South African Business 2018 edition

Sustainability is a new

Sustainability is a new priority for business The circular economy, renewable energy and energy efficiency are creating new industries. In June 2017 the Jeppe Park Primary School in Johannesburg became the 250th building to receive a green building certificate from the Green Building Council South Africa. In the process, it became the first school building in Africa to receive such a certificate. The combined effect of the 250 buildings being built in a sustainable way will lead to annual savings of 450-million kilograms of CO2, 350-million litres of water and 380-million kilowatt hours of energy. Awareness of sustainability has grown exponentially in the last few years and every sector is trying to become greener, cleaner and more efficient. Buildings are massive consumers of energy and so it is fitting that they have been targeted for savings, or energyefficiency drives. But paying attention to sustainability in every sector in the economy makes good sense, both economically and for the health of the planet and its inhabitants. The idea of the circular economy is taking hold: rather than using resources and simply throwing them away, thought is given to the source of energy (renewable rather than finite), the efficiency of the production process (reducing leaks and getting optimal use of resources) and recycling or reusing materials (rather than dumping them). Organisations such as the National Cleaner Production Centre (NCPC-SA) encourages “Industrial Symbiosis”, the use of unused or left-over resources by one company after another company has used them. The material itself could be material, energy, water or waste. The last three are at the core of the sustainability debate. GreenCape puts the value of South Africa’s waste economy at R15-billion but suggests that another R17-billion could be unlocked if all of a specified 13 waste cycles were recycled (Waste Economy Market Intelligence Report). Household waste is managed by municipalities or companies contracted to municipalities. Only 10% of South Africa’s waste is currently recycled and the waste industry is dominated by collection and landfilling. A national goal is to double that percentage by 2019 but finding alternatives could be an expensive process. GreenCape suggests that there are several business opportunities for the private sector in these sectors: recyclables (plastics), organics, e-waste, and construction and demolition waste. The Southern African Energy Efficiency Confederation (SAEEC) website refers to the areas it covers, and listing them illustrates the scope of the field: energy engineering and energy management, renewable and alternative energy, power generation, energy services, sustainability, and all related areas. South Africa’s moves towards sustainability are happening in a global context that includes the adoption in 2015 of the United Nation’s 17 Sustainable Development Goals. The Paris Agreement on climate change in 2016 is providing further stimulus on the road to reduced carbon emissions and reduced reliance on fossil fuels. These agreements set out to protect the planet from destruction, but they also represent an opportunity to create new markets: wind, solar, biogass, fuel efficiency, improved roofing and window sealant materials – the list is long. Practical steps South Africa embarked on an ambitious programme to promote renewable energy with its Renewable Energy Independent Power Producers Procurement Programme (REIPPPP). Between 2012 and 2016 it generated nearly R20-billion in actual or SOUTH AFRICAN BUSINESS 2018 30