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Breakthrough: Corporate South Africa in a Green Economy

Godwell Nhamo

Publication Year: 2014

This book addresses hot issues pertaining to the manner in which corporate South Africa has engaged the emerging green global economy. Firstly, the book profiles the green and low carbon economy landscape in South Africa and interfaces it with global trends. This way, the book aligns very well in terms of the Rio+20 outcomes on ìThe Future We Wantî that fully embraces the green global economy in the context of sustainable development and poverty eradication. The rest of the chapters in the book profile breakthroughs from selected companies. The book also comes as the second in a series that is addressing global and national concerns on the green global economy agenda. The first book entitled ìGreen Economy and Climate Mitigation: Topics of Relevance to Africaî was produced as part of the 17th Session of the Conference of Partiesí collaborative work carried out by the Institute of Global Dialogue, the Africa Institute of South Africa and Unisaís Institute for Corporate Citizenship. The book ìBreakthrough: Corporate South Africa in the Green Economyî comes in seven parts. Part I focuses on the Green Economy Landscape. This part considers both the international and national perspectives. Parts II-VI present different sector initiatives namely: Mining and Energy (Part II), Banking and Insurance (Part III), Forest and Paper (Part IV), Industrial (Part V) and Retailing and Aviation (Part VI). The last part is made up of a single chapter dealing with Emerging Issues and Way Forward.

Published by: African Books Collective

Title Page, Copyright

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pp. iii-v

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Joanne Yawitch

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pp. vi-vii

We all look forward to a day when our visions and dreams become reality. However, despite hopes of a breakthrough, an ‘Aha-a!’ moment is seldom realised by the world. In relation to addressing the globe’s key environmental challenges, change has over the past few years tended to be incremental and slow, and not without setbacks. ...

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pp. viii

This book addresses issues pertaining to the manner in which corporate South Africa has engaged the emerging green and low carbon global economy. The book first profiles the green and low carbon economy landscape in South Africa, and then interfaces it with global trends. ...

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pp. ix

The book project leader and editor, Professor Godwell Nhamo, wishes to thank the following organisations and people for their generous support, financially and in kind. Exxaro Resources Ltd is acknowledged for its financial support since 2008, now running in the second phase: 2011–2015. ...

About the Contributors

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pp. x-xv

Abbreviations and Acronyms

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pp. xvi-xx

Part I - Green Economy Landscape: International and National Perspectives

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1. Business in the Green Global Economy

Godwell Nhamo, Nedson Pophiwa

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pp. 3-22

The writing is on the wall. The issue of a green (including low carbon) economy has found its way into many boardrooms and has since taken up residence there. This is in response to the greatest challenge humanity faces today—climate change. To this end, many corporates have prioritised the need to address the negative impacts associated with climate change and have put in place mechanisms to maximise opportunities that the phenomenon presents. ...

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2. Mapping the Green Economy Landscape in South Africa

Godwell Nhamo, Nedson Pophiwa, Mapula Tshangela

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pp. 23-55

This chapter maps the green economy landscape in South Africa where many such policy interventions have emerged: the 2009 framework for responding to economic crisis; the Medium-Term Strategic Framework 2009–2014; the National Strategy for Sustainable Development and Action Plan (NSSD1 2011–2014); the Long-Term Mitigation Scenarios; the 2010 Green Economy Summit Report [Statement of Conclusion]; ...

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3. Third Alternative to Industrial Development

Marié Uys, Sunette Steyn

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pp. 56-68

The primary objective of this case study of the National Cleaner Production Centre of South Africa (NCPC-SA) was to establish what the NCPC-SA considered as its breakthrough intervention in the green economy. Consequently, the NCPC-SA’s role in and contribution to environmental sustainability, a greener economy and cleaner production (CP) was considered. ...

Part II - Mining and Energy

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4. Exxaro: Powering Possibility Through Clean and Renewable Energy Technology Ventures

Muchaiteyi Togo

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pp. 71-91

Exxaro Resources Ltd (Exxaro), a mining group based in South Africa, has established an energy company through a joint venture with Indian-based Tata Power Company. The energy company, Cennergi (Pty) Ltd, is founded upon renewable and clean energy technologies. The formation of the energy company is in direct response to real challenges that the group is currently facing, which include energy security issues, ...

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5. From Methane Curse to Carbon Trading at Gold Fields

Letitia Greyling

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pp. 92-111

Gold Fields’ vision of being ‘the global leader in sustainable gold mining’ is a clear indication of what strategic drivers have been identified to differentiate it from other gold mining companies. For Gold Fields it is a strategic imperative to be able to flourish in a low carbon economy. As will be highlighted in this chapter, the company is recognised as a leader in the local mining industry when it comes to the management of carbon-related issues. ...

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6. Natural Gas Conversion: Sasol’s Low Carbon Transition Flagship for the Petrochemicals Industry

Shingirirai Savious Mutanga

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pp. 112-134

This chapter unpacks initiatives by Sasol, a global player in the petrochemicals industry. The interests of the Sasol group of companies comprise diversified fuel, energy, chemical, and related manufacturing and marketing operations. Its principal feedstock is from coal, which the company converts into value-added hydrocarbons through the Fischer-Tropsch (FT) process technologies. ...

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7.Pele’s Renewable Energy Packages for Households and Small Businesses Across Africa

Fumani Mthembi

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pp. 135-150

This chapter describes Pele Green Energy’s entry strategy into the rest of Africa through the distribution of off-grid energy generation units. While the case is increasingly made for micro-finance institutions to provide lending and savings solutions for energy products, the business sensibility of this decision—from the product distributor’s perspective—is seldom interrogated. ...

Part III - Banking and Insurance

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8. FirstRand’s Responsible Financing and the Green Economy

Godwell Nhamo

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pp. 153-169

The FirstRand group sees itself as having an influence in the green economy through its responsible investment agenda. The group cites the need to support South Africa’s low carbon and green economy agenda as one of the key drivers within its operation. Reported changes in climate and weather impacting negatively on the agricultural sector, especially in Africa to which the group provide extensive financing services, were also highlighted among the drivers. ...

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9. Nedbank and the Transition to Low Carbon Operations

Alfred Bimha

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pp. 170-192

The Nedbank group is a trend setter in addressing climate change in the banking sector, both nationally and across Africa. With its strategy of reducing before off-setting, a carbon neutral status has been achieved as a result of 20 years of environmental programmes put in place by the group. ...

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10. Santam’s Eco-Centric Journey: Working with the Insurance Industry Towards a Low Carbon Economy

Soul Shava

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pp. 193-206

Climate change has had a notable impact on the insurance industry, prompting them to respond against growing scientific consensus that the frequency, intensity, and geographical distribution of climate change related natural disasters is likely to increase in the foreseeable future. The emerging responses include supporting research into understanding climate change science, ...

Part IV - Forest and Paper

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11. Addressing Climate Change Through Resource Efficiency and Combined Heat and Power Systems at Mondi

Madeleine Fombad, Godwell Nhamo

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pp. 209-227

There are many green economy initiatives that emerged from the Mondi case study. The initiatives fall within two key thematic areas, namely: forestry and climate change, as well as aspects relating to environmental performance. The flagship breakthrough for the group, however, was identified as addressing climate change through resource efficiency and combined heat and power systems. ...

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12. Energy Self-Sufficiency for Sustainably Managed Forestry and Manufacturing Operations at Sappi

Memory Tekere

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pp. 228-246

Sappi is one of the major world players in the pulp and paper industry. In its endeavour to reduce greenhouse gas emissions (GHG) and mitigate climate change, Sappi has put in place measures to reduce GHG emissions and increase renewable energy uses through streamlined transport systems, production process changes, installation of more efficient equipment, reduction in purchased energy, and increased use of bio-fuel. ...

Part V - Industrial

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13. Linking Carbon to Culture at Altron

Grant R. Howard, Andrew Johnston, Jannette Horn

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pp. 249-264

Climate change threatens human life and human well-being, and it is business organisations that have contributed largely to this problem in the quest for economic wealth. However, business organisations have the capacity and resources to mitigate climate change. Essentially it is people, driven by their organisational cultures, who control the interaction between organisations and the environment. ...

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14. Ensuring Sustainability Through Strategy at Barloworld

Godwell Nhamo

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pp. 265-282

The drivers for Barloworld to take the route of ensuring sustainability through strategy as a vehicle of transition to greener economy fall under three categories, namely: organisational reputation; internal cost savings; and the need to open up new business opportunities. Barloworld’s defining characteristic in terms of enablers towards transition to a low carbon and green company is its integrated approach ...

Part VI - Retailing and Aviation

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15. Pick ’n Pay’s Supply Chain Connectivity, Food Security and the Green Economy

Godwell Nhamo

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pp. 285-296

Pick ’N Pay believes that its transition to a green economy (inclusive of low carbon) is driven by the six sustainability focus areas that the group has determined. The group believes that all the initiatives linked to the sustainability focus areas are important in having Pick ’N Pay move towards a green economy. ...

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16. Addressing Carbon Reduction Through Civil Aviation Industry’s Four Pillar Strategy Implementation at South African Airways

Godwell Nhamo, Chipo Nyamwena-Mukonza

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pp. 297-312

Flight EK764/SA7158 presented a revelation to one of the authors of this chapter when it emerged that there was onboard recycling on the route from OR Tambo International to Dubai International on 18 January 2012. Given the focus of this book, the recycling initiative came across as some kind of a breakthrough. ...

Part VII - Looking Ahead

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17. Emerging Trends and Learning Point

Godwell Nhamo

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pp. 315-324

For the reader, the greatest value of this book can be drawn from its contribution in terms of analysing emerging trends and learning points from the companies that are drawn from various sectors. Among the key sectors covered in the book are: mining, energy, banking, insurance, forestry and paper, industrial, retailing, and aviation. ...

Back Cover

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E-ISBN-13: 9780798304597
Print-ISBN-13: 9780798304566

Page Count: 348
Publication Year: 2014