Sustainable Business Magazine EMEA 04/17 by Sustainable Business Magazine

SUSTAINABLE EMEA ISSUE 04/17

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CONTENTS ISSUE 04/17 Welcome to the latest Europe, the Middle East, and Africa (EMEA) edition of Sustainable Business Magazine. Sustainable Business Magazine aims to spread awareness of the values of sustainability, as well as the brilliant ways in which organizations continue to meet challenges and champion corporate social responsibility. We open this edition with a focus on how South Africa is promoting the use of space and fostering research in space science. We spoke to Dr. Val Munsami, Managing Director at the South African National Space Agency (SANSA), about a new satellite, trans-national partnerships, and benefiting South African society, while Dr. Rob Adam, Managing Director of the South African Radio Astronomy Observatory (SARAO), spoke to us about international collaboration, working with local communities, and building the largest, most sensitive radio telescope in the world. SARAO forms part of South Africa’s National Research Foundation and spearheads South Africa’s activities in the Square Kilometre Array Radio Telescope, commonly known as SKA. Elsewhere in South Africa we spoke to Daniel Daphne, Managing Director Africa at the Otis Group, about research and development, green elevators, and being a regional leader. Our focus on East African ports starts with an article highlighting how despite the demands of running one of the busiest shipping regions in the world, the Tanzania Ports Authority are looking at a bright future. We then speak to Catherine Mturi-Wairi, Managing Director of Kenya Ports Authority, about infrastructure projects, community involvement, and connecting the region. The Kenya Ports Authority are a key player in the Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor infrastructure project. We spoke to Benson Thuita, Corporate Affairs Officer at the LAPSSET Corridor Development Authority, about a major multinational infrastructure development project intended to bring economic and social benefits to millions of people in East Africa. This edition’s look at Europe features another port, in this case the port of Gibraltar. We spoke to Manuel Tirado, Acting CEO of Gibraltar Port Authority, about running one of the world’s most historically significant ports and how it plans to embrace the future. We finish this edition by speaking to Simon Boas Hoffmeyer, Head of Sustainability at Carlsberg Group, about 170 years of brewing, developing new infrastructure, and an ambitious new sustainability program. Details of upcoming sustainability events in Europe, the Middle East, and Africa throughout January and February can be found on our events calendar. Our featured event is once again Power & Electricity World Africa 2018, which is celebrating its 21st anniversary and will take place in Johannesburg, South Africa, March 27-28 2018. The show is Africa’s largest and longest running power and electricity show and welcomes over 8000 attendees. Further details can be found in our global events section. For more information, or to view previous editions, please visit www.sustainablebusinessmagazine.net We hope that you find this issue both interesting and inspiring. Thank you for reading. The Sustainable Business Magazine Team

South African National Space Agency (SANSA)

Square Kilometre Array (SKA) South Africa

OTIS Group

Tanzania Ports Authority

Kenya Ports Authority

LAPSSET Corridor Development Authority

Gibraltar Port Authority

Carlsberg Group

Global Events

Advertisers Index

FRONT COVER IMAGE: A MEERKAT ANTENNA. PROVIDED BY SQUARE KILOMETRE ARRAY SOUTH AFRICA.

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SOUTH AFRICAN NATIONAL SPACE AGENCY

AFRICAN

SPACE LEADERS Sustainable Business Magazine speaks to Dr. Val Munsami, Chief Executive Officer at the South African National Space Agency, about a new satellite, trans-national partnerships, and benefiting South African society. The South African National Space Agency (SANSA) is a Pretoria-based South African government agency tasked with promoting co-operation in space-related activities, conducting space science research, advancing scientific engineering by developing human capital, and supporting industrial development in space technologies. Though South Africa’s involvement in international space-related activities dates back to the early 1960s, when NASA built Deep Space Station 51 in Gauteng (today the Hartebeesthoek Radio Astronomy Observatory) to support unmanned lunar and interplanetary missions, it wasn’t until 2008, when acting-President Kgalema Motlanthe approved 2 | SUSTAINABLE BUSINESS MAGAZINE

the South African National Space Agency Act, that all public space-related operations in South Africa were brought together under a single organization. SANSA consists of four key directorates, the first three of which predate the creation of SANSA itself. SANSA Space Operations consists of ground station facilities and services, and provides satellite tracking, telemetry, and command, as well as launch services and support for international clients. SANSA Earth Observation co-ordinates Earth observation data and processes satellite imagery for government partners. SANSA Space Science maintains a base in Antarctica to observe solar terrestrial weather, and

conducts research. Lastly, SANSA Space Engineering is a new directorate within SANSA, and is working on developing space systems and sub-systems, including South Africa’s next satellite, EO-Sat1. DEEP SPACE EO-Sat1 will be a 450kg satellite, with a 2.5 meter resolution. The satellite will offer high-resolution images, allowing SANSA to monitor agricultural and grazing land for food security purposes, with other applications in urban planning, security, water management, and disaster management. “We’re going to have ten multi-spectral bands in there, which is unique for a satellite of this

DIAGRAM OF EARTHS MAGNETIC FIELD.

class,” explains Dr. Val Munsami, Chief Executive Officer of SANSA. “We’re handling the systems engineering for the project, but then we bring in other industry players who are involved in the manufacturing of the satellite. The primary contractor on the project is Denel, and we’re looking to launch in 2019, which we’re very excited about.” SANSA’s Space Operations Division are currently looking into becoming one of the hosts of NASA’s Deep Space Network (DSN), a worldwide network of spacecraft communications facilities. “When you’re doing these interplanetary missions, you want a ground reception station that brings the data or the communications back to earth,”

says Dr. Munsami. “Effectively, you need these networks around the globe, including in Africa, so that when Africa comes across into the line of sight of the signal, we can download it and send it on to NASA or the appropriate space agency. Part of the focus of this DSN will be supporting the Mars mission when it happens in 2023. We’re currently doing the negotiations and the environmental impact assessments.” WEATHER FORECAST SANSA is currently working to make space weather information readily available to pilots. “There are new regulations from the International Civil Aviation Organization that

require all flight plans to have space weather information onboard,” says Dr. Munsami. “At the moment, most aircraft use GNSS, which is similar to GPS. But the problem with GNSS signals is that if there’s a big solar storm, it affects the navigation of the aircraft. The fallback is magnetic compasses, but if you have a magnetic compass and there’s a magnetic storm, it also deviates. So the new ICAO regulation means all flights must have a sense of what’s happening in space, how the signal is being degraded, and what effect that has on the navigation. It’s probably going to happen in the next year or so, and we’re the only space weather station on the African continent, so we’re working closely SUSTAINABLE BUSINESS MAGAZINE

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SOUTH AFRICAN NATIONAL SPACE AGENCY

with our Department of Transport and Air Traffic Navigation Services to make that information readily available to aircrafts.” SANSA is also taking over as the chair of the Southern African Development Community. “We’re pushing to set up a research cloud platform for Southern Africa, where we’ll make earth observation products and services available to any country which requires them,” says Dr. Munsami. “Our tenure as chair extends for a year, so we’re doing a lot of groundwork to put proposals in place, and doing some technical work to support the cloud initiative.” PAN-AFRICAN PERSPECTIVE Recently, the Agency implemented a new strategic framework. “The new framework says, in order to meet our full mandate, there

are things we need to address to fill certain gaps,” says Dr. Munsami. “This framework is intended to take us to a new level, into new areas like GNSS and telecoms, but also looking beyond the current satellite mission to future satellite missions. One of the big drivers for us is not just looking at the space program from a South African perspective, but looking at it from a pan-African perspective.” The African Union Space Working Group, established in 2013, has begun drafting an implementation plan for an African Space Program, with the expectation that national space agencies, including SANSA, will come together to implement the program. “There is momentum behind the African Space Program, and we’re trying to see how national agencies, like SANSA, can position themselves to help implement

on the continent,” says Dr. Munsami. “So our strategic framework is also looking at that angle. How do we take what we’re doing and ensure knowledge and technology transfer into Africa? We’re drawing on international partnerships, and implementing a new programmatic focus for the program.” SOCIAL BENEFITS SANSA’s mission also has a social focus. “Our mandate says: ‘Deriving greater value from space science and technology for the benefit of South African society’,” explains Dr. Munsami. “One thing we’ve done to benefit society is provide many government departments with high quality data on which they rely for decision-making. Since we established the agency, we’ve negotiated a multi-use license, so government

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SOUTH AFRICAN NATIONAL SPACE AGENCY is so sparse, it doesn’t make sense for cell phone network providers to get in there,” says Dr. Munsami. “We’re still able to get there with a telecommunications satellite. So you can then provide that community with telehealth, or tele-education, even though it’s a very rural community. There’s also GNSS, for which the accuracy of the signal isn’t always efficient enough, so we’re testing augmentation systems, which mean, for example, the signal is much more accurate and even aircrafts can land very accurately. We can also use that for precision farming, so farmers can do accurate pinpoint ploughing and planting, which results in huge savings on fertilizer use, and allows them to be very informed on which tract of land they plant and how accurately they plant. There are all kinds of ways space technology is used terrestrially.”

departments don’t pay single license fees any more, but they all get access to the data. That’s resulted in a huge cost saving, in terms of acquiring and availing necessary data for government.” For example, satellite data can be used to inform various aspects of agricultural and health decision-making. “A satellite capturing images of the earth receives signals, which is beyond the visible spectrum,” says Dr. Munsami. “Using the infra-red part of the spectrum, for example, we can assess how much water is in a plant or whether the plant is diseased. Or if you’re capturing images of a lake or water body and the

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signal changes, we can go and take some additional measurements, and it may be that this change is associated with disease in the water. These environmental changes can be observed through satellite imagery before they become visible to us, which has all kinds of applications, whether it’s environmental monitoring, food security, public health, or precision farming.” SUPPORTING LIFE Then there’s the effect of satellite telecoms on rural communities in South Africa. “We have communities who don’t have landline networks, and where the density of people

PUBLIC ENGAGEMENT SANSA is also involved in increasing public awareness of space science and technology. “At the moment, we try to reach 12,000 youths per annum,” says Dr. Munsami. “We participate in various festivals where we engage students. We also have space awareness initiatives, like our mobile labs. This is a motor vehicle platform, which we pack with instruments and laboratory equipment. Our dedicated staff then go to schools with the mobile lab, and they run science experiments. We use these to support rural schools which don’t always have the laboratory capacity, so that they can run some of the experiments required for the curriculum.”

The agency hosts public lectures, and creates a wide array of material for youth and public awareness. “In addition to this, we support about 75 students through bursaries and scholarships at the Masters and PhD level,” says Dr. Munsami. “That’s mainly in the area of space science, and it has proved very successful. We started this year with a national conference, where the students presented the work they’re doing, which is a way for us to support them in publicizing their work and getting into the industry and other institutions.” CONTINENTAL LEADER “I can safely say that SANSA is the leading space agency on the continent,” says Dr. Munsami. “We’ve taken leadership roles in terms of a number of different initiatives, and many different countries look to us for that leadership. We’re also the only African country that has designed, built, and operated a satellite, and we’re now working with a few countries in terms of building their satellite manufacturing capability. We’re the only African country that holds a space weather center, and the only African country that has a presence in Antarctica where we conduct space science studies.” “We are in the process of signing phase one of a space co-operation framework with the other BRICS countries, which are Brazil, Russia, India, China, and South Africa,” says Dr. Munsami. “This framework creates the BRICS Satellite Constellation, where each country gives access to all of the BRICS members to satellites they already have in orbit. Once EO-Sat1 is operational, we’ll look at

putting that in. Another initiative we’re driving is called the African Data-Intensive Research Cloud, where we’re trying to build a cloud system on the continent where we can then store, process, and share satellite imagery. A lot of this is driven by our involvement in the Square Kilometre Array (SKA) that we’re hosting, which will be the biggest operational radio-astronomical telescope when it’s fully installed in 2022. Eventually, that will consist of 3000 or so dishes, placed across nine African countries, designed to pick up very faint radio signals from the universe. There’s a lot of work being done in developing new technologies to support that. What we’re

asking is: How can we use this to benefit the rest of Africa? And that applies to all aspects of our work, whether it’s earth observation, GNSS, or telecoms. The technologies we operate already benefit our society so much; now it’s time to look at sharing those benefits beyond our geographical borders. That’s our focus, moving forward.” c Dr. Val Munsami, Chief Executive Officer at the South African National Space Agency. www.sansa.org.za

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SKA

INTO THE HEAVENS Sustainable Business Magazine speaks to Dr. Rob Adam, Managing Director of the South African Radio Astronomy Observatory (SARAO), about international collaboration, working with local communities, and building the largest, most sensitive radio telescope in the world. SARAO forms part of South Africa’s National Research Foundation and spearheads South Africa’s activities in the Square Kilometre Array Radio Telescope, commonly known as SKA.

PART OF THE SKA PROJECT’S MANDATE IS TO ENSURE THE ECONOMIC BENEFITS EXTEND TO LOCAL BUSINESSES AND COMMUNITIES IN SOUTH AFRICA.

A MEERKAT ANTENNA, WHICH IS PART OF A 64-ANTENNA ARRAY BEING BUILT IN THE NORTHERN CAPE.

The Square Kilometre Array (SKA) radio telescope is an international collaboration between eleven countries to build the world’s largest radio telescope, with a square kilometre of collecting area co-located in Africa and Australia. The headquarters of the SKA is located at Jodrell Bank in Manchester, 8 | SUSTAINABLE BUSINESS MAGAZINE

UK. By deploying thousands of separate radio telescopes over a wide area, the SKA will be fifty times more sensitive than the Hubble Space Telescope, will generate more data every day than current global internet traffic, and will allow scientists to gaze farther into space and deeper into time than ever

before, investigating fundamental questions of modern physics and cosmology. The core African site of SKA is being established in the Karoo in the Northern Cape, far from man-made radio interference. Outstations will be located elsewhere in South Africa and in Botswana, Ghana,

of SARAO. “There was an idea to build a transformational radio telescope, which would take the field to a whole new level and which would be capable of making contributions not just in astronomy but basic physics as well.” In the early-2000s, this idea intersected with the South African government’s priorities. “In the post-apartheid boycott era, we were looking for ways to attract investment in South African science from the wealthier Northern Hemisphere countries,” says Dr. Adam. “Astronomy was one of the key areas we were looking at, because we have these empty expanses where there are relatively few people living and there is no light pollution or radio pollution. These are perfect sites for an observatory.” When human beings use telescopes to look beyond the Earth’s atmosphere into the wider universe, we use three parts of the electromagnetic spectrum to do so: The optical portion (including visible light), radio, and gamma rays. “We essentially have three windows on the heavens,” says Dr. Adam. “So South Africa systematically looked to get involved in projects in each of those areas. We have the South African Large Telescope (SALT), which is an optical telescope at Sutherland. Then there’s the High Energy Stereoscopic System (HESS) gamma ray telescope, which was erected in Namibia by a German-British-French-South African consortium. And finally there’s SKA, which is by far the largest of these projects. We spent a decade positioning ourselves for it, preparing our capabilities in construction, electronics, and astronomy.”

MEERKAT As part of South Africa’s preparations for SKA, the team worked on several smaller-scale radio telescope projects of progressively increasing ambition. In 2005, the Karoo Array Telescope (KAT) computing team conceived the Phased Experimental Demonstrator (PED), a six-element interferometric radio telescope which was funded by SKA South Africa and constructed at the South Africa Astronomical Observatory (SAAO) in Cape Town. This smaller-scale radio telescope allowed the team to test software and develop an understanding of radio interferometry. “After that, we built our first array, which was the KAT-7, and after that we began work on MeerKAT,” says Dr. Adam. “MeerKAT, which is a 64-antenna array, is a precursor to SKA, where we could test the technology, and it was agreed that if we won the bid, it would be integrated into SKA. We’re due to complete MeerKAT in March 2018, and it will be effective in the ensuing months. After that, we envisage SKA-1 construction will start in 2019, which will take around five years, and after that SKA-2, which will finish in the late 2020s.”

THE HYDROGEN EPOCH OF REIONISATION ARRAY IS CURRENTLY BEING BUILT AT LOSBERG IN THE KAROO AND WILL BE INSTRUMENTAL IN DETECTING THE DISTINCTIVE SIGNATURE THAT WOULD ALLOW ASTRONOMERS TO UNDERSTAND THE FORMATION AND EVOLUTION OF THE VERY FIRST LUMINOUS SOURCES: THE FIRST STARS AND GALAXIES IN THE UNIVERSE.

Kenya, Madagascar, Mauritius, Mozambique, Namibia, and Zambia. DECADES IN THE MAKING “The genesis of this project is in the radio astronomy community in the 1990s,” explains Dr. Rob Adam, Managing Director SUSTAINABLE BUSINESS MAGAZINE

SKA AN AERIAL VIEW OF THE MEERKAT ARRAY, CURRENTLY UNDER CONSTRUCTION AT THE SKA LOSBERG SITE IN THE KAROO, NORTHERN CAPE.

Over the years, SKA South Africa have engaged in a long process of developing the appropriate technology for the final SKA array. “The key methodology to a project like this is to do it in bitesize chunks,” says Dr. Adam. “It makes the funding easier, and it means you can deal with the various technology problems incrementally. We’ve prototyped and tested different kinds of antennas, cooling systems for the antennas, building circle correlators which merge the data from the different antennas in a coherent way, and different systems for putting the data together, storing it, and processing it. All these things need to be done incrementally.” FRONTIERS OF KNOWLEDGE MeerKAT alone is already the largest, most sensitive radio telescope of its kind in the

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Southern Hemisphere. In 2016, using only 16 out of the final 64 dishes, MeerKAT was able to produce an image of a small area of sky (less than 0.01% of the full celestial sphere) where 70 galaxies were previously known to exist, showing over 1300 galaxies in the distant universe. When the SKA project is finished in its entirety, it will be powerful enough to investigate some heretofore unanswerable scientific questions. “These are the big questions of astronomy and physics,” says Dr. Adam. “Are Einstein’s theories fully correct? They’re definitely approximately correct, because they make very sound predictions up to the level we’ve been able to test them, but with SKA we’ll be able to test them to an even greater level of accuracy. We’ve also got questions like: Where do the intense

magnetic fields in the cosmos come from? What’s producing them? Then about 400 million years after the Big Bang, the first stars must have switched on. No-one’s ever seen that yet, but with SKA, we’ll be able to see it. There are things we can’t even think of which will emerge from SKA. And the big question: Are we alone in the universe? That’s something we’re going to be looking at in parallel to everything else: The search for extraterrestrial intelligence.” The benefits of SKA have already begun to permeate the South African scientific landscape. “When South Africa came into this, although we had a strong technical community of people like electronics engineers and radar specialists from our defence industry, we didn’t have enough radio astronomers,” says Dr. Adam. “As a result, we developed a very strong human capital development program. We’ve got a supply chain of people we’re supporting, right from the six research chairs we’re funding in different universities around the country, through tenured faculty positions, to post-doctoral positions, PhD students, masters, honours, undergrad, and then right through to some high school students we fund in the Karoo itself. We’ve also developed key high-tech capabilities which can be spun out into other sectors, such as big data capability which can be applied to areas such as health sciences, climate change mitigation, and drug design. It’s a transferable set of skills we’ve developed here.”

NATIONAL INVESTMENT Part of the SKA project’s mandate is to ensure the economic benefits extend to local businesses and communities in South Africa. “We have a process called the Financial Assistance Program, to help small companies participate in SKA,” says Dr. Adam. “That’s state funding where we co-invest with local private companies to develop technologies like the receiver technology and the data processing technology. These technologies have been used for the MeerKAT already, and there will be more opportunities for South African companies to bid competitively for work packages in SKA-1 and SKA-2. Then there’s the civil engineering, road construction, and infrastructure side, where we’ve stipulated that at least 15% of the work needs to go to smaller companies in the Karoo, and not just to the large construction companies located in the big centres.” Further down the line, SKA South Africa’s intention is to have maintenance on the array performed by local people. “We have a training centre close to the telescope, where we train electricians, fibre-splicing experts, among others,” says Dr. Adam. “That means we always have a cohort available to do scheduled and unscheduled maintenance tasks. We’ve received some criticism for buying large tracts of land in the area and taking the land out of farming, which is certainly something you can criticize us for. But in return, we’ve put far more money back into those communities. In-

stead of only having jobs as farm labourers available, local South Africans have a whole range of different career prospects. As well, there is now a large traffic of technical and managerial people and scientists flowing through the area, which has been beneficial for local businesses.” STATEMENT OF MODERNITY Once MeerKAT is completed, work will begin in earnest on SKA-1. “We hope to have changed this part of the Northern Cape forever, taking it from a place with a single-source economic program towards something which is much more diverse, and which offers opportunities to young people in the area,” says Dr. Adam. “This is an instrument which will be in the area for fifty years, at least. The capability we’ve generated has also attracted other scientific instruments to the site. The United States, who aren’t involved in SKA at the moment, have come to us and are investing another $16 million building another telescope called HERA on the site, for

example. Once you develop the physical infrastructure and the human capacity on the site, it becomes an attractor for projects you don’t even think about.” “The government here in South Africa have been greatly supportive of this project, and it’s been a wonderful thing,” says Dr. Adam. “We’re very proud of the fact that we have been able, as a country, to pull a whole range of southern African countries together. It’s a statement of modernity. Right here, on the southern African subcontinent, you’re going to have the biggest flow of data traffic of any project in the world. We started out as the underdogs, and we were able to put together a competitive, brilliant bid. Now, very soon, we will have commissioned the top radio telescope in the world in the MeerKAT. This is what we’ve done on South African soil, using South African expertise and engineering capabilities. Of course, we’ve drawn on conversations and studies we’ve done abroad, but it’s something we’ve been able to do ourselves, and we’re very proud of that.” c

THE 32-METRE GHANA ANTENNA AT THE GHANA RADIO ASTRONOMY OBSERVATORY IN KUTUNSE, GHANA.

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OTIS

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RISING FORTUNES Sustainable Business Magazine speaks to Daniel Daphne, Managing Director Africa, Otis Group, about research and development, green elevators, and being a regional leader. The Otis Elevator Company is the world’s largest elevator, escalator, and moving walkway manufacturer. Based in the United States, the company was founded by Elisha Otis (1811 – 1861), a pivotal figure in the development of the elevator. Elisha Otis invented the safety brake, and his showmanship at the 1854 New York World’s Fair contributed to the growing acceptance of traction elevators among the general public. Today a wholly-owned subsidiary of United Technologies, the Otis Elevator Company employs 60,000 people, and is responsible for 2.2 million units currently in operation worldwide, including products in some of the world’s most recognizable structures, including the Eiffel Tower, the Burj Khalifa, and the Petronas Towers. Otis first pursued business opportunities in South Africa more than 120 years ago, but it was 50 years ago, as the country’s mining industry took off, that the Otis Elevator Company South Africa was formally consolidated. For the past four years in a row, Otis South Africa has been recognized with a Diamond level Arrow Award as the top elevator and escalator supplier in South Africa by Professional Management Review. “We’ve been here in South Africa for a long time,” says Daniel Daphne, Managing Director Africa,

Otis Group. “We’ve been the leader for years, and we intend to remain the leader.” UNDER PRESSURE Specific customer or sector requirements have forced Otis to push forward its creativity and engineering skills, which in turn influences its future innovation, as evidenced by its work with mining industry clients that require vertical transportation in a challenging environment. “Elevators for mines need to be heavyload bearing, while also able to withstand difficult environmental conditions, such as thick dust. It’s also essential that mine elevators are able to continue working even at high temperatures, so we invested heavily in R&D to make sure this was possible, and specially designed units for these punishing environments.” Designing these units has meant all Otis products have benefited from new advances. “As we made improvements on the operational temperatures of the elevators, we were able to generalize these improvements across our product portfolio so that all clients receive the same standards,” says Mr. Daphne. “We also had to be very flexible in our work with the mining industry. Because mining elevators demand very SUSTAINABLE BUSINESS MAGAZINE

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OTIS and in commercial sectors to prevent riders from becoming trapped. FULL CYCLE Recently, Otis SA provided Gen2 elevators and escalators to the energy and chemicals company Sasol Limited. “They wanted to overhaul their headquarters in Johannesburg to be rated by the Green Building Council South Africa as a 5 Green Stars building,” says Mr. Daphne. “We installed 35 Gen2 products as part of this project, which played an important part in Sasol receiving their certification.” “The Gen2 was a revolution,” says Mr. Daphne. “Unlike our competitors we are not focused on just one aspect of the cycle of our products. We are focused on putting into the market products that we can actually manage from A to Z. That’s why our next step is to design the unit so that it doesn’t need lubrication any more, making it more reliable and environmentally-friendly. We believe that if you think only about the beginning of the cycle, you are missing the importance of totality.” Improving after-sales services is also why Otis SA has begun providing a PULSE system with its Gen2 elevators. This system uses electrical pulses to monitor the integrity and condition of the elevator’s steel belts, and provides warning signals when maintenance is required. This reduces the need for regular manual inspections, and enhances the existing safety features.

high levels of maintenance, we conduct weekly inspections rather than our standard monthly visits. It’s all part of ensuring we fulfil the client’s exact requirements.” GEN2 Otis South Africa’s flagship elevator unit emerged from their work with the mining sector. The Gen2 system was launched in 2000, and has been revised several times since. Gen2’s revolutionary feature is its replacement of traditional steel ropes for holding and pulling. “Instead of the ropes, we use polyurethane-coated steel belts,” explains Mr. Daphne. “This means rides are more stable, reducing noise and vibration, as well as the belts being more durable in the long-term.” Gen2 also does not require a machine room, meaning its physical footprint is much smaller than 14 | SUSTAINABLE BUSINESS MAGAZINE

traditional elevator shafts, and is up to 50% more energy efficient than a conventional system. Today, Gen2 is also the only elevator model in the world where the ReGen drive, which captures energy generated by the operation of the elevator and transfers it back into a building or structure’s energy grid helping to power other functions such as lighting and air conditioning, is an integrated component. Gen2 is also designed to work with almost any power source available, which means it can be powered by renewable sources, or even be plugged into a traditional wall socket. Because it has batteries, Gen2 Switch can also be unplugged and continue to function for another 100 trips. The battery is an important feature for industrial users, where power cuts can cause big problems,

GREEN THINKING Otis South Africa’s commitment to the environment extends beyond Gen2. “Every decision we take involves the question ‘what would the impact on the environment be?’,” says Mr. Daphne. “That means the elevator car we are choosing and the methods of its operation. It means we think about what we do with old oil that is removed from units. How do we approach the way we store this oil? How do we make sure that, at the end of the day, this oil does not happen to end up in a river? When we choose our suppliers, these are the type of questions we ask ourselves.” Always at the forefront of innovation, Otis is developing cloud-based technology. Otis South Africa also offer a modernization package, which brings old equipment up to contemporary standards. One of the most popular options is the Gen2 MOD, which improves the environmental credentials of elevators and escalators. “The environment is a key concern of many of our clients,” says Mr. Daphne. “We have to make sure we’re able to deliver what the market demands.”

PERSONNEL DEVELOPMENT Otis South Africa have a strong program of training, education, and development, which extends beyond employees to subcontractors and even customers too. “Recently we launched a training center in South Africa,” explains Mr. Daphne. “This training center is not only for Otis technicians but is also open to our subcontractors, where we train their staff in ways and methods of being more efficient in their jobs. To Otis South Africa, it doesn’t matter whether a person works only for us or not. The center is open to customers as well. We share with them how we approach the life cycle of the product, and what to look at, so they can do it for themselves on the units.” Otis South Africa is currently in the process of launching a project incubator for up-and-coming businesses. “We will work with between five and ten new companies at a time, fostering them over the course of eighteen months in not only how to build a good business but how to make headway in the market too,” says Mr. Daphne. “We’ll also introduce them to other partners who may be able to help them grow their business and give them a flying start to their operations.” Otis South Africa are also developing an apprenticeship program for young engineers looking to get a foot into the industry. “We will take them on and train them up within our own business, before recruiting them as fully-fledged employees,” says Mr. Daphne. “We see this as a win-win scenario, as both the apprentice and Otis stand only to gain from the relationship.” REGIONAL LEADER “We are focused today on two things: Customer experience and structural efficiency,” says Mr. Daphne. “As a result, training is a priority for staff throughout the organization, whether they are normal staff or managers. This is to ensure professionalism and technical skill remains at the forefront of what we can offer. Our commitment is training, training, training.” “One of the most important things we did in 2016 was recommitting to the Africa-wide business,” says Mr. Daphne. “The route out of Africa previously was to Europe, but now I am in charge of Africa and keen to promote African markets. The African team is populated mainly by African people because we believe to be a global leader that we need to be an even stronger local leader. We’ve been leaders in this segment for a long time, and we intend to maintain that position.” c SUSTAINABLE BUSINESS MAGAZINE

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TANZANIA PORTS AUTHORITY

THE TPA HAS CHARGE OF 8 SEA PORTS AND 6 LAKE PORTS AROUND THE COUNTRY.

WORLD CLASS Sustainable Business Magazine highlights how despite the demands of running one of the busiest shipping regions in the world, the Tanzania Ports Authority are looking at a bright future.

16 | SUSTAINABLE BUSINESS MAGAZINE

Few countries know the value of sustainable development like Tanzania. Approximately 38 percent of the country’s land is set aside in conservation areas, and 16 national parks, as well as a huge array of game forests and reserves, ensure that Tanzania’s remarkable biodiversity will be sustained to survive and thrive for future generations. The values enshrined by this vision – sustainability, growth, and development – make up the heart of Tanzania’s maritime transport epicenter: The Tanzanian Ports Authority (TPA). Introduced in 2004, the TPA is Tanzania’s bold new vision for ports management in East Africa. Tasked with the daunting mission of providing world class maritime services for all of Tanzania, as well as the Democratic Republic of Congo and the landlocked countries of Zambia, Burundi, Rwanda, Malawi, and Uganda, the TPA quickly became a leader in maritime trade and logistical excellence. It hasn’t been an easy task. The Horn of Africa is one of the busiest shipping regions in the world: According to some reports, as many as 50 percent of the world’s shipping containers pass by its coastline. And the men and women of the TPA don’t only promote the use, development, and management of the country’s ports: They construct, operate, and maintain navigational aids, such as beacons, and establish facilities and harbor services to make the experience of using Tanzania’s ports as seamless and pleasant as possible, among a long list of other duties. Even despite the recent, and unprecedented, drop in the number of ships arriving at Dar es Salaam Port – which handles over 90 percent of the country’s cargo traffic – the TPA has ensured that monthly revenue continues to rise. With all eyes on Dar es Salaam Port, in 2015 the Tanzanian government introduced

the “Big Results Now” program. This innovative blueprint to expand the port caught international attention and was signed by the TPA, TradeMark East Africa, the World Bank, and the UK’s Department for International Development (DFID). The expansion is set to double the capacity of the port to 28 million tons by 2020, and then triple it to 34 million tons by 2025 – no small feat. But with a booming population and skyrocketing demand for imports, as well as the recent discovery of natural gas, Tanzania is prepared to absorb the growth. “[Dar es Salaam port] will help Tanzania to be more competitive and will support economic development and growth across the region,” Ros Cooper, the acting head of the DFID, said in a statement at the time. “And through this, improve the lives of millions of people.” The World Bank has estimated that Tanzanians will each be $40 better off as a result of the Dar es Salaam port upgrade. No wonder a September 2017 report from PwC, “Into Africa: The Continent’s Cities of Opportunity”, named Dar es Salaam the best opportunity city in Africa! “African cities when being assessed need to be looked at through a different lens, as current standings and future potential tell different city stories,” the report said. It evaluated cities based on their economic opportunities, as driven by the demands of the emerging middle class: Technology, tourism, infrastructure, and financial services. In September 2017, Tanzanian President John Magufuli unveiled the Dar es Salaam Maritime Gateway Project (DSMGP): A $421 million project to overhaul the port’s connectivity and infrastructure. Financed by a joint partnership between the World Bank and the TPA, the project will combat the inefficiencies that, according to a 2014 World Bank report, cost Tanzania and neighboring countries up to $2.8 billion in lost revenue SUSTAINABLE BUSINESS MAGAZINE

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TANZANIA PORTS AUTHORITY

annually. All of these initiatives will work together to cement Tanzania’s place as a regional – and global – leader. But the TPA manages so much more than Dar es Salaam port. The country’s second maritime leader is the Port of Tanga, which is the oldest operating port in the country and boasts an annual capacity of 500,000 tons. Major plans to upgrade Tanga Port, and increase its already impressive capacity even more, will ease shipping congestion along the coastline and further embrace the economic potential of Tanzania’s coastline. Also notable is the Port of Mtwara. After being unused for many years due to poor transport infrastructure, the Port of Mtwara rose like Lazarus from the dead in the early 2010s as Tanzania’s gas boom revitalized the region and caused a surge in operations. All in all, the TPA has charge

of 8 sea ports and 6 lake ports around the country. Together, they see more than 550 container ships a year and close to 12 million tons of cargo. The TPA also recently announced the launch of new cargo barges along various ports in Lake Nyasa, which borders Tanzania, Malawi, and Mozambique. On top of that, the TPA also operates Bandari College: A fully registered institute that cradles the development of the region’s next generation of maritime trade and logistical service leaders. Bandari College offers more than just port operation courses: Its highly-trained and experienced instructors award diplomas in shipping and port management, offer training in cargo handling operations, maritime deck services, and engine room techniques, and other critical skills. Established in 1980, Bandari College has become so well-respected over

the years that today it is the only training institution in Tanzania that is registered in the Lloyd’s list for shipping-related courses! It is estimated that over 95 percent of Tanzania’s maritime workforce were trained here. Ultimately, the TPA has a huge responsibility – both to the people of Tanzania and to its neighbors around the region. But with safety, stability, responsibility, and innovation at the core of its mission, the TPA remains uniquely qualified to carry that weight. “TPA is determined to forge ahead,” said TPA Director General Eng. Deusdedit C.V. Kakoko. “Customer Service delivery is never compromised. The standard of our customer service is elevated through the quality of our work. We will also pay close attention to understand the needs of our stakeholders and customers, in order to continuously serve them better.” c

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KENYA PORTS AUTHORITY

KPA RECENTLY DEVELOPED A GREEN PORT POLICY, WITH THE INTENTION OF POSITIONING THE PORT OF MOMBASA AS A WORLD-LEADING PORT.

PULLING TOGETHER Sustainable Business Magazine speaks to Catherine Mturi-Wairi, Managing Director of Kenya Ports Authority, about infrastructure projects, community involvement, and connecting the region.

Kenya Ports Authority (KPA) is the government agency which manages and operates all Kenyan seaports along the Indian Ocean coastline, including the Port of Mombasa, the largest port in East Africa. The Port of Mombasa handles over 1.1 million twenty-foot equivalent units (TEUs) per year, with imports passing through the port to the Kenyan hinterland and various other 20 | SUSTAINABLE BUSINESS MAGAZINE

African states, including Uganda, Rwanda, Burundi, the Democratic Republic of the Congo, Tanzania, South Sudan, Somalia, and Ethiopia. In 2016, when Sustainable Business Magazine last spoke to KPA (see Sustainable Business Magazine EMEA issue 2/16 for the full feature), the corporation was working on several strategic projects to expand capacity

and attract more commercial opportunities to the region, including a second container terminal, expanded cruise ship reception facilities, and a new major seaport at Lamu, north of Mombasa. In the past year, KPA have made significant progress with these projects, including opening the first phase of the Port of Mombasaâ&#x20AC;&#x2122;s second container terminal for business.

SECOND CONTAINER TERMINAL In September 2016, the Port of Mombasa’s 2nd Container Terminal Phase I began operations, increasing the port’s annual container handling capacity by 550,000 TEUs. “It has been very successful so far,” says Catherine Mturi-Wairi, Managing Director of Kenya Ports Authority. “According to our half-year performance results from 2017, Phase I recorded 130,311 TEUs, with a total of 21,882 TEUs handled at the Second Container Terminal in June alone, representing 22% of the total container traffic handled in the port. We’re very proud of this smooth beginning for the new terminal, and we’re now working on preparations to start construction on Phase II.” Phase II will increase the port’s container handling capacity by an additional 450,000 TEUs. “We have successfully secured a 35-billion-shilling loan from the Japanese government, and we’re upbeat on the development of Phase II,” says Ms. Mturi-Wairi. “The tendering process is ongoing, and we intend to begin construction in January 2018. Phase II will involve the construction of Berth No. 22, which will be 250 meters long and 15 meters deep. Once this is complete, we’ll move on to the final phase, which will bring on board an additional 450,000 TEUs. We view this expansion as a vital part of our contribution to Kenya Vision 2030, which will help transform Kenya into a middle-income, industrialized country with a high quality of life for all citizens.” TOURIST ATTRACTION KPA is also currently constructing a new cruise ship terminal with two passenger pavilions at berths no. 1 and 2, in a project THE KPA MD MRS. CATHERINE MTURI-WAIRI.

joint-funded by the Kenyan government and the not-for-profit TradeMark East Africa (TMEA), with a projected date of completion in October 2018. “We believe this new terminal will be a major boost to Kenya’s tourism sector,” says Ms. Mturi-Wairi. “Currently, we’re receiving cruise ships at a normal cargo terminal, but when this terminal is complete, it will offer a dedicated facility for tourists. The building we had previously was over 100 years old, and we’re completely modernizing it. This terminal will serve as cruise tourists’ first point of interaction with our country, so we recognize the importance of making a good first impression.” LAPSSET CORRIDOR KPA are a key player in the Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor infrastructure project. “Kenya already has one transportation corridor, running from Mombasa Port and Nairobi out to Western Kenya and Uganda, Rwanda, Burundi, and the Democratic Republic of the Congo,” says Ms. Mturi-Wairi. “This will open another corridor to the north, serving northern Kenya, going all the way to South Sudan, Ethiopia, and eventually connecting traffic all the way to Cameroon. We’re working on the new port of Lamu, which will be connected by new roads and railway throughout this corridor.” Construction on the first three berths and the causeway at Lamu Port began in October 2016. “The dredging and reclamation is also ongoing,” says Ms. Mturi-Wairi. “The first berth is scheduled to be ready by July 2018. We’re also going to begin receiving shipments of coal in 2018, because the electrical power station is due to finish con-

AERIAL VIEW OF THE RECENTLY COMMISSIONED SECOND CONTAINER TERMINAL.

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KENYA PORTS AUTHORITY

struction. The other two berths are scheduled for completion in December 2020.” ENVIRONMENTAL STEWARDSHIP KPA recently developed a Green Port Policy, with the intention of positioning the Port of Mombasa as a world-leading port, providing

sound stewardship and management of the environment. “The strategy highlights the need to place people first while addressing the negative impacts occasioned by port operations,” says Ms. Mturi-Wairi. “It also places a premium on technology-rich and sustainable port operations. In September

2017, we received two specialized mobile cranes which are ecofriendly and are fitted with a control system that minimizes escape of dust during discharge. We are also targeting a 10% waste reduction at the Port of Mombasa by 2018. We’re looking to benchmark with some of the best performing ports in the world, which have reported waste reductions of over 20% in five years.” The Lamu Port development is also being undertaken with careful attention to the environment. “We worked closely with the National Environment Management Authority (NEMA) to ensure that we mitigate any effects on the local environment,” says Ms. Mturi-Wairi. “We’re ensuring that we protect the coexistence of marine life with the commercial activities at the port. Also, Lamu Old Town is a UNESCO World Heritage Site, and so we’ve made sure our operations take place at a distance from that, and that they don’t have an adverse impact upon the people of Lamu.” CUTTING-EDGE TECHNOLOGY Ten years ago, most operations at the Port of Mombasa were manual. Today, key processes have been automated, improving efficien-

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cies for customers. “We’ve been automating services under the Kenya National Single Window System,” says Ms. Mturi-Wairi. “Cargo interveners can now avoid logging on multiple systems, which eases the documentation process, quickens cargo clearance, and lowers the cost of doing business. We’re also investing a lot in modern cargo and ship-handling technology. We have modern pilot and berthing boats, as well as the most modern ship-to-shore gantry cranes.” KPA also continues to train their staff to keep abreast of the latest trends in international shipping. “Training is important to ensure that we remain relevant as far as meeting our objectives in service delivery is concerned,” says Ms. Mturi-Wairi. “We invest in training all our employees, including management, who we send on courses. It’s essential that our people have the modern skills, so they are conversant with current best practices.” REGIONAL LIFELINE It is difficult to overstate the importance of the Port of Mombasa, not only to Kenya, where the port is responsible for a full 2% of national gross domestic product (GDP), but across East Africa. “We see ourselves as the lifeline of the regional economies,” explains Ms. Mturi-Wairi. “Other countries are heavily dependent on the port, both receiving imports and exporting their goods abroad, especially agricultural products like coffee and tea, and other things like titanium and soda ash exported by the Magadi Soda Company. We handle the importation of all kinds of vital things to keep the regional economies going, from agricultural machinery to motor vehicles to fertilizers. If there is an issue at the Port of Mombasa, you feel the effects in the local economy immediately, and we take very seriously our key role in sustaining that economy.” KPA also works closely with communities where they have a presence. “We view our most important service to the community as providing employment opportunities,” says Ms. Mturi-Wairi. “That’s in Kenya, but also at our offices in Rwanda, Burundi, and Uganda, where 99% of our employees are locals. We’re also working on other corporate social investment programs, focusing on uplifting the education and the healthcare of communities surrounding us. We’ve been involved in the physical construction of schools in rural areas, and also dispensaries, which we hand over after construction to the respective ministries to run, equip, provide staff, et cetera. In addition to these,

we give donations to some needy causes, like children’s homes.” SEAPORT OF CHOICE Moving forward, KPA intends to continue positioning Kenya as a regional shipping hub. “We want to be a world-class seaport of choice,” says Ms. Mturi-Wairi. “To do that, we will continue expanding capacity as much as we can with the 2nd Container Terminal, which we plan to have connected to the new standard-gauge railway by next year. We also plan to automate more, and to upgrade our training college, Bandari College, so that we can offer training programs not just for KPA employees but for other people in the region and the industry. We believe when the industry is well-steered in all areas, it contributes to growth for all of us.” KPA will also continue developing other ports. “When Lamu Port is fully completed, it will have more than 20 berths,” says Ms. Mturi-Wairi. “We’re going to further dredge the channel there, so the port can accommodate bigger ships. We also have plans to develop other smaller ports along the coastline, such as the Shimoni small port, which will cater for rising coastal trade

volumes on fishing, as well as local tourism. And we have a new mandate to manage all inland waterways, as a result of which we are now planning a new green port on Lake Victoria after the new standard-gauge railway reaches there. We’ve modernized the Inland Container Depot (ICD) at Nairobi, which will encourage shipyards to ship their commodities there. The standard-gauge rail freight train is going to really transform our business, and will lead to greatly improved cargo off-take. KPA is staying ahead of these big changes, and we’re positioning ourselves to be part of a bright future here in Kenya, and across East Africa.” c

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LAPSSET

THE CORRIDOR ITSELF WILL PROVIDE IMPORTANT TRANSPORT LINKS, ENERGY CONNECTIONS, AND INDUSTRIAL DEVELOPMENT FOR KENYA, SOUTH SUDAN, AND ETHIOPIA.

CORRIDORS

OF POWER Sustainable Business Magazine speaks to Benson Thuita, Corporate Affairs Officer at the LAPSSET Corridor Development Authority, about a major multinational infrastructure development project intended to bring economic and social benefits to millions of people in East Africa. The Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor is an ongoing Kenyan transport and infrastructure project, which will connect a newly built 24 | SUSTAINABLE BUSINESS MAGAZINE

port at Manda Bay, Lamu by a standard gauge railway line to Juba in South Sudan and Addis Ababa in Ethiopia. The project, which will also consist of pipelines, road net-

works, and three new airports, resort cities and a high grand falls, is intended to reduce dependence on the Port of Mombasa and expand trade to the northern borders.

LAPSSET-ISIOLO MOYALE HIGHWAY CONSTRUCTION.

substantial development take place over the next 13 years. DEVELOPING TRADE The LAPSSET Corridor consists broadly of the ‘inner corridor’ and the ‘outer corridor’. The inner corridor is about 500 meters in width and the outer corridor stretches 50 kilometers either side of it.

“The Inner Corridor will contain the highways, oil pipelines, standard gauge railways, electrical transmission lines, and communications cables,” explains Benson Thuita, Corporate Affairs Officer for the LAPSSET Corridor Development Authority (LCDA). “Around this Inner Corridor, we have planned the ‘Outer Corridor’ where we have a lot of investments coming up. Here,

COURSE WAY.

The LAPSSET Corridor Development Authority (LCDA) was established by the Kenyan government in March 2013 to oversee the balance between government investment and private sector interests by providing leadership on the economics and construction of the new LAPSSET Corridor. The corridor itself will provide important transport links, energy connections, and industrial development for Kenya, South Sudan, and Ethiopia, and will also form the eastern section of a continent-wide transportation network running all the way west to Douala on the coast of Cameroon. As part of the Kenya Vision 2030, the LAPSSET Corridor is expected to see SUSTAINABLE BUSINESS MAGAZINE

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LAPSSET AERIAL VIEW OF DREDGED MATERIAL.

DREDGER.

STEEL PILLING FOR BERTH FOUNDATION.

important industrial developments such as airports, factories, and large business parks will be set up. The investments in the Outer Corridor will enhance the exploration of the natural resources in the areas traversed by the LAPSSET Corridor, for the economic welfare of the nation.” At the eastern end, this will culminate at Lamu Port. This 32-berth international transshipment port is the crux that gives power to the corridor, enabling the international import-export trade which will benefit all countries along the corridor. Work on three berths RECLAMATION OF LAND FORMING CONTAINER TERMINAL.

26 | SUSTAINABLE BUSINESS MAGAZINE

at Lamu Port began in November 2016. These berths are funded by the Government of Kenya; the remaining 29 berths will be funded by private sector interests attracted by the LCDA. Construction of the ancillary infrastructure such as the port’s headquarters, substation, and power transmission lines, and the police housing is complete. LCDA has four key priorities: The completion of Lamu Port’s first three berths; the Lamu-Witu-Garsen Road; the Lamu-Lokichar Crude Oil Pipeline; and security infrastructure along the corridor. Once completed,

these projects are intended to serve as a leaping-off point for the efficient and safe development of the remaining corridor. A large, modern police station has already been built to provide security at the port, while the road and pipeline are underway. STRATEGIC ENVIRONMENTAL ASSESSMENT Any project on the scale of the LAPSSET Corridor elicits environmental concerns. “All elements of the corridor have to conform to the constitutional framework laid out by

ISIOLO-MOYALE ROAD.

the Kenyan Government,” says Mr. Thuita. “One of the processes we have undertaken to meet this is the ‘Strategic Environmental Assessment’, whose objective is to ensure that the projects are developed in a sustainable manner, paying attention to and minimizing ecological impact. We have done this through consultation and co-ordination with the various contractors working on the corridor. The environmental sustainability is being achieved through working alongside the Kenya Wildlife Service and other organizations such as the Kenya Forest Service and the National Environmental Management Authority, as well as with private stakeholders. It is our desire to protect the environment so we will take every step we can to accomplish it.” COMMUNITY BENEFITS LCDA’s work on the corridor has created more than 5000 jobs for Kenyans employed MARSABIT-TURBI-ROAD

on various aspects of the project over the past 12 months. Already, trade, business, and service delivery are benefiting from improved road access. The Isiolo-Marsabit-Moyale A2 road between Ethiopia and Kenya has cut long haul transport times from three days to ten hours, and thereby massively increased trade between Ethiopia and Kenya. In the near future, the development of mains electricity will benefit communities along the corridor route while enabling the building of new communities. There are nine cities planned for creation along the corridor, taking advantage of the infrastructure and opportunities available. For existing towns and villages, some of which only had diesel generators as a supply of power until recently, the connection to the national grid has improved day-to-day life. Where there are potential negative impacts on individuals and communities, LCDA

is working on Resettlement Action Plans with the Project Affected People. “How do we compensate the fishermen who will be affected by the construction of the port, for example?” asks Mr. Thuita. “We want to ensure that we build capacity within the fishing industry through funding and skill-sharing so that we enable those fishermen to start deep-sea fishing. In doing so, we will develop an economy for that particular industry. We also have financial compensation for areas marked for industrial development where landowners might otherwise be able to use or develop the land. To ensure the corridor is not interfered with, all concerns and issues are being addressed.” SUSTAINABLE GROWTH By the time it is completed, the corridor is expected to contribute 2% to 3% of Kenya’s national GDP directly from its core infrastructure. There are estimates of 5% to 8% of

THE ISIOLO MOYALE HIGHWAY.

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LAPSSET HOUSING UNITS ALONG THE HAWASSA-MOJO HIGHWAY.

LAMU SUB STATION.

GDP when taking into account investment that will be attracted by the corridor, as well as auxiliary growth created by its existence. This significant figure will make the USD$24.5 billion cost of building worthwhile in the long term, not least because of its potential to raise up the stability and standard of living in South Sudan. “South Sudan is one of the poorest countries in Africa and the LAPSSET Corridor offers a logistical and economic advantage by providing access to international markets thus opening up the investment space within the country,” Mr. Thuita says. “Being able to export industry, goods, commodities, and the many resources they have will be much easier thanks to this project. LCDA and Kenya are therefore instrumental in ensuring the long-term

stability of South Sudan. We don’t just want peace there but for them to develop economically. So this is an important part of our plan.” PRIVATE SECTOR PARTNERSHIPS The 505 kilometers of highway between Kenya and Ethiopia has enhanced human transport while increasing trade between the two countries. “The cut in transport time has enabled the transportation of particular items over long distances, such as perishable foods and agricultural goods, which now means a thriving industry along the A2 road. Previously it was difficult to transport such goods,” says Mr. Thuita. “We’re very proud of this development. We are also proud of the increased job opportunities that we have created which have empowered

LAPSSET ONE STOP BOARDER POST, MOYALE-ETHIOPIA BOARDER.

28 | SUSTAINABLE BUSINESS MAGAZINE

the people employed or trading along the route and their dependents.” “LCDA has achieved great success in securing funding, including a recent investment grant of USD$1.9 million from the African Development Bank. We are now looking at how to encourage the global private sector to invest in the project,” says Mr. Thuita. “We cannot rely on Government resources for all our funding. We need a good partnership with the private sector. For instance, in Lamu County, there are 28000 hectares of land earmarked for development. Private investors are encouraged to participate in the development of the investments along the Corridor through the Public Private Partnership (PPP) framework. This will be essential for the infrastructural

“BEING ABLE TO EXPORT INDUSTRY, GOODS, COMMODITIES, AND THE MANY RESOURCES THEY HAVE WILL BE MUCH EASIER THANKS TO THIS PROJECT. “

investment of the port and other components of the LAPSSET Corridor Program. The LAPSSET Corridor Program has come a long way with numerous gains having been achieved. In the course of development up LAPSSET PLAZA AND LAMU PORT POLICE STATION.

to completion, the project will transform the East African region and the African Continent at large by enhancing seamless connection within the continent and to the rest of the world.” c LAPSSET COMPLETED ISIOLO AIRPORT RUNWAY.

For more information on the LAPSSET Corridor Development Authority please visit www.lapsset.go.ke. Follow us on Twitter: @lapsset and also on Facebook: LAPSSET Corridor Development Authority ISIOLO AIRPORT TERMINAL BUILDNG.

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GIBRALTAR PORT AUTHORITY

A LEANER, GREENER,

CLEANER PORT MANUEL TIRADO, ACTING CEO OF GIBRALTAR PORT AUTHORITY.

Sustainable Business Magazine speaks with Manuel Tirado, Acting CEO of Gibraltar Port Authority, about running one of the world’s most historically significant ports and how it plans to embrace the future. Gibraltar’s location at the southern end of the Iberian Peninsula has for centuries made it an important European port. As the gateway between the Atlantic Ocean and Mediterranean Sea, the territory has a proud maritime history. Today between 60,000 and 70,000 vessels pass through the Strait of Gibraltar every year – over 240 million gross tons of ship. Bolstered by an international airport just minutes away, the modern port is as significant as its predecessors.

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The Gibraltar Port Authority (GPA) was established in 2005. “The strategy for the port is to build on its unique geographical position and continue to provide a vibrant market for shipping stakeholders,” says Manuel Tirado, acting CEO of the GPA. “We try to deliver the best possible service to the shipping sector in a safe and efficient operating environment. As part of delivering this core function we manage the safety of navigation as well

as regulating the activities within our port waters.” The Port of Gibraltar’s capacity has also expanded beyond just being a docking port. Today it is a major bunkering port that is internationally recognized for its best practice in this area. The GPA is also responsible for search and rescue operations within Gibraltar’s British Territorial Waters, prevention and control of pollution, and for managing ship-to-ship bunkering. Bunkering is an important development for the port, and it is focusing on develop-

ing its liquefied natural gas (LNG) bunkering abilities for the future. BUNKERING In August 2016 the Her Majesty’s Government of Gibraltar announced two agreements with oil giant Shell. The first was for Shell to supply LNG for use in the country’s power generation. This will see the construction of a plant within the port to supply LNG to the power grid. The second agreement was for development of an LNG bunker market, enabling the port to offer LNG as a fuel to ships.

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GIBRALTAR PORT AUTHORITY

Mr. Tirado elaborates: “The works are aimed at providing the regulatory framework for LNG as a bunker fuel. We are now constructing an LNG plant within the port to supply LNG fuel to our new generating station, which will be online early summer 2018. We want to move into the bunker industry for LNG because we see that is the fuel of the future. This was a good opportunity for Gibraltar to get involved, exploring and paving the way towards an LNG bunker code of practice.” GPA is a long-standing supporter and member of the International Bunker Industry Association (IBIA) as well as, more recently, a member of the Society for Gas as a Marine Fuel (SGMF). Participation in these two international organizations is important for GPA as it can help shape and push forwards best practice standards for this relatively young industry.

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The international membership also benefits GPA by enabling it to bring useful knowledge from other regions back to its own location. SGMF, for example, has over 100 members including major ports and fuel suppliers. This means GPA is able to draw on the technology and engineering skills possessed by some of the biggest names in the gas sector. NEW TECHNOLOGY FOR SAFER SHIPPING “We are installing a new VTS provided by a Norwegian company called Kongsberg Norcontrol, which is one of the best in the market at this moment in time,” says Mr. Tirado. “That system is currently being installed in the new building as we speak. Our new system will take into account the technology entering the market over the coming years, like new forms of radar which are also

automatic identification systems, as well as thermal imaging cameras, night vision, and more. You name it, we will have that in the VTS system.” These features outline how the GPA’s VTS will enhance the port’s future backbone, enabling it to run efficiently as technology advances. The expanded capabilities will be crucial in shaping traffic in, out, and through Gibraltar’s British Territorial Waters – particularly by detecting and deconflicting vessel movements further ahead in time. Given the GPA has an adjacent neighboring port with its own vessel schedules, the VTS will help GPA’s own traffic organize around other traffic better as well. The VTS itself will be manned by the GPA’s own trained officers to ensure best possible standards. Mr. Tirado emphasizes: “The VTS will provide cutting edge technology in order to

conduct our operations as safely as they can possibly be done.” GREENER, CLEANER SEAS GPA has a strict adherence to environmental protection not only for its own operations but for the vessels that use its services as well. The port enforces strict regulations for all ships entering Gibraltar’s British Territorial Waters. This means that ships must comply with GPA’s “clean seas” policy. This includes GPA’s participation in the Green Award scheme, an international initiative that rewards vessels for being extra clean and extra safe. Since the GPA joined in April 2013 they have given a 5% reduction in tonnage dues to all ships that hold a Green Award. The authority works with local bodies to ensure a consistent environmental framework of regulations are applied across multiple organizations. The GPA also works

with the European Sea Ports Organisation (ESPO) and its Eco Ports Network to strengthen Europe-wide marine environmental practices. This is achieved through Eco Ports Network’s tools including Self Diagnosis Method, which helps a port understand its own environmental practices, and the externally-reviewed Port Environmental Review System (PERS). “We recognize that through the promotion of best practice we can drive other people to reduce their own environmental impact, thereby promoting sustainable development and safeguarding the environment and the local population,” explains Mr. Tirado. “We consistently review the environmental policies and procedures with the aim of obtaining a PERS that is specific to our environmental management system.” The GPA also works closely with Gibraltar’s own Environment Agency, a

branch of the government’s Ministry of Environment. This is to ensure that GPA and the port are being operated to a high environmental standard within the context of the territory itself. MAINTAINING AN EXCELLENT REPUTATION “The future brings challenges and opportunities,” says Mr. Tirado. “We are very excited about moving into our new port premises early in the New Year.” “We need to ensure that we keep working hard to ensure that the reputation of the Port of Gibraltar as a center of maritime excellence is maintained. We want it to continue to be an exemplar for other international ports in the area. There are very challenging times ahead but very good opportunities at the same time and we look forward to embracing all of them.” c

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CARLSBERG

TOGETHER TOWARDS ZERO CONSISTS OF AMBITIONS AND CONCRETE TARGETS TOWARDS 2022 AND 2030.

CHANGE IS

BREWING Sustainable Business Magazine speaks to Simon Boas Hoffmeyer, Head of Sustainability at Carlsberg Group, about 170 years of brewing, developing new infrastructure, and an ambitious new sustainability programme.

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Carlsberg Group is a global leader in beer and other beverages, with more than 500 brands including recognizable names such as Carlsberg, Kronenbourg, Tuborg, and Holsten. Headquartered in Copenhagen, Carlsberg was founded 170 years ago in 1847, by the Danish industrialist and philanthropist J. C. Jacobsen, who named his brewery after his son Carl. “We recently celebrated our 170th birthday, and we believe that focusing on sustainability will ensure that we are still around in another 170 years,” says Simon Boas Hoffmeyer, Head of Sustainability at Carlsberg Group. “The way we will achieve this is articulated in our new sustainability programme Together Towards ZERO.” Mr. Hoffmeyer’s Sustainability Department started out in 2008 as the Corporate Social Responsibility Unit, which focused on ensuring compliance with minimum standards, reporting, and data management across the Carlsberg Group’s thirty-six companies. Today the team is also focused on sustainable business development across the group, working with all of the organization’s departments to push forwards a sustainable long-term business model. TOGETHER TOWARDS ZERO Together Towards ZERO consists of ambitions and concrete targets towards 2022 and 2030. “Our role is to involve, engage, and develop sustainability together with all of the other functions in the entire Carlsberg Group,” says Mr. Hoffmeyer. “This is to ensure that we live up to the expectations of our stakeholders, of our employees, and of

the consumers. We have been working with the business to ensure that sustainability is represented in the right way in our corporate strategy.” This strategy is built on the back of a challenge issued by Carlsberg Group CEO Cees ‘t Hart to ensure that the community-minded spirit of founder J. C. Jacobsen remains at the heart of Carlsberg Group. A materiality assessment was carried out, analyzing concerns by people both internal to and external from the Group. Four key concerns emerged, which later became the four cornerstones of Together Towards ZERO: ZERO Carbon Footprint, ZERO Water Waste, ZERO Irresponsible Drinking, and ZERO Accidents Culture. GREEN FOOTPRINT To develop a full end-to-end value chain carbon footprint covering Scope 1, 2, and 3 emissions across their entire operations, Carlsberg collaborated with the Carbon Trust. “It was a huge undertaking,” says Mr. Hoffmeyer. “We also looked at the Science Based Targets Initiatives, which is an industry-led campaign to bring corporations in line with targets set out in the Paris Agree-

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ment. After we carried out a full assessment of the whole group, we decided to go even above and beyond the base-level of the Paris Agreement, which could have been reached with a 36% reduction in carbon emissions by 2030.” Wanting to push even harder, Carlsberg Group senior management pushed for even more ambitious targets. “When weighing the risks and opportunities in a world where climate changes become more and more

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visible, management decided to reduce carbon emissions from all breweries to zero by 2030,” says Mr. Hoffmeyer. “To ensure our targets were being met at a steady rate, we created half-way milestones to meet by 2022.” This includes a 50% reduction in brewery carbon emissions and a 15% reduction in beer-in-hand carbon footprint, as well as bold standalone targets such as eliminating coal from the production cycle and switching to 100% electricity from renewable

resources. “It is something we are incredibly proud of, because this will really make a change throughout the total value chain for us,” says Mr. Hoffmeyer. “Our targets are in line with the most ambitious scenario in the Paris agreement, meaning that Carlsberg’s targets are compliant with a 1.5 degrees warming above pre-industrial levels. I believe this a powerful message to the outside world, and we hope we can inspire others to take the same direction.”

WATER CONSERVATION Analysis of water usage within the Carlsberg Group was carried out in conjunction with the World Wildlife Fund (WWF) in order to identify the risk of water scarcity at the organization’s sites across the world. Medium- and high-risk areas were of particular interest, with fifteen sites identified under these criteria. “We took these findings into account when we created Together Towards ZERO’s targets by giving those sites more ambitious targets,” says Mr. Hoffmeyer. “The 2030 target requires our water consumption to be cut in half.” This means taking the hectoliters of water used per hectoliters of beer produced (hl/hl) down to 1.7hl/hl. The 2022 target is to reduce usage by 25%. The fifteen sites located in areas of greater water scarcity risk, will be focused on to begin with, to accelerate water reductions. “We will achieve these targets through use of water recycling, as well as re-using gray water in non-food roles, such as for cleaning in the administration buildings,” says Mr. Hoffmeyer. “At the same time, we are also working on partnering to protect shared water resources. This means if we have access in one area to the same water table as a lot of other industries or companies, it could make a lot more sense to cooperate with them to protect these shared water resources, rather than only focusing on what is inside our own site. We've also committed to work on partnerships with NGOs or other companies in these high-risk areas to protect water as a resource for the local community.”

is to improve responsible drinking year-onyear across all our markets, taking a local approach. In Russia, for example, we have worked with local retailers and consumers to reduce access of alcohol to people below the legal drinking age.” The ZERO Irresponsible Drinking portion of the Together Towards ZERO program will aim to improve the clarity of labeling as well as working with local communities to understand and combat the problems that affect them. Carlsberg Group also aims to have alcohol-free beer widely available in all its markets by 2022. “When it comes to health and safety, we have a very simple target because it’s the only target we believe should be there – that is to achieve zero workplace lost time accidents by 2030,” says Mr. Hoffmeyer. “We believe all accidents can be prevented, and it’s something we will work very hard on. That’s the only acceptable target for us. We’re instilling this culture of care and cautiousness throughout our workforce.” INVESTMENT AND INFRASTRUCTURE To achieve their sustainability targets, the Carlsberg Group will focus on efficiency and also investments in new green infrastructure.

The organization has installed the fourth largest brewery installed solar farm in the world at one of its breweries in China, while at sites with high risk of water scarcity in India, the Carlsberg Group has built advanced water recycling plants to help achieve its ZERO Water Waste targets. “The plan is to implement Together Towards ZERO in the best possible way for the Carlsberg Group and for society,” says Mr. Hoffmeyer. “We are looking at new innovative ways of achieving our targets that can both help us to reduce the cost of doing them but also maximize the benefit. We’re really focusing on scientific discoveries, focusing on innovations, both consumer-facing and in our value chain. That is something we want to do much more of in the future, really getting more sustainable innovations out to the consumers. We believe making sustainability and climate change consumer-relevant is absolutely key to achieving the scale and scope of solutions that we and the world needs. I am personally very proud to work for a company which is doing everything that can be done to combat climate change and radically improve our business in a way that contributes to global sustainable development.” c

RESPONSIBILITY FIRST One of the most significant topics to come out of the maturity assessment was responsible drinking. “This is a topic which is very difficult, because it is localized and the challenges are very different from market to market,” says Mr. Hoffmeyer says. “Our aim SUSTAINABLE BUSINESS MAGAZINE

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GLOBAL EVENTS

JAN 2018

15th - 18th

EcoWASTE 2018 Abu Dhabi -UAE www.ecowaste.ae

A Leading international platform for advancing sustainable waste management and recycling across MENA and beyond. Seeing waste as a valuable economic resource, EcoWASTE brings together leading local and international experts and providers with key buyers and decision makers.

15th - 19th

Solar Expo: A World Future Energy Summit Abu Dhabi, UAE www.solarexpo.ae

Solar Expo is a fundamental component of the World Future Energy Summit, developed to help lead the change in how energy is generated, stored, and consumed.

17th

International WASH Conference Tamale, Ghana

Sustainable WASH and Water Security’s partnering with the Desert Research Institute’s Centre for International Water and Sustainability partner to discuss successes, challenges, lessons learned, and the way forward.

23rd - 26th

RERIS 2018 Lesotho, South Africa

Second Africa-EU Renewable Energy Research & Innovation Symposium (RERIS) 2018 will discuss the sustainable development of African renewable energy markets.

30th

Quintiq Supply Chain Forum Middle East 2018 Abu Dhabi, UAE www.quintiq.com

Market fluctuations, emerging trends on energy efficiency and sustainability, and volatile price levels are just some of the issues that companies within the metals and oil & gas industries have to deal with.

6th - 8th

2nd Africa Energy Forum: Off the Grid Kampala, Uganda www.wacee.net

This energy forum focuses on the topical issues concerning rolling out offgrid projects across Africa and offers informative panel discussions where participants discover how Africa can and must create an enabling environment for the off-grid sector to truly take off.

12th - 13th

CSE: The New GRI Standards Certified Training on Sustainability Reporting Athens, Greece www.cse-net.org

This training program focuses on enabling participants to acquire the skills and competencies required for the effective use of the GRI Framework, GRI, reports and publication of CSR/ Sustainability Reporting in alignment with the new GRI Standards Guidelines.

19th - 21th

First Sustainable Energy Forum for East Africa (SEF-EA 2018), Kigali, Rwanda www.eacreee.org

The East African Centre for Renewable Energy and Energy Efficiency (EACREEE) is organizing the First Sustainable Energy Forum for East Africa (SEF-EA 2018), with the theme being ‘Fostering Economic Transformation in the East African Region through Equitable Access to Sustainable Energy for All”.

20th - 21th

Africa Energy Indaba 2018 Johannesburg, South Africa

This exhibition is highly relevant to companies actively involved in all areas relating to showcasing solutions benefitting Africa including major energy projects on the continent, rural energy solutions, urbanization,energy needs, and the renewable and sustainable energy industry and the management thereof.

www.africaenergyindaba.com

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FEB 2018

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ADVERTISERS INDEX G Grundfos J Japan Port Consultants Ltd.

Back Cover

P22

M Maxtec Peripherals (Pty) Ltd. McJuro Investments Ltd.

P04 Inside Front

P PMM Estates (2001) Ltd.

Inside Front

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Power & Electricity World Africa 2018.

P39

R Raphael Logistics (T) Ltd.

P19

S Supreme Elevator Services. T Tamps Ventures Ltd.

Inside Back

P22

Specialists in the installation, removal and refurbishment of Elevators and Escalators in Southern Africa.

T: +27-82-444-8181 | E: info@supremeelevators.co.za www.supremeelevators.co.za

GIVING BACK TO NATURE DANISH DAIRY TREATS WASTEWATER ONSITE AND REUSES IT IN PRODUCTION

Jonna Mortensen Site Manager Arla Foods Rødkærsbro, Denmark

Arla Foods Rødkærsbro boosted its mozzarella production, increasing the amount of process wastewater from cow’s milk. Arla uses Grundfos BioBooster to treat a half million litres of this water a day. It reuses that water in its own facility. See full story at Grundfos.com/cases-sustainable