Green Economy Journal Issue 43 Spreads

Economy 

G R E E N 

journal 

ISSUE 43 | 2020 

ENVIRONMENT: Is Covid-19 a salvo from Mother Nature? 

INVESTMENT: Can ESG be the panacea for sustainable 

capital deployment? 

TRANSPORT: Repurposed EV batteries a boon for stational 

energy storage 

ENERGY: Policy clarity puts the wind back in the sails of SA 

wind energy sector

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G R E E N 


journal 

04 

06 

NEWS & SNIPPETS 

THOUGHT LEADERSHIP 

The destruction of nature has increased 

human exposure to the movement of 

deadly pathogens 

13 ENERGY 

Energy management is fundamental to 

the economic recovery from the impact 

of Covid-19 

14 INFRASTRUCTURE 

Celebrating 13 years of the Green Building 

Council of South Africa 

16 AIR 

The National Metrology Institute of South 

Africa and their significant work in the 

management and control of volatile 

organic compounds 

18 FINANCE 

What role does private capital play in the 

achievement of green economy outcomes? 

24 TRANSPORT 

Creating a circular economy for electric 

vehicle batteries 

28 

FOOD SECURITY 

The relevancy of the UN Food and 

Agriculture Organisation in the face 

of global scourges 

30 CUSTOMER 

Sustainable practices are crucial for 

food producers 

33 WATER 

The Gamtoos Irrigation Board has been 

working hard to ensure that communities 

have water supply 

36 OPINION 

Eskom’s RMPPP – Is there cause 

for concern? 

38 ENERGY 

Government policy signals a reawakening 

for the SA wind industry 

ontents 

06 

24 

28 

1

PUBLISHER’S NOTE 

Could Joe Biden’s election victory spark a new green epoch? 

The global reaction to the Covid-19 pandemic has completely changed 

the long-standing perception that it is never acceptable to stall or 

hinder economic activity, to implement externally motivated change, 

even when such change is positive for society and the environment. 

When countries, including South Africa, basically flipped the 

off switch on the economy in the interests of public health, they 

changed the game forever, opting to save lives over saving income 

and jobs. 

And now that we have a stall – is this not the perfect opportunity 

to re-set the economy on a trajectory that will yield not only rapid 

short-term recovery but also one that realigns the economy with 

positive social and environmental targets? 

Such a reset will reduce the risk of us having to experience a hard 

shut down ever again. Covid-19 is a health crisis, and so is climate 

change, so is the ongoing destruction of biodiversity and extinction 

of species, so is the explosion of plastic waste in the biosphere, and 

we need to address all crises with the same level of urgency and 

importance. If not more so. 

We have the perfect opportunity and the perfect rationale to 

act now, and I for one am extremely excited, perhaps for the first 

time in several years, as President Ramaphosa moves to reignite the 

economy under the theme of sustainable infrastructure investment. 

Add to this, the globally significant election of Joe Biden, 

President-Elect of the USA, and we stand at the dawn of what could 

emerge as the most important period of economic transformation 

in our short history, akin to the industrial revolution, only this time 

with human ingenuity being harnessed, not just to produce the best 

products and outcomes but those that are also the most socially and 

economically advantageous. 

In this edition, we touch on this theme in several ways, from 

highlighting the immense value of energy efficiency to exploring 

the repurposing of used EV batteries, to the value to the country 

of our water exports, food security and the collaborative efforts of 

each segment of the green economy. 

Enjoy the read and please share your thoughts. 

PUBLISHER 

GreenEconomy.Media 

G R E E N 


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YOU SEE USED 

BOTTLES. 

COLLECTORS 

SEE VALUE. 

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. 

18.2 BILLION 

PET plastic bottles 

collected for recycling 

R7.7 BILLION 

injected into South 

Africa’s economy 

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. 

ENVIRONMENT: Is Covid-19 a salvo from Mother Nature? 

INVESTMENT: Can ESG be the panacea for sustainable 

capital deployment? 

TRANSPORT: Repurposed EV batteries a boon for stational 

energy storage 

ENERGY: Policy clarity puts the wind back in the sails of SA 

wind energy sector 

Plastic bottles are not trash. 

65 900 

income opportunities 

created** 

** 2019 specifically 

1905356_FP_E 

2


INTEGRATED INNOVATION 

The government has gazetted 50 integrated projects valued at R340 billion as part of South Africa’s recovery plan. Central to the strategy is reliable 

and affordable energy. The National Department of Mineral Resources and Energy aims to re-introduce its long-term IRPs to deliver 16 313MW from 

a mix of energy sources. One of the first announcements of the 

strategic human settlements is the planned R30-billion Mega 

City infrastructure development 

, near Tshwane. It is 

the outcome of a public-private partnership between residential 

real estate developer Balwin Properties, the Gauteng provincial 

government, and City of Tshwane. The development is being 

pursued in line with green building principles as well as enforcement 

of the National Energy Efficiency Building Standard, SANS 10400-XA, 

and will incorporate green building concepts guided by EDGE. An 

innovation of the International Finance Corporation (IFC), EDGE 

(Excellence in Design for Greater Efficiencies) is a green building 

certification that gives property owners the assurance that their 

properties are developed to be resource efficient. 

INVESTING IN THE LOW-CARBON TRANSITION IN A VOLATILE WORLD 

The world is only investing around 20% of the US$2-3 trillion needed annually 

to decarbonise the global economy. Because governments and private equity 

funds can’t make up the shortfall by themselves, listed companies must 

spend significantly more on evolving to a lower-carbon model. Investors 

play a valuable role by engaging with listed businesses, as shareholders, and 

accelerating spending to transition the global economy. 

A low-carbon future and decarbonisation will fuel growth for businesses 

along the supply chains in each of those pathways: 

• Moving away from fossil fuels towards renewable energy 

• Increased electrification, including an overhaul of ground transportation, 

with more autonomous and efficient fleets, and moving away from 

internal combustion engines to self-driving electric vehicles 

LOSS OF POWER 

120 000 jobs at South African coal mines and ageing power plants are under threat in the 

transition to a clean energy nation. The transition could threaten economic activity in four 

municipalities with a population of more than 2.3-million people, said Muhammed Patel, an 

economist at Trade and Industrial Policy Strategies (TIPS). 

“It is not a shift to renewable energy which will lead to job losses but a failure to deal with 

the potential impacts of climate change on the economy,” said Gaylor Montmasson-Clair, senior 

economist at TIPS. “A move to renewable energy forms part of several mechanisms to mitigate 

the impacts of climate change on the coal value chain.” 

• Resource efficiency and higher standards of productivity in domestic 

and industrial processes, as well as in buildings and appliances 

The universe of decarbonisation-exposed companies is hugely diverse 

and spread across many sectors. Current market conditions are tough 

and a careful approach to building a portfolio is essential. McKinsey 

attests that Covid-19 and climate change are risk multipliers that 

exacerbate existing vulnerabilities in the economy. Ninety One Global 

Environment Fund motivates for an active and selective approach to 

investing in the decarbonisation growth opportunity – one that focuses 

on quality businesses with competitive advantages and formidable 

market positions. 

Deirdre Cooper: co-portfolio manager, Ninety One Global Environment Fund 

SANEDI BIDS FAREWELL TO SACCCS 

SANEDI has long been host to a successful initiative that seeks to see South Africa’s carbon footprint 

minimised through the capture and storage of carbon dioxide emissions. Through the South African 

Centre for Carbon Capture and Storage (SACCCS), SANEDI has been supporting the country’s efforts 

to be more environmentally responsible. In a new development, considering the geological aspects 

involved in this climate change solution, SACCCS has been transferred to the Council for Geoscience 

(CGS), which will see further success of this initiative in the country. 

“South Africa is reliant on fossil fuels for most of its primary energy supply,” explains SANEDI GM 

for cleaner fossil fuel use and head of SACCCS, Dr Tony Surridge [pictured left]. “This has led to 

an approximate 400Mt of CO 2 emissions per year. Notwithstanding the recent advances made in 

renewable energies, it is evident that fossil fuels will remain the main contributor to South Africa’s 

energy economy for some decades to come. Until nuclear and renewables become more dominant in 

the national energy supply, CCS is a critical measure to mitigate our carbon footprint and to facilitate 

a just transition.” 

SUSTAINABLE FUTURE: 

NEAR POSSIBLE 

The 2020 GBCSA Annual Awards winners were 

announced at the virtual 13th Green Building 

Convention. Old Mutual Mutualpark in Cape 

Town [Six-star, Green Star – Existing Building 

Performance v1 rating] was the highest-rated 

building winner. Congratulations to the project 

owner, Old Mutual and AP, Zoë Rushin (Old 

Mutual). The runner-up was FormFunc Head 

Office, [pictured below] Johannesburg [Six-star, 

Green Star – Interiors v1 rating]. Terramanzi was 

the AP and the project owner was FormFunc. 

The GBCSA celebrated reaching the 600-mark 

in Green Star certifications at the event. “This 

milestone is indicative of the growing momentum 

of green building in South Africa and a commercial 

property sector that is committed to sustainability,” 

announced GBCSA CEO Lisa Reynolds. 

IMPACT 

Official publication of the Green 

Building Council of South Africa 

0.8 

THE CONVENTION ISSUE 2020 

NEAR 

POSSIBLE 

MAPPING THE PATH TO 

A SUSTAINABLE FUTURE 


CHARGING BATTERY TECHNOLOGY 

According to a report by the International Energy Agency, renewable 

energy will make up almost half of sub-Saharan Africa’s power generation 

growth by 2040. Improving access to reliable and sustainable energy is 

critical for Africa’s socio-economic development, says Daniel Goldstuck, 

head of energy storage services, SOLA Group [pictured right]. 

One of the biggest challenges that utilities face is when the electricity 

system cannot carry enough energy to meet consumer demands or cannot 

distribute excess energy across constrained networks. “The integration of 

bulk energy storage into an electricity grid can help utilities mitigate costs and reduce the chance of 

blackouts, particularly during periods of high demand or intermittency, which may eventually be a 

concern with mass integration of solar and wind power.” 

Utilities are also making use of bulk energy storage to reduce costs. The provision of large-scale 

energy storage on-site prevents the necessity of building or expanding large transmission lines from 

areas where electricity is generated, enabling power to be dispatched consistently when needed. 

Besides grid stability and cost reductions, energy storage provides an essential technology 

intervention in African countries where grid access might be limited or weak. In the current energy 

storage market, lithium-ion batteries dominate, largely driven by the uptake of electric vehicles. But 

lithium-ion batteries are now emerging as a suitable technology for stationary energy storage with 

improved round-trip efficiency, cycle life, decreased storage capacity degradation, and black-start 

capability to restart grids that have experienced outages. 

New technologies that are expanding the market include further electrochemical energy storage 

systems, such as flow batteries and some non-lithium battery chemistries with improved longduration 

capabilities. Flow batteries, circulate a liquid electrolyte through stacks of electrochemical 

cells and promise 10-hour durations, thousands of cycles, and minimal degradation. 

Storage benefits all nodes of the network as a transmission asset: within a distribution substation 

yard to defer power line construction, or behind the meter within a network to provide multiple 

stacked and synergistic services to both the end customer and distribution network service provider. 

AFRICA: MINORS ARE MAJORITY 

The youth segment accounts for 65% of Africa’s population, providing the continent with a 

significant demographic advantage, Egypt Minister of Planning and Economic Development, 

Hala El-Said, revealed in a recent address. She said that Africa has great economic and human 

potential, alongside the continent’s distinct geographical location and many natural and 

human resources. All these resources combined requires the integration of the continent’s 

countries to maximise benefits and put them on the path to sustainable development. 

The minister added that Africa is a forerunner in the international efforts on sustainable 

development, and this was evident when in 2013 African countries laid the foundation 

for Africa’s Agenda 2063. The agenda was adopted by the African Union (AU) as a longterm 

strategy that pushes comprehensive economic and social development for the entire 

continent during the next 50 years. 

Source: Egypt Today 

SPECIAL +IMPACT REPORT 

Gain international insight and read the Near Possible* feature. in 

GBCSA’s official publication, +Impact Magazine. The 2020 GBCSA 

Convention speakers share their astute perspectives and global 

thought on how to map a path to a sustainable built future. 

+Impact magazine is published by . 

* Click on +Impact cover and you will find the Special Report on page 20. 

4 

5



LEAVE PANGOLINS 

the heck alone 

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

“Don’t it always seem to go 

That you don’t know what you’ve got ‘til its gone 

They paved paradise 

And put up a parking lot.” 

Big Yellow Taxi by Joni Mitchell, 1970 

An additional pleasure to watching a movie with my son is the 

thoughtful, and usually, animated discussion that follows on the 

drive home. That did not happen with Blade Runner 2049. That 

late-night drive home was unusually quiet. I could not tell whether the 

silence was caused by the bittersweet narrative or the dark imagery. 

I realised that it was neither: the silence was caused by the realisation 

that those images were not sci-fi – I had seen them before, many times, in 

actual cities. Dark, colourless urban streetscapes; the night sky dominated 

by bright neon signs; advertising boards selling their wares through the 

sexualisation of women; mountainous waste disposal sites; thick orange 

skies saturated with pollutants; the displacement of nature – these are all 

familiar urban images. 

During the film, I became more and more desperate for a sign – any sign 

– that some semblance of nature still survived somewhere. At one point in 

the movie, there is a flash of the yellow and green of a dying flower against 

a ghostly-grey tree only kept standing with the help of stabilising cables. 

Then, suddenly, at the midpoint of the film, there is this green explosion 

on the screen, and you find yourself in the middle of a forest. My relief 

that there was still some nature left was enormous. But it is short-lived: the 

forest is no more than a recreation of a memory. 

Tom van der Linden, in a commentary about the film titled “In search 

of the distinctly human: the philosophy of Blade Runner 2049”, observes 

that, in the movie, “ecosystems have collapsed. Green fields turned to dirt, 

metal, and plastic. Trees are but a distant memory. A long time ago, man 

lost his spiritual connection to nature, replaced it with a physical one. And 

now, finally, she has been conquered. Reduced to her basic elements, 

the last artifacts of her existence.” 1 In this “ecology without nature”, as he 

puts it, we are placing ever more distance between ourselves and the 

rest of nature. With the current emergence of the coronavirus, there is an 

increased focus on how the destruction or conquering of nature creates 

With the current emergence of 

the coronavirus, there is an increased 

focus on how the destruction 

or conquering of nature creates 

conditions for new zoonotic 

illnesses to spread. 

6 

7



conditions for new zoonotic illnesses to spread. 

As Kate Jones, Chair of Ecology at University College London has noted, 

pandemics are now “a hidden cost of human economic development… 

We are creating habitats where viruses are transmitted more easily, and 

then we are surprised that we have new ones.” 2 

The state of the environment, disease, and viruses 

Many natural scientists are emphasising the correlation between 

ecological degradation and disease outbreaks. The UN’s environment 

chief, Inger Andersen, pleads that “nature is sending us a message with 

the coronavirus pandemic and the ongoing climate crisis.” 3 Essentially 

humanity is placing too many pressures on the natural environment with 

damaging consequences. Other scientists too suggest that the Covid-19 

outbreak is a “clear warning shot”, given that far more deadly diseases exist 

in wildlife, and that today’s civilisation was “playing with fire”. 4 They note 

that it is almost always human behaviour that causes diseases to spill over 

into humans. 

As Quammen argues, “Our relationship with the rest of the natural 

world, which is consumptive, and intrusive, and disruptive, is at the 

Covid-19 and climate breakdown are 

interconnected crises. They are the 

unintended consequences of a tradition 

of colonial expansion, conquest, and 

resource extraction on the back of 

fossil fuel-driven industrial growth. 

heart of the matter. Those things shake loose viruses from their natural 

hosts. All these wild animals carry their unique viruses. When we go into 

a tropical forest with its great diversity, and we start cutting down trees 

and capturing animals or killing animals for food, then we offer those 

viruses the opportunity to become our viruses, to jump into us and find a 

new host, a much more abundant host. And when a virus moves from an 

infected animal into a human, it’s won the sweepstakes. It can now spread 

around the world and become one of the world’s most successful viruses, 

which this coronavirus now is.” 5 

Covid-19 and climate breakdown are interconnected crises. They are the 

unintended consequences of a tradition of colonial expansion, conquest, 

and resource extraction on the back of fossil fuel-driven industrial growth. 

The continued depletion of natural resources has, in turn, put pressure on 

the world’s most fragile ecosystems, and we now experiencing an extreme 

biodiversity crisis in which over a million species of plants, insects, and 

other animals are on the brink of extinction, while other species, stressed by 

displacement, are increasingly brought into contact with expanding areas of 

human habitation and agriculture. This encroachment on wilderness space 

has increased human exposure to the movement of pathogens from animal 

hosts, previously contained within wild ecosystems. 

“Preserving intact ecosystems and biodiversity will help us reduce the 

prevalence of some of these diseases. So the way we farm, the way we use 

the soils, the way we protect coastal ecosystems, and the way we treat 

our forests will either wreck the future or help us live longer,” 6 Andersen 

argues. “We know in the late 1990s in Malaysia with the outbreak of Nipah 

virus, it is believed that the virus was a result of forest fires, deforestation, 

and drought which had caused fruit bats, the natural carriers of the virus, 

to move from the forests into the peat farms. It infected the farmers, which 

infected other humans, and that led to the spread of disease.” Biodiversity 

loss is a significant driver in the emergence of some of these viruses. 

Large-scale deforestation, habitat degradation, and fragmentation, 

agriculture intensification, our food system, trade-in species and plants, 

anthropogenic climate change – all these are drivers of biodiversity loss 

and drivers of new diseases,” he concludes. 

A study, published in the journal Proceedings of the Royal Society B, agrees 

that the underlying cause of the present pandemic is likely to be increased 

human contact with wildlife. Scientists from Australia and the US traced 

which animals were most likely to share pathogens with humans taking 

142 viruses known to have been transmitted from animals to humans over 

many years and matching them to the IUCN’s red list of threatened species. 

They found that domesticated animals like cattle, sheep, dogs, and 

goats shared the highest number of viruses with humans, with eight times 

Agriculture and the food and 

beverage industries are the secondand 

third-largest sectors most 

dependent on nature, after the 

construction industry. 

8 

9



more animal-borne viruses than wild mammal species. Wild animals that 

have adapted well to human-dominated environments also share more 

viruses with people. Rodents, bats, and primates – which often live among 

people, and close to houses and farms – together were implicated as hosts 

for nearly 75% of all viruses 7 . However, the spillover risk was highest from 

threatened and endangered wild animals whose populations had declined 

largely due to hunting, wildlife trade, and loss of habitat. 

Its noteworthy that every pandemic-threatening new virus that we have 

seen emerge in recent decades – avian flu, SARS, MERS, Zika and Ebola – has 

developed in this way. The opportunities currently existing for pathogens 

to pass from wild and domestic animals to people is unprecedented. 8 The 

continued erosion of ecosystems is forcing uncomfortable proximity to 

animals and plants that harbour diseases that can jump to humans. 

The continued erosion of ecosystems 

is forcing uncomfortable proximity 

to animals and plants that harbour 

diseases that can jump to humans. 

highly dependent on nature and its services, and therefore exposed to 

risks from nature loss. Agriculture and the food and beverage industries 

are the second- and third-largest sectors most dependent on nature, after 

the construction industry. 

Climate change, soil erosion, pollinators extinction, and deforestation 

are all threatening food supplies. The decline of insects and other animals 

that pollinate crops is also impacting agriculture production. More than 

three-quarters of the world’s food crops rely at least partially on pollination. 

In other words, global crop production with an annual market value of 

between $235 billion and $577 billion is at risk. Outbreaks of invasive pests 

and diseases are another common cause of nature loss that threatens the 

survival of commercially important crop species with low genetic diversity. 

More than half of the world’s food comes from just three staples – rice, 

wheat, and maize – which already suffer annual losses of up to 16% of total 

production (valued at $96 billion) due to invasive species. 9 

Conclusion 

One of the social constructs that needs reviewing is the notion that 

nature is in balance and will ultimately resolve all the above problems 

without human intervention. However, scientists have long abandoned 

the idea of there being a “balance of nature,” and favour more dynamic 

ecological frameworks. Both the delicate and stalwart interpretations of 

“balance” imply that nature should be left to its own devices; that human 

interference ought to be minimal. But as Matt Palmer an ecologist at 

Columbia University notes, the updated view is that “change is constant.” 10 

The importance of this paradigm is that as the new approach takes hold, 

conservation and management policies must also be adapted. “In some 

ways, it argues for a stronger hand in managing ecosystems or natural 

resources,” Palmer states. “It’s going to take human intervention.” 

To prevent further outbreaks both global warming and the destruction 

of the natural world must end, as both drive wildlife into contact with 

people. Covid-19 and nature are linked. So should be the recovery. 

The state of the environment and food supply 

Not only are we dependent on nature for our health, we also overlook the 

contribution of nature and its ecosystem services in our food production 

systems. Our current rate of biodiversity loss is having a substantial impact 

on what we eat and how we feed the world’s populations. And this impact 

is set to increase. As reported by the World Economic Forum, research 

undertaken by them together with PWC, $44 trillion of economic value 

generation – more than half of the world’s total GDP – is moderately or 

Biodiversity loss is a significant driver 

in the emergence of some 

of these viruses. 

REFERENCES [links will redirect you to referenced article] 

1 Van der Linder, T. 2018. “In search of the distinctly human: the philosophy of Blade Runner 2029.” YouTube channel www.patreon.com/likestoriesofold 

2 Hill, K., 2020. “Biodiversity and pandemic disease (or how we came to know our world in 2020).” Available from: https://dirt.asla.org/2020/04/23/biodiversityand-pandemic-diseases-or-how-we-came-to-know-our-world-in-2020/. 

3 Carrington, D. 2020. “Coronavirus: ‘Nature is sending us a message’ says UN environment chief”. Available from: https://amp-theguardian-com.cdn.ampproject. 

org/c/s/amp.theguardian.com/world/2020/mar/25/coronavirus-nature-is-sending-us-a-message-says-un-environment-chief. 

4 Ibid. 

5 Cohn, R. 2020. “Spillover warning: How we can prevent the next pandemic.” Available from: https://e360.yale.edu/features/spillover-warning-how-we-canprevent-the-next-pandemic-david-quammen. 

6 Greenfield, P. 2020. “Ban wildlife markets to avert pandemics, says UN Biodiversity chief.” Available from: https://www.theguardian.com/world/2020/apr/06/banlive-animal-markets-pandemics-un-biodiversity-chief-age-of-extinction?utm_term=RWRpdG9yaWFsX0dyZWVuTGlnaHQtMjAwNDA4&utm_ 

source=esp&utm_medium=Email&CMP=greenlight_email&utm_campaign=GreenLight. 

7 Vidal, J. 2020. “Human impact on wildlife to blame for spread of viruses, says study.” Available from: https://www.theguardian.com/environment/2020/apr/08/ 

human-impact-on-wildlife-to-blame-for-spread-of-viruses-says-study-aoe?utm_term=RWRpdG9yaWFsX0dyZWVuTGlnaHQtMjAwNDA4&utm_ 

source=esp&utm_medium=Email&CMP=greenlight_email&utm_campaign=GreenLight. 

8 Carrington, D. 2020. “Coronavirus: ‘Nature is sending us a message’ says UN environment chief.” Available from: https://amp-theguardian-com.cdn.ampproject. 

org/c/s/amp.theguardian.com/world/2020/mar/25/coronavirus-nature-is-sending-us-a-message-says-un-environment-chief. 

9 Ibid. 

10 Root, T. 2020. “The ‘balance of nature’ is an enduring concept. But it’s wrong.” Available from: https://www.nationalgeographic.com/environment/globalwarming/balance-of-nature-explained/. 

10 

11

THA 29-2020 

ENERGY 

The continued significance of 

ENERGY MANAGEMENT 

The SA Industrial Energy Efficiency Project, run since 2010 by the National Cleaner Production 

Centre (NCPC-SA) and the United Nations Industrial Development organization (UNIDO), 

has won the global Association of Energy Engineers (AEE) International Energy Project of 

the Year Award for 2020. 

The AEE’s International Awards recognize achievements in energy around the world. 

“Energy Project of the Year: International” covers energy management projects developed 

and implemented outside the United States. 

Since itS inception in 2010, the iee project haS aSSiSted induStrial companieS in achieVinG the FolloWinG: 

the dtic 

6.5 TWh 

energy saved 

Email ncpc@csir.co.za to find out how to get help to transform your company’s energy use. 

The IEE Project is a national partnership initiative with international implementing and funding partners: 

Department: 

Trade, Industry and Competition 

REPUBLIC OF SOUTH AFRICA 

A WINNING PARTNERSHIP 

SA INDUSTRIAl ENERGY EFFICIENCY PROjECT 

6.4 million tCO 2 e 

GHG mitigated 

For more information about the IEE Project visit: www.ncpc.co.za 

mineral resources 

& energy 

Department: 

Mineral Resources and Energy 

REPUBLIC OF SOUTH AFRICA 

ZAR 5.3 billion 

cumulative cost savings 

According to the International Energy Agency, “Energy efficiency 

can play a vital role in economic recovery from the impact of the 

Covid-19 pandemic and more efficient use of energy could generate 

an untapped source of fuel, larger than fossil and renewable energy 

sources combined.” We asked Faith Mkhacwa of the NCPC-SA how 

South African businesses can make energy efficiency a strategic tool 

in their 2021 comeback. 

South African energy efficiency initiative, the South African 

Industrial Energy Efficiency (IEE) Project, recently won the 

highest international accolade for an energy programme – the 

International Energy Project of the Year, awarded in October 2020 by 

the global Association of Energy Engineers (AEE). 

The IEE Project, which has been led since 2010 by the National Cleaner 

Production Centre South Africa (NCPC-SA) and the United Nations 

Industrial Development Organisation (UNIDO), received the award in 

recognition of its efforts to transform the energy use patterns in South 

African industry, and mainstream energy management systems across 

economic sectors. 

Since its first implementation projects in 2011, the IEE Project team 

has assisted industrial companies to save 6 500GWh of energy, which 

translates roughly into the energy required to power 950 000 middleincome 

homes for a year. 

With energy generation being such a significant GHG contributor, and 

energy processes being what they are, these energy savings represent 

cost avoidance by the participating companies of R5.3 billion and GHG 

mitigation of 6.4 million tons over the past ten years. 

But why was this an international award-winning project? And how can 

this help South African business now? The answer lies in the holistic and 

integrated approach, based primarily on the concept and principles of 

energy management. 

According to Faith Mkhacwa, senior project manager of the IEE 

Project at the NCPC-SA, the Covid-19 “new reality” requires the strategic 

management of resources such as energy. “Having an energy efficiency 

strategy will enable organisations to cut their energy bills by up to 40%, 

saving money and mitigating climate change,” she explains. 

Interactions with industry show that organisations are not always 

aware of the value of energy efficiency and often focus on investment into 

energy generation. “This is partly because energy efficiency is invisible – it 

represents energy not used, and companies do not see potential energy 

saving as an opportunity they should be investing in. Energy efficiency 

improvement will support recovery and reduce emissions, making this 

the perfect time to set higher targets for energy efficiency in industry and 

create incentives to enable organisations to act boldly.” 

The multi-party IEE Project is ready to assist in restoring the health of 

South African industry through energy efficiency. The project team works 

with and equips industry to tackle practical energy management. This 

is done though training industry professionals, both in companies and 

consultants, and partnering with every company that signs up. 

The IEE Project uses the methodologies aligned to international 

energy management standard ISO 50001, which drives continuous 

improvement and sustained energy savings. “It’s a marathon, not a 

sprint, and the growing savings numbers of the IEE Project are proof that 

it really works.” 

Energy management training is offered by the NCPC-SA, which has 

already trained in excess of 5 000 professionals at technical level and 200 

men and women to be IEE experts. Many of the IEE training courses are 

currently being offered online, at no cost to delegates for the remainder 

of 2020. 

Energy efficiency can improve the economic competitiveness of 

countries and businesses, reduce greenhouse gas emissions and improve 

quality of life. The challenge, according to the IEA projections up to 2035, 

is that as much as two-thirds of the energy efficiency potential are likely to 

remain untapped. 

“The IEE Project would welcome the opportunity to work with and help 

organisations emerge from the Covid-19 downturn stronger and with a new 

resolve to contribute towards climate change mitigation,” concludes Faith. 

The IEE Project is currently its second phase, which runs until the end of 

2021. Other IEE Project phase II partners include the Department of Trade, 

Industry and Competition, which funds the NCPC-SA, the Department of 

Energy and Mineral Resources and its agency, the South African National 

Energy Development Institute (SANEDI). 

For more information, contact ncpc@csir.co.za or visit www.ncpc.co.za 

to view case studies and free online tools. 

13

INFRASTRUCTURE 

INFRASTRUCTURE 

Shifting the goalposts to level up 

Green building 

BY LISA REYNOLDS, CEO, GBCSA* 

During World Green Building Week in September 2020, 

Green Building Council South Africa ran an online webinar 

about South Africa’s green building heritage. It was the 

week of National Heritage Day, so the timing seemed apt 

to reflect on GBCSA’s past challenges and successes over 

the last 13 years since its inception in 2007. 

We were joined by the team that spearheaded the first Green Star 

certification, awarded in 2009 to Nedbank Head Office Phase 

2. The team included Xavier Huyberechts from GLH Architects, 

Howard Rauff from Nedbank, Marloes Reinink from Solid Green, and 

Alison Groves from WSP. It was a real trip down memory lane, and as 

always, remarkable to see what has been achieved considering the initial 

inertia and measured embrace to green building over the years. 

We have made significant strides that have contributed to transformation 

in the built environment. For the Nedbank Phase 2 project, the team 

persuaded Dulux to manufacture low-VOC paint locally, which converted 

the whole paint industry in the country. A black water treatment system 

was also considered for the Nedbank project, but the installation was 

unsuccessful. Nevertheless, this paved the way for the use of black water 

treatment systems, which have since been installed successfully for other 

green buildings. Since then, LED lighting and solar panels have also become 

mainstream and dramatically more affordable. 

Lisa 

Reynolds, 

Chief 

Executive 

Officer, 

GBCSA 

Over the last 13 years, important shifts have taken place on the 

economic side of building green. Developers are now understanding the 

benefits that come from spending more at the beginning of a building 

project, which leads to savings in the long run. Marloes commented that 

“resilience” has become a motivating factor over-and-above “building 

green”, because people, and businesses, want to survive the knock-on 

effects that come with more frequently-occurring uncertainties such as 

load shedding and drought. It’s about energy and water security, and 

also keeping people healthy and productive in buildings (something that 

Covid-19 has brought to the fore). Xavier Huyberechts emphasised that 

there has been a shift towards thinking more about operational efficiency. 

A building is not just a pretty thing to look at – it needs to have resilience 

built in from the start, and the industry is understanding that now. 

Something key that became evident through the webinar was that now 

a 4-Star-rated building is quite easy to attain and can be achieved with 

minimal to no additional premium. It has become commonplace – which 

78 Corlett Drive in Melrose North No.1 Mutual Place in Sandton 

is great – but where is the challenge? This is an indication that it is time to 

shift the goalposts and create more ambitious targets. I see that the role 

of the Green Building Council South Africa (GBCSA) is to always be on the 

aspirational side of the market. When we become the norm, we must pull 

ahead. In 2009, a Green Star rating was unheard of, so we need to find the 

“next big thing” that the building industry can boldly strive towards. 

To align with the world’s targets of achieving Net Zero for all buildings 

by 2050, we need to shift the status quo significantly. The World Green 

Building Council’s Cristina Gamboa says that buildings need to move away 

from being “consumers” and become “prosumers”. Self-sufficiency, netpositive, 

and regenerative design is certainly the direction we need to go, 

to achieve a sustainable world in which people and planet thrive: net zero 

is the next step on this journey. 

We are currently working with the Australia Green Building Council 

to conceptualise a new building rating tool, and this is likely to include 

more ambitious net-zero goals. We will be drafting a single tool that 

encompasses all types of buildings, to replace the existing individual 

ones, and 6-Star ratings in future will likely require net-zero carbon as a 

minimum (which is similar to the Australian tool). Net-zero carbon is easier 

to achieve than net-zero water, waste and ecology and it is the one that 

makes a massive difference in climate change mitigation, so I think it’s a 

good goalpost to aim for. The new building rating tool will hopefully be 

ready for launch at Convention in 2021. Next year, GBCSA will also be 

aiming to launch our new Residential rating tool for existing homes. This 

will provide a user-friendly, online platform for homeowners to get on 

board with green building. 

When I reflect on some of my favourite green building projects over 

the years, one of the projects which stands out is a community housing 

project called Belhar Gardens, which received an EDGE rating. Over a year, 

the occupants save more than the equivalent of one month’s rent due to 

lower operational costs. It’s something that makes a really big difference 

for communities and for individuals, which is especially important during 

these challenging financial times. For me, it’s a reflection of the shift from 

sustainability and green building being more of a technology-focused and 

theoretical exercise, to one that has become more human-focused. Finally, 

we are starting to understand that green buildings are desirable not only 

for financial reasons but also because they allow people to thrive within 

their walls. 

Buildings need to move away from being “consumers” and become “prosumers”. 

300 

certifications reached 

2007 

Green Building 

Council South 

Africa started 

2009 

First Green Star 

SA certification 

awarded to 

Nedbank Head 

Office Phase 2 

2014 

50 

Green Star 

certifications 

First Green Star 

certifications in 

Africa awarded 

to One Airport 

Square in 

Ghana and FNB 

Freedom Plaza 

in Namibia 

2015 

100 th 

building 

certification, 

with a 5-Star 

Green Star SA 

Existing Building 

Performance 

rating, awarded 

to Kirstenhof 

Office Park 

The first EDGE 

project was 

registered 

2016 

200 


reached 

2017 

The pilot Net Zero Tool was 

introduced and the first Net 

Zero certified projects were 

Greenfields Industrial Park, 

The Estuaries Plaza, Two Dam 

Sustainable, and Vodafone 

Site Solution Centre 

First post-construction EDGE 

certification awarded to 

Fourleaf Estate 

Sustainable Precincts tool 

launched 

2018 

400 


reached 

including Green 

Star, EWP, EDGE 

and Net Zero 

2019 

500 


reached 

2020 

600 


reached, and 

counting… 

2021 (aspirational) 

Launch version 

2 of the new 

build rating tool 

and residential 

rating tool 

14 

15

AIR 

AIR 

Volatile 

organic 

compounds 

Volatile organic compounds (VOCs) are organic chemicals that have a high vapor pressure at ordinary room temperature. Their high vapor 

pressure results from a low boiling point, which causes large numbers of molecules to evaporate or sublimate from the liquid or solid form of 

the compound and enter the surrounding air, a trait known as volatility. For example, formaldehyde, which evaporates from paint and releases 

from materials like resin, has a boiling point of only –19 °C (–2 °F). 

BY NMISA 

In South Africa, outdoor and indoor air pollution continues to be perceived as a serious 

problem, with emissions for sulphur dioxide, particulate matter, nitrogen dioxide, nitrogen 

oxides, ozone, benzene and VOCs, and the corresponding concentrations, a cause of concern. 

Air quality in various areas of the country is affected by 

pollutants emitted by numerous sources. These sources 

include power generation activities, industrial processes, 

waste disposal, transportation (private and public vehicles), biomass 

burning, domestic fuel burning, landfill sites, wastewater treatment 

and agriculture. 

Volatile organic compounds (VOCs) are known for their adverse 

environmental and health impact. These compounds act as stratospheric 

16 

ozone precursors, contributing negatively to climate change and have 

been stated by World Health Organisation (WHO) to be carcinogens. VOCs 

have also been monitored globally by World Meteorological Organisation 

(WMO) /Global Atmospheric Watch (GAW) stations, to understand the 

lifespan, chemistry, concentration and have international comparability of 

measurements. There is still ambiguity around VOCs due to a wide range 

of components falling under this category. Exposure and reactivity of 

these pollutants tend to be more composition specific. 

In South Africa, Benzene, Toluene, Ethylbenzene, and Xylenes (BTEX) are 

monitored in various air monitoring stations across the country and are 

supported by the Department of Environmental Affairs (DEA). Academic 

institutes and the air monitoring industry are focused on a wide range of 

these harmful substances. To support all science institutes, regulations 

with reliable measurement, NMISA’s Gas Analysis Laboratory championed 

a project of developing VOC reference standard gas mixtures in accordance 

with the National Environment Management Air Quality Act 2004, 39. 

The standards sub-groups are non-methane VOCs, hazardous air 

pollutants and BTEX, ranging from a high concentration to a lower concentration 

of nmol/mol levels. The reference gas mixtures are used in industry to 

calibrate instrumentation and harmonise measurement methods. To attain 

international recognition and comparability of measurement in VOCs, the 

Gas Analysis Laboratory participated in 5 nmol/mol BTEX needs to be defined 

in nitrogen CCQM K10, 100nmol/mol BTEX in Nitrogen AMPM-QM S14 interlaboratory 

comparison and 100 nmol/mol HAPs in nitrogen APMP-QM S12. 

The laboratory aims to establish new capabilities and resources to fully 

support the industry with their needs. This means constant development 

of low uncertainty standards for accurate measurements with traceability 

to the International System of Units (SI). 

Volatile Organic Compounds, when combined with nitrogen oxides, 

react to form ground-level ozone (smog), which contributes to 

climate change. Gasoline, Benzene, Formaldehyde, Toluene, Xylene, 

Styrene, and Perchloroethylene (or Tetrachloroethylene used in dry 

cleaning) are also rich sources of VOCs. 

Store: https://store.nmisa.org/ 

Facebook: NMISouthAfrica 

Twitter: @NMISouthAfrica 

Instagram: @nmisouthafrica 

LinkedIn: National Metrology Institute of South Africa (NMISA) 

YouTube: National Metrology Institute of South Africa (NMISA) 

www.nmisa.org 

17

FINANCE 

FINANCE 

PRIVATE 

CAPITAL 

While some detractors have argued that ESG investing 

is simply a bull market phenomenon, increasingly more 

companies are beginning to integrate ESG strategies 

into their business models, indicating that the trend is 

here to stay. So, what role can private capital play in 

achieving green economy outcomes? 

BY DEAN ALBOROUGH* 

The increasing uptake of environmental, social and governance 

(ESG) principles represents a paradigm shift in the investment 

landscape. Through the pandemic, ESG funds have demonstrated 

equal, if not higher returns and better downside protection. At the 

beginning of the pandemic, sustainable funds attracted record 

inflows in the first quarter amid market turmoil, and figures from the 

Investment Association reveal investors have pumped nearly $4bn into 

ethical funds in 2020 so far, significantly more than the $3.2bn recorded 

for the whole of 2019. 

Two critical roles include acting as a partner to governments and shifting 

the development trajectory. Private capital can partner with governments 

to identify and fill financing gaps in sectors where government budgets 

18 

are exceeded, with an ability to mobilise international capital. Private 

capital also acts on behalf of the end investor on the street, with investors’ 

expectations rapidly shifting away from the unsustainable development 

trajectory set by the industrial revolution, to a new sustainable, lowcarbon 

and socially inclusive development trajectory. 

The opportunity for private capital to play a significant role in Africa is 

immense, not least because the continent faces an annual funding gap 

of between $500 billion and $1.2 trillion to realise the UN Sustainable 

Development Goals. Less than 13% of impact investing capital is 

directed to Africa. This has paved the way for increasing private sector 

involvement in deploying capital to achieve ESG outcomes across 

the continent. 

The opportunity for private capital 

to play a significant role in Africa is 

immense, not least because the continent 

faces an annual funding gap of between 

$500 billion and $1.2 trillion to realise the 

UN Sustainable Development Goals. 

Take African Infrastructure Investment Managers’ (AIIM) IDEAS 

Managed Fund, launched in 1999, which invests in transport, housing, and 

renewable energy infrastructure in the SADC region. AIIM is a member 

of Old Mutual Alternative Investments (OMAI), and through its IDEAS 

Fund, has invested in 28 assets across South Africa’s renewables sector 

– including large scale solar power plants and wind farms. Together, 

these assets generate some 24.5% of the total clean energy on South 

Africa’s grid. 

Beyond South Africa, AIIM has also recently acquired a minority stake in 

BBOXX, a next generation utility platform, providing affordable and reliable 

clean energy to off-grid communities. As a result of the transaction, BBOXX 

has since expanded to provide clean energy and other utility services to 

an additional 250 000 people in Rwanda, Kenya and Democratic Republic 

of Congo. 

The impact of such projects spearheaded by the private sector are 

significant. Over 600-million people in Africa lack access to electricity. 

High grid connection costs, coupled with an increasing need for power, 

make off-grid solar a compelling alternative for rural communities with 

unreliable grid access. Deploying private capital to plug the gap in 

energy generation helps stimulate economic development in rural and 

peri-urban communities by creating new markets through the entry point 

of electricity. 

Similar ESG principles are making their way onto the government 

agenda. President Ramaphosa’s recent economic recovery plan, announced 

on 15th October 2020, committed R1 trillion ($60 billion) in funding 

towards infrastructure investment over the next four years, including a major 

increase in energy generation, half of which he intends to generate from 

renewable sources. 

There are, however, many challenges in exporting ESG objectives 

across the continent. The reality is many African nations have not declared 

national contributions to emissions reductions, placing even greater 

value on the role of private capital in driving the ESG agenda forward. This 

19

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factors that have been proven academically and in practice to provide the The last decade has seen ESG find a permanent place in everyday 

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investor with a positive payoff for undertaking the risk associated with each investing. Its rise in popularity has shown no signs of slowing down, with 

factor. Commonly used risk premia include the value risk premium, which Bank of America forecasting a “tsunami of assets”, as much as $20 trillion, 

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21 

vival and sustainable growth. 

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Sustaining power. Serving landscapes 

The reality is many African nations 

have not declared national contributions 

to emissions reductions, placing 

even greater value on the role of 

private capital in driving the ESG 

agenda forward. 

extends to other areas of high carbon-emitting fuel sources. South Africa 

has historically anchored itself to a reliance on coal, which is expected 

to account for just under half of its energy mix by 2040. Zambia has a 

dependence on coal exports. Both countries face significant economic 

Many investors have positions in fossil fuels that are difficult to move 

away from in the short or medium-term. We are now confronted with 

the challenge of how to transition from these assets in a swift and nonvolatile 

way, whilst also protecting the jobs and livelihoods of those who 

work within the industries. Fossil fuels are not simply limited to power 

generation, there is an entire supply chain at work – from exploration to 

transport and pipelines to port terminals. 

Despite the difficulties in driving ESG objectives, institutional investors 

across the globe acknowledge that ESG risk management is here to 

stay. Increasing calls to implement common reporting standards on ESG 

performance as a way of accurately measuring progress further this message. 

In many ways, Covid-19 has been the wake-up call some investors needed 

to realise the value of integrating ESG principles in their portfolios. As nations 

across Africa battle mounting debts, contractions in GDP and loan defaults, 

the role of the private sector in driving the ESG agenda forward is now more 

important than ever. The investing landscape is changing at an incredibly 

swift pace and CIO’s should be aware of these seismic shifts now, putting 

money to work with strong ESG risk management and identifying the evergrowing 

investment opportunities in green economy assets.

ENVIRONMENT 

SOCIAL 

GOVERNANCE 

PROTECTING NATURAL 

RESOURCES AND 

IMPROVING LIVES 

Sibanye-Stillwater’s vision is to create superior value for all our stakeholders through 

responsible mining of our mineral resources. 

The company has crafted an Environmental, Social and Governance (ESG) strategy 

to define the principles and requirements to meet Sibanye-Stillwater’s vision. The ESG 

Strategy content is guided by our voluntary subscriptions to: 

Every year the issue of the 

environment and climate change 

looms ever larger over companies 

that wish to build a sustainable 

future in business. It is a problem 

unlikely to recede unless strong 

and decisive action is taken. 

At Sibanye-Stillwater, we have 

drawn up our own ESG strategy, 

inclusive of environmental 

management, with one of our 

core intents being to protect 

natural resources and improve 

life. It is about sustainable use 

and sourcing through increased 

environmental consciousness, 

continual improvement and 

minimising environmental impact 

as part of a measured transition to 

a low carbon future. 

The Company is grappling with 

an environmental conundrum 

as our South African operations 

are supplied 93% of their energy 

needs in the form of coal-fired 

electricity at an annual cost of 

approximately R6.5bn. We are 

dependent on the national power 

utility, Eskom, which is struggling 

to provide affordable, reliable 

and low-carbon electricity. This 

means we have had to rethink our 

energy use and supply mix with a 

view to improving energy security, 

cost and addressing the issue of 

carbon-intensity. 

OUR ENERGY AND DECARBONISATION STRATEGY HAS FOUR LEVERS: 

For a start, there is energy 

intelligence and active advocacy. 

Energy challenges, such as rising 

electricity cost and security of 

supply, cannot be addressed 

in isolation. Through the Energy 

Intensive Users Group of Southern 

Africa (EIUG), Sibanye-Stillwater, 

as one of 29 members, seeks 

to advocate for an enabling 

energy supply industry, inclusive 

of reliable supply at competitive 

prices with a just transition to a 

lower carbon future. The EIUG 

engages with the government, 

NERSA and Eskom, as well as 

working with other organisations 

such as Business Unity South Africa 

(BUSA) and the Minerals Council 

of South Africa. This first lever also 

focuses on internal advocacy, 

inclusive of policy, strategy and 

target setting. During target 

development, consideration to 

Sustainable Development Goal 

(SDG) 7, Affordable and Clean 

Energy, and SDG 13, Climate 

Action, which call for increasing 

the share of renewable energy in 

the energy mix by 2030, doubling 

the rate of improving energy 

efficiency and decarbonisation, 

will be taken into consideration. We 

will continue to drive our already 

established Science Based Target 

Initiative targeted at reducing 

the absolute Scope 1 and 2 GHG 

emissions in line with the level of 

decarbonisation required to keep 

global temperature increases 

below two degrees Celsius. 

The second lever is demand side 

management. Drawing guidance 

from the ISO 50001 standard, 

the Energy and Decarbonisation 

Strategy will also drive improved 

energy and carbon management 

through the stringent target 

setting, technology deployment 

and real-time, predictive and 

prescriptive digital analytics. The 

appointment of energy service 

companies to assist with energy 

optimisation and productivity 

initiatives – like the optimisation 

of water pumping, compressed 

air and refrigeration circuits - 

has been instrumental in the 

continuous reduction of our 

energy consumption, carbon 

footprint and carbon tax payable. 

The Company has achieved an 

absolute electricity consumption 

improvement of 2-3% annually, 

since our existence. 

The third lever is strategic energy 

sourcing. Considering how we 

source our energy through 

alternative energy sources has 

not only become the responsible 

option, but an imperative. 

Strategic energy sourcing seeks 

to match and optimise electricity 

supply projects and commercial 

terms with our long-term energy 

needs and decarbonisation 

objectives. Solar photovoltaic 

projects are an obvious 

opportunity given our available 

land and abundant solar 

resources, with our first 50MW 

project in development near 

our mining complexes in the 

West Rand. Energy trading is 

another future consideration. 

One of our implemented tactical 

interventions is the extraction 

of underground methane to 

the surface at our Beatrix South 

operation which is then used to 

generate electricity and carbon 

credits. 

Lastly, there is decarbonisation 

which stipulates how we can 

accelerate our decarbonisation 

pathway beyond the positive 

influences of demand side 

management and strategic 

energy sourcing. It includes 

specific interventions to 

decarbonise carbon-intensive 

operations and other mechanisms 

such as carbon trading to offset 

the Company’s carbon footprint. 

A practical example is the recent 

electrification of the Beatrix coalfired 

boilers. It also promotes a 

responsible carbon tax regime 

that balances the climate change 

imperative and the financial 

sustainability of our operations. 

All in all, Sibanye-Stillwater is a 

company that recognises the 

real risks of climate change and 

our obligations as a responsible 

operator in helping mitigate 

through sustainable energy use 

and sourcing. A long-term view is 

the need to ensure the transition 

to a carbon-free future but with 

strong and decisive action in the 

short-term as the world cannot 

afford to wait any longer. 

Our mining improves lives | Visit www.sibanyestillwater.com

TRANSPORT 

TRANSPORT 

Much like EVs, for all the existing 

supply chains and industry at stake, 

the inevitable transformation to 

cleaner, or green, power sources 

cannot be turned back. 

Give our planet 

a second life 

Repurpose electric 

vehicle batteries 

BY LANCE DICKERSON AND FELIX VON BORMANN* 

The mass rollout of electric vehicles may have been a pipe dream a few decades ago, but 

with various European cities setting near-term deadlines on the phasing out of fossil-fuel 

combustion engines, there’s no turning back the clock. The planet – the only one we have 

– depends on it. 

However, it is in the far East that we find the shining light of electric 

vehicle (EV) mobility. Chinese city Shenzhen leads the charge, 

with nearly its entire taxi and bus fleet having been converted 

to electrical. In addition to that, by last year, over 60 000 light delivery 

vehicles, or 35% of the government’s fleet, were electric. 

Shenzhen City [pictured above], as a smart mobility torch-bearer, has 

given the rest of the world a blueprint to fast-track their earth-friendly 

24 

mobility transformation. Subsidies create near cost parity between EVs 

and combustion vehicles, subsidies for charging infrastructure have 

resulted in a rapidly growing network, road restrictions incentivise the 

use of no-emission vehicles, preferential electricity rates and mandated 

district targets have driven this rapid transformation. Looking ahead, 

market forces are expected to take over the EV economy they created. 

The ramifications for the global trade system are highly complex and 

worth many billions of dollars. Much of our modern history has depended 

on oil and the associated geopolitical implications. However, despite 

denialists’ fervent objections, the global warming evidence continues to 

stack up and that to safeguard our planet, there can be no further delays in 

pursuing clean, or green, mobility and – importantly – power. 

Wind and solar power continue to become more affordable and efficient, 

and South Africa’s government recently reaffirmed its commitment to 

renewable energy as an important part of the country’s energy mix over 

the medium and long term. Much like EVs, for all the existing supply chains 

and industry at stake, the inevitable transformation to cleaner, or green, 

power sources cannot be turned back. 

But it’s not all roses. EVs run off lithium-ion batteries. These batteries are 

replaced after a few years in the vehicle when the output of the battery 

cannot justify its weight in the vehicle. At this point, the battery is replaced 

with a new one. Various estimates and industry experts had predicted that 

by this year, China would produce 500 000 metric tons of used lithium-ion 

batteries. By 2030, they say, this number will reach 2-million metric tons. 

Most of these will end up in landfills. 

As demand for the ingredients that make these batteries surges – mines 

need to keep up and extract these metals from the earth – our ability to 

dispose of used batteries or recycle them has not kept pace. It is a bitter 

irony that an advancement in technology, one that should be celebrated 

for its low emission and green motivation, should itself become a culprit in 

producing waste that’s harmful to the planet. 

The world has taken note of this imbalance. In March this year, a 

bill called the “Battery and Critical Minerals Recycling Act of 2020” 

was introduced in the Senate in the US. It seeks to boost the Federal 

Government’s investment in lithium-ion battery recycling. 

A chance at a second life 

However, there is a critical fact about used EV batteries themselves that 

holds the key to two environmental questions: first, what can we do to 

keep used EV batteries out of landfills, and then, how can we provide 

energy storage with lithium-ion performance without providing further 

strain on the environment? The answer lies in repurposing old EV batteries 

for stationary energy storage. 

As mentioned already – there comes a time in every EV life that the 

output of its battery does not justify its weight: after all, EVs need to move. 

However, for stationary storage, for uninterrupted power supply (UPS) 

systems or backup to provide constant power from renewable energy 

sources, weight does not matter. 

The next obvious question is whether the used batteries are sub-par, 

meaning repurposing the cells for stationary storage is simply a case of 

transporting waste from one place to another. The answer is unequivocal – 

used EV lithium-ion batteries have at least a further 3 500 to 5 000 cycles in 

them, providing a lifespan of about 10 to 15 years, all the while exploiting 

the performance of lithium-ion, but at a significantly reduced cost. 

Automotive cells are built to tolerate higher temperatures during 

operation before damage starts occurring. This higher temperature 

tolerance allows higher discharge currents. This is significantly higher than 

batteries built for storage. Limiting discharge in the repurposed batteries 

translates to longer battery life. 

The obvious ramifications of repurposing these EV batteries and 

giving them a second life is that it gives the planet a breather. Instead of 

competing with the EV sector for raw materials to build new batteries, 

repurposing the tons of existing used batteries takes the pressure off 

mining activities and the subsequent supply chains, all of which carry a 

heavy carbon burden. 

In South Africa, which buys in Rands, the business case is compelling, 

not least because our government has finally seen the light regarding 

cleaning up our coal-based power grid, but also because the grid is 

so unreliable and unpredictable that more and more businesses and 

households are investing in battery backup. This gives them access to 

lithium-ion performance at a more attractive price point. 

We have an opportunity to contribute to the problem of discarded EV 

batteries in a proactive and carbon-friendly manner. Second life batteries 

are to energy what recycling is to household and business consumption – 

a sustainable alternative to give our planet a breathing chance. 

*Lance Dickerson, former Executive at MTN in Ghana and Nigeria, and Felix von Bormann, former engineering consultant for Sprint in the US, founded REVOV in 2016, an energy storage solutions company that sells carry-case sized 

second life lithium-ion battery solutions as single units or in powerful systems of up to 200 batteries. 

25

WATER 

LEBALELO WATER 

USER ASSOCIATION 

IMPROVING LIVES THROUGH WATER 

Introducing Lebalelo 

Water User Association 

Established in 2002, Lebalelo provides bulk raw water to the Department of Water and 

Sanitation and mining companies in the Limpopo province. Lebalelo recognises that 

to deliver against its mandate of “Improving lives through Water” it must prioritise the 

wellness of the communities in the area of its operations. The Journal spoke to them to 

find out how they manage to do so with excellence. 

Lebalelo Water User Association (LWUA) was established in 

2002 with members comprising of the Department of Water and 

Sanitation (DWS) and mining companies in the Eastern Limb. 

Lebalelo is mainly responsible for the provisioning of bulk raw 

water to the mining companies and local Government. 

In the fight against Covid-19, Lebalelo supported Government 

through the delivery of water tanks to 70 villages and 47 schools 

in the Fetakgomo Tubatse Local Municipality. 

LWUA is a public private sector institution that is well positioned 

to collaborate with Government in providing bulk raw and potable 

water to defined areas in the Bushveld Igneous Complex. 

Who is Lebalelo? 

Water User Associations (WUA) are co-operative associations of water 

users established under the National Water Act to undertake waterrelated 

activities for the mutual benefit of all their members. Within the 

associations, members co-operate and pool resources to address local 

water-related needs and priorities. 

Shortly after establishment in 2002, Lebalelo constructed and commissioned 

bulk raw water infrastructure to support its members. The Scheme (Figure 1) 

currently comprises a 110km pipeline from the Olifants river, passing along 

the various mines, as well as an abstraction weir, settling ponds, pump stations, 

and storage reservoirs. In 2007, Lebalelo supported the government with the 

raising of the Flag Boshielo dam wall to increase its yield and extended its bulk 

raw water infrastructure past Steelpoort to Mototolo mine and later also to 

Booysendal to accommodate additional members. 

Lebalelo supports government to fight Covid-19 

To fight the spread of the Covid-19 virus, people are required to wash their 

hands regularly and to have access to drinking water. The Department in 

collaboration with the Sekhukhune District Municipality (SDM), partnered 

with Lebalelo to supply water to communities that are continuously 

affected by the lack of sustainable water supply in the Fetakgomo Tubatse 

and Makhuduthamaga local municipalities. 

The Department of Basic Education (DBE) also approached Lebalelo for 

assistance in supplying water tanks to schools in both municipalities and to fill 

the water tanks with safe and clean water. 

Lebalelo took up the challenge and responded, by: 

• Providing water tanks, with a capacity of 10 000 litres each, for 70 villages and 

smaller tanks to 47 schools in the Fetakgomo Tubatse and Makhuduthamaga 

local municipalities 

• Purchasing six water tankers and hiring an additional three for the use of 

Sekhukhune District Municipality to supply water to the villages 

• Drilling and repairing several boreholes in identified villages 

info@lebalelo.co.za 

Tel: 012 348 4654 

www.lebalelo.co.za 

Head Office 

8 Charbury Road 

Lynnwood Manor 

Pretoria, 0081 

Operations Office 

Farm Havercroft 99KT 

Modubeng 

Maroke, 1154 

Figure 1: Lebalelo pipeline 

and other assets 

Lebalelo’s community involvement 

There are roughly 105 communities in Lebalelo’s area of operations. These 

communities encompass a wide variety of people, cultures and geographies, 

most of which experience significant socio economic challenges, such as 

unemployment, lack of skills and development opportunities, high secondary 

school dropout rates, high HIV/Aids infection rates, electricity supply issues, 

the proximity of shops/food sources and sparse cell phone reception. 

Key to Lebalelo’s revised business strategy is the socio-economic 

development of the region in which it operates. Lebalelo, in collaboration 

with the government and the mining sector, is facilitating the 

establishment of a socio-economic development collaboration forum to 

drive economic upliftment within the area. 

Water is an essential commodity for both domestic needs and economic 

growth. This crisis has again highlighted the plight of our most vulnerable 

communities. Lebalelo’s rapid response to the Covid crisis highlighted its ability 

to further support and collaborate with government around bulk raw and 

potable water provisioning to defined areas in the Bushveld Igneous Complex. 

Integrated water solution 

Lebalelo has developed a concept study that looks at an integrated solution 

to implement bulk raw and potable water to water users in the northern and 

eastern limb of the Limpopo province. Currently, there are discussions with 

government around the feasibility thereof. 

27

FOOD SECURITY 

FOOD SECURITY 

RENEWED AT 75 

The UN’s food agency was born in the wake of catastrophe. Three-quarters of a 

century later, its mission has been made more relevant to the world at large by 

another global scourge. 

BY DR QU DONGYU, UNITED NATIONS (FAO)* 

I 

won’t deny it: when I took over as Director-General of the Food 

and Agriculture Organisation of the United Nations (FAO) last year, 

I could barely contain my emotion. FAO’s foundation, after all, had 

preceded – if only by a matter of days – that of the United Nations itself. 

That I, born into a Chinese peasant family, would come to lead such 

a venerable institution was awe-inspiring enough. 

What I did not expect was that a short while into my tenure, the 

world would be confronted with a challenge on a scale not seen since 

the end of World War II. The Covid-19 pandemic has not only taken a toll 

on human lives and health, it also threatens the livelihoods of hundreds 

of millions of people across the world. Food security, until recently a 

rather foreign concept to many living in well-to-do countries, would 

suddenly grab news headlines globally and claim the agenda at many 

high-level events. 

Let’s return to 1945, the year FAO was founded: a third of the victims 

of World War II had died of malnutrition and associated diseases. Famines 

had decimated populations over the previous decades. So nations came 

together, and FAO was established on 16 October 1945. Its founders 

invested in the new institution the world’s aspiration – to help the world 

rebuild and expand agriculture, and to end hunger forever. 

Today’s crisis may be less tangibly apocalyptic. But the numbers are no 

less staggering. Even before Covid-19 hit, nearly 700-million people were 

undernourished. The economic disruption linked to the pandemic may 

add another 130 million or so to these. In the early days of the pandemic, 

when shelves went empty; when fruit-pickers went missing; when markets 

fell silent, we realised that we were taking these services, and the people 

that provide them, for granted. The moral imperative to feed the world – 

safely, durably, with dignity for all – is as urgent now as it was after the War. 

I am aware, as I write these lines, that the analogy with 1945 can only 

get us so far. Back then, the crisis was one of production. FAO’s first years 

were largely focused on expanding the output of farms, boosting yields, 

supporting mechanisation and irrigation schemes. Over subsequent 

decades, this vision became immensely more complex, enriched with 

environmental and sustainability concerns. A more holistic understanding 

of development set in. Until the mid-2010s, the world was making 

impressive progress in reducing hunger. But it has since been rising again. 

Conflict and extreme weather patterns are to blame, at least in part. 

What we now need is smart, systemic action to get the food to those 

who need it and improve it for those who have it. Action to prevent crops 

from rotting in the field, for lack of efficient supply chains. Action to 

enhance the use of digital tools and artificial intelligence, so as to predict 

threats to harvest, automatically trigger crop insurance and cut climate 

risk. Action to rescue biodiversity from relentless erosion. Action to turn 

cities into the farms of tomorrow. Action by governments to implement 

policies that make healthy diets more accessible. Action by agencies like 

mine to turn to think-tanks and action-tanks rolled into one, linking up 

with the research community and the private sector to unleash the power 

of innovation. 

So at 75, FAO is far from thinking of riding off into the sunset. We are 

not day-dreaming either. Covid-19 has made it abundantly clear that 

our mission is as relevant as when our founders created FAO in 1945. 

Cataclysms spur renewal. The pandemic has reminded everyone that food 

security and nutritious diets matter to all. 

This is why FAO is today embarking on the next chapter in its story with 

a renewed sense of purpose. On the structural side, a flatter leadership 

structure and a modular approach allow for a more rapid reaction when 

crises hit. A comprehensive and holistic Covid-19 Response and Recovery 

Programme proactively and sustainably addresses the socio-economic 

impacts of the pandemic, mitigating the immediate pressures, while 

strengthening the long-term resilience of food systems and livelihoods. 

Our Hand-in-Hand matchmaking initiative accelerates agricultural 

transformation and sustainable rural development in countries that have 

the highest rates of poverty and hunger. It is supported by a geospatial 

platform designed as an open-source public good that is already 

aggregating vast amounts of food security data. 

The position of a Chief Scientist has been established to sharpen up 

knowledge generation and drive scientific partnerships geared to the 

Sustainable Development Goals. The newly reformed FAO is more inclusive, 

efficient and dynamic, focusing on what we have designated as the “Four 

betters”: better production, better nutrition, a better environment, a 

better life. 

We strongly believe that the future is made of such gestures – by 

ourselves, by our partners, by civil society. It takes vast numbers to achieve 

Zero Hunger. Indeed, it takes all of us. 

*Dr QU Dongyu is the Director-General of the Food and Agriculture Organisation of the United Nations. 

28 

29

CUSTOMER 

CUSTOMER 

Sustainability 

practices crucial 

for food producers 

The world’s population is expected to increase by more than 35% by 2050. Food producers 

must find ways to support this growth, while minimising their environmental impact and 

adapting to disruptions brought on by climate change. The Green Economy Journal talks 

to McCain Foods South Africa about their sustainability practises within the food and 

beverages sector. 

30 

The company’s sustainability journey 

is underpinned by its purpose to 

celebrate real connections through 

delicious, planet-friendly food. 

Colleen Francis, category and marketing director at McCain Foods 

South Africa says that in South Africa specifically, the Covid-19 

pandemic has highlighted shortcomings in the country’s food 

supply chain and has shone a spotlight on food security and the plight 

of vulnerable communities. 

It is now more important than ever for food producers and supply 

chains to accelerate efforts to build a sustainable future – one in which 

they produce less waste, address food security, and adapt to changing 

consumer behaviours and disruptions in the food supply chain. 

With this in mind, McCain recently released its 2019 Sustainability 

Report, in which it outlines its sustainability commitments in alignment 

with the United Nation’s key Sustainable Development Goals (SDGs), 

which the company believes it can make a positive contribution to by 

2030. “We’ve mapped our key sustainability initiatives to the 17 SDGs and 

identified seven goals where we believe we can maximise our resources 

and relationships to the greatest effect globally and in South Africa to 

address and mitigate these challenges,” says Francois Tasmowski, Senior 

Director, McCain Global CSR. 

McCain’s Sustainability Strategy 

By delivering its Global Sustainability Strategy, McCain aims to make a 

positive contribution to these seven global goals. Tasmowski outlines 

the United Nations SDGs below and how the company aims to make a 

positive contribution to them in South Africa: 

Zero hunger (SDG 2): Ending hunger, food security and malnutrition 

for all, will require continued and focused efforts. We have ongoing 

community feeding programmes with Food Forward SA as well as 

regional beneficiaries, while we also assess the opportunity to launch 

a pilot project, leveraging sweet potato to address malnutrition and 

support local livelihoods. 

Clean water (SDG 6): We have committed to a 15% improvement in 

water-use efficiency in our two potato and vegetable processing plants 

in South Africa by 2025. We will be contributing significantly in funding 

towards the Safe Water Project in Delmas, which will positively impact 

the lives of the people in the community. 

Clean energy (SDG 7): To reduce our carbon footprint, we have 

planned solar panels at both the Springs and Delmas sites, which will 

result in a reduction of 9 000 tons of CO 2 emissions. 

Economic growth (SDG 8): Increasing labour productivity is essential 

for financial growth. We promote this by stimulating employment and 

developing knowledge and employability skills in rural areas. In South 

Africa, we will also finalise 225 learnership and graduate programmes 

by 2025. 

Responsible production (SDG 12): McCain has committed to four 

goals in support of promoting smart and sustainable farming in South 

Africa, which it intends to achieve by 2025. These include reducing 

average transport distance from farm to plant by 16%; increasing 

potato crop usage from the current 93% to 97% through a combination 

of varietal and local speciality potato production; implementing 

optimised soil irrigation systems on 1 500 hectares per year; and 

increasing the number of Good Agricultural Practices (GAP)-certified 

growers from 39% to 100% by 2025. 

Climate action (SDG 13): This is one of the single largest threats 

to humanity as well as the business. The company’s sustainability 

journey is underpinned by its purpose to celebrate real connections 

through delicious, planet-friendly food. This articulates our belief 

that connecting people through delicious food that is produced 

responsibly is how we create enjoyment today and a more sustainable 

planet tomorrow. 

Partnerships for the goals (SDG 17): We aim to establish and evaluate 

partnerships for onsite solar and wind generation in our plants in 

South Africa. We will also continue to identify new projects that will 

help us reach our 2030 target such as our partnership with Pick n Pay 

in their participation in the global 10 x 20 x 30, which aims to reduce 

food waste. 

A large focus for McCain is also to partner with its growers to provide 

advice and help to future-proof their operations when it comes to 

sustainable practices. Tasmowski adds that the company’s sustainability 

journey is underpinned by its purpose to celebrate real connections 

through delicious, planet-friendly food. “This articulates our belief that 

connecting people through delicious food that is produced responsibly is 

how we create enjoyment today and a more sustainable planet tomorrow.” 

This sentiment is summed up in the words of McCain’s President 

and CEO, Max Koeune: “I believe we must move into an era of increased 

positive action, continuing to grow with our customers, while reducing our 

environmental footprint and driving new models of sustainable farming.” 

31

WATER 

The Forex Generator 

that needs saving 

Gamtoos Irrigation Board is passionate about service delivery and the effective provision of water to all users 

at an affordable price. We are proactive in the face of environmental and socio-economic challenges, and are 

working hard to transform, preserve and protect our water scheme. Water is the lifeblood of agricultural 

production in the Gamtoos River Valley. By supplying both our established commercial agricultural users and 

our emerging farmers, we are helping to ensure food security for our people. 

www.gamtooswater.co.za 

In the Gamtoos River Valley, where the Kouga Dam reached new lows of around six percent 

of total capacity, the Gamtoos Irrigation Board (GIB) has been working hard to ensure that 

commercial agricultural users, the small towns of Hankey and Patensie, and the Nelson 

Mandela Bay Municipality receive their annual water allocations. 

provision of water is now both a health issue and an 

economic one,” says the CEO of Gamtoos Irrigation Board 

“The 

(GIB), Rienette Colesky. “Our communities need continuous 

water supply to adhere to the basic hygiene guidelines required in 

the fight against the coronavirus, and we are largely dependent on 

agriculture for our collective socio-economic survival.” 

Agro-economic impact 

With farmers only receiving 20% of their standard quota for the current 

water year, which began in July, food production is under severe pressure 

in the Valley. But, Colesky explains, the impact of sound water management 

goes beyond the regional boundaries and has a ripple effect on the South 

African economy as a whole. 

“Water security is a critical component of the entire agricultural produce 

export value chain. As a forex generator, it contributes to our local, regional 

and national economy.” With the economy already reeling from the impact 

of Covid-19 and the national lockdown, Colesky says an urgent, collective 

effort in terms of resource planning by all stakeholders – from regional to 

national level – is critical for a sustainable future. 

“We need partnerships between government and civil society. As an 

irrigation board, we have built a good relationship with the Department 

of Water Affairs and we keep one another accountable in our respective 

roles and responsibilities.” 

Water management strategy 

An active management strategy to conserve what remains of the Kouga 

Dam’s contents has seen GIB supplying water for four days of the week and 

closing the sluices from the dam on the remaining days. “We are releasing 

25% of the average historical percentage for the given month, and the 

dam level seems to be inching upwards in response to this strategy,” says 

Colesky. 

The lack of water has certainly had a constraining effect on both the 

GIB’s and local agriculture’s operations, although both were deemed 

essential services and continued with minimal restrictions throughout the 

national lockdown. 

“The peak of the pandemic was reckoned to be reached during our 

annual dry period when parts of the canal system are shut down for annual 

maintenance. To waste as little water as possible, we carried out only 

essential maintenance, to prolong the life of the Gamtoos water scheme.” 

The state-subsidised National Resource Management Programmes, 

for which GIB is an implementing agent in the Eastern Cape, were put on 

hold until June and much of the annual funding was re-allocated to the 

government’s emergency Covid-19 relief schemes. 

Planning for the future 

As far as GIB’s core business is concerned, Colesky says the Board used 

this year to put systems in place to better monitor the state of the canal 

system and to protect and repair large sections where necessary. “It’s one 

of the things that sets us apart,” she says. “We maintain – and improve – the 

infrastructure we have, to avoid costly problems in the future.” 

As the only Eastern Cape irrigation board identified for transformation 

to a water users’ association under the National Water Act 

by the Department of Water and Sanitation, the organisation is doing 

something right. “Under this new structure, which is a co-operative 

association of individual water users, we will be tasked with a broader 

responsibility for additional water resources, including boreholes and 

the like. 

“Our hydrological boundaries will also change with a possible increase 

in our area of responsibility. But what won’t change is our passion for water 

and people,” adds Colesky. 

We are moving forward. 

33

COUNCIL FOR GEOSCIENCE 

The Council for Geoscience (CGS) is the national custodian responsible for the collection, compilation and curation 

of all onshore and offshore geoscience data and information. The CGS aims to use this information and knowledge 

to develop geoscience solutions to real-world challenges in South Africa. 

GEOSCIENCE MAPPING 

Geoscience mapping is the core 

function of the CGS and aims to 

develop fundamental geoscience 

knowledge using an integrated 

and multidisciplinary approach 

as well as innovation that merges 

several onshore and off shore 

geoscience themes such as 

geology, geotechnical studies, 

geochemistry, geophysics and 

economic geology for mineral 

and energy resources and their 

mineralising systems information 

to boost sustainable exploration 

for economic growth. 

WORLD CLASS FACILITIES 

The geoscience functions are 

supported by a multi-faceted 

laboratory that performs a wide 

range of analytical services 

such as petrography, whole rock 

geochemistry, petrophysics, coal 

science and hydrochemistry. The 

CGS also manages a geoscience 

museum, library, bookshop, and 

national core repository which are 

used by the scientific community 

and the general public. 

CGS AT WORK 

• The CGS is undertaking integrated and multidisciplinary geoscience mapping programme across South Africa. 

• Some of the recent projects include: 

- Multidisciplinary geoenvironmental baseline investigations in the Southern Karoo for possible shale gas development, 

which uncovered previously undefi ned groundwater aquifers. 

- Regional soil geochemical sampling and detailed follow-up surveys, particularly within the Northern Cape, North West 

and Mpumalanga provinces. 

- Geothermal energy and carbon capture and storage research, which aims to expand the current renewable energy 

mix of South Africa and decrease the carbon footprint. 

- Ground stability and geotechnical assessments for infrastructure development in the Northern Cape and Free 

State Provinces. 

CONTACT US 

WATER AND ENVIRONMENT 

The CGS carries out hydrogeological studies and aquifer 

modelling and is also responsible for environmental geoscience 

research which aims to provide sustainable solutions to monitor 

and mitigate the impact of geology and mining activities on the 

health of the environment including its inhabitants. 

Our head office is located at: 280 Pretoria Street, Pretoria, 0184 I @CGS_RSA I I I 

Tel: +27 (0)12 841 1911 I Email: info@geoscience.org.za I Web: www.geoscience.org.za 

November October 2020 

ENGINEERING GEOLOGY 

AND GEOHAZARDS 

As the custodian of the national 

seismological network, the 

CGS monitors and maintains 

a geohazard inventory for 

South Africa. This information 

is primarily used in developing 

effective and novel geohazard 

mitigation solutions for safe 

and judicious land use. Modern 

artifi cial intelligence techniques 

are applied in subsidence 

mapping and seismic hazards 

characterization. 

AFRICAN FOOTPRINT AND 

OTHER COLLABORATIONS 

As the permanent secretariat 

of the Organisation of African 

Geological Surveys (OAGS), the 

CGS has an impressive footprint 

in the African continent where 

various geoscience services 

have been rendered in line with 

global standards, international 

policy and governance. The CGS 

also collaborates with various 

academic institutions and science 

councils around the world. 

CARBON CAPTURE, UTILISATION AND STORAGE 

A JUST TRANSITION TO A LOWER CARBON ENERGY ECONOMY 

South Africa (SA) has a coal derived 

energy economy that was brought about 

by plentiful indigenous coal resources, and 

upon which has been based the development 

of the national economy over the last century. 

Moreover, during 2012 the coal mining 

industry employed 91,605 individuals or 17% 

of the total mining workforce 1 . Furthermore, 

coal-fired power stations produce about 

90% of the country’s electricity. Thus the 

importance of the coal sector in SA. 

However, the combustion of fossil fuels leads 

to the emission of carbon dioxide (CO 2 

) 

into the atmosphere and consequently the 

anthropogenic forcing of climate change. 

The emissions of such greenhouse gases 

is a global concern and consequently any 

programme to mitigate these emissions must 

be done in concert with global actions. In 

this regard, the South African Government 

has reaffirmed its international commitment 

toward climate change mitigation and has 

made an undertaking to reduce the nation’s 

CO 2 

emissions by nearly 50% by 2030. This 

will be achieved through energy efficiency 

and the implementation of alternative lowcarbon 

energy sources. With extensive coal 

reserves and current infra-structure, SA will 

however still rely heavily on coal-fired energy 

generation in the medium to long-term as it 

undertakes a just energy transition journey 

toward this low-carbon economy. 

The South African government has also 

committed the country in adopting a “Just 

Transition” to a low carbon economy 

as captured in the recently adopted 

Integrated Resource Plan (IRP2019). 

Such transformation can be influenced by 

the existing infra-structure, political factors 

and demand. Transition to a low-carbon 

energy economy is inevitable, however 

such a change must be in the form of a Just 

Transition. The International Trade Union 

Confederation defines a Just Transition 

as that which “…secures the future and 

livelihoods of workers and their communities 

in the transition to a low-carbon economy. 

Carbon Capture, Utilisation and Storage 

(CCUS) forms part of that Just Transition. 

CCUS is a new industry in SA for the 

mitigation of CO 2 

emissions into the 

atmosphere. It is expected that CCUS could 

mitigate up to 20% of South Africa’s total CO 2 

emissions. The purpose of this technology 

is to assist SA to meet its international 

obligations pertaining to its greenhousegas 

emission limitation target in an effort to 

ameliorate global climate change. 

CONTACT US 

CCUS can be trifurcated into its main 

components, namely, Capture of CO 2 

from the flue gases of say a power station; 

Utilisation of CO 2 

as a feedstock to produce 

high value commercial products; and Storage 

whereby the CO 2 

is safely and permanently 

stored in deep geological formations. 

The Capture of CO 2 

aims to produce an 

approximate 98% concentration of CO 2 

. 

The Utilisation of CO 2 

is not new, it being 

used for example in the food industry (e.g. 

carbonated drinks) and fire extinguishers. 

The South African industry use of CO2 is 

approximately 200 tonnes per year. Globally 

it has been shown that CO 2 

may also be 

used as feedstock for chemicals, synthetic 

fuels and fertilisers. This recycling of CO 2 

can be further de-carbonised by making 

use of renewable energy. Products can be 

manufactured when renewable energy is 

available and stored for future use. 

The Council for Geoscience is implementing 

the CCUS project by conducting research 

that aims to identify geological storage media 

that would be appropriate for storing CO 2 

. 

This work is funded by the SA Government 

and the World Bank. 

The International Energy Agency has 

previously stated that globally the lowest 

cost of mitigating CO 2 

emissions into the 

atmosphere must include Carbon Capture 

and Storage. However, since the Paris 

Agreement (hold temperature increase to 

significantly lower than 2 o C) Carbon Capture 

and Storage is essential. 

1 

SA Statistics 

UTILISATION 

Commercial Products 

Chemicals 

Ethanol 

Synthetic Fuels 

Fertilisers 

Enhanced Oil/Gas Recovery 

Enhanced Plant Growth 

Concrete Curing 

Construction Materials 

CAPTURED CARBON DIOXIDE 

Our head office is located at: 280 Pretoria Street, Pretoria, 0184 I @CGS_RSA I I I 

Tel: +27 (0)12 841 1911 I Email: info@geoscience.org.za I Web: www.geoscience.org.za 

STORAGE 

Regulatory Compliance 

Deep Geological Storage 

Usually 1-2km Deep 

Safe & Permanent 

Mineralisation 

The South African Bureau of Standards, in 

conjunction with the International Standards 

Organisation, is currently developing 

standards for Carbon Capture and Storage 

in SA. The national and industry benefits 

of a complete set of CCUS standards will 

steer the development and operation of this 

new industry in SA and thereby ensure 1) 

that newly created jobs comply with health 

and safety issues, 2) public health and 

safety during the operation of the plant, 

3) quantification and verification of the 

permanency of CO 2 

stored in compliance 

with international reporting requirements, 

4) apposite risk management 5) that the 

industry conforms to at least minimum 

operational norms thereby guiding the 

industry in the development and roll-out 

of this new sector 6) that leakage from the 

above-ground operations and sub-surface 

geological storage is minimised. 

The CCUS project participates in international 

organisations and the consequent high 

international profile of the South African 

Programme has led to financial and in-kind 

support for the local Programme. Such 

support has come from South African 

government and industry, Norway, UK, EU, 

Carbon Sequestration Leadership Forum, 

and the Global Carbon Capture and Storage 

Institute. More recently the World Bank has 

made available a grant of $US23 million 

for the pilot storage project. Following 

the current Pilot Carbon Dioxide Storage 

Project, it is scheduled that a fully integrated 

demonstration project will be underway 

during 2030.

OPINION 

OPINION 

Eskom’s RMPPP: 

The warning light is on, 

and it’s flashing 

BY NORMAN JACKSON 

Eskom’s plan to bridge the short-term supply gap being experienced now, is the 

procurement of 2 000MW of capacity via the Risk Mitigation Independent Power Producer 

Procurement Programme. All was looking good and a tender of three-to-five years was 

expected. I had a vision of a massive ship or two off the coast, feeding harbour-based 

power barges with natural gas. 

I 

spoke to energy expert, Clyde Mallinson, for an update on the Risk 

Mitigation Independent Power Producer Procurement Programme 

(RMI4P) and his alternative suggestion . According to Mallinson, 

the RMI4P’s technical specification seems to be written around gas or 

petroleum generators, and the Power Purchase Agreement (PPA) has 

changed from a three-to-five-year to a 20-year PPA. 

For those who are not energy experts, you would typically use a gas or 

petroleum generator for a short-term contract, as it has a relatively low 

capital cost but high operating cost, whereas on a long-term contract you 

would typically use renewables (wind and solar) and storage, which has a 

much higher capital cost but very low operating cost. 

Mallinson says that Eskom is currently using diesel generators to assist 

in the energy supply shortage at a cost of approximately R3.40/kWh, the 

tender for the gas solution should come in at about R1.70/kWh, which is 

about half the cost. The present average Eskom selling price is less than 

R1.10/kWh, however. A short-term solution that costs half the current 

solution and is much greener has my vote, any day of the week. A thermal 

solution is not a long-term solution, as Eskom are still losing money. 

This article is not about which energy solution is the best or who should 

get what, we all agree we need a mix of coal, nuclear, wind, solar, gas, 

others and energy storage. It is about what technology to use now to 

increase our multifaceted and complex generation capacity that should be 

seen holistically and not from the perspective of individual power stations. 

It is about what can do the job in the most cost-effective way. 

Lazard has just recently issued its 2020 internationally recognised 

technologies report on the 

. I have 

converted the US$ prices into rands using an ROE $1.00 = ZAR16.00: 

LCOE – Gas combined cycle: Utilisation factor of 55-70% and a natural gas 

cost of $7.00/MMBtu. (R1.12 to R1.60/kWh) 

LCOE – Wind: Capacity factor of 31-36%. (R0.75 to R1.23/kWh) 

LCOE – Solar PV (crystalline and single axis tracker): Capacity factor of 

27-29%. (Utility-scale cost of R0.72 and commercial rooftop cost of R2.18/kWh) 

LCOE – Solar and energy storage: Storage of four hours per kW. (R1.30 

to R2.24/kWh) 

Presently Eskom’s pumped storage projects are not being used to stabilise 

the grid or peaking stations, but rather as a generator that discharges 

during the week and charges on the weekend. This means we actually have 

available storage capacity, what we urgently need is energy generation, and 

wind and solar PV is the obvious lowest cost choice for a long-term PPA. 

It is about what 

technology to use now to increase 

our multifaceted and complex 

generation capacity that should be 

seen holistically and not from the 

perspective of individual power stations. 

South Africa, and we would be replacing locally mined coal with imported 

gas - especially when arguably, South Africa has the best-combined solar 

PV and wind resources in the world, and an abundance of natural energy 

storage resources such as vanadium. 

The warning light is now flashing! 

So why does gas appear to be favoured in the government’s 2019 IRP with 

up to 8GW? Well, when we have a flashing warning light and we assume 

the warning light is not faulty, we enter into the realm of speculation. I love 

speculation because it shows either a person’s knowledge on the subject 

or the vividity of their imagination. 

Let’s have a look at the most flighted conspiracy theories as to why 

government would favour gas. 

1) Mozambique jihadist onslaught 

There is an old African proverb saying, “When elephants fight, it is the grass 

that suffers the most”. The last resource you want a third-world country 

to discover is a large gas or petroleum deposit. Mozambique is about to 

become the world’s fourth-biggest gas producer and that fact attracts 

the superpowers to either take control or create the biggest business 

opportunity, which is war. The first two elephants are “Wagner”, a Russian 

Mercenary company, and the other elephant calls itself “Jihadist”, which is 

a lie, they are internationally paid mercenaries and thugs, hiding behind 

a religious banner. Our neighbour, Mozambique, needs customers for its 

gas. It needs to pay for the elephant and associated costs in its corner. 

When elephants fight, it is the grass 

that suffers the most. 

-African proverb 

2) Russian roulette 

South Africa and Russia are both members of BRICS and the relationship 

must be a little icy since Russia was “left at the altar” with the failed nuclear 

deal. Russia thought the marriage occurred, but South Africa contended 

that the marriage was not consummated, which is ironic from a Russian 

perspective, as they believe South Africa tied the knot with them. Russia’s 

Gazprom would be a significant player in South Africa’s gas business, and 

the international relationship would be warmer. 

Bloomberg via Getty Images 

If we use Mallison’s immediate requirement calculation of 3 000MW of 

solar, 2 000MW of wind and 3 000MWh of additional storage and we use the 

low-end figures from Lazard, we should get tenders starting at R0.82/kWh. 

This assumes the RMI4P tender was written for all technologies and 

each project was seen as part of an overall solution. Using this approach 

Eskom could make a profit from the power procured under the RMI4P. 

As stated previously, this is not about bashing gas, I love natural gas. It is 

the cheaper immediate alternative that we have at the moment – greener, 

and cheap to store. There are some amazing technologies around gas and 

it must be one of the world’s best energy sources. My issue is that we do 

not have the gas infrastructure nor the immediately available resources in 

3) A new SOE feeding trough 

There seems to be a direct link between previous SOE fraudulent tenderers 

and political party funders. The newly established national petroleum 

company is a state-owned enterprise (SOE) that wants to be to gas and 

petroleum what Eskom is to electricity. The existing SOE “feeding troughs” 

are empty and a new SOE with no fraudulent tender history will be required 

to undertake “mega gas infrastructure projects” with public funds. I am 

sure political parties are feeling the pinch when it comes to fund-raising. 

So what do you think is the best conspiracy theory? Point one, two or 

three or all of the above. 

“May you live in interesting times.” – A traditional Chinese curse. 

36 

37

ENERGY 

SA is heading towards a 

WINDY GREEN FUTURE 

– once again 

We are catching our breath after a momentous couple of months behind us, with the promise 

of exponential progress ahead. Policy and clear direction from government signals the 

reawakening of our country’s wind industry that indicates a return to the heady days of 2011 

to 2014, when we witnessed ongoing procurement of clean power and rolling investment 

that helped drive the economy during that period. 

The 10th annual Windaba conference, which was hosted in October 

2020, as a virtual event for the first time, saw hundreds of local and 

international renewable energy players gathering online amongst 

thought leaders that are geared to support the industry to deliver 14.4GW 

of wind over the next decade. We are certain that our industry is ready to 

step up and deliver. In light of the enormous progress that has been made 

over the last 12 months, specifically with regards to policy, we believe that 

the stage is set for the next decade of wind power. 

The shift kicked off about a year ago with the approval of the Integrated 

Resource Plan 2019, which allocates 1.6GW per annum from 2022 to 2030 to 

wind energy, and we now have a clear path for procurement of additional 

new generation capacity clearly outlined in the Section 34 Ministerial 

Determination that was gazetted in September 2020, by the Mineral 

Resources and Energy Minister Gwede Mantashe. 

The determination allows for the procurement of more renewable energy 

from Independent Power Producers (IPPs), which brings us one giant step 

closer to a new round of renewable power procurement that has the potential 

to unlock R40-billion annual investment, from the wind energy industry alone. 

Just as exciting was President Ramaphosa’s confirmation that this 

procurement will allow for the development of 1 180MW of new electricity 

capacity, indicating government’s commitment to unlocking growth and 

investment in the ailing economy, exacerbated by the Covid-19 pandemic. 

Additionally, the President has noted the role that the sector has to play in the 

government’s economic recovery strategy. 

Further evidence of positive change comes from Public Enterprises Minister 

Hon. Pravin Gordhan’s recent keynote address on governments’ intent and 

commitment to implement an Independent Transmission Grid System and 

Market Operator (ITSMO) in South Africa. 

Renewable power has a key role to play to rebuild the country, as a 

significant catalyst of economic growth. We are therefore encouraged that our 

sector is being recognised for its delivery of clean power that is affordable, as 

A new round of renewable power 

procurement has the potential to 

unlock R40-billion annual investment 

from the wind industry. 

BY NTOMBIFUTHI NTULI, SAWEA* 

well as wind and solar’s ability to be delivered within an 18-24-month period. 

Additionally, clean technology is seen to be offering hope for our country to 

meet energy demand on a localised level and even to fulfil our international 

obligation to decarbonise our power sector. 

We have been just as heartened by Eskom’s CEO, Andre de Ruyter, who 

addressed industry sector leaders on the same platform and reiterated 

Gordhan’s sentiment. He drew on the availability of “Green Financing” as a 

vehicle for investment and specifically to draw finance to the overhaul of the 

country’s national grid, to make ITSMO a reality. He also praised the recent 

Ministerial determinations that allocate the procurement of 11 800MW of 

new generation capacity that is to be deployed by wind and solar generation, 

which could be built in between 18 and 36 months. 

De Ruyter has previously acknowledged the global shift to renewable 

energy and the competitive pricing of this technology, while delivering on 

reduced emissions and jobs. To this end, the utility has established a Just 

Energy Transition office, to engage workers and communities. 

It is certainly encouraging that the country’s power utility is quoted 

acknowledging the environmental benefits of clean power and it cannot 

continue to violate regulations or ignore the threat of climate change. 


G R E E N 

journal 

*Ntombifuthi Ntuli is the CEO of the South African Wind Energy Association (SAWEA). 

38

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