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OIL & GAS The gas-to-power industry expects major growth

PROFILE Packa-ching has a solution for recyclable packaging

INNOVATION The Earthshot Prize is the most prestigious global environment prize in history

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ENERGY An interview with Mercia Grimbeek, Chair of SAWEA

ENERGY A case for a net-zero carbon economy

ENERGY South African wind mean speed map

TECHNOLOGY Artificial intelligence and the green economy

PROFILE Greenhill Estate celebrates its off-grid approval from the City of Tshwane

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INFRASTRUCTURE GBCSA showcases the 27 buildings that have been awarded green star certificates this year so far

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EVENTS CTICC is facing the future with hope and optimism INFRASTRUCTURE Enabling economic activity INFRASTRUCTURE The history of lighting and energy efficiency

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PUBLISHER’S NOTE The RMIPPPP bones have fallen, and that which was foretold has come to be.

There is much to celebrate in the outcome, and much to look forward to as these mega-trends of private gas-to-power and large scale solar/wind-storage hybrids slouch forward to financial close and commercial operation by latest December 2022.

There is also some foggy air that one hopes will clear, relating to the outrageously successful Karpowership bids. The foggy air persists due to the apparent irresistible force seemingly pushing this bidder forward. Soon after the RMIPPPP RFI was released in Fen 2020, the name Karpowerships was in the media for attempting to short-circuit the EIA process, and this back-channelling triggered rumours that political figures were behind these bids and alarm bells started ringing, just as Judge Zondo was trying to clear up the existing procurement mess.

Meanwhile, legal experts gave opinions that Karpoweship bids could not be compliant, industry pundits left, right and centre criticised the 100% import and lease model, with ownership never changing hands. These projects would not tick the key government boxes of contributing to ‘gas-industrialisation’ or infrastructure development, that no meaningful employment would be created.

Also adding fuel to the fire was the sense that the RMIPPPP bid document was written for gas, some say written for Karpowership specifically. How could floating gas-fired power stations, designed to provide emergency power, ostensibly for countries in some or other crisis (read customer list: Cuba, Gambia, Ghana, Guinea-Bissau, Guinea, Senegal, Indonesia, Iraq (past project), Lebanon, Mozambique, Sierra Leone, Zambia (past project), Sudan) outperform land-based projects over 20 years? One would expect such an emergency source of power to come at a premium, and yet through it all – the predictions, the rumours, the opinions – Karpowerships come in with a remarkably competitive tariff and have been awarded 60% of the entire allocation of 2 000MW of generation capacity. A windfall of biblical proportions.

In the meantime, the other mega gas bidder who was unsuccessful, DNG, has brought an urgent high court application against everyone (DoE, IPP Office, Eskom, and all successful bidders) to halt all steps towards financial close on grounds of out-and-out corruption.

I don’t know about you, but I won’t be overly disappointed if Karpowerships can’t close, but there are some excellent bids from excellent consortia that deserve this success after a lengthy delay in the REIPPPP, and so I would not wish to see the baby thrown out with the bathwater, or at all.

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EDITOR: Alexis Knipe

alexis@greeneconomy.media JOINT PUBLISHER AND PRODUCER: Gordon Brown gordon@greeneconomy.media JOINT PUBLISHER AND PRODUCER: Danielle Solomons danielle@greeneconomy.media

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PUBLICATION DATE: May 2021

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Gordon Brown, Publisher

EDITOR’S NOTE In our thought leadership article, Llewellyn van Wyk, attests to the fact that Covid-19 and climate change need to be grasped now as interconnected crises that call for a common set of solutions.

Solutions are what this issue of the Green Economy Journal is all about. Developing a lithium-ion battery value chain in South Africa could ensure a just transition to e-mobility and help solve South Africa’s job crisis (page 18). On page 22, the Journal speaks to Prashaen Reddy from Kearney about possible solutions to increase gas capacity in South Africa. The Earthshot Prize is hunting down game-changing solutions that if achieved by 2030, will improve life for us all, for generations to come (page 30).

And as always, the Green Economy Journal is your sustainable solution to keeping ahead in the green economy.

Alexis Knipe, Editor

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All Rights Reserved. No part of this publication may be reproduced or transmitted in any way or in any form without the prior written permission of the Publisher. The opinions expressed herein are not necessarily those of the Publisher or the Editor. All editorial and advertising contributions are accepted on the understanding that the contributor either owns or has obtained all necessary copyrights and permissions. The Publisher does not endorse any claims made in the publication by or on behalf of any organisations or products. Please address any concerns in this regard to the Publisher.

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NEWS & SNIPPETS

NEW SCHOOL FOR CLIMATE STUDIES

BASIC MINISTERIAL MEETING ON CLIMATE CHANGE Key outcomes of meeting hosted by India on 8 April 2021 BASIC countries (Brazil, South Africa, India and China) are implementing climate actions based on their national circumstances and are fully committed to executing their Nationally Determined Contributions (NDCs).

South Africa has made significant progress in its response to climate change since 2015. Last year, its low emissions development strategy was communicated to the UNFCCC. South Africa’s NDC significantly enhances both mitigation and adaptation ambition. The 2030 mitigation target will be reduced by a proposed 28% compared to the current target.

Our National Climate Change Adaptation Strategy is concluded, co-ordinates adaptation actions at all levels of government. A compre-hensive legal framework is being executed for climate change, which includes the recent establishment of the Presidential Climate Change Coordinating Commission to oversee the country’s just transition.

In terms of mitigation, South Africa has launched a massive investment programme contained in its 2019 Integrated Resource Plan as well as the fifth bid window of its renewable energy procurement programme. Eskom has committed to net-zero emissions by 2050. The national energy efficiency strategy has established new goals for 2030, a carbon tax was introduced in 2019, and a green transport and national waste management strategy will reduce emissions in these sectors.

Recognising differences in capacity and historical responsibilies between developed and developing countries, Ministers agreed that developing countries require time and policy space to achieve a just transition of their economies. Developed countries shall provide new and additional, sustained, adequate and timely finance, technology and capacity building support to developing countries. The substantial gaps in mitigation, adaptation and support provided by developed countries to developing countries in the pre-2020 period must be counterbalanced through ambitious climate change action by developed countries in the post-2020 period.

Minister Dr Blade Nzimande has welcomed the establishment of a new School of Climate Studies at Stellenbosch University, due to be launched in June 2021. The Ministry of Higher Education, for the first time, brings together higher education with science and innovation, thus presenting an opportunity to “enrich our understanding of the systemic issues rethinking and re-engineering to mitigate and adapt to the vagaries of climate uncertainty”.

He said that all South African universities and TVET colleges must plan their differentiated and collective contributions to help understand climate change dynamics, and to work towards changing the world for a more equal humanity.

SA CARS IN THE MAKING Government and automotive original equipment manufacturers (OEMs) are working towards the development of manufacturing capabilities for new energy vehicles in South Africa. The Automotive Business Council is in discussions with the dtic and is keen will review the South African Automotive Masterplan (due for implementation in July) and incorporate the latest global developments of new energy vehicles.

Trends in the automotive industry have been augmented by Covid-19, including several countries bringing forward the date from which internal combustion engine vehicles will be banned. OEMs worldwide are speeding up the implementation of their electromobility strategies.

GREEN [HYDROGEN] IS FOR GO Sasol and Toyota South Africa Motors have partnered to explore the development of a green hydrogen mobility ecosystem in South Africa. They intend to build a mobility corridor and expand the demonstration to a pilot project using a main freight corridor, such as the N3 route between Durban and Johannesburg, for hydrogen powered heavy-duty long-haul trucks.

“One of the focus areas for Sasol in South Africa is to provide a comprehensive and sustainable mobility solution. Hydrogen and electric vehicles with refuelling and charging infrastructure form part of this sustainable future. We believe hydrogen mobility is a real opportunity for the country to decarbonise the sectors of long-haul and heavy-duty transport, mining and others and see the creation of hydrogen hubs, or ecosystems, as a practical and affordable way to scale the deployment of hydrogen in the transport sector,” said Fleetwood Grobler, Sasol President and CEO. Source: The Africa Logistics

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LEADERS’ SUMMIT ON CLIMATE CHANGE 2021 President Ramaphosa asked leaders at the summit to adhere to the principle of common but differentiated responsibilities and respective capabilities. “Developing countries often suffer the most from the devastating effects of climate change in the form of drought, extreme storms and rising sea levels. Consequently, developed economies have a responsibility to support developing economies to enable them to mitigate and adapt to climate change. We need to emphasise the primacy of multilateralism in ensuring the full implementation of the UN Framework Convention on Climate Change,” he said.

“We plan to build capacity to generate over 17GW of renewable energy by 2030. It is critical that all three of the goals of the Paris Agreement – mitigation, adaptation and finance – be advanced with equal determination and ambition. We must massively scale up support in the form of financing, technology and capacity building, so that developing economies, including those in Africa, are able to enhance ambition on adaptation and mitigation.”

NO MORE PLASTIC BAGGAGE The amendments to plastic bag regulations, gazetted by Minister Creecy in April 2021, promote circular economy and ensure circularity by setting minimum recycled content in a phased manner starting 2023 until 2027. The amendments enhance the demand-side of waste management and will drive the diversion of plastic waste from landfill. The manufacture, trade or commercial distribution of plastic carrier bags will be prohibited for use in South Africa, other than those which comply with compulsory specifications. Plastic bags must be made from a minimum of 50% post-consumer recyclate from 1 January 2023, 75% of recycled materials from 2025 and 100% from 1 January 2027.

WATER MAINS At the recent Presidential Infrastructure Coordinating Commission, municipal water infrastructure was the main topic in which challenges ranging from infrastructure failure to service delivery interruptions were identified. The Council resolved to enable the coordination function of the water component of the District Development Model through the implementation of a National Water Programme Management Office. Blended finance will be accessed through the infrastructure fund. The establishment of a National Water Resource Infrastructure Agency and a review of the raw water pricing strategy will be fast-tracked to ensure effective pricing and cost-reflective tariffs.

MY OCTOPUS TEACHER WINS AN OSCAR My Octopus Teacher is the first documentary to win a coveted Oscar Award at the Academy Awards. Pippa Ehrlich and James Reed walked away with the award for the documentary that tells the story of Craig Foster and his remarkable relationship with an octopus in the kelp forests along the Western Cape coast.

At a time when more and more people are focusing on the health of the oceans, the documentary raises awareness about the role kelp forests play in the ocean environment, the abundance and fragility of the marine environment and the need for a healthy marine environment to sustain a diversity of species.

SEAS OF CHANGE BlueCape, a partnership between V&A Waterfront and the City of Cape Town, has been founded to unlock value in the oceans economy by focusing on marine manufacturing, ocean sports and superyachts. BlueCape is part of the Ocean Cluster at the V&A Waterfront, which facilitates collaboration between ocean economy tenants and other stakeholders to create a sustainable blue ocean economy. The feasibility of an ocean economy hub is also being explored.

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THOUGHT LEADERSHIP

When COVID Met CLIMATE WARMING STRIPES GRAPHIC DEPICTING ANNUAL MEAN GLOBAL TEMPERATURES 1850 – 2018i Data values are visualised using colour rather than locations of points on a graph. Horizontal scale is time, from 1850 (left) to 2018 (right).

Data is global (not for a locality).ii It is also the only full colour illustration used in my bookiii – deliberately.

In an article of the same name published

by The Practice Utopian, Guy Dauncy uses When Harry Met Sally as a metaphor for his article. He writes that when we generally think of the movie our thoughts probably go immediately to that scene in the delicatessen, and the “I’ll have what she’s having” comment that follows.

BY LLEWELLYN VAN WYK, B. ARCH; MSC. (APPLIED), URBAN ANALYST

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owever, Dauncy suggests that if we put that aside for a moment, we may realise that it took Harry and Sally a long time before they realised that they were natural partners. In Dauncy’s version of the story, Harry is the climate and biodiversity action movement and Sally is the Covid-19 community response movement. For each, the movement includes a wide mix of people, organisations, scientists, health workers, artists, businesses, banks, and governments who have realised the urgency of their respective crises.

The point Dauncy makes is this: sometime soon, whether next week

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or the middle of next year, a community that is struggling to contain Covid-19 is also going to be hit by a climate-strengthened hurricane, tornado or flood, and social distancing will conflict quite hopelessly with the need to rescue people from flooded homes. The climate and biodiversity emergencies are not taking time off to give the Covid-19 emergency some space. Nature does not work that way. But while Covid-19 may or may not return once it has gone, the climate and biodiversity emergencies will not go away at all, not until we have made big changes to the way we do things throughout the planet. The emergencies will just get more dire, every year.

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Enrique Dans put it very succinctly when he wrote that the battle humanity is waging against the coronavirus is only the preliminary round, and after that, we have a much bigger and stronger opponent waiting for us, called the climate emergency.iv If there is a silver lining to be found anywhere in the Covid-19 pandemic experience it is that having stood, as it were, at the edge of the abyss and looked over, seen a dark and distressing future, our species may be more inclined to make the changes required to avoid the full-scale impacts of climate change.

The more obvious coronavirus pandemic and the disguised dangers of climate change parallel one another in important ways, and the assertive, if tardy, response to the pandemic holds valuable lessons for how we respond to climate change events going forward.

As the Economist put it, “Following the pandemic is like watching the climate crisis with your finger jammed on the fast-forward button. Neither the virus nor greenhouse gases care much for borders, making both scourges global. Both put the poor and vulnerable at greater risk than wealthy elites and demand government action on a scale hardly ever seen in peacetime. And with China’s leadership focused only on its own advantage and America’s as scornful of the World Health Organisation as it is of the Paris Climate Agreement, neither calamity is getting the co-ordinated international response it deserves.” v

Notwithstanding the welcome drop in industrial greenhouse gas emissions experienced because of a near-global lockdown, the drop reveals a crucial truth about the climate crisis: it is much too large to be solved by the abandonment of planes, trains and automobiles. The ‘no-travel’ consequence still leaves more than 90% of the required decarbonisation left to do to get on track for the Paris Agreement’s most ambitious goal of a climate only 1.5°C warmer than it was before the Industrial Revolution. While the pandemic reveals the size of the challenge ahead it also creates a unique chance to enact government policies that steer the economy away from carbon at a lower financial, social, and political cost than might otherwise have been the case.

This is, of course, an optimistic view based more on hope than experience. However, commentators do point to several positive factors that have the potential to give effect to this view.

First, this is the first time billions of people around the world have experienced, simultaneously, a frightening new existential threat surging around the world, upending familiar routines, disrupting local economies, and endangering lives at such a scale. In that sense it makes more real what may lie ahead as climate change impacts begin to bite. It may also crystalise what the perfect storm may look like: just as we have seen that pandemics are increasing in frequency and intensity, so too are the frequency and intensity of extreme events caused by climate change.

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THOUGHT LEADERSHIP In a paper published in the Proceedings of the National Academy of Sciences of the US, the authors note that theory and numerical models consistently link increasing tropical cyclone intensity to a warming world.vi Increasing frequency in climate change driven extreme weather events and increasing frequency in disease outbreaks have increased the likelihood of a natural disaster striking during a pandemic significantly, and its likely to impact more severely. Under the perfect storm, disasters that might have otherwise proved manageable will

compound and amplify pandemic effects until the carnage – measured in lives, livelihoods, and infrastructure – end up worse than it might have been from a single disaster. Storms, floods, and fires will greet a crippled nation, its people sequestered inside homes, its workforce locked down, unable to procure even basic emergency supplies. Governments tasked with responding to it will already be consumed by other emergencies, their capacity to provide even the most fundamental aid limited, their budgets gutted.vii

Far more fundamental systemic changes are required than simply dialling down the energy use.

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This is how cascading catastrophes can compound in effect, kicked off or made worse by climate change, which promises to amplify the harm and make even unrelated crises more painful. To crown it all, multiple and strengthening extreme events could potentially coincide with expanding vector-borne disease. As Sara Goudarzi notes, a hotter climate could, in addition to precipitating extreme events, change the relationship among infectious agents, their hosts and the human body’s defence mechanism.viii Scientists have long known that the rise in average global temperatures is expanding the geographical presence of vector-borne diseases such as malaria and dengue fever, because the animals that transmit them are adapting to more widespread areas.

Second, this sudden transformation is teaching us about the virtues of mutual aid. What has become clear over the past year is the sense that we are all in this together and must look to an empowered common to address systemic risks – like pandemics or climate. Psychotherapist Kyle

MacDonald says the formerly dominant ‘individualist’ culture is being pushed back. “What is being pulled to the fore for all of us is that sense of community, connection and generosity. What we are seeing is just an overnight 180-degree culture change and yeah, there’s always going to be people who don’t buy into that or are disengaged from it… but the swing towards the valuing community and connectedness is kind of wartime effort level, and it’s necessary.”ix The ongoing coronavirus pandemic poses a serious challenge not only to our health and economic well-being, but also to our society’s basic structures of social cohesion and even our democracy. But the pandemic alone is not what is bringing our society to its knees. A longstanding anti-human, anti-science, anti-democratic, individualistic, racist, and xenophobic narrative is clashing with the reality of a pandemic that can only be overcome by humanity, science, equity, collective effort, and trust in the democratic institutions that are coordinating and delivering health services and economic relief.

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THOUGHT LEADERSHIP Despite the fear and anxiety, a counternarrative of human compassion, social solidarity, and government responsibility for all of us is playing out in the everyday stories of neighbours helping neighbours, of state and local governments taking decisive action, and of brave first responders and medical staff risking their lives to save those people who have been stricken by the virus. What everyday people, social movements, and political actors do now to further an inclusive narrative and address the pandemic and the underlying structural defects and inequalities will determine who we will be on the other side of the multiplex crisis.

As Eric Klingenberg, a professor of sociology and director of the Institute for Public Knowledge at New York University wrote, “The coronavirus pandemic marks the end of our romance with market society and hyperindividualism. We’re now seeing the market-based models for social organisation fail, catastrophically, as self-seeking behaviour makes this crisis so much more dangerous than it needed to be… When this ends, we will reorient our politics and make substantial new investments in public goods – for health, especially – and public services. I don’t think we will become less communal. Instead, we will be better able to see how our fates are linked.” x Ironically, the physical distancing required because of the virus has the potential to bring us closer together, as a local, national, and global community. One commentator has made an analogy of this theme of lockdown and transition with the rite of passage found in many human cultures. Traditional rites of passage are numerous and typically include a coming of age, baptisms, weddings, and funerals for some.xi There is a moment during a transition when those involved are no longer what

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they were, but also not yet what they will become. Anthropologists refer to this phase as ‘liminality’. Assadourian suggests that Covid-19 could be our contemporary rite of passage, with this period of isolation almost a textbook example of liminality.

The traditional rite of passage (ulwaluko) of the AmaXhosa people of South Africa marks the transition from boyhood to manhood. This ritual is meant to prepare them for life, leadership and being custodians of their culture. The initiates (abakwetha) live in isolation for up to several weeks after the circumcision until they have completed their training and are able to re-join the community as full men and assume all the responsibilities that that entails. Assadourian wonders if, when we emerge from our self-imposed exile, we will re-join the community as adults, with the expectations, responsibilities, and new-found wisdom that entails, or whether we will fail to understand the significance and continue to act like children? If moving from a society based on continual consumption and depletion to one based on stewardship and renewal is the goal, then our relationships must be grounded in the principles of reciprocity and care – because our relationships with one another are our most valuable resource of all.

Third, Covid-19 is likely to force policymakers into being more precautionary in the face of future risks and less inclined to imagine that the worst may never happen. Most governments’ responses thus far have indicated a greater willingness to believe the warnings, and advice, of experts (and a welcome return to this position in the US). Perhaps the immediate fears over the pandemic, and the massive failure of various

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countries to prepare for it, will increase respect for the experts who are raising the climate alarm bells. While the disease is playing out more quickly than the effects of global warming, the principle is the same: If you wait until you can see the impact, it is too late to stop it.

Fourth, Covid-19 has forced governments to act like government, and implement the measures needed to manage the pandemic. Leaders will generally prefer to not deal with difficult issues head-on. On the one hand, they view heading off a risk as risky and are afraid they may be doing something that may be unnecessary in the long run. On the other hand, voters reward politicians for fixing problems, not necessarily for preventing them.

Covid-19 has demonstrated that provided you can articulate a risk appropriately people will make a sacrifice for the common good (for a superb case study of this see New Zealand). These trillion-dollar measures show once again that if political will is present and society acknowledges the acute need to act, drastic measures can be implemented in a short period of time.

Mark Maslin, professor of climatology at University College London notes that there has been a paradigm shift away from government regulation and general support for society since the 1980s. Consequently, several generations have grown up with the notion that markets, and business know best because, they argue, they are more efficient than anything organised by governments. But what Covid-19 dramatically illustrates is that markets business and industry structurally do not act in everyone’s best interests. Governments have the critical central role in maintaining our health and safety not just in times of crisis, but each day.xii Hopefully Covid-19 will change the collective view of government and its role in society. By embracing this we can now ensure that win-win solutions are adopted to deal with the climate change emergency.

There is a caveat to this new responsibility and one which citizens and civil society groups will need to be very vigilant toward: democracies are facing profound quandaries as they try to control the havoc wrought by the pandemic. Questions such as what the proper use of emergency

powers is; how a proliferating executive can be contained; and how individual freedoms can be protected against a state with new coercive appetites need to be answered. Emergency powers are the exception to the foundation of liberal constitutionalism which limits the sovereignty of the state to protect individuals from tyranny by the state. For this reason, most constitutions only permit governments to declare a ‘state of emergency’ under extraordinary circumstances. It is one of the most revealing tests a leader can face. It is hoped that society will recognise, and demand, the ability and ultimate duty of governments to act decisively in the common interest, whether enforcing lockdowns, in the case of Covid-19, or moving aggressively toward zero emissions in the case of climate change.

Fifth, post-Covid-19 reconstruction is eliciting millions of dollars (G20 governments have already pledged around $5-trillion to stimulate their economies in the wake of the global shutdown) and this investment could potentially be harnessed to kickstart the drive toward a post-carbon society.

In this sense, it is an historic opportunity to steer investments onto a more sustainable path. There are serious doubts in many corners of just how ‘green’ these recovery budgets will actually be – the jury is still out on that.

Sixth, many city dwellers are witnessing first hand the difference in the quality of their environment, particularly air quality, pre-and post-Covid-19.

The sudden absence of air pollution, the emergence of wildlife and clean rivers, will highlight the poor quality they have been willing to accept for decades of urban living and given a glimpse of what is possible. As the head of the International Monetary Fund has observed, environmentalists have an unprecedented chance to turn their policy hopes into a global reality during the economic crisis caused by the coronavirus pandemic.xiii Seventh, climate change mitigation, which is largely aimed at reducing greenhouse gas emissions, requires a reduction in the flow of heattrapping greenhouse gases into the atmosphere through a two-pronged strategy; first, reducing sources of these gases (for example, the burning of fossil fuels for electricity, heat, or transport) and second, enhancing

This sudden transformation is teaching us about the virtues of mutual aid.

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THOUGHT LEADERSHIP potential of the sinks that accumulate and store these gases (such as the oceans, forests and soil). These mitigation strategies rely on altering human behaviour, especially around energy use.

Covid-19 has however, shown us the extent to which human behaviour must be altered for this approach to deliver the reduction levels required.

It has required virtually half of the world’s population and the global economy to be shutdown. Clearly, this is of itself not sustainable. Public and private sectors will now have to realise that for mitigation strategies to be effective and sustainable far more fundamental systemic changes are required than simply dialling down the energy use.

Tackling the climate crisis is about decoupling wealth and growth from emissions and ensuring a sustainable future for all, not economic decline.

Dealing with the long-term climate emergency will not come from shutting down the economy as coronavirus has done, it will come from restructuring systems to enable people to live in a low-carbon way.

The Covid-19 experience will also teach us lessons about the limitations of implementing very drastic behavioural changes in people’s everyday lives for a long period of time. If lessons are indeed learned from our

current crisis, these can in turn inform future policies for the better. The academic literature essentially concludes that almost all forms of direct entreaty or psychological nudge to individuals to voluntarily change their behaviour to combat climate change do not work, or at best have extremely limited impacts.

Substantially changing behaviours requires, as a rule, structural changes to the choice architecture in which individual consumers make decisions, such as regulations to ban certain products or activities, or large price hikes, or new infrastructure. Glen Peters, a research director at the Center for International Climate and Environmental Research, makes a challenging point when he suggests that while individual action and behavioural change play important roles for climate, Covid-19 may just demonstrate that solving the climate problem is going to have to focus on solving the technological challenge.xiv The pandemic and the climate crisis are both problems of exponential growth against a limited capacity to cope argues Elizabeth Sawin, co-director of the think tank Climate Interactive.xv In the case of the virus, the danger is the number of infected people overwhelming healthcare

Following the pandemic is like watching the climate crisis with your finger jammed on the fast-forward button.

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While individual action and behavioural change play important roles for climate, Covid-19 may just demonstrate that solving the climate problem is going to have to focus on solving the technological challenge. systems; with climate change, it is that emissions growth will overwhelm our ability to manage consequences such as droughts, floods, wildfires, and other extreme events. Covid-19 and climate change need to be grasped now as interconnected crises that call for a common set of solutions.

There are, of course, sharply divided views on whether this will happen.

Some policy experts and activists hope it will bring out the best in us and our leaders, and that the resurgence of government action during the pandemic offers a roadmap for fighting climate change. Others fear the worst, that the rush to resuscitate a badly battered global economy will push climate into the background.xvi Notwithstanding this, optimism may not be wishful thinking. There are market analysts who argue that the shock of the pandemic crisis might just be the tipping point to consign old energy policies to a trash heap of history.

As environmental activist Naomi Klein says, “During moments of cataclysmic change, the previously unthinkable suddenly becomes reality”. xvii Jessica Alsford, head of sustainability research at the banking firm Morgan Stanley, in a paper based on interviews with investors, argues that that while there might be short-term delays in climate policy development, “decarbonisation remains an attractive investment theme for the decade ahead.” Lost profitability in the oil industry “could free up cash [for] renewables.” Low prices could also encourage governments to abandon existing subsidies for fossil fuels and switch economic stimulus packages to clean energy. She wrote, “Our analysis argues that the current crisis could accelerate the shift away from fossil fuels.”xviii Watch this space. After the Covid-19 panic has past (Covid-19 is with us for life), societies may adopt some important adaptation and mitigation measures that would lower the risks of both future disease outbreaks and climate change events.

But the most lasting lesson may be what the coronavirus teaches us about the urgency of taking swift action. What would be transformative is that at the end of this pandemic, we tell the story of what we just went through and help people understand that this is an accelerated version of another story we are going through that has the same plot structure but a different timeline.

Covid-19 has demonstrated that the foundations of prosperity are precarious. As the Economist noted, disasters long talked about, and long ignored, can come upon you with no warning, turning life inside out and shaking all that seemed stable. The harm from climate change will be slower than the pandemic but more massive and longer lasting.

If there is a moment for leaders to show bravery in heading off that disaster, this is it. They will never have a more attentive audience.xix

REFERENCES i From World Meteorological Organisation data, said to have been produced for the World Meteorological Organisation (WMO) provisional State of the Climate report. General notes: Credit for general concept of warming stripes: Climate scientist Ed Hawkins, University of Reading, UK ii Ed Hawkins, climate scientist at University of Reading - Hawkins, Ed, 2018 visualisation update / Warming stripes for 1850-2018 using the WMO annual global temperature dataset.. Climate Lab Book (4 December 2018). Archived from the original on 17 April 2019. “LICENSE / Creative Commons License / These blog pages & images are licensed under a Creative Commons Attribution-ShareAlike 4.0 International License. iii Van Wyk, L. 2020. This is not a drill: why Covid-19 rated our resilience politics an F. UrbanLab, New Zealand. iv Dans, E. 2020. “In a post-pandemic world, renewable energy is the only way forward.” Forbes, May 5, 2020. READ HERE . Downloaded: May 6, 2020. v The Economist, 2020. “Countries should seize the moment to flatten the climate curve.” The Economist, May 21, 2020. READ HERE . Downloaded: 2020. vi Kossin, J., Knapp, K., Olander, T., and Velden, C. 2020. “Global increase in major tropical cyclone exceedance probability over the past four decades.” PNAS, May 12, 2020.

READ HERE . Downloaded: 2020. vii Lustgarden, A. 2020.” Climate change won’t stop for the Coronavirus Pandemic.” Resilience, April 15, 2020. . READ HERE . Downloaded: 2020. viii Goudarzi, S. 2020. “How a warming climate could affect the spread of diseases similar to Covid-19.” Scientific American, April 29, 2020. READ HERE . Downloaded: 2020. ix Howie, C. 2020. “Making sense of a world that has shifted on its axis.” Extracted from: Weekend Herald, March 28, 2020. x Lenoir, G. 2020. “Covid-19 has changed everything.” Resilience, April 10, 2020. READ HERE . Downloaded: 2020. xi Assadourian, E. 2020. “Is Covid-19 a collective rite of passage?” Resilience, April 17, 2020. READ HERE . Downloaded: Saturday, April 18, 2020. xii Carbon Brief Staff, 2020. “Coronavirus: What could lifestyle changes mean for tackling climate change?” Carbon Brief, April 9, 2020. READ HERE . Downloaded: Friday, April 10, 2020. xiii Gehrke, J. 2020. “Never waste a ‘crisis’: IMF chief sees coronavirus as ‘great opportunity’ to create a green economy.” Washington Examiner, April 29, 2020. READ HERE . Downloaded: 2020. xiv Ibid. xv Gardiner, B. 2020. “Coronavirus holds key lessons on how to fight climate change.” Yale e360, April 3, 2020. READ HERE . Downloaded: April 4, 2020. xvi Pearce, F. 2020. “After the Coronavirus, two sharply divided paths on climate.” Yale e360, April 9, 2020. READ HERE . Downloaded: April 10, 2020. xvii Ibid. xviii Murray, J. 2020. “Morgan Stanley’s eight reasons why Covid-19 won’t derail decarbonisation.” Business Green, April 24, 2020. READ HERE . Downloaded: April 25, 2020. xix The Economist, 2020. “Countries should seize the moment to flatten the climate curve.” The Economist, May 21, 2020. READ HERE . Downloaded: May 24, 2020.

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ENERGY

INDUSTRIAL ENERGY EFFICIENCY The South African Industrial Energy Efficiency (IEE) Project is the country’s largest and longest-running energy efficiency initiative. It was launched in 2010 to assist primarily industrial companies to transform their energy use patterns in order to reduce national energy demand and contribute to climate change mitigation.

T

he first phase (2010 – 2015) was a great success, so much so that the project partners, the National Cleaner Production Centre (NCPC-SA) and the United Nations Development Organization (UNIDO) secured commitment from national and international funders for a second phase. This phase (2016-2021) aims to mainstream energy management in industry, by promoting increased investment in and adoption of energy management systems (EnMS) and energy systems optimisation (ESO).

Last year, the IEE Project won international acclaim for South Africa’s energy industry, when it was selected as International Energy project of the Year 2020 by the Association of Energy Engineers.

GEJ spoke to the NCPC-SA’s newly appointed National Project Manager of the IEE Project, Sashay Ramdharee, who has worked on the team since 2014, about how the project hopes to make the most impact in its last year – and what the partners are planning after 2021.

What is the award that the project won – and what does it mean?

The International Energy Project of the Year is awarded by the global Association of Energy Engineers (AEE), which is the body that all energy engineering bodies across the world use as a benchmark. They manage the CEM qualification – Certified Energy Manager.

So, winning this award means that the best in the world have chosen our project as, well, the best in the world! This category is for any project outside of the United States, and I can safely say that the award is the highest international accolade for an energy programme of this nature.

Entries come from around the world, and I believe we were chosen amongst 26 other nominations.

It really testifies to the commitment of the IEE Project partners, and the companies that have worked hard alongside us to save energy over the years.

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How has the project gone about transforming energy use patterns and mainstreaming energy management in South Africa?

We use a holistic approach, making sure that companies are capacitated and there are enough experts out there to support industry with or without the NCPC-SA. That is why capacity building is key to the sustainability of the energy management interventions. To date, more than 5 000 professionals have been trained at an end-user level, and over 200 experts have successfully completed the internationally recognised expert training courses.

Through the process of practical training of experts, we are actually partnering with companies to implement energy management. If the company doesn’t have the need or appetite for training at the time, we will use one of our own experts to help them improve their energy management, using the savings as a demonstration case study.

Since the first implementation through the experts trained in 2010/11, 450 industrial companies have realised savings through the IEE Project.

To date, the energy saved amounts to over 6-million kWh – or 6 TWh of energy, which translates to a cumulative cost savings of R5.3-billion in these companies.

The IEE Project is funded by the Global Environment Facility (GEF) with co-funding through the SA Department of Trade, Industry and Competition (the dtic). The work is implemented by UNIDO and executed by the National Cleaner Production Centre South Africa (NCPC-SA) and the Department of Mineral Resources and Energy (DMRE) through the South African National Energy Development Institute (SANEDI).

ENERGY The IEE Project speaks a lot about ISO 50001. What is this standard and why is it so important?

ISO 50001, together with various standards related to its implementation and measurement, is the international energy management standard.

Unlike a lot of other ISO standards, it is very user- and business friendly, and has been designed to help companies save energy and therefore money on a ‘continuous improvement’ basis.

Unfortunately, whist it is the fastest-growing standard globally, adoption in South Africa has been slow, and only 23 companies have become ISO 50001 certified, most of whom have been assisted in some way by the IEE Project.

We believe the lack of uptake is as a direct result of a lack of understanding, or the technical skills to implement an energy management system. For example, through training linked to ISO 50006, we assist companies to understand energy performance indicators. You cannot manage what you don’t measure, and energy metrics and indicators provide organisations with the insight they require to continuously gauge the effectiveness of their energy management efforts, with substantial other energy saving and reporting-related benefits.

has a step-by-step guide on how to prepare applications for various types of funding. It is freely available on our website.

And, of course, our project team is available to provide further support to companies in establishing linkages with appropriate financing institutions.

How can industry benefit from the final year of the IEE Project?

The IEE Project offers technical support and advice, primarily through the NCPC-SA. And for a limited time, we can even offer some financial support when companies apply for certification through the SABS. This includes funding of the certification-readiness assessment of a limited number companies, and contributing to the cost of certification with the SABS. I also highly recommend that companies consider enrolling for the energy management training – either through the NCPC-SA or one of our partner organisations if we don’t have a course at a convenient time. The expert level course will set a company on the energy management journey en route to ISO 50001.

Also, we are concentrating this year on producing guides and tools to help companies along the way. For example, money for CAPEX is often viewed as an obstacle, but the truth is that there is actually more funding for green energy initiatives than people realise. Our guide on the Development of Bankable Business Solutions for Green Energy Projects,

How does the NCPC-SA see the future of this work after the end of the donor-funded IEE Project?

We cannot deny that the IEE Project, and the donor funding that backed it, was a key driver in really escalating our energy expertise and service to industry. The partnership with UNIDO also helped us to structure an integrated approach to national projects.

But the NCPC-SA itself is a national support programme – funded primarily through grant funding from the dtic – and the energy efficiency work of the NCPC-SA will continue, have no fear.

Industrial energy efficiency is a core part of the NCPC-SA mandate, which is ‘to promote resource efficient and cleaner production (RECP) in industry to assist in lowering costs through reduced energy, water and materials usage, and waste management’.

I have no doubt that the partnership with Sanedi and UNIDO will also continue as we embark on other projects together. I want to encourage companies to contact us, and to see how they can sign up to benefit. The easiest way is to email ncpc@csir.co.za or to visit the NCPC-SA website.

www.ieeproject.co.za www.ncpc.co.za

Winning this award means that the best in the world have chosen our project as, well, the best in the world.

SPECIAL REPORT

Gearing up to

GALVANISE GROWTH

The world of mobility is changing. The market for electric vehicles (EVs), in all their forms, is growing exponentially. Combined with technological disruptions in the energy space, the rise of EVs puts battery technologies at the core of sustainable development. Multiple technologies are competing in a market currently dominated by lithium-ion batteries.

Excerpt from the report: OPPORTUNITIES TO DEVELOP THE LITHIUM-ION BATTERY VALUE CHAIN IN SOUTH AFRICA

By Trade & Industrial Policy Strategies (TIPS), March 2021 Authors: Gaylor Montmasson-Clair, Lesego Moshikaro and Lerato Monaisa

B

oth South Africa’s government and industry have indicated their intention to position the local value chain as a key player in the mobility of the future. This is critical to ensure a just transition to e-mobility which would notably preserve, if not increase, job creation.

South Africa hosts a vibrant automotive manufacturing value chain.

Like in the rest of the world, the domestic industry, however, produces internal combustion engine vehicles and components. This raises the question of the positioning South Africa in the value chain.

GLOBAL DYNAMICS While economies of scale and improvements in battery technologies have led to battery prices falling dramatically over the past decade, batteries still make up between 40% and 50% of the total cost of an electric vehicle. Battery cells typically account for 70% of the total value of the battery pack, and cell costs are roughly composed of 50% raw materials and 50% manufacturing.

A lithium-ion battery (LIB) is formed from the assembly of modules connecting battery cells to management systems. Cells consists largely of four components: a cathode that determines capacity and the average voltage of a battery; an anode; an electrolyte solution; and a separator which determines the safety of a battery.

There are six types of LIB chemistries. The most prominent chemistries for EVs are lithium nickel cobalt aluminium (NCA), lithium nickel manganese cobalt (NMC), lithium manganese oxide (LMO), lithium iron phosphate (LFP) and lithium titanate (LTO).

THE CATHODE The cathode is made from a lithium-based compound using mixed metal oxides and phosphates, while the anode is commonly made from graphite, a form of carbon coated in copper foil. The composition of the electrolyte varies from one type of battery to another. Aluminium foil is used as the current collector for the cathode electrode across each of the LIB chemistry applications.

In a lithium-ion cell, the cathode represents approximately 25% of battery costs and is essential for determining battery performance.

Building a better cathode is a key driver for advancing lithium-ion technology. Most cathodes for LIBs use combinations of phosphates and metal ions, such as lithium, cobalt, manganese, nickel, aluminium, titanium and iron. Each battery type has considerably different properties.

The type of cathode chosen for a LIB can affect the energy density, power density, safety, cycle life, and cost of the overall battery.

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SPECIAL REPORT

China is the dominant player in manufacturing LIBs, with three-quarters of production capacity. Panasonic and Contemporary Amperex Technology are the leading manufacturers of LIBs, while the cell manufacturing market is dominated by LG Chem, BYD Auto and Panasonic. Similarly, the supply of cathodes, anodes, separators, electrolytes and electrolyte salts is concentrated in a few countries (China, Japan, South Korea and the US) and a limited number of firms.

Correspondingly, looking at patents related to climate change mitigation in transport and LIBs in particular, the landscape is heavily dominated by the US, Japan, Germany, South Korea, France, China, and the UK.

MINING AND BENEFICIATION CAPABILITIES A wide array of minerals is used in the production of LIBs, including lithium, cobalt, manganese, nickel, graphite, bauxite, copper, iron, phosphate rock and titanium. South Africa is well endowed in such minerals (manganese, cobalt, iron ore, nickel and titanium). In the case of manganese, the country even benefits from a quasi-monopolistic position. South Africa boasts longstanding experience and expertise in mineral beneficiation. To date, there is little beneficiation of minerals to battery grade in the country. Only manganese and aluminium are refined to battery grade at present, while nickel and lithium are in the pipeline.

The African continent has incomparable reserves and mining capacity in key minerals supporting the LIB value chain. Bauxite (Guinea), copper (Democratic Republic of the Congo – DRC, Zambia), cobalt (the DRC, Madagascar, South Africa), graphite (Mozambique, Tanzania, Madagascar), iron ore (South Africa), lithium (Zimbabwe), manganese (South Africa, Gabon), nickel (South Africa, Zimbabwe, Botswana), phosphate rock (Morocco, Algeria, South Africa, Egypt) and titanium (South Africa, Mozambique, Madagascar) are widely available on the continent.

However, Africa remains an extractive economy, as most minerals are refined and processed outside the continent. This opens the door for regional integration. Importantly though, LIB costs depend less on raw material costs than on production volumes, putting the emphasis on economies of scale.

In the sub-Saharan African region, the IFC estimates that over 900MW storage capacity would be deployed by 2025 and that about 70% would be from remote power systems as the region has an underdeveloped grid connectivity. Most remote power systems would include energy storage technology as prices fall and would rely heavily on renewable energy technologies.

The IFC forecasts that South Africa would be the largest market in the region.

MANUFACTURING COMPETENCES There is currently no commercial production of battery cells in South Africa and, despite some projects in development, it remains to be proven whether such an activity would be competitive domestically. Battery manufacturing based on imported cells is, however, a vibrant industry in the country. Numerous firms, in collaboration with academia, have developed IP and expertise in the manufacturing of specific components, parts and systems (most notably battery management systems) as well as the assembly of battery packs. In some cases, companies have further leveraged this expertise to develop additional offerings, such as specialised vehicles. Several companies are also involved in marketing second-life batteries on the local (and regional) market.

At the end of life, there is currently no facility in South Africa in a position to effectively recycle LIB. Batteries are currently stockpiled and/or shipped to available facilities around the globe. All hazardous e-waste, including LIBs, will be banned from being landfilled from August 2021. In line with the regulations on Extended Producer Responsibility (EPR), an effective waste management scheme for LIBs should be established in 2021-2022, including a pilot recycling facility.

LIBs account for over 90% of new energy storage installations, the remaining batteries account for less than 10%.

POLICY IMPLICATIONS Several key policy implications arise: • The policy priorities should be to identify where in the entire LIB value chain South African industries are (or could be) competitive.

Mining is a comparative advantage for the country.

• Battery manufacturing as well as mineral refining emerge as competitive areas. Other stages of the value chain (cell manufacturing, recycling) remain to be proven viable.

• Key components of an enabling policy framework should be formulated. Sending clear, positive signals in favour of the development of the industry would contribute to attracting investments. Access to funding, particularly for commercialisation, remains a key hindering factor, along with testing and certification, and the provision of warranty.

• Accessing markets, both domestically and globally, is a challenge for firms operating in the LIB value chain from South Africa. On the domestic front, the lack of demand is a critical factor hindering development. Access to global markets is, moreover, extremely competitive and requires niche expertise. In the short term, a

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SPECIAL REPORT

The African continent has incomparable reserves and mining capacity in key minerals supporting the LIB value chain. dual strategy aimed at growing local demand as well as local manufacturing (primarily on the back of global demand) would be required.

• Access to a pool of skilled and experienced people is a critical condition for the development of the innovation-heavy LIB value chain in South Africa. While access to skills has not been a key constraint to date, South Africa is far behind leading countries in LIB-related R&D and skills development. More resources are required to develop skills and IP in niches in which South Africa displays a competitive advantage.

WEIGHING OPTIONS GOING FORWARD Four avenues emerge as possible pathways to support the development of the LIB value chain in South Africa: 1) mineral refining; 2) cell

Large-scale battery storage is projected to grow in Africa due to growing climate change mitigation policies, Africa’s underdeveloped power distribution, and the fall in renewable energy prices. In 2017, the IFC estimated that the energy storage market for Africa would reach US$4-5 billion by 2025 and that over 70% of the forecasted storage projects would be from utility-scale opportunities.

manufacturing; 3) battery manufacturing and assembly; and 4) battery recycling. Importantly, such options are not mutually exclusive but are rather complementary in nature. However, the viability of these pathways largely differs in the short term.

Similarly, industrial development associated with these options is at different levels of maturity in the country. Only two pathways, namely developing battery manufacturing and mineral refining, are ready for scale-up. The other two avenues, ie developing commercially-viable cell manufacturing and recycling, are yet to be proven viable in the South African context.

Fostering the growth of battery manufacturing is the most viable option in the short to medium term. Programmes aimed at nurturing existing companies (for expansion, particularly to global markets) and assisting the emergence of additional businesses would be necessary: • Financial assistance would go a long way in facilitating access to finance (particularly for commercialisation). This could be complemented by leveraging international development finance, innovative funding instruments, private finance and business development services.

• The domestic capacity to test and certify battery packs would need to be materially enhanced.

• An increased focus on R&D and skills development, in partnership with the Energy Storage Consortium, would contribute to improve access to human and intellectual capital. Making the existing R&D tax incentive more easily accessible for small, medium and micro enterprises (SMMEs) would also accelerate the development of innovative firms.

• Improving the ease of doing business for SMMEs would strongly enhance their development and growth. This would range from reducing bottlenecks and hindering factors disproportionally impacting small businesses to improving the ecosystem of business facilitation services.

• Consideration could also be given to setting up local content requirements for the public procurement of LIBs.

GLOBAL DYNAMICS IN LITHIUM-ION BATTERIES FOR STORAGE Global Battery Energy Storage Systems (BESS), like EVs, are dominated by LIBs. This is due to the high energy density and the decrease in LIB prices.

LIB technology in energy storage has grown at a slower rate than e-mobility applications. Global total storage capacity is approximately 200GWh. To date, 90% of the global energy storage capacity is attributable to pumped storage hydropower, while batteries account for less than 3%.

Batteries in energy storage are expected to increase exponentially. Of the 3% battery storage capacity, lithium-ion technology is the dominant battery. LIBs have increased exponentially and are currently being installed at a rate on par with all other storage technologies combined.

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SPECIAL REPORT Developing the beneficiation of local minerals to battery grade. South Africa can leverage its expertise and existing value chains to develop battery-grade products. This hinges on a set of measures: • Access to modern infrastructure would be required, particularly reliable, affordable and clean energy and transport services.

• Investment support could be enhanced through both financial (such as development finance) and non-financial assistance (such as special economic zones and industrial parks). This could also extend to R&D and skills development support.

• A mineral beneficiation policy could be enacted to further improve the competitiveness of the industry. A bottom-up approach, through an export tax or a development pricing policy, would represent the most viable option. A top-down approach, though the Automotive Production and Development Programme (APDP) and localisation requirements, would also be supportive.

Exploring the possibility of building cell manufacturing capacity domestically. Effectively, it remains to be proven whether a South African-based company could be competitive on this market segment.

Attracting investors to set up a giga-factory in South Africa would require research to confirm the business case. On the supply side, this would call for a partnership with an existing manufacturer and a leading research institution, as well as favourable investment conditions. On the demand side, a sizeable market, which remains to materialise, would need to be serviced from such a giga-factory.

Battery recycling. South Africa does not at present have such a recycling facility. While the country has expertise in mineral processing and recovery, the economic viability of a possible plant is unknown at this point. The

Business Wire projects that the global market size for battery energy storage system will grow at a compound annual growth rate of 32.8% from 2020 to 2025, rising from US$2.9-billion in 2020 to US$12.1-billion in 2025.

The projection is based on further declining LIB prices and the efforts of the private sector to further improve the performance of LIB for stationary usages. ongoing process of establishing an EPR scheme for batteries sold in the country could provide the impetus for the establishment of a recycling facility in the medium term.

Looking ahead, the possibility of developing the domestic LIB value chain should not be overestimated. South Africa displays key pockets of excellence but not all activities in the value chain are likely viable domestically. At the same time, the importance of developing the LIB value chain should not be underestimated: an established LIB industry is instrumental in the local development of both the (renewable) energy and (electric) transport industries. In fact, provided the emphasis is put on the country’s evidenced strengths, rather than unsubstantiated aspirations, an electrifying opportunity lies ahead for South Africa.

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OIL & GAS

GAS IS IN THE PIPELINE With the potential of gas as an alternative energy source, the development of the gas-to-power industry anticipates major growth. Green Economy Journal spoke to Prashaen Reddy, energy partner at global management consultancy Kearney.

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OIL & GAS GEJ: Government has long sought to advance a gas economy in South Africa, and the impetus is now upon us with multiple ‘mega’ gas projects about to be announced as preferred bidders in the Department of Mineral Resources and Energy’s RMIPP Procurement Programme. How many MWs of gas generation capacity are you expecting to be announced, and what will be the split between LPG and LNG? Reddy: As part of government’s recent IRP, 3 000MW of gas-to-power will be procured as part of the energy mix. Up until 2024, it is only expected to be around 1 000MW. The procurement process is set to start early in 2021.

Without being privy to government’s procurement plan it can be expected that in the next bid window, government will likely be asking for the same MWs from gas. The 1 000MW could also be split over a few bid windows over the year or possibly all at once as the President stated in his 2020 SONA. Government does not clarify how natural gas will need to be sourced.

The best way to transport it is by creating gas-to-power stations close to where there is a supply of natural gas. It is best to produce gas close to where it is naturally available. Where this is not possible, there will need to be ways to move the gas, likely in the form of LNG to plant. In this instance, there will need to be a constant supply of gas and infrastructure to ensure the power station receives gas via LNG, which is a more costly and impractical means of supplying gas to a power station.

There are two large LNG projects being bid by DNG that seek to tap into the Republican of Mozambique Pipeline Company (ROMPCO) gas pipeline from Mozambique. Word is that the ROMPCO pipeline capacity is already allocated to Sasol and other industry consumers.

Is this true, and if so, how can this capacity be expanded?

It is well known that Sasol is the supplier and majority consumer of gas in the country, supplied from the ROMPCO pipeline. There is room for expansion and investment in the pipeline as has been in the past that has resulted in the pipeline being at the capacity it is now. The pipeline capacity can be expanded – it will just require additional investment. The bigger challenge though will be the source of natural gas.

Sasol will need to access more gas into the pipeline if they are to expand it. They will have to look at how they can partner, or how the role of other players in Mozambique tap into that pipeline. The gas that Sasol uses to bring into the South African market and supply the southern part of Mozambique is sourced from southern gas fields, onshore in Mozambique.

The new gas finds in Mozambique are in the extreme north, offshore and far from the pipeline and will need to be extended to the north to access the gas. This will then be shipped through the pipeline or other mechanisms for supplying the pipeline with LNG will have to be identified.

An option that is being considered – bringing in gas from other parts of the world or in the region to supply the pipeline via LNG, and re-gasify the gas fed into the pipeline – will allow for increasing capacity and supporting the current capacity.

Oil and gas have always been politically conflicted. All commodities have this challenge, but we should diversify. South Africa is looking for other sources of gas and want to establish LNG with Coega and Richards Bay as options, which are both LNG re-gasification

facilities where gas can be transported to site, re-gasified and put into operations, pipelines, gas-to-power facilities and storage where required. Brulpadda and Luiperd are two finds off the southern coast of South Africa by Total that will see realisation as a source of gas for the market within seven to ten years.

Sasol has enabled the gas market in the past but moving forward there are more than enough players introduced into the mix with Total, Eni, South African and Mozambican governments’ SEOs as well as Transnet looking at gas. Sasol is looking to offload certain gas assets so that they are not the most dominant player for gas in the market. This will allow for a shift in the landscape.

How quickly can pipelines be put in place to obviate the impending negative impact of trucking to transport gas on road infrastructure and the environment?

Both Sasol and Transnet already have pipeline networks operating in South Africa. The starting point would be how to leverage existing infrastructure to supply the market. If South Africa is to be successful as a gas economy, we will have to start building pipeline infrastructure. It takes five years or longer to build pipelines depending on the length of the pipeline and the area (as they could go through potential suburbia, communities and industrial areas that require approvals and environmental studies).

South Africa has access to so much gas and studies conducted in the past, including those by the CSIR, clearly show that pipeline infrastructure must be built now and there are economic zones that can take advantage of this. An integrated infrastructure programme for gas including pipelines, LNG and gas-to-power needs to be established. The best option is to get pipeline infrastructure into place and to leverage existing pipeline infrastructure. Trucking is not the solution.

Liquified Petroleum Gas (LPG) and Liquified Natural Gas (LNG) LPG is imported or produced through a chemical process from refineries in South Africa. LNG is merely a way to transport gas around the world, where it is liquified, shipped and transported to where there is demand. Power plants are expected to run off natural gas, which does not mean it will be LNG. For example, pipelines bringing gas from Mozambique is a natural gas, but it is not LNG as it is transported through pipelines.

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OIL & GAS A primary benefit of developing a gas economy is the resulting need for infrastructure development and industrialisation. How are these areas advanced by awarding 20-year PPAs to power-to-ship companies, who simply dock their generators at the port and plug into the grid? Where is the economic development in this model?

Not all power needs will be solved by power-to-ship, which is only an emergency, short-term solution to gain stability and reliability within the power sector. This option is only considered because of South Africa’s massive challenge between supply and demand, and we have a deficit. All solutions should be considered.

The challenge with the economics around power is needed to create a certain level of longevity and companies are not prepared to put in place infrastructure and investments if they have not secured a certain number of years of supply. Shorter timeframes for these types of models are an option but it will still require infrastructure and investments to get this power into the grid. All power agreements, whether power-toship or building new power stations, require an agreement upfront of who will be purchasing the power, and these are generally long-term contracts. Funders and investors in this space will only make decisions if it is economically feasible.

Economic development in this model is a bit more limited compared to more stabilised infrastructure but once these models are introduced, it will still require development and maintenance of infrastructure, tying into Eskom, re-maintenance and operations activities. Once stability is created in the power grid, other industries will be enabled.

It was announced recently that there would be a dedicated gas procurement round before the end of 2021. How do you see this adding to the presence of RMIPPPP projects in terms of scale and strategic location?

Renewables cannot be the only answer to the power mix so gas is a good example of something that can be brought in place to support baseload generation. Other sources of energy are needed in the grid to create a continuous supply of energy and gas is one of those as well as coal that has been used effectively in the past but is now a declining area of investment.

Renewables and gas are complementary to ensure sustainability in the grid and to have diversified sources of energy. It is important to have a diversified mix. Having just one source could create a struggle to create consistency within the grid. Until we can get proper battery technology at scale, relying solely on renewables is not possible.

What is the latest position of government on extraction of shale gas?

Shale gas is still on the government agenda but in the current oil and gas price environment it becomes economically unfeasible and as a result investment in these projects has slowed down. The technology required to extract gas from shale rock such as in the Karoo is a specialist technology and hydraulic fracking is controversial. There is an oversupply of natural gas in the market, so the complex route of extracting gas does not make economic sense. Shale gas extraction has been successful in countries like the US. When there is government support and it is attractive to investors, shale gas does offer opportunities.

In the absence of South Africa accessing such gas local deposits, will this ramp up in gas-energy capacity not place an immense strain on the country's balance of payments as we embark on the importation of gas?

A lot of South Africa’s energy needs are transported into the country, but we also export a lot of our production. The manufacturing sector is dependent on energy so if we scale and industrialise faster because we have more gas and gas-to-power, exports will be increased. If we can get more gas and more energy into the country and more capacity and reliability then the manufacturing sector, which is predominantly an export-driven sector, can be scaled. It is not practical to wait to have pipelines and all the infrastructure in place before we have gas in the country. We must work towards creating the demand and start to have the supply, bringing in local infrastructure and gas sources as we grow.

Please outline the key advantages for SA in pursuing a gas-to-power strategy within the context of the global energy industry moving rapidly to renewables, and away from large gas-energy projects.

In the last five to ten years, the world has shifted towards gas as it's less harmful in terms of emissions compared to that of coal and oil. There has been a shift in the growth of gas and projections into the future still show growth in gas but decline in coal and oil. Gas is viewed as a complementary source of energy to renewables, not one that is competing.

Sustainability in the grid needs to be created with different sources of energy and having gas in the mix will be useful. We need to move away from the dirtier hydrocarbons. The most balanced way of bringing new energy, while creating and replacing jobs, needs to be navigated. * Prashaen Reddy is partner, energy and process industries Africa and digital strategy and transformation Africa

24

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PROFILE

PACKA-CHING:

A SOLUTION FOR ALL By incentivising a change in behaviour and shifting the perception of recyclable packaging waste, Packa-Ching is cleaning up the environment and uplifting the communities in which it operates.

U

pon entering many informal settlements and low-income areas in South Africa, one is immediately struck by the vast amount of visible waste. A large portion of this waste is used household packaging, of which most is recyclable and therefore has a monetary value.

Polyco’s mobile separation-at-source collection business, Packa-Ching, has a solution for this problem. Packa-Ching develops business enterprises that collect used recyclable packaging material from the public in lowincome and informal areas – areas that are often overlooked with regard to recycling education, recycling infrastructure and recycling services – and pays for it.

Packa-Ching cleans up the environment in the areas where it operates, keeping valuable recyclables out of landfill by placing them back into the recycling value chain, and providing an income-generating opportunity for people living in these areas. Packa-Ching is proving that recyclable packaging waste has value.

Packa-Ching has paid out over R2-million to its users and has collected over 2.5-million kilograms of recyclable packaging material, comprising plastic, paper, glass and metal packaging materials.

Packa-Ching has paid out over R2-million to its users and has collected over 2.5-million kilograms of recyclable packaging material, comprising plastic, paper, glass and metal packaging materials.

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Each kilogram of recyclable material brought to a Packa-Ching unit is weighed and paid for via a cashless payment system, enabled by a technology-based weigh-pay system. Only a standard cell phone is needed to use the service, making it accessible to almost everyone.

The first Packa-Ching unit was launched in August 2017 in Langa, Cape Town. Packa-Ching has since expanded its operations nationwide with seven units currently operating and aims to have a total of 25 units operating across South Africa within the next four years. Packa-Ching was founded by Polyco and is sponsored by Shoprite and Sasol.

Packa-Ching provides the infrastructure, convenience, education and incentive to change littering behaviour and get people recycling.

Packa-Ching is expanding its reach across South Africa by launching a Packa-Ching schools education programme in 2022. By getting learners excited and motivated to recycle, they not only learn the practice from a young age but can also be key influencers in their parents’ decision to get involved and use the Packa-Ching service in their community.

Packa-Ching will also be launching Packa-Ching Pop-Up static units that can be installed at malls. To find out more about Packa-Ching and how you might get involved, please visit the website at www.packaching.co.za or contact Packa-Ching’s Operations Manager, Megan Swart, at megan@polyco.co.za

KA-CHING FOR THE ENVIRONMENT AND FOR PEOPLE Packa-Ching collects used recyclable packaging material from the public in low income and informal areas and pays them for it. Due to the success of current mobile operations, Packa-Ching is launching two new collection initiatives.

PACKA-CHING POP-UPS

INVEST IN A CLEANER ENVIRONMENT AND ECONOMIC OPPORTUNITY FOR THE PUBLIC

New static Packa-Ching buy-back units or “Pop- Ups” are designed to be installed at malls, targeting shoppers visiting retail spaces.

Each Packa-Ching Pop-Up consists of a customised containerised structure that has been pre-fitted with weigh-pay technology and will be managed by waste collection enterprises.

Safe cashless buy-back infrastructure.

Incentive to recycle - contribute to poverty alleviation by creating an income earning opportunity.

Materials are weighed and instant payments are made via a cashless system into an users eWallet, accessible from any feature cell phone.

Users can spend their money at participating merchants, transfer to others via cell phone, purchase airtime or withdraw cash.

Employment creation and opportunity for YES jobs.

Maximizes the diversion of packaging waste from landfill.

Cloud based record keeping – weighing system allows for full traceability of volumes and payments.

PACKA-CHING RECYCLING EDUCATION IN SCHOOLS

INVEST IN A CLEANER ENVIRONMENT AND EDUCATING LEARNERS IN SOUTH AFRICA

The Packa-Ching schools programme will educate learners about the importance of recycling, install recycling infrastructure into schools, and pay the schools for the recyclable material that the local Packa-Ching enterprise collects from each participating school.

Provide recycling infrastructure into schools.

Teach learners about the environmental and economic value of recycling.

Show learners that they can clean up their community by bringing recyclables to school instead of discarding them as waste.

Teach learners that they can earn an income for their school through recycling.

Empower learners to be key influencers and advocates for change within their communities.

Encourage teachers to become advocates and champions for recycling.

Corporate social investment (CSI) and enterprise development opportunity.

= To enquire about sponsorship opportunities for these two initiatives please visit WWW.PACKACHING.CO.ZA or contact Packa-Ching’s Operations Manager, Megan Swart, at megan@polyco.co.za

INNOVATION

THE

EARTHSHOT PRIZE The Earthshot Prize is the most prestigious global environment prize in history, launched last year by Prince William, the Duke of Cambridge, and The Royal Foundation. It is designed to incentivise, change and help repair our planet over the next ten years, while turning the current pessimism surrounding environmental issues into optimism.

BY CHRIS WHYTE AND SUSANNE KARCHER, ACEN

T

aking inspiration from President John F Kennedy’s ‘Moonshot’, the Prize is centered around five ‘Earthshots’ – simple but ambitious goals, underpinned by scientifically agreed targets that if achieved by 2030 will improve life for us all, for generations to come.

To find the game-changing solutions, The Earthshot Prize has established a truly diverse and experienced group of nominators who will seek out potential winners. The African Circular Economy Network (ACEN) was selected as a global nominator because of its networks across Africa in the circular economy. The nominators have been selected for their ability to identify the most impactful solutions to the five Earthshot challenges

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across all countries and sectors, from grassroots to businesses. Just like other established international prizes, by using nominators, The Earthshot Prize is tapping into a global network of knowledge and experience to select the solutions that will have the biggest impact on the world.

The five Earthshots are described as follows: PROTECT AND RESTORE NATURE. Species all over the world face extinction as their homes are destroyed, but destroying nature threatens our lives too. Forests and natural land are vital to human health and happiness, helping to prevent global warming and producing oxygen that we breathe. We must act now to protect our future. We choose

INNOVATION to repair and preserve the habitats that our animals need to live, from rainforests and grasslands, to wetlands, lakes and rivers. The Earthshot Prize will be awarded to the most outstanding efforts to meet this challenge. To the conservationists who put a stop to poaching and illegal wildlife trafficking; to the landowners who create job opportunities for people who look after natural land; and to the entrepreneurs who help scale solutions for planting billions more trees that will secure the health and safety of generations to come.

CLEAN OUR AIR. Millions of children all over the world breathe toxic air every day, causing countless deaths that could be prevented. This cannot be accepted – clean air and healthy lives are within our reach. We choose to end outdated transport that emits toxic fumes, remove pollution from the air using both technology and nature, and eliminate the burning of fossil fuels, choosing 100% renewable energy for everyone – from big cities to rural villages. The Earthshot Prize will be awarded to the most outstanding efforts to meet this challenge. To the innovators who create job opportunities in green transport and clean energy; to the businesses who remove more pollution from the air than they put into it; and to the communities who let us heat our homes, travel to work and feed our families without polluting the air that we breathe.

REVIVE OUR OCEANS. Warmer temperatures, pollution and harmful fishing practices are having devastating impacts on the ocean, putting life under water in jeopardy. But this decade we can choose to make our ocean healthy. We refuse to accept a world where turtles, dolphins and coral reefs vanish from our seas. We choose to bring forward a new era where everyone uses the ocean sustainably. We will award The Earthshot Prize to the most outstanding efforts to meet this challenge. To the innovators who revolutionise our understanding of life underwater; to the leaders who end criminal and unsustainable fishing practices; and to the technologists who repair coral reefs and show us how to remove pollution from the ocean on a global scale. We choose a future where our children can enjoy the ocean for years to come, and where the ocean can continue to sustain and enrich all life on earth.

BUILD A WASTE-FREE WORLD. The world we have built is not like this; we throw everything away, and this is harming our planet. But we have the power to build something better. We choose to eliminate food waste, single-use packaging, and inspire a new generation of people, companies, and industries to reuse, repurpose, and recycle. We will

On the Earthshot concept, Prince William states: “The Earth is at a tipping point and we face a stark choice: either we continue as we are and irreparably damage our planet, or we remember our unique power as human beings and our continual ability to lead, innovate and problem-solve.

People can achieve great things.

The next ten years present us with one of our greatest tests – a decade of action to repair the Earth.”

award The Earthshot Prize to the most outstanding efforts to meet this challenge. To the organisations that are eliminating single-use products and packaging; to the cities that revolutionise their waste management systems and to the innovators who give new life to things destined for landfill. We choose to build a system that can work forever, where people everywhere can live safe, healthy and happy lives, without waste.

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INNOVATION

Five, one million-pound prizes will be awarded each year for the next ten years, providing at least 50 solutions to the world’s greatest environmental problems by 2030.

FIX OUR CLIMATE. Carbon in the atmosphere is making our planet warmer, to levels which threaten all life on Earth. But it is not too late; if we act now, we can make the world a better, more sustainable home for everyone. We will combat climate change by removing more carbon from the atmosphere than we put into it and ensuring all countries reach net-zero greenhouse gas emissions. We will build defences to protect innocent people from climate driven disasters and crises.

We will award The Earthshot Prize to the most outstanding efforts to meet this challenge. To the cities or countries who reach net-zero emissions; to the leaders who create millions of new jobs in a carbon neutral economy; to the technologists who remove carbon from the atmosphere on a global scale, whilst protecting human life and nature.

We choose to fix our climate so that life everywhere can thrive for generations to come.

Every year from 2021 until 2030, Prince William, alongside the Earthshot Prize Council covering six continents, will award The Earthshot Prize to five

30

winners, one per Earthshot, whose evidence-based solutions make the most progress towards these goals. The Earthshot Prize aims to find new solutions that work on every level, have a positive effect on environmental change and improve living standards globally. Prizes could be awarded to a wide range of individuals, teams or collaborations – scientists, activists, economists, community projects, leaders, governments, banks, businesses, cities, and countries – anyone whose workable solutions make a substantial contribution to achieving the Earthshots.

All winning solutions and finalists will be given tailored support and opportunities to help scale their work, including being connected with an ecosystem of likeminded individuals and organisations.

Five, one million-pound prizes will be awarded each year for the next ten years, providing at least 50 solutions to the world’s greatest environmental problems by 2030.

INNOVATION The Earthshot Prize is about much more than awarding achievement – it is a decade of action to convene the environmental world with funders, businesses and individuals to maximise impact and take solutions to scale, to celebrate the people and places driving change; and to inspire people all over the world to work together to repair the planet.

The search for the first five Earthshot Prize winners is officially under way. The African Circular Economy Network (ACEN) is proud to be one of over 100 nominating partners for The Earthshot Prize, working to identify the most impactful solutions, action and leadership that will help reach the Earthshots. Nominees can only apply through the nominators, so contact ACEN if you think you can save the planet. ACEN have made many nominations already and are happy to help guide you through the process. www.acen.africa

THE EARTHSHOT PRIZE COUNCIL The Council is a truly global team of influential individuals from a wide range of different sectors, all of whom are committed to championing positive action in the environmental space. Council members include Prince William, Cate Blanchett, Christiana Figueres, Sir David Attenborough and Shakira, amongst others.

Cate Blanchett

Christiana Figueres

Sir David Attenborough

Shakira

But it is not too late; if we act now, we can make the world a better, more sustainable home for everyone.

* Chris Whyte B.Sc. (Hons); Dip.Bus.Man; M.Sc(Gi, London); Pr.Sci.Nat and Susanne Karcher are from African Circular Economy Network (ACEN).

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ENERGY

WITH THE WIND AT OUR

WHEELS Green Economy Journal caught up with Mercia Grimbeek, Chair of SAWEA, to find out about capacity and content as the wind industry embarks on a journey of localisation and local economic development.

Umoya Energy Wind Farm situated on either side of the R45 on the West Coast of South Africa.

What are the local content requirements stipulated in REIPPPP BW5?

Local content for wind has a threshold of 40% but designated local content has been retained for this bidding round. This will require exemption applications for certain components to be lodged with the Department of Trade Industry Competition (dtic). No targets have been set in the RFP. Are you expecting these requirements to be increased in future bidding rounds?

Absolutely. A consistent procurement pipeline through consecutive bidding rounds will enable local manufacturing concerns to be re-established and the potential expansion of already operating manufacturers, and hence necessitate an incremental increase in these requirements over time. This would be a positive development as it facilitates job creation and skills development as the economy recovers from the Covid pandemic.

By 2015, meaningful momentum was established in the setting up of new manufacturing capacity within the wind and solar value chains in South Africa. To what extent was that capacity lost through the delays in rolling out rounds 4 and 4b and in the announcement of the subsequent rounds?

Significant manufacturing capacity was lost in the delay between BW4 and BW5. Many companies were forced to shut down because of the delays, unable to carry the cost of overheads indefinitely.

With new impetus from government in respect of REIPPPP, how quickly do you expect the momentum to be regained in respect of investments and local manufacturing?

While we wholeheartedly celebrate the new impetus, one must be mindful that regaining the investor confidence will not be an overnight process. To

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Mercia Grimbeek enable the required quantity and very importantly, quality, of components will require at least two to three years of investment and development. It is therefore crucial that further interruptions or delays are not encountered.

A controlled roll out of procurement will allow all aspects of the value chain, and not only the manufacturing sector, to expand.

ENERGY

The South African Renewable Energy Masterplan (SAREM) The national masterplan process falls under the dtic-led industrial strategy for South Africa. It builds upon the approach taken by the automotive sector as well as the sector plan process developed between private and public sectors, led by the Public Private Growth Initiative in conjunction with the Presidency. SAREM is one of 14 industry specific masterplans in progress since July 2019.

The masterplan approach is a collaboration between industry, labour and government to develop an industrial plan for the sector.

This includes setting out a vision for an industry in South Africa, identifying blockages and proposing a set of key actions for the short and medium term. Government, for its part, undertakes to remove impediments to these plans.

The IRP outlines the expected energy capacity needed in South Africa. SAREM represents an opportunity to identify jobs and investment in the renewable energy sector linked to the IRP, as well as to articulate how job creation and investment might be optimised.

Are you confident that the wind industry will be able to meet local content requirements, needed by bidders as they seek to bid on round 5 onwards?

I have no concerns that the wind industry will respond positively and meet the local content requirements. SAWEA has facilitated conversations between the IPPO, DMRE, dtic and OEMs to align strategically and map the way forward to meet increased local content requirements. The wind industry has submitted its vision to practically increase local content in the next few years and remains fully supportive of growing the local manufacturing sector.

Do you see government policies, such as establishing Renewable Energy Development Zones (REDZs), as a meaningful facilitator of local manufacturing for the wind industry?

Yes, consistent regulatory framework, such as the REDZ, supports a focused project delivery pipeline within a development zone, which means that the renewable energy industry would have the opportunity to expand the manufacturing value chain in this REDZ. A stable and consistent project pipeline will support manufacturing of components locally, with the added benefit of skills development and training for the local communities.

What other policies would you like to see being implemented in South Africa to fast-track the establishment of this manufacturing capacity?

The finalisation and implementation of the South African Renewable Energy Masterplan will contribute immensely to fast-tracking the establishment of local manufacturing capacity. It will provide a blueprint

A controlled roll out of procurement will allow all aspects of the value chain, and not only the manufacturing sector, to expand.

from which government departments, such as the dtic, can provide incentives for investment into local manufacturing. A focused action plan within the Industrial Policy Action Plan on how government will support development of renewable energy industry in the country would be of great importance.

REDZs’ role in the GREEN AND GOLD REDZ create priority areas for investment in the electricity grid and increase South Africa’s green energy map, by enabling higher levels of renewable power penetration.

W

ind developers are investigating the potential for development in the eMalahleni REDZ, despite Mpumalanga not being known for high levels of wind, a challenge that can certainly be overcome with increased turbine hub height. Industry players believe that the region can be positioned as a component manufacturing hub that will further entrench the positive impact on job creation by the wind industry. It is recognised that engagement with the relevant government stakeholders is critical.

“The new eMalahleni REDZ is a huge step toward accelerated economic development in Mpumalanga. As we move to implement the requirements of the Integrated Resource Plan (IRP) 2019, it would appear natural that a portion of the 1 600MW per annum should be allocated to the northern region of the country and research has dispelled the myth that wind is not an economically viable option in this region,” says Mercia Grimbeek.

“Through the implementation of national and even regional auctions, the area could receive the economic stimulus that it needs and reduce the almost complete reliance on mining generated income to drive and support the economy. Renewable energy such as wind power plants are deployed quickly when compared to other large infrastructure projects. This allows for the economic benefits to flow through to communities in a relatively short period of time not only directly through job creation but also indirectly through manufacturing and supply chain management,” adds Grimbeek.

Due to the large number of energy intensive users, in and around eMalahleni, it is seen as an ideal location to promote private off-taker agreements for the purchase of energy from IPPs. The deployment of wind energy, backed by a regulatory regime that supports private Power Purchase Agreements, could provide economic stimulus within a short timeframe.

“A stable and consistent project pipeline will support manufacturing of components locally, with the added benefit of skills development and training for the local communities. One cannot ignore that the introduction of renewable energy would require a significant amount of skills transfer and human capital investment, so we believe that by expanding into eMalahleni, local communities will be empowered and less reliant on a single industry to provide economic certainty,” concludes Grimbeek.

*Mercia Grimbeek is head of project development for Enertrag in South Africa and Chair of the South African Wind Energy Association.

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ENERGY

A CASE FOR A NET-ZERO

CARBON ECONOMY Golden Valley Wind Energy Facility.

Ntombifuthi Ntuli

Ahead of the 2021 United Nations Framework Convention on Climate Change (UNFCCC) 26th Conference of Parties, referred to as COP26, South Africa Wind Energy Association has unpacked the role of renewable energy, as South Africa prepares for a net-zero carbon economy.

BY SAWEA

“S

outh Africa’s Low Emission Development Strategy, backed by President Ramaphosa, was formulated last year and commits to moving towards a goal of net-zero carbon emissions by 2050, which will require various interventions to reduce greenhouse gas emissions,” explains Ntombifuthi Ntuli, CEO of SAWEA. President Ramaphosa reaffirmed this commitment in his recent SONA, stating that Eskom, which is the country’s largest greenhouse gas emitter, has committed in principle to net-zero emissions and to increase its renewable capacity. This was followed by the presidential co-ordinating commission on climate change meeting for the first time, last month, to work on a plan for a just transition to a low-carbon economy and climate resilient society.

“The energy sector contributes close to 80% towards the country’s total greenhouse gas emissions (GHG) of which 50% are from electricity generation and liquid fuel production alone, hence investments in renewable energy, energy efficiency and public transport, in line with the country’s energy roadmap, the Integrated Resource Plan (IRP) 2019, is the key to reducing GHG emissions,” adds Ntuli.

Wind energy is given the opportunity to play a leading role, and it is widely agreed that the country, as well as its economy and workforce will benefit from a net-zero future. This is easy to understand considering that the installed capacity of 3.3GW of wind power has reduced carbon emissions by 28.8Mt CO2 to date.

It is no surprise then, that the increase in renewable energy capacity has been prioritised in the country’s key planning documents, starting

SAWEA views South Africa as an ideal case study for large-scale deployment of renewable energy, and wind power in particular, on the African continent.

34

with the National Development Plan, which commits to the procurement of 30GW of renewable energy by 2030, supported by the IRP2019, which commits to the procurement of 14.4GW of wind by 2030.

This commitment is further supported by the Economic Reconstruction and Recovery Plan, which outlines a plan to accelerate the implementation of the IRP 2019 to provide a substantial increase in the contribution of renewable energy sources, battery storage and gas technologies. This economic recovery plan will ensure that South Africa rapidly achieves decarbonisation of its power system over the next decade and beyond.

“We know that the key consideration for achieving net-zero emissions by 2050 is that this massive transition of the electricity sector will reduce the country’s demand for coal resources. The need to shift from a carbon intensive power system to sustainable power generation coincides well with the end of life of the ageing coal power fleet, rendering this transition process a natural and gradual one,” adds Ntuli.

In the long term, decommissioning of coal plants will increase gradually as they reach end-of-life. The IRP stipulates a plan to decommissioning of 11 000MW of coal by 2030, with a further 24 100MW of coal power expected to be decommissioned between 2030 and 2050. This capacity will be replaced by a combination of wind, solar PV, battery storage and gas.

Although the published IRP 2019 goes up to 2030, it is assumed that wind power will constitute an even bigger share of new generation capacity beyond 2030, as the first wind farms will commence decommissioning from 2034 onward, this will create a capacity gap that will be closed by building more wind power capacity. This transition project should result in a total emission reduction budget for the entire electricity sector up to 2050 of 5 470Mt CO2 cumulatively, according to the IRP 2019.

SAWEA views South Africa as an ideal case study for large-scale deployment of renewable energy, and wind power in particular, on the African continent.

“We demonstrate that with the right combination of policy instruments, a country can successfully develop energy infrastructure and drive economic growth that includes domestic and foreign investment, socioeconomic development and job creation, all while driving down the price of electricity and reducing GHG emissions,” concludes Ntuli.

SOUTH AFRICAN WIND MEAN SPEED MAP

Map courtesy: Vortex. http://www.vortexfdc.com/

Data source ERA5 downscaled at 1km Long-term averaged period 2008-2017 Wind mean speed averaged at 100m height

Wind mean speed map of South Africa. The wind mean speed is averaged at 100 metres in height.

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TECHNOLOGY

ARTIFICIAL INTELLIGENCE:

TRUE GENIUS

There is much talk of AI and the green economy. In this series of articles, the author sets out to provide an understanding of AI and its elements; and progressively review areas of its application to climate change, resource saving, circular economy, environmental and ecosystem protection, SDGs, energy management, as well as other related processes and markets set to be transformed by AI.

BY ERROL FINKELSTEIN, B.COMM., B.ACC (WITS); CHARTERED ACCOUNTANT (SA)

36

TECHNOLOGY

S

o, what is AI and why should you be interested?

Artificial Intelligence (AI) is not new or untested. However, its application has opened and been radically broadened by the power of computing available over the past few years. Why is that noteworthy?

As humans we can only deal with a certain amount of incoming data and process the patterns emerging in a fairly limited manner if the data volume is overwhelming. Computers can now routinely do this on a scale not practical until recently. For example, in the healthcare field, researchers working on better approaches to Dementia diagnosis, identified related variables in a large-scale study. The study involved almost 60 000 patients and their anonymised clinical data covering over 50 000 indicators. From this vast array of data, the ten most important features were identified, and they are now being further refined to provide an extremely high level of confidence that if these ten criteria are current in a certain manner that a specific patient is very likely to be approaching hospitalisation due to Dementia. The early onset flag should significantly improve patient outcomes; and may lower the overall cost of the care.

The above illustrates that both brute computing power and appropriate programmes, generally referred to as algorithms, are needed to detect the otherwise hidden patterns in the data. This is in a similar manner to ‘unusual’ credit card transactions, or fraudulent insurance claims being flagged for further scrutiny with a high degree of accuracy. Isolating key patterns and applying them with useful outcomes is a key fundamental characteristic of successful AI deployment. The potential to misapply data or prior learnings are in part debated in much volume by AI practitioners under the vast field of AI and ethics, a subject for a subsequent article.

AI encompasses several elements including machine learning, deep data, natural language processing, robotic processing automation, robotics and more. AI is the simulation of human intelligence processes by machines, especially computer systems. Specific applications of AI include expert systems, natural language processing (NLP), speech recognition and machine vision. AI programming focuses on three cognitive skills: learning, reasoning and self-correction.1 What has this to do with the green economy? Some examples illustrate the connection.

Agriculture worldwide is a US$5-trillion industry . And AI is revolutionising this industry every step of the way – from preparing soils and sowing seeds to getting products to the kitchen table. AI-powered technologies are increasing productivity and reducing costs significantly throughout the production and supply chain.

The market value of global AI in the agricultural sector is currently estimated at US$852-million . In the next decade alone, this value is expected to grow more than ten times, exceeding US$8-billion annually.

As of 2020, artificial intelligence impacts about about 70-million farmers globally. North America is a clear front-runner in this technology race.

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The ability to integrate and optimise human and digital assets could become one of a (human) chief executive’s top skill sets.

Data analytics and the use of information technology has a big impact in Africa as well. Maize production in Western Kenya is reported to have increased from an average of six to nine bags (90kg per bag) per farmer in just a single year.

Weeds are key enemies of agricultural commodities. On a global scale, the value of weed damage is estimated at US$43-billion .

In India alone, US$11-billion worth of agricultural products is damaged by weeds each year. AI technologies such as robots are powered by computer vision algorithms and are trained to identify weeds and destroy them on the field. These robots use 90% less herbicide and are 30% cheaper compared to traditional weed treatments. So, there are big financial savings there as well.2 AI will reduce greenhouse gas emissions by 16% in the next three to five years. Nearly half of 400 businesses surveyed (for Energy Live News) are already using AI for climate action. The study surveyed 800 sustainability and tech executives from across 400 organisations – it found 48% are already using AI for climate action and on average, have reduced emissions by 12.9%, improved power efficiency by 10.9% and reduced waste by 11.7% since 2017 as a result. 3 Solcast’s technology employs a third-generation satellite ‘nowcasting’ system that can detect and predict cloud characteristics, track aerosols and utilise numerical weather model data, as well as model solar radiation and PV power output using proprietary algorithms. With five weather satellites contributing to 18 model predictions during each update, Solcast estimates that it calculates more than 600-million forecasts per hour and can forecast up to seven days ahead. According to Utility Magazine, Solcast’s 2017 pilot project yielded a 10-15% improvement.4 The AI techniques are quite beneficial for environmental analysis, as they can process a huge amount of data quickly to draw conclusions that may have not been possible by humans. For instance, in China, IBM’s Green Horizon project uses AI technology to forecast air pollution, track pollution sources and provide potential solutions to deal with the problem. WHO estimates that exposure to air pollution causes around 4.2-million mortalities across the globe each year. As per its further estimation, around 91% of the global population lives in places where the

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TECHNOLOGY

Nowcasting is the prediction of the present, the very near future, and the very recent past state of an indicator. The term is a contraction of ‘now’ and ‘forecasting’ and originates in meteorology. air quality is a concern. Moreover, an AI-enabled environment protection system monitors and reduces the amount of energy consumption and water usage that helps in preserving resources.5 AI deployment in an array of sub-technologies will assist law compliance with advanced detection, processing and interpretation techniques now being established from geographical information systems (GIS) invasive species detection, right through to individual household building transgressions.

The above broad examples provide a clue as to the vast potential of AI in all manner of applications. As we progress into a post-pandemic world, the acceleration of most processes and organisations progress toward being the object of and dependent on AI, will become more obvious. In organisations in the private and public sectors, the quest for better, faster, lower cost solutions and services will inevitably increase the deployment of AI. Human staff will tend to be limited to those undertaking high-value, high-touch roles requiring personal interface such as external negotiation, critical decisions through consultations with co-executives, personal financial or other commitments. Roles that are physical, paper intensive, low-value adding, routine or repetitive in nature will gradually be overtaken by digital assets of the kind outlined in the scope of AI stated at the beginning of this article. The ability to integrate and optimise human

and digital assets could become one of a (human) chief executive’s top skill sets. Understanding AI and its transformational impact could therefore be the difference between success and failure in an organisation within the green sector with ever increasing, immediate effect.

REFERENCES 1. https://searchenterpriseai.techtarget.com/definition/AI-Artificial-Intelligence 2. https://medium.datadriveninvestor.com/economics-of-ai-agriculture-7c363b3ae3eb 3. https://www.energylivenews.com/2020/11/18/ai-will-reduce-greenhouse-gas-emissions-by-16-in-next-three-to-five-years/#:~:text=The%20study%20surveyed%20800%20sustainability,since%202017%20as%20a%20result 4. https://www.newenergysolar.com.au/renewable-insights/renewable-energy/applying-artificial-intelligence-in-solar-energy 5. https://www.pv-magazine.com/press-releases/artificial-intelligence-ai-in-environmental-protection-market-overcoming-the-challenges-of-global-warming-and-resolving-environmental-concerns/ Errol Finkelstein, B.Comm., B.Acc (Wits); Chartered Accountant (SA) and member UK Chartered Institute of Information Security, was an honourary Cape Nature Officer for decades, and is the current chair of the Western Cape Biosphere Reserves NPC. He is the founder of Corporate Solutions.AI, a leading conversational AI, and AI data analytics company headquartered in Cardiff Bay, Wales.

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BUILD FOR THE FUTURE WITH VINYLS Polyvinyl chloride, also known as vinyl or simply PVC, is the third-most produced plastic in the world and is often referred to as “the building plastic”.

Although it is used in a wide range of different uses and applications, 70 % of all PVC produced in Europe goes into materials commonly used in building applications, such as windows, pipes, flooring, roofing membranes and other building products. In South Africa the situation is very much the same, with 50 % of all the locally PVC produced going into the pipe industry, followed by cables, custom profiles, conduits and accessories.

The use of vinyl products in building and construction received a major boost in October 2011 when a Technical Steering Committee of the Green Building Council of South Screeds Africa (GBCSA) withdrew the Mat-7 PVC Minimization credit from the Green Star SA rating system.

Acknowledging the progress SAVA and its members made in addressing the historical environmental concerns and improving the environmental performance of vinyl products used in the construction and decorating industries, this decision effectively gave architects, building contractors and specifiers the thumbs up to use vinyl products in their projects.

Vinyl products carrying the SAVA's Vinyl. product label comply with the Association's Product Stewardship Commitment (PSC) in that they are lead-free, use additives approved for high human contact applications and are recyclable.

Safe, responsible and sustainable.

During the past 11 years, SAVA has continued to assist its members, relevant authorities and experts to understand, characterize and address issues associated with the life cycle of vinyl products through its Product Stewardship Commitment (PSC).

Lightweight concrete bricks

As an industry, we continue to work towards ever improving our environmental credentials through the responsible and sustainable use of additives, the implementation of various sustainable recycling programmers and the promotion of a healthy vinyls industry. Awarding our 2021 Vinyl. Product Label to 21 of our members was an important step towards confirming PVC products as being safe, sustainable and responsible.

www.savinyls.co.za

I buy PVC wisely. I choose

PROFILE

Greenhill Estate celebrates their off-grid approval by City of Tshwane mayor Randall Williams and his team, and the launch of the estate’s self-sustainable development solutions for power, water and sewer.

F

abulously positioned at the top of Waterkloof Heights, Greenhill Estate offers 360-degree views and energy-efficient, sustainable living in an exclusive, secure lifestyle estate.

Founder, Brett Petzer, has over 30 years’ experience in the property industry, and has been involved in the construction of over 100 residential estates. Petzer’s experience and skill set includes identifying real estate opportunities, conceptualising property development plans, and building to the highest green building standards in the country.

The concept of an off-grid housing development occurred to him after he bought a large tract of land that he was unable to develop because, at the time, Eskom had a moratorium on supplying power to new developments, which led to his coming up with the green housing concept. Rather than just offer buyers a solar-assisted house, he decided to offer them the opportunity to live free of the the problems associated with power delivery in South Africa.

Water will be tanked at the guardhouse, with a tank provided at each home, ensuring an indefinite water supply to every household. Thereby alleviating future water supply issues, which Petzer believes are imminent.

The 39 stands average about 600 square metres, with homes ranging from 273 to 358 square metres. Off-plan buyers can customise footprint, design and finishes – with expert advice from the design team at every step of the construction process.

Conceptualised and developed by the Green Housing Company, the estate features insulative advanced tech buildings, ensuring that the contemporary-styled homes will require minimal (if any) heating and cooling. Solar energy generation also offers the potential for residents to live with zero power costs and independent of the issues surrounding the supply of commercial energy.

The team has focused on the need to move around within the estate with 120 visitor parking bays available in the road design alongside indigenous gardens that look beautiful at all times – and that minimise the water required to keep the environment.

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Highlights:

FROM THE ROOTS UP • • • • • •

24-hour robotics and off-site security Indigenous, water-wise gardens Stunning views Easy access to pretoria and the n1 Smart homes with ftth Living right in the city

The building technology Working from the roots up, our constructions feature foundations with air pockets, insulated concrete form (ICF) walling, double-glazing and advanced insulated roofing. The improvement in acoustic and thermal insulation means that the homes we build are 500% more insulated, 500% stronger, and twice as acoustically insulated as our closest competitor.

Our renewable energy generation backed up by state-of-the-art high-capacity batteries, and our indigenous gardening combined with a comprehensive water management system enables us to offer a completely off-grid living solution.

Perhaps even more importantly, our product is predominantly made in South Africa, which contributes to job creation while conserving foreign exchange. And, from a broader economic perspective, it also means that we are not beholden to fluctuating exchange rates, nor do we ever have project holdups due to stock being held up at customs.

Our engagement with local government and Eskom at the highest-level means that we are constantly informing stakeholders of every aspect of the green building process. What this ultimately means is that eco homes are opening to more people in South Africa at grassroots level.

We offer a complete and sustainable housing, power and water solution with more than 10 years’ experience. We have moved way beyond our initial proof of concept to being able to state proudly that we are the market leaders in sustainable green housing in South Africa.

The Green Housing Company team is dedicated to providing the people of South Africa with sustainable housing that is not harmful to the environment.

For more information contact Brett Petzer 081 736 6165, vip@tghc.co.za or visit www.tghc.co.za.

DEVELOPING BEAUTIFUL HOMES SINCE 1994

NO-GW RID OFF

THE ART OF LIVING

INTRODUCING

LEVY FREE LIFESTYLE

Let us build you a custom designed home in our “Off-Grid” Estate.

FROM

R4,995 000 www.tghc.co.za I mobile 081 736 6165

INFRASTRUCTURE

SOUTH AFRICA’s BRAND NEW

GREEN STARS

In the first few months of 2021, the GBCSA has awarded certifications to 27 buildings across South Africa. There are impressive new buildings achieving certifications, and the GBCSA is also encouraged by the number or re-certifications of buildings by owners and developers who have committed to maintaining their green status.

BY GREEN BUILDING COUNCIL OF SOUTH AFRICA

I

n 2020, we reached a milestone of over 600 certifications awarded by the Green Building Council South Africa (GBCSA). Each building or project that goes through this rigorous and robust process of certification is one of the building blocks of a more sustainable built environment where the health of building occupants, and the planet are prioritised. The challenge now is to ensure that these buildings do not stand alone but form part of more sustainable infrastructure and systems. Connected by sustainable transport systems and powered by renewable generation sources, for example.

Behind every building project is a dedicated team pushing for the creation of an environmentally principled place, and a place where green jobs become a reality. From the providers of renewable energy systems that generate clean energy, to the waste contractors ensuring proper separation and recycling of construction waste, it is a team effort to realise a high-performance green building.

Congratulations to these project teams who are actualising the green economy and understand that sustainable progress is the only option.

1 & 1a Protea Place 4-Star Green Star Existing Building Performance.

Commercial office buildings in the Sandton CBD owned by Investec Property Fund, with sustainable building consultant ecocentric.

The Oval 4-Star Green Star Existing Building Performance. A commercial office park in Newlands owned by Growthpoint, with sustainable building consultant Aurecon/Zutari.

33 Bree and 30 Waterkant 4-Star Green Star Existing Building Performance. A commercial office development in Cape Town owned by Growthpoint, with sustainable building consultant Aurecon/Zutari.

Sandton City Precinct 6-Star Green Star Existing Building Performance.

A retail and office development in Sandton CBD owned by Liberty Two Degrees, with sustainable building consultant ecocentric.

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INFRASTRUCTURE

Botshabelo Mall 4-Star Green Star Existing Building Performance. A regional retail centre in Bloemfontein owned by Liberty Two Degrees, with sustainable building consultant ecocentric.

GEMS Menyln Maine Orion Building 5-Star Green Star Office As-Built.

An office building in Pretoria owned by GEMS, with sustainable building consultant Solid Green Consulting.

De Zicht Lifestyle Centre 6-Star Green Star Public & Education Building.

A community centre within the De Zicht residential lifestyle estate in Cape Town, developed by Balwin Properties with sustainable building consultant Solid Green Consulting.

Greenpark Lifestyle Centre Centre 6-Star Green Star Public & Education Building. A community centre within the Greenpark residential lifestyle estate in Johannesburg, developed by Balwin Properties with sustainable building consultant Solid Green Consulting.

Eastgate 5-Star Green Star Existing Building Performance. A regional retail centre in Johannesburg owned by Liberty Two Degrees, with sustainable building consultant ecocentric.

Golf Park 4-Star Green Star Existing Building Performance. A commercial office development in Cape Town owned by Growthpoint, with sustainable building consultant Aurecon/Zutari.

New Buildings and Major Refurbishments Green Star rating tools validate the environmental initiatives of the design phase of new building construction or base building refurbishment, or the construction and procurement phase of a new building.

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INFRASTRUCTURE

Honeywell 4-Star Green Star Existing Building Performance. An office building in Midrand owned by Growthpoint, with sustainable building consultant Aurecon/Zutari.

Menlyn Maine Park Lane West 4-Star Green Star Office Design. An office building in Pretoria, owned by Barrow Properties and Menlyn Maine Investment Holdings, with sustainable building consultant Solid Green Consulting.

Investec Pretoria 4-Star Green Star Existing Building Performance.

Commercial office buildings in Pretoria owned by Investec Property Fund, with sustainable building consultant ecocentric.

Midlands Mall 5-Star Green Star Existing Building Performance. A regional retail centre in Pietermaritzburg owned by Liberty Two Degrees, with sustainable building consultant ecocentric.

Irene Link Building B 4-Star Green Star Office Design. An office building in Irene, Centurion developed by Abland, with sustainable building consultant Solid Green Consulting.

Nelson Mandela Square 5-Star Green Star Existing Building Performance. A retail and office development in the Sandton CBD owned

by Liberty Two Degrees, with sustainable building consultant ecocentric.

GBCSA tools for New Buildings and Major Refurbishments allow for 2 certifications: 1. Design: Based on tender’s drawings and specifications 2. As Built: Based on as-built drawings and commissioning records

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INFRASTRUCTURE

Nersa Kulawula House 4-Star Green Star Office As-Built. An office in Pretoria owned by National Energy Regulator of SA, with sustainable building consultant Solid Green Consulting.

Nicol Grove DQ4 4-Star Green Star Existing Building Performance. A commercial office building in Fourways owned by Investec Property Fund, with sustainable building consultant ecocentric.

Nicol Grove DQ1 4-Star Green Star Existing Building Performance. A commercial office building in Fourways owned by Investec Property Fund, with sustainable building consultant ecocentric.

Nicol Grove DQ6 4-Star Green Star Existing Building Performance. A commercial office building in Fourways owned by Investec Property Fund, with sustainable building consultant ecocentric.

Nicol Grove DQ3 4-Star Green Star Existing Building Performance. A commercial office building in Fourways owned by Investec Property Fund, with sustainable building consultant ecocentric.

Old Cape Quarter Development 4-Star Green Star Multi-Unit Residential Design. A multi-unit residential development in Cape Town owned by Tower Property Fund, with sustainable building consultant Imbue Sustainability.

Certification for Green Star rating tools are 4, 5 and 6 stars • 4 Stars: Best practice • 5 Stars: South African excellence • 6 Stars: World leadership

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INFRASTRUCTURE

Park Square 5-Star Green Star Office As-Built. A mixed-use development with an office component in Umhlanga North, owned by Nedport Developments with sustainable building consultant Arup.

The Courtyard Hotel Waterfall 4-Star Green Star Custom Hotel. A tenstorey hotel in Waterfall City Midrand, owned by Attacq with sustainable building consultant Solid Green Consulting.

Promenade Mall 5-Star Green Star Existing Building Performance. A retail centre in Mitchells Plain owned by Liberty Two Degrees, with sustainable building consultant ecocentric.

Waterfall Corporate Campus Building 4-Star Green Star Office As-Built.

An office building owned by Waterfall Corporate Campus Joint Venture, with sustainable building consultant WSP.

Ballito Hills Lifestyle Centre 6-Star Green Star Public & Education Building.

A community centre within the Ballito Hills Lifestyle Estate in Ballito, developed by Balwin Properties with sustainable building consultant Solid Green Consulting.

The Existing Building Performance tool covers the same environmental categories addressed in the Green Star New Building tool but the focus is directed on the operational phase of a building’s lifecycle. The tool recognises all six star ratings.

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Large Capacity Energy Storage NGK’s Sodium Sulphur (NaS) Utility Battery is quite simply the best choice worldwide for large-capacity energy storage.

NAS batteries are large-capacity 6-hour energy batteries with multiple power grid applications.

Superior safety, function and performance made possible by decades of data monitoring from multiple operational installations across the world.

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In excess of 17 years of proven commercial operation.

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info@altum.energy www.altum.energy

EVENTS

Facing an ever-changing future with hope and optimism The year 2020 was an unusual year; but like a chameleon responding to its changing environment, the Cape Town International Convention Centre adapted to the challenges presented by Covid-19.

T

his was the impassioned account of the unprecedented past year by CTICC CEO, Taubie Motlhabane, during the centre’s recently held 2019-20 Annual General Meeting (AGM). The organisation’s Board heard of how the centre pivoted its business practices, transformed its operations and reignited its passion for innovation.

“The company was set for a good fourth quarter,” said Motlhabane. “And we were poised to achieve our revenue target of R285-million. However, when lockdown level 5 was implemented in March 2020, the CTICC’s closure had a significant impact on our performance, resulting in revenue falling to R220.7m, 23% below the initial target.”

As a result of this, an EBITDA loss of R23.6m was anticipated. However, with careful management of costs, Motlhabane and her team managed to reduce the deficit to R12.5m (a 46.8% improvement on the revised target).

Since its inception in 2003, the centre has contributed R5.5bn to South Africa’s national GDP, created more than 11 000 jobs nationally, bringing the total number of jobs created since the CTICC opened its doors to 142 326. Jobs made possible due to the existence of the CTICC. The CTICC also reported that in the previous financial year, 87.5% of the total procurement spend was with locally based service partners, while 86% of its spend was placed with B-BBEE service partners.

Adapting with agility One of the CTICC’s achievements that Motlhabane and her team are proud of is the hosting of the temporary Covid-19 Hospital of Hope in CTICC 1.

The 862-bed hospital cared for more than 1 500 patients over the 11 weeks it was open. In that time, the CTICC kitchens provided up to six meals a day for patients, catering for a range of dietary needs, such as those with diabetic, cardiac and other specialised requirements. The CTICC staff also provided operational support, WiFi and security, amongst other services.

With its halls standing empty because of the national lockdown, CTICC entered into a partnership with the Ladles of Love feeding scheme and donated space to store, prepare and distribute food to some of Cape Town’s most vulnerable communities. In the 60 days based at CTICC 2, Ladles of Love delivered close to 2.6-million meals across the region.

Extraordinary events and experiences From July 2019 to March 2020, the CTICC hosted 397 events, including 34 international conferences, meeting their annual target. The same as the previous year, despite three and a half months of no activity. The largest international event was AfricaCom 2019, attended by 11 527 delegates, while other major local events included the Cape Homemakers Expo 2019 (26 686) and the Investec Cape Town Art Fair 2020 (22 000), as well as Mama Magic: The Baby Expo (19 782).

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The CTICC attracted several new events such as the Korean Consumer Showcase, the Asian Racing Conference and the Doha Debates. The CTICC also instituted its ‘own events’ this year, with the first CTICC Gift Fair attracting almost 3 000 visitors in November 2019. The AllSport Expo, its one-stop-shop sporting exhibition, was formally launched in March 2020 and was planned for September 2020. This provided the CTICC the opportunity to demonstrate its agility by adapting the event and hosting digital AllSport coaching workshops in October and November 2020.

Adapting to the ever-changing Covid-19 environment The CTICC adapted swiftly and not only implemented comprehensive Covid-19 safety measures under the C19-Care initiative, but has also introduced remote working, as well as a range of new hybrid and digital event options for its clients. Adopting a hybrid model that sees it offering an event space as well as providing digital facilities and services.

Keeping sustainability at the fore In keeping with its sustainability focus, the CTICC diverted 71% of its waste from landfill and reduced its water consumption by 33.1% and energy consumption dropped by nearly 5% compared to the previous financial year. The water produced by the centre’s reverse osmosis plant quality was good enough to be used by the Hospital of Hope for all their requirements.

Where to next for the CTICC? “Our priority now is to get the CTICC back to full operational activity so that we can continue to contribute to South Africa’s and the Western Cape’s GDP,” concluded Mothlabane. “We will focus on finding new ways of doing business and continue to innovate in the event space. We have hope and we will work hard to ensure that our hope becomes reality.”

INFRASTRUCTURE

ENABLING

ECONOMIC ACTIVITY Green Economy Journal speaks to Vuyo Ntoi from African Infrastructure Investment Managers (AIIM) about government’s commitment to invest R791.2-billion in infrastructure.

Vuyo Ntoi

How will continued investment and infrastructure unlock the South African economy?

International research shows that the provision of infrastructure provides a big benefit for economies. As a public good, the infrastructure stock makes the economy more efficient, with good roads, port facilities and sufficient power supply being major enablers of economic activity.

Secondly, the actual construction of infrastructure has stimulatory impact on the economy, with widespread civil construction activity increasing employment and demand for input goods and services in the economy, thereby boosting GDP growth.

What is the role of the private sector in partnering with the state in funding these projects?

As money is fungible, capital allocated from the private sector and the state both have the impact of stimulating the economy. As the national fiscus is currently under significant strain, it makes sense for private funds to be utilised in the development of infrastructure to maintain the stimulatory impact of new construction in the economy. Furthermore, there is also a

Sustainability is key for infrastructure projects, which tend to have a significant footprint in the societies in which they are based.

belief that private sector led infrastructure projects lead to better efficiency in construction and implementation, as a result of the way in which risks are allocated in private sector owned infrastructure projects.

What are the potential investment opportunities created by the announcement that government will be accelerating investment into infrastructure investment and proposed changes to Regulation 28?

The government’s stated intention of allowing greater private sector investment through the amendment of Regulation 28 is welcomed.

The impact of more pension money being allocated to productive infrastructure in the economy will have a positive impact on economic growth in the short to medium term, while also creating a greater stock of infrastructure in the long term alongside credible investment returns of the pension fund contributors. We do have some thoughts on how the current draft changes to Regulation 28 can be improved and these comments have been filtered through to the National Treasury through the industry associations we are a member of.

How do ESG considerations add value?

ESG considerations drive sustainability. Sustainability is key for infrastructure projects, which tend to have a significant footprint in the societies in which they are based. It is important that projects add value to the communities they serve and are managed in a manner that supports long-term sustainability for the infrastructure concerned. We, for instance, have a dedicated team of three people, ensuring the sustainability of all our investments. We have also seen the evolution of ESG from being primarily a risk management tool, to an orientation where actual impact is targeted and monitored over the long term. *Vuyo Ntoi is joint managing director of African Infrastructure Investment Managers.

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INFRASTRUCTURE

LIGHTING

ITS OWN WAY TO A GREEN FUTURE

BY HENK ROTMAN, IESSA*

W

hen the first incandescent lamps were introduced, the lighting industry focused on increasing their energy consumption.

The light generating principle of an incandescent lamp is intrinsically inefficient because it generates more heat than light.

Because of this, the development of an effective energy-saving solution was diverted with the invention of the halogen lamp. The introduction of the gas discharge principle (fluorescent tubes and high-pressure sodium streetlamps) produced better results.

The 1970s and 80s saw an acceleration of new energy-efficient lighting products, which resulted in the introduction of compact fluorescent lamps and tubes as well as electronic control gear. In the early 90s, Shuji Nakamura developed the blue Light Emitting Diode (LED) that was later used for commercial lighting. It allowed the creation of white light (either by combining blue LEDs with green and red LEDs or by adding yellow phosphors to blue LEDs).

The last 20 years has seen a dramatic increase in efficiency of LEDs (increased Lm/W ratio) and prices have dropped making LEDs the

Henk Rotman, IESSA

technology of choice and transforming lighting from traditional (analogue) to modern (digital) technology.

Coupled with the conversion to LEDs, the use of lighting control devices gained popularity. Motion-sensing and daylight harvesting (replacing artificial light with incoming daylight) are now widely used.

The role of legislation Legislation and government incentives play a large role in realising the energy-saving potential of new lighting technologies. In 2006/7, the mass rollout by Eskom of ca 40-million compact fluorescent lamps to replace inefficient incandescent lamps contributed substantially to avoiding power cuts. In later years, Eskom subsidised LED downlights to reduce energy use in the private sector.

Legislation such as the Minimum Energy Performance Standards (MEPS) prohibit the use of inefficient lighting and enforce the use of more effectual products. The ban on incandescent lamps from 2014 is the best example of MEPS. Implementing the aforesaid energy-efficient products and technologies combined with legislation and government incentives has reduced the lighting share of global electricity consumption from 19% in 2006 to 13% in 2018 and is projected to decline to 8% by 2030.

Further energy savings

The unit to measure the light output of a lamp is the Lumen. The lighting industry uses the Lumen/Watt ratio to indicate the efficiency.

When it comes to LED efficiency there is a clear case of good-better-best, for example, side-lit LED panels are widely used in indoor applications (offices, schools, etc). The average efficiency of a side-lit LED panel is 100 Lm/W, which is good compared to luminaires using traditional technology, but poor in comparison to the best LED-based luminaires. Back-lit recessed luminaires that use LEDs and a LED driver combined with good optics or lenses result in a 50% improvement (150 Lm/W) compared to the average side-lit panel.

Lighting has come a long way from the incandescent lamp – no other technology has contributed more to energy-use reduction than lighting has.

Lighting has come a long way. * Henk Rotman acts as the chairperson of the Gauteng branch of the Illumination Engineering Society of South-Africa (IESSA).

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An example of daylight harvesting.

PROFILE

The Bright Spark of Technology L

ighting technology has not disappointed us in its learning curve over the last few years. Currently, lighting technology has shown great innovation on several fronts like efficiency, sustainability, aesthetics of light, control and management systems.

Efficiency is a pressing issue as the cost of energy rises. We all know that the cost of carbon footprint is increasing, and a green star status is becoming essential. Who would have thought that we would go past 200lm/W a few years ago? This is now a reality and companies can light up their spaces to much better levels at a fraction of the cost than it used to be. Lights also do not need to burn at 100% capacity when not needed, as dynamic dimming is an option.

The lifetime of lighting has also changed drastically. This might not be good news for lighting suppliers, but the lifetime of luminaires can go up to 100 000 hours. For an office block this can equate to well past 25 years.

The technology is there. Why not opt for lighting that lasts for the duration of the building?

On the aesthetical side, lighting also creates more inviting and inspirational spaces in the workplace and leisure environments. Today we know so much more about the way that humans perceive lighting and what their preferences are. Imagine having skylights with natural light following circadian cycles throughout the centre of a large multi-storey building. This is now possible, and buildings can be designed without ALTSA half pageexpensive FINAL 3/30/21 7:14 PMconsiderations Page 1 construction to bring in natural light.

Smart lighting means that everything in a building can be monitored and communicated to a central “brain” that controls the building’s functions. Imagine streetlights that are dimmed at night and only light up before a vehicle arrives. Lights are becoming linked devices on an IoT level.

They can monitor and report occupancy and conditions like CO2 levels and temperature to web-based systems and can be controlled based on occupancy, time and other local conditions or from web-based “brains”.

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ENQUIRIES

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