GREEN ECONOMY INVENTORY FOR SOUTH AFRICA:

Transcription

1 GREEN ECONOMY INVENTORY FOR SOUTH AFRICA: AN overview

2 GEISA AN OVERVIEW Copyright DEA, ILO and UN Environment, 2017 The report is pubished as part of the Partnership for Action on Green Economy (PAGE) an initiative by the United Nations Environment Programme (UNEP), the Internationa Labour Organization (ILO), the United Nations Deveopment Programme (UNDP), the United Nations Industria Deveopment Organization (UNIDO) and the United Nations Institute for Training and Research (UNITAR) in partnership with the South African Government. This pubication may be reproduced in whoe or in part and in any form for educationa or non-profit purposes without specia permission from the copyright hoder, provided acknowedgement of the source is made. PAGE woud appreciate receiving a copy of any pubication that uses this pubication as a source. No use of this pubication may be made for resae or for any other commercia purpose whatsoever without prior permission in writing from PAGE. Citation PAGE (2017), Green Economy Inventory for South Africa: An Overview. Pretoria. South Africa. Discaimer This pubication has been produced with the support of PAGE funding partners. The contents of this pubication are the soe responsibiity of PAGE and can in no way be taken to refect the views of any government. The designations empoyed and the presentation of the materia in this pubication do not impy the expression of any opinion whatsoever on the part of PAGE concerning the ega status of any country, territory, city or area or of its authorities, or concerning deimitation of its frontiers or boundaries. Moreover, the views expressed do not necessariy represent the decision or the stated poicy of the PAGE, nor does citing of trade names or commercia processes constitute endorsement.

3 GREEN ECONOMY INVENTORY FOR SOUTH AFRICA: AN overview

4 GEISA AN OVERVIEW 4

5 TABLE OF CONTENTS List of Figures...6 List of Tabes...6 Case Studies...6 Abbreviations and Acronyms...7 Acknowedgements...9 Foreword...11 Executive Summary Introduction and context Overview Research scope, objectives and methodoogy Green economy poicy framework Key institutions and organisations Government Internationa agencies Non-governmenta organisations Private sector Educationa, research and training institutions Labour Anaysis of current initiatives for an incusive green economy Green finance Green economy initiatives by province and sector Cross-cutting themes Stakehoder insights Summary of findings and recommendations Key findings Sector-specific findings Key poicy messages Strategic areas of Intervention Concusions...78 Bibiography...79 Appendix: Research methodoogy

6 GEISA AN OVERVIEW LIST OF FIGURES Figure 1: Figure 2: Figure 3: Figure 4: Figure 5: Figure 6: Figure 7: An overview of green economy activity in South Africa incuding sectora, geographica representation and reevant stakehoders...15 A timeine of green economy poicy in South Africa...23 Distribution of government and municipa-funded initiatives...26 Leve of finance versus project ife cyce in South Africa...31 A geographic representation of green economy initiatives, per sector...37 Number of renewabe energy projects by start date...39 A sectora overview of the cross-cutting themes...63 LIST OF TABLES Tabe 1: The Top Green Economy Investment Areas...24 LIST OF BOXES Box 1: The Grassands Programme...27 Box 2: Market faiures that pose barriers to financing the green economy...32 Box 3: The Green Fund...34 CASE STUDIES 50 MW Khi Soar One Project, Upington, Northern Cape...40 TIA Heio100 Technoogy Deveopment Project, Mariendah, Western Cape...41 Iyeza Express Bicyce Courier Service, Khayeitsha, Cape Town, Western Cape...43 Tshwane Food and Energy Centre, Tshwane, Gauteng...45 Expanded Pubic Works Programme (EPWP)...48 Ocean View Stonehouse project, Cape Town, Western Cape...51 Recycing Paets Pays, Cape Town, Western Cape...53 USE-IT waste beneficiation, ethekwini, KwaZuu-Nata...57 Bio2Watt Biogas Pant, Bronkhorstspruit, Gauteng...58 Enviro Champs, Mpophomeni, KwaZuu-Nata

7 ABBREVIATIONS AND ACRONYMS ARC BRT BRICS CDM CEPF CPSI CSIR CSP DAFF DBSA DEA DFID DoE DoT DPW DST DTI DWS EDD EELN EEP EPIP EPWP EU GDP GEF GEISA GELA GIZ IDC ILO IPP ISP KZN MAFISA MW MWh NBI NCPC-SA NDP NGO NRM NT PAGE PSEE PPP Agricutura Research Counci Bus Rapid Transit Brazi, Russia, India, China, South Africa Cean Deveopment Mechanism Critica Ecosystem Partnership Fund Centre for Pubic Service Innovation Counci for Scientific and Industria Research Concentrated Soar Power Department of Agricuture, Fisheries and Forestry Deveopment Bank of Southern Africa Department of Environmenta Affairs UK Department for Internationa Deveopment Department of Energy Department of Transport Department of Pubic Works Department of Science and Technoogy Department of Trade and Industry Department of Water and Sanitation Economic Deveopment Department Energy Efficiency Leadership Network Energy and Environment Partnership Environmenta Protection and Infrastructure Programme Expanded Pubic Works Programme European Union Gross Domestic Product Goba Environment Faciity Green Economy Inventory for South Africa Green Economy Learning Assessment Deutsche Geseschaft fur Internationae Zusammenarbeit Industria Deveopment Corporation Internationa Labour Organization Independent Power Producer Industria Symbiosis Programme KwaZuu-Nata Micro Agricutura Financia Institutions of South Africa MegaWatt MegaWatt hour Nationa Business Initiative Nationa Ceaner Production Centre of South Africa Nationa Deveopment Pan Non-Governmenta Organization Natura Resource Management Nationa Treasury Partnership for Action on Green Economy Private Sector Energy Efficiency Programme Pubic-Private Partnerships 7

8 GEISA AN OVERVIEW PV REA REIPPPP RMEL SANParks SANBI SANEDI SCP SDG SME SMME SWH TIA UK UN UNDP UNEP UNFCCC UNIDO UNITAR WESSA WWF SA Photovotaic Rapid Evidence Assessment Renewabe Energy IPP Procurement Programme Research, Monitoring, Evauation and Learning South African Nationa Parks South African Nationa Biodiversity Institute South African Nationa Energy Deveopment Institute Sustainabe Consumption and Production Sustainabe Deveopment Goas Sma and Medium-sized Enterprise Sma, Medium and Micro-sized Enterprise Soar Water Heating Technoogy Innovation Authority United Kingdom United Nations United Nations Deveopment Programme United Nations Environment Programme United Nations Framework Convention on Cimate Change United Nations Industria Deveopment Organization United Nations Institute for Training and Research Widife and Environment Society of South Africa Word Wide Fund for Nature South Africa 8

9 ACKNOWLEDGEMENTS In March 2015, South Africa joined the Partnership for Action on Green Economy (PAGE), an inter-agency United Nations (UN) programme which brings together the expertise of five UN agencies United Nations Environment Programme (UNEP), Internationa Labour Organization (ILO), United Nations Industria Deveopment Organization (UNIDO), United Nations Deveopment Programme (UNDP) and United Nations Institute for Training and Research (UNITAR), to support countries and regions to put sustainabiity at the heart of economic poicies and practices. The Green Economy Inventory for South Africa (GEISA) was undertaken at the request of the South African Government by PAGE and is one of the inception activities of PAGE in South Africa. A task team of Government partners and PAGE agencies supported the deveopment of the terms of reference for this study, and was responsibe for overseeing the impementation of the study and competion of the report. The Task Team incuded Ceciia Njenga from UNEP, Devina Naidoo, Jenitha Badu and Leanne Richards from the Department of Environmenta Affairs (DEA), and Kees van der Ree, Jens Dyring Christensen and Najma Mohamed from the ILO. The report aso benefited from contributions from the ILO Green Jobs programme. The PAGE Nationa Steering Committee, incuding representatives from the Departments of Environmenta Affairs, Economic Deveopment, Science and Technoogy, and Trade and Industry, aso provided inputs to the GEISA. A consortium of research organizations coected data, drafted the report and managed the comprehensive stakehoder consutations conducted throughout the compiation of the GEISA. The research team was composed of the foowing trans-discipinary sustainabiity speciaists: Eize Hattingh from Green Taent; Prof. Mark Swiing, Bake Robinson, and Mbai Mabaso from the Sustainabiity Institute; Nicoa Jenkin from Pinpoint Sustainabiity; Mike Ward from Creating Sustainabe Vaue; and David Baxter from EnigMatrix. PAGE gratefuy acknowedges the support of a its funding partners: the European Union; the Ministry for Foreign Affairs, the Government of Finand; the Federa Ministry for the Environment, Nature Conservation, Buiding and Nucear Safety, Germany; the Ministry of Environment, Korea; the Norwegian Ministry of Cimate and Environment; the Government of Sweden; and the Swiss Secretariat for Economic Affairs. 9

10 GEISA AN OVERVIEW 10

11 FOREwORD 2015 saw the adoption of the Transforming our Word: 2030 Agenda on Sustainabe Deveopment (a set of goas to end poverty, protect the panet, and ensure prosperity for a) and the Paris Agreement, (a goba cimate agreement and action pan), putting the word on a path to a sustainabe future. The promotion of greener economies has been identified as an effective response to mutipe deveopmenta chaenges and integra to sustainabe deveopment, as enshrined in the 2030 Sustainabe Deveopment Goas (SDGs). South Africa has embraced the green economy as a means to achieve incusive and equitabe growth that eads to sustainabe deveopment, poverty eradication and (green) job creation. The vision of transitioning South Africa towards a green economy has been decared at the highest poitica eve and the green economy agenda is articuated in the macro-economic poicy framework and nationa deveopment vision. The core objectives of the Partnership for Action on Green Economy (PAGE) to achieve incusive and just sustainabe deveopment are aso core objectives of the South African government. In March 2015, South Africa joined PAGE, a goba inter-agency UN programme, which brings together the expertise of five UN agencies (UNEP, ILO, UNIDO, UNDP and UNITAR) to support countries and regions in reframing economic poicies and practices around sustainabiity. PAGE programmes aim to contribute to better poicy coordination and coaboration and to deveop capacities of government institutions and socia partners. The Green Economy Inventory for South Africa (GEISA), one of the first outputs of PAGE in South Africa, takes stock of some key initiatives that are being impemented by a wide range of pubic and private sector partners. GEISA seeks to estabish a knowedge base and a mechanism for enhanced coaboration and coordination to support the country s green economy transition. It provides a snapshot of the country s progress towards a green economy and an overview of the key sectors driving South Africa s green transition. It aso draws out insights to inform and hep prioritise future and additiona green investments. PAGE is a mode of joint impementation. With nationa partners, it currenty operates in five African countries Burkina Faso, Ghana, Mauritius, Senega and South Africa as we as across Asia, the Caribbean and South America. PAGE demonstrates the importance of joint action for sustainabe deveopment. Increasingy, we wi have to operate in the framework of joint programmes as a way of reaching scae and enhancing synergy amongst deveopment partners as we. We woud ike to take this opportunity to thank our partners in impementation, PAGE agencies and government departments who have supported the programme to date. PAGE offers South Africa the toos and expertise to demonstrate the viabiity of transitioning to a greener economy, but it is aso a means of impementing coaborative partnerships, which are centra in deivering on our sustainabe deveopment visions. Ms. Nosipho Ngcaba Director-Genera Department of Environmenta Affairs South Africa Dr Joni Musabayana Director ILO country office for Botswana, Lesotho, Swaziand and South Africa 11

12 GEISA : AN OVERVIEW

13 EXECUTIVE SUMMARY Historicay, South Africa s deveopment path centred on the greenhouse gas (GHG) emission-intensive mining and energy industries. The present-day South African government is committed to addressing cimate change through a just transition towards an incusive, environmentay sustainabe and cimate-resiient economy. The transition to a greener economy is embedded in nationa poicy which is driving the greening of economic sectors to support the creation of green and decent jobs, more energy and materia efficient production processes, significanty ess waste, poution and GHG emissions. South Africa s Green Economy Accord, signed in 2011, was the outcome of socia diaogue between government, business and abour. It is the first muti-stakehoder effort to identify the tangibe benefits of a green economy transition. Since then, the enabing poicy environment put in pace by the South African government and pubic and private sector green investments have resuted in an increase of initiatives that seek to deiver environmenta, socia and economic outcomes across the country. These initiatives are innovative, practica and impementabe, and are buit on existing best practices in key sectors. They have rea potentia to bring about significant change and respond to critica issues such as resource inefficiencies in the water and energy sectors. Upon request by the South African government, the Green Economy Inventory for South Africa (GEI- SA) was commissioned to assist with tracking, monitoring and evauating existing green economy initiatives and programmes, to foster sector-wide coordination and coherence, and to hep identify gaps and areas requiring further support. The GEISA is a first attempt to capture a seection of green economy initiatives and provide a knowedge base of existing activities and hep to prioritize work streams and actions under PAGE in South Africa. South Africa s vision of transitioning to a greener economy has been put into action through an extensive poicy and reguatory framework. An overview of this poicy framework indicates that a tota of 32 sub-frameworks, strategies, poicies or Acts enshrine environmenta sustainabiity. Within this framework, key actors in green economy initiatives in the country were identified; they tended to fa into one of seven groupings: Government, Internationa Agencies, Non-Governmenta Organisations (NGOs), Private Sector, Educationa, Research and Training Institutions, and Organised Labour. Most projects invoved a variety of stakehoders to deveop, impement and monitor green economy initiatives. A Rapid Evidence Assessment (REA) method was used to review and assess a broad range of information on green economy initiatives impemented or on-going from The REA heped to make the initia identification of initiatives and, through a sifting process, extract data. A set of criteria (for exampe, the number of jobs created, geographica ocation of projects, funding sources and project partners, economic, environmenta and socia indicators, cross-cutting themes and circuar innovation) were appied to identify green economy initiatives. Of the amost 1000 initiatives that were initiay identified, 667 green economy initiatives were seected for further anaysis. 357 initiatives had sufficient data and met the research criteria and were earmarked for anaysis. Whie the Inventory does not capture the fu extent of ongoing green economy activities in South Africa, it does provide an indication of where activity is taking pace and in which sectors. 13

14 GEISA AN OVERVIEW The GEISA, deveoped over a three-month period in 2016, is a high-eve inventory of green economy initiatives across sectors, spheres of government and service categories. The eight thematic areas outined in the Nationa Strategy for Sustainabe Deveopment and Action Pan (DEA, 2011) provided a framework to examine and understand the characteristics of green economy initiatives, incuding their contribution to job creation, skis deveopment and finance. An overview of these sectors, their funding sources, stakehoder base and regiona spread is iustrated in Figure 1. Green economy activity in South Africa: Genera findings Green economy initiatives have sharpy increased since 2010 A key sectors in South Africa s economy and a provinces are active in or associated with the green economy in some way 60% of green economy initiatives are ocated in the Gauteng, Western Cape and KwaZuu Nata (KZN) provinces Energy, transportation and agricuture are the most active sectors, with initiatives in soar and bio-energy, non-motorised transport and panning, and farming Western Cape dominates the energy (21) and buit environment (14) sectors; Gauteng focuses on the transport sector (18) and KZN focuses on agricuture (21) Agricuture has the argest number of job-creating initiatives; 26 surveyed initiatives report the creation of 50 or more jobs Agricutura initiatives (primariy farming) are most prevaent in KZN, the Eastern Cape, Limpopo and Western Cape Nexus initiatives, where water efficiency is addressed as an input to other sectors such as agricuture, resource conservation and management and energy, were common 53% of the green economy initiatives surveyed are ocay funded; 27% are internationay funded. 20% of initiatives did not specify their source of funding 80% of the surveyed green economy initiatives were funded by domestic pubic finance; of which 50% were funded by nationa government departments 41% of surveyed initiatives are part of muti-stakehoder partnerships that cross an entire vaue chain from research and deveopment to funding, capacity deveopment, coordinating, impementing, and monitoring Due to the varied scaes and agendas of green economy initiatives, a wide and diverse range of project partners operate horizontay and verticay throughout the country 14

15 EXECUTIVE SUMMARY Figure 1 An overview of green economy activity in South Africa incuding sectora, geographica representation and reevant stakehoders 1 AN OVERVIEW OF GREEN ECONOMY ACTIVITY IN SOUTH AFRICA SECTORS Sectors and sub-sectors of green economy initiatives Bioenergy Education Energy Efficiency Hydro Hydrogen & Fue Ces Soar Wind Waste ENERGY Aternative Propusion Car Share Freight Fue Efficiency & Emissions Non-Motorised Panning Roads Taxis TRANSPORT Farming Fisheries Forestry AGRICULTURE RESOURCE CONSERVATION SUSTAINABLE CONSUMPTION & PRODUCTION & MANAGEMENT BUILT ENVIRONMENT Infrastructure resiience & ecosystems Offset programme Widife management Working for programmes WATER Reduce water osses in agricuture Water harvesting Buidings Integrated Panning Materias Settements & Cities WASTE Coection Energy Food Recycing GEOGRAPHY Number of green economy activities by province TOTAL NUMBER OF GREEN ECONOMY INITIATIVES KZN WC GAU EC LIM MPU NC FS NW NO PROVINCE SPECIFIED STAKEHOLDERS Key enabing stakehoders within the green economy initiatives Funding Partnerships for impementation 27% FOREIGN CAPITAL 53% LOCAL 20% SOURCES OF FUNDING PARTNERSHIPS FOR IMPLEMENTATION 25% 34% ONE ORGANISATION 41% DEMONSTRATED PARTNERSHIP NOT SPECIFIED NOT SPECIFIED 1 The number of initiatives wi not add to 357 as some initiatives are impemented across provinces. 15

16 GEISA AN OVERVIEW Key findings by sector Energy South Africa s coa-intensive energy sector wi require an ongoing shift from coa to renewabe energy to meet nationa greenhouse gas (GHG) emissions reduction commitments. The Renewabe Energy Independent Power Producers Procurement Programme (REIPPPP) has had a significant impact on greening the energy sector in South Africa; it is suggested that a carefu anaysis of success factors is conducted and that insights are communicated to other sectors, where appropriate. Greater support is needed for decentraised renewabe energy generation in residentia and commercia sectors, prioritising areas that do not have access to eectricity. Transport and infrastructure Bus Rapid Transit initiatives are receiving substantia funding and are inked to arge-scae transport panning at nationa and municipa eves. A number of projects addressing non-motorised transport were aso identified. It is recommended that support in this sector focus on greater integration of non-motorised transport into spatia panning, and to support Sma, Medium and Micro-sized Enterprises (SMMEs) that provide eco-mobiity soutions. Agricuture, food production, fisheries and forestry This sector has huge potentia to create direct jobs (reative to other sectors surveyed in this Inventory). The KZN and Eastern Cape provinces are particuary we represented with impementation of initiatives in this sector. Innovations that support more integrated systems that ink the food, energy, waste and water components of agricuture, incuding sharing of good practices, shoud be shared widey. Advocacy initiatives coud hep make the case for impementing more sustainabe forms of agricuture. Resource conservation and management The sustainabe management of natura resources is critica to biodiversity-rich but water-stressed South Africa. The argey pubicy-funded Expanded Pubic Works Programme (EPWP) has significanty improved ecosystem heath throughout the country, notaby through initiatives in the Environment and Cuture sector. Funding for these types of programmes shoud be more strategicay inked to emerging goba environmenta funding mechanisms for cimate change adaptation. Poicy and financia structures to operationaize and up-scae private investments in ecosystem services is aso required. Buidings and the buit environment South Africa was recenty identified as goba eader in green buidings. From an initia focus on commercia buidings, increasing investment is now being directed towards green residentia property deveopment and pubic buidings. Socia housing aso presents an opportunity to impement green design principes, buiding on existing environmenta guideines for ow-income housing. Sustainabe consumption and production (SCP) Activities in this area are argey focused on energy efficiency and are argey domesticay funded. Key programmes, oriented towards the private sector, have been successfuy impemented. There is imited financia support to impement energy efficiency measures in both the private and pubic sector, and access to finance is key to change in this sector. Emerging concepts such as the circuar economy have substantia potentia for further deveopment. A focus on water efficiency is aready visibe in face of South Africa s ongoing drought. 16

17 EXECUTIVE SUMMARY Sustainabe waste management practices The waste sector has immense potentia to create work opportunities across the vaue chain. Severa surveyed initiatives in this sector focus on empoyment creation and reduction of GHG emissions. Athough there is a significant focus on empoyment creation through waste coection, empoyment opportunities aong the entire vaue chain from recovery at source through to waste beneficiation opportunities have to be expored to maximise the economic potentia of sustainabe waste management. Water management This sector has high potentia for taking existing innovations to improve efficient water use, incuding oca-eve initiatives, to scae. It is recommended that mechanisms for investing in catchment, water management and ecoogica infrastructure are investigated and put in pace. The activities of this sector are reevant to resource conservation management, SCP, agricuture and energy. Athough the energy, agricuture and transport sectors are driving South Africa s green economy at present (notaby, through investments in the soar and bio-energy, farming and panning for non-motorised transport), the GEISA identified a eight sectors as key areas for growth. The knowedge base on each sector can be consideraby expanded. The foowing are seven key poicy messages that emerged from the Inventory. Key Poicy Messages 1 GEISA reveas that South Africa has over 32 green economy-reated poicies and strategies; if streamined and we-coordinated, these woud attract additiona investment in green economy sectors and initiatives and effectivey transition South Africa to a green economy. 2 The potentia to green South Africa s economy exists in a provinces and sectors surveyed. Key sectors are driving the transition to a green economy, but there are concrete opportunities to invest in greening of a economic sectors. Green economy investments at sub-nationa eve shoud be aigned with priorities identified in provincia green economy strategies. 3 A green economy creates jobs. According to GEISA, the agricuture, food production, fisheries and forestry sector has a very high potentia to create direct jobs. The Inventory aso affirmed that additiona investment in resource conservation and management and sustainabe waste management can deiver substantia socia and environmenta benefits. 17

18 GEISA : AN OVERVIEW A green economy contributes to the reduction of GHG emissions. An intervention in the energy sector to both improve energy efficiency and diversify power suppy with renewabe energy, and increased use of ow-carbon options in other sectors (notaby transport and the buit environment) is projected to create synergies that wi hep ower GHG emissions. 5 Innovative ow-carbon and resource-efficient technoogies have had significant uptake in South Africa. South Africa shoud invest in ocaising the production and manufacturing of cean technoogies. 6 Pubic finance pays a eading roe in cataysing investment for transitions in key industries incuding renewabe energy and sustainabe transport for instance. Access to private capita and internationa environmenta and cimate finance wi have to be up-scaed consideraby to invest in economy-wide transitions. 7 Partnerships and coaborative design and impementation across a wide range of nationa and goba, pubic and private sector and civi society stakehoders create shared vaue in South Africa s green economy transition and can hep take green investments to scae. These shoud be fostered and deepened. South Africa is progressing in its transition to a ow-carbon and green economy. South Africa s commitment to greening the economy is expressed in its poicy vision, and was made evident through the eve of green economy initiatives accounted by the GEISA. In ight of the country s recent ratification of the Paris Agreement and adoption of the 2030 Agenda on Sustainabe Deveopment, South Africa has embraced the view that economies and societies can deveop whie reducing adverse impacts on ecoogica systems. To advance the Agenda for Sustainabe Deveopment, existing green economy activities and investment wi have to be consideraby expanded and up-scaed. Insights drawn from the GEISA coud be instrumenta in understanding how nationa targets created within the context of the SDGs and Nationay Determined Contributions (NDCs) coud be met. 18

19 1 INTRODUCTION AND CONTEXT In March 2015, South Africa joined the goba Partnership for Action on Green Economy (PAGE), a UN programme which brings together the expertise of five UN agencies UNEP, ILO, UNIDO, UNDP and UNITAR to support countries and regions to reframe economic poicies and practices around sustainabiity. In partnership with the South African government, PAGE commissioned the deveopment of an inventory of green economy initiatives to support improved coaboration and coordination of South Africa s green economy transition. The Inventory was one of the initia activities of PAGE in South Africa. In South Africa, the green economy is seen as an important means to respond to some of the critica and intertwined deveopment chaenges that range from unempoyment, poverty and inequaity to energy security and cimate change. The government of South Africa and increasingy organised business and abour are embracing the green economy as a means to attain incusive and equitabe growth that eads to sustainabe deveopment and promotes poverty eradication and the creation of (green) jobs. The desire to transition to a green economy has been articuated at the highest poitica eve, and the green economy transition agenda is evident in pubic poicy frameworks incuding South Africa s ong-term deveopment poicy, the Nationa Deveopment Pan: Vision for 2030 (NDP) (Nationa Panning Commission, 2012), which endorses a just transition to a ow-carbon economy. The Nationa Cimate Change Response White Paper aso provides high-eve parameters for the reduction of carbon emissions in ine with the peak-pateau-decine methodoogy (SA Government, 2010). 19

20 GEISA AN OVERVIEW South Africa s Department of Environmenta Affairs (DEA), continuousy seeks to entrench the green economy agenda and practices across government functions and spheres, and acknowedges that a green economy transition cuts across a economic sectors and socio-poitica and economic themes. The broad framework of green economy key thematic areas in the Nationa Strategy for Sustainabe Deveopment and Action Pan (DEA, 2011), which buit on the Green Economy Summit hed in 2010, identified 9 key areas of focus, which were used to organise the Inventory data: Buidings and the buit environment Transport and infrastructure Resource conservation and management Cean energy and energy efficiency Sustainabe waste management practices Water management Agricuture, food production, fisheries and forestry Sustainabe consumption and production incuding mining and manufacturing Cross cutting themes incude: governance and partnerships, trade, finance and investment, research, awareness, training, skis deveopment, knowedge management. A government departments have a roe to pay in supporting the impementation of the green economy transition; most have deveoped programmes, poicies and strategies to guide and inform the transition within their respective remits. Progress is evident in the roout of the Bus Rapid Transit (BRT), the Expanded Pubic Works Programme (EPWP) and the Renewabe Energy Independent Power Producers Procurement (REIPPP) programme, amongst others. Departments are tasked with transating their poicies and strategies into action and coaborating to buid capacity and increase the pace of change. South Africa has a dynamic investment andscape and a mature financia services sector. In order to remain competitive as a BRICS member country and to promote growth opportunities within the African context, it is beneficia for the country to monitor and evauate the impact of its achievements in transitioning to a greener economy. As such, the Green Economy Inventory for South Africa invoves a sector-wide assessment to gather data on green economy initiatives and insights to provide a snapshot of the South African green economy andscape. It is envisioned that the Inventory wi become an important too to faciitate improved coaboration and coordination in support of the country s onger-term green economy transition. 1.1 Overview The Green Economy Inventory for South Africa (GEISA) set out to undertake and deveop an inventory of green economy initiatives across sectors, government spheres and service categories. This initia mapping exercise aimed to provide information on key activities (initiatives), actors and services that can serve to enhance communication, information exchange and coordination amongst the various green economy initiatives, enhance synergies, avoid dupication and hep identify areas that require further support. The objectives were to map and capture information to track South Africa s progress towards a green economy, and to provide usefu information to poicy-makers, practitioners and stakehoders. Such information may assist with the monitoring and evauation of existing green economy initiatives and programmes, foster sector-wide coordination and coherence between various payers, and hep 20

21 1 INTRODUCTION AND CONTEXT identify gaps and areas that require further support. The GEISA further sought to gather insights and information to inform priority areas and areas for future and additiona green investments, buiding on existing anaysis such as the South Africa Green Economy Modeing Report (UNEP, 2013). It is anticipated that the information coected during this exercise wi support knowedge sharing and coaboration among green economy initiatives. 1.2 Research scope, objectives and methodoogy The research objective was to gather data on the green economy initiatives impemented in South Africa since 2010 in order to answer the foowing questions: What are the key sectors in South Africa s green economy? Who are the key actors in South Africa s green economy? Which services can enhance communication, information exchange and co-ordination in South Africa s green economy? The foowing parameters were guiding the research: Appying a Rubik s cube concept of mapping (highighting critica areas, themes or issues) from which infographics and priorities coud be deveoped and identified; Aigning to identified sectors and incuding geographica coverage; Identify funders and stakehoders; Inform the identification of priority sectors and interventions. UNEP defines a green economy as An economy that vaues nature and peope and creates decent, we-paying jobs (UNEP, 2011:4). GEISA refects the South African Government s vision of a green economy, which is A system of economic activities reated to the production, distribution and consumption of goods and services that resut in improved human we-being over the ong term, whie not exposing future generations to significant environmenta risks or ecoogica scarcities (DEA, 2010).The South African green economy is characterised by substantiay increased investment in green sectors, supported by enabing poicy reforms (DEA, 2011; NPC, 2012). It impies the decouping of rates of resource use and negative environmenta impacts from the rate of economic growth. South Africa s Nationa Strategy for Sustainabe Deveopment and Action Pan provided information on nine thematic areas which heped to constructivey categorise and anayse information gathered through GEISA. Cross cutting themes, such as job creation, skis deveopment, finance, and research and deveopment, were used to further investigate and understand the characteristics of green economy initiatives. Since the ninth thematic area is cross-cutting by nature, the Inventory focused on the eight thematic areas beow: Cean energy and energy efficiency Transport and infrastructure Agricuture, food production, fisheries and forestry Resource conservation and management Buidings and the buit environment Sustainabe consumption and production (SCP), incuding mining and manufacturing Sustainabe waste management practices Water management 21

22 GEISA AN OVERVIEW A number of overarching themes were aso identified. These are: Governance and partnerships Trade Finance and investment Research Awareness Training Skis deveopment Knowedge management GEISA data was coected using a Rapid Evidence Assessment (REA) method. REA is a recognised systematic method for reviewing and assessing a broad range of information that is particuary appropriate for time-sensitive research required by poicymakers. The data anaysis was compemented with interviews and sector-specific best practice case studies. The organisationa framework of the research is detaied in the Appendix. From approximatey 1,000 initiatives scanned in this first phase of sifting, a tota of 667 met the criteria for further assessment and anaysis. In the next Phase, 357 initiatives were seected for in-depth review and data extraction. Initiatives that did not fuy meet the study purpose or acked key data were excuded. 1.3 Green economy poicy framework South Africa s transition towards a green economy has deveoped within a specific poicy context in the ast few years. GEISA identified a tota of 32 nationa or provincia eve frameworks, strategies, poicies or Acts support sustainabiity and/or the green economy. This intricate web of activity within the poitica structures of South Africa makes understanding the poicy andscape difficut. In addition, the supporting metrics and measurement systems to monitor the success of the various activities are often insufficient or simpy absent (for exampe, no substantia progress reports on the impementation of the Green Economy Accord have been undertaken to date (Swiing et a. 2016). However, severa authors have provided comprehensive anayses of green economy poicy deveopment in South Africa (Rennkamp, 2012; Kaggwa et a., 2013; Nichos et a., 2016; Swiing et a., 2016). South Africa s green economy needs to be supported by an enabing poicy environment (Kaggwa et a., 2013), GEISA notes that that transitioning to a greener economy is among the stated aims of the South African government s deveopment vision. A simpified view of a portion of South Africa s green economy poicy framework is shown in Figure 2 beow. 22

23 1 INTRODUCTION AND CONTEXT Figure 2 A timeine of green economy poicy in South Africa 2003 Renewabe Energy Strategy 2005 Nationa Energy Efficiency Strategy Long term Mitigation Scenario Nationa Energy Act 2010 Industria Poicy Action Pan, IRP, Nationa Green Economy Summit 2011 Nationa Deveopment Pan Green Economy Accord 2012 Long-term Adaptation Strategy 2013 Carbon Tax Poicy Paper (From Kaggwa et a., 2013) Cear definitions of the performance metrics of these poicy components and the measurement of poicy performance against these metrics is a critica part of the poicy deveopment process. In Greening the South African Economy (2016) Swiing et a. argue that the environmenta sustainabiity imperatives of the Green Economy Accord and the Nationa Deveopment Pan are marginaised due to the focus on economic growth measured by the Gross Domestic Product (GDP) indicator. Unti South Africa and other nations consider a more meaningfu measure of success that encompasses socia, environmenta and economic measures of we-being, they argue that progress towards incusive, job-creating growth wi be hampered. Swiing et a. (2016) and Nichos et a. (2016) note other chaenges or obstaces to transitioning to the green economy, incuding poicy incoherence. According to Swiing et a. (2016), perhaps the most garing gap is the ack of a strategic centre within government that creates coherence among the various components of South Africa s green economy poicy framework, incuding the visions embodied in the Nationa Strategy for Sustainabe Deveopment and the NDP. Rennkamp (2012) and Swiing et a. (2016) both highight the unsustainabiity of the minera and energy sectors in South Africa. Whie these sectors contribute to job creation, they contribute significanty to GHG emissions, threaten scarce water resources and have severe socia impacts (particuary the mining sector). According to Swiing et a. (2016), the interests and power of these sectors pose a chaenge to poicy reforms that coud hep South Africa s economy shift away from business as usua and transition toward a greener economy. Others don t consider poicy incoherence to be a primary chaenge to South Africa s green economy. The Nationa Business Initiative (NBI) conducted two exercises to evauate poicy coherence (Nichos et a., 2016). Whie they did identify some degree of poicy incoherence, they argue that education reated to poicy symbiosis coud hep overcome some of dissention between funders and project impementers. The NBI study identified specific interventions that coud hep guide poicy and investment action (and coordination) for greening the South African economy. These are isted in Tabe 1. 23

24 GEISA AN OVERVIEW tabe 1 The Top Green Economy Investment Areas Category Energy efficiency Cean energy generation Energy efficiency Transportation and infrastructure Water and wastewater management Ecoogica infrastructure Cean energy generation Cean energy generation Transportation and infrastructure Water and wastewater management Ecoogica infrastructure Agricuture, food production and forestry Education and behavioura Water and wastewater management Waste reduction and industria symbiosis Energy distribution and storage Cean energy generation Description Smart grids and smart meters Sma scae soar photovotaic (PV) Energy efficiency in the pubic, private and househod sectors Promote pubic transport Protect South Africa s critica catchments (high vaue catchment) areas Biodiversity economy Sma-scae embedded renewabe energy generation Waste-to-energy Rai expansion for freight and passengers Reducing water osses in distribution in municipaities by repacing water infrastructure Restoration and rehabiitation of dereict mines Sma scae farmers and food systems Address service deivery of municipaities (waste and eectricity) through PPPs Rainwater harvesting Improve waste separation at source Energy storage Expansion of the Renewabe Energy Independent Power Producer Procurement (REIPPP) Programme (Source: Nichos et a., 2016) The positive impact of we-designed poicy is powerfuy iustrated in the Renewabe Energy IPP Procurement Programme (REIPPPP), which aigned poicy with feasibe action pans, poitica wi, coaboration and effective stakehoder engagement. In 2011, the Department of Energy began informay engaging with stakehoders in the renewabe energy sector. By August 2011, an initia request for proposas was made. By the time this report was written, an R193bn investment was approved for 6,327MW of renewabe energy generating capacity across 92 projects (South African Wind Energy Association, 2016). South Africa has now been identified as having one of the fastest growing renewabe energy markets in the word (Creamer Media, 2016). The scae of the REIPPPP programme suggests that rea inroads can be made in achieving a greener economy in the country, and iustrates the key roe of poicy as a driver of green economy transitions. 24

25 2 KEY INSTITUTIONS AND ORGANISATIONS The GEISA showed that a wide and diverse range of stakehoders are invoved in funding, supporting, coordinating, impementing, and monitoring and reporting on a myriad of initiatives in South Africa s active green economy. Project partners operate horizontay and verticay throughout the country on mutifarious projects and initiatives that are heping to progress the green economy transition. This section provides an overview of the actors that are stimuating and engaging with South Africa s green economic activities. 2.1 Government The South African government provides an enabing poicy and reguatory environment for transitioning to a green economy and harnesses pubic finance in support of this vision. Of the 357 initiatives identified for anaysis, approximatey 50% were funded by nationa government departments, most notaby the DEA (which funded a third of a nationay funded initiatives) and Department of Transport (DoT). 31% of green economy initiatives are municipay funded. 25

26 GEISA AN OVERVIEW Certain municipaities stood out as active in this space, both as project partners and funders, incuding Cape Town, ethekwini, Tshwane and Johannesburg. Johannesburg became the first municipaity to ist a green bond to finance green initiatives at the Johannesburg Securities Exchange (JSE) in ethekwini Metropoitan Municipaity (greater Durban) made the greatest contribution of a municipaities, funding 62% of a identified municipa green economy projects. figure 3 Distribution of government and municipa-funded initiatives Loca 31% Provincia Nationa 55% 11% Provinces were notaby ess active than municipa-eve governments, with the exception of the Western Cape government, which aunched the Green Cape initiative in 2010 and the 110% Green initiative in Both initiatives are a direct ca for a green economy transition in the Western Cape (Western Cape Government, 2016). Three government funding and financing programmes appear to pay a significant roe in driving investment into green projects and acting as cataysts to South Africa s transition to a greener economy: The Green Fund a programme set up by the Department of Environmenta Affairs (DEA) to provide financia support to green initiatives to assist the transition to a ow-carbon, resource efficient and cimate resiient deveopment path The Jobs Fund a Nationa Treasury initiative set up to address unempoyment in South Africa The Industria Deveopment Corporation (IDC) a nationa deveopment finance institution owned by the South African government under the supervision of the Economic Deveopment Department (EDD) that has invested in ow-carbon technoogies Pockets of exceence are beginning to emerge, whereby pubic finance is used to catayse private sector funding into the green economy space. The strategic green economy investment fund, otherwise known as the Green Fund, is a prime exampe of integrated financing approaches. To further enhance the uptake of pubic sector investment, it is imperative that the Green Fund be strategicay positioned to address crowding in private investment, co-financing, on-ending and reated innovative financing mechanisms which, in the medium to ong term, wi sustain the Fund and make it ess reiant on pubic financing. Section 3.1 further eaborates on green financing. 26

27 2 KEY INSTITUTIONS AND ORGANISATIONS 2.2 Internationa agencies Whie the Inventory does not provide an exhaustive account of South Africa s green economy andscape, it ceary demonstrates that biatera donor agencies pay a significant roe in funding green economy initiatives in the country. Support from Germany, Austria, Denmark, Finand, France, Germany, Norway, Switzerand and the United Kingdom (mainy through their Department for Internationa Deveopment (DFID)) was deivered primariy through embassies and country-specific aid agencies within government departments. Within the Sustainabe Consumption & Production (SCP) sector, DFID and European Union (EU) support was notabe (EU support was provided primariy through the Switch Africa Green programme). Goba and regiona entities incuding the EU and the United Nations (UN) aso pay an important roe. Various UN agencies provide funding and other types of support to a variety of green economy initiatives, incuding the Internationa Labour Organization (ILO) (green jobs and just transitions), UNIDO (transport and SCP), UNDP (through impementation of the Goba Environment Faciity s (GEF) Sma Grants Programme and their energy and environment support programme), UNFCCC (soar and bio-energy) and UNEP (biodiversity, agricuture, transport). The Word Bank provided key support to a number of Renewabe energy and Buit environment initiatives in coaboration with municipaities and state entities. 2.3 Non-Governmenta Organisations (NGOs) The GEISA shows that South African non-governmenta organisations (NGOs) pay a key roe as faciitators between funders and stakehoders and as coordinators and project managers (exampes incude Conservation SA, Widands Conservation Trust, Widife and Environment Society of South Africa (WESSA), and Word Widife Fund (WWF) South Africa). This might be a product of interest in seeking out funding opportunities for their own organizations or to advance progress in their areas of interest (particuary in the agricuture and resource management sectors). Many NGO-managed projects invove mutipe stakehoders (see Grassands Programme in Box 1 beow), which iustrates their strategic networking roe in brokering coaboration between internationa institutions, government institutions, donors and other NGOs. box 1 the grassands programme The Grassands Programme was a nationa initiative funded by the Goba Environment Faciity (GEF), managed by the United Nations Deveopment Programme (UNDP) and impemented by the South African Nationa Biodiversity Institute (SANBI). It invoved 25 other project partners from government, NGOs and the private sector to mainstream biodiversity into the Grassand Biome, with the aim of baancing biodiversity conservation and deveopment imperatives in a production andscape. Further information on the programme can be found at org/biodiversity-science/science-poicyaction/mainstreaming-biodiversity/ grassands-programme 27

28 GEISA AN OVERVIEW Further commentary on the funding mechanisms for green economy initiatives in South Africa is covered in Section Private sector The GEISA focused predominanty on initiatives funded by pubic, internationa aid and NGOs, mainy due to the fact that private sector initiatives were not visibe as distinct projects in the data seection process of the Inventory. For this reason, privatey funded initiatives perhaps merit further research. Nonetheess, GEISA showed that the private sector is an important catayst for green economy initiatives, and that certain sectors and businesses are more active than others in the private sector. Mining companies were identified as partia funders or project stakehoders on a variety of green economy projects, incuding conservation (BHP Biiton), fue ce technoogies (Impaa Patinum Hodings) and SCP (Ango American). This is perhaps unsurprising in a country where mining pays a key roe in the nationa economy and has significant environmenta and socia impacts. South African retaier Wooworths was shown to be at the forefront of business and sustainabiity through their Good Business Journey programme. In coaboration with WWF SA, they aim to drive greater sustainabiity through their products and operations. The GEISA aso showed that financia institutions incuding Nedbank and Investec pay a roe in funding green economy initiatives. It is recommended that private business activities in the green economy be further investigated to form a more comprehensive view of green economy activities in the country. The Nationa Ceaner Production Centre (NCPC-SA), for instance, tracks a arge number of initiatives reated to ceaner production, and has been effective at quantifying the impact of its work particuary with regards to cost savings, increases in resource efficiency and waste reduction in the private sector. 2.5 Educationa, research and training institutions Due to the innovative nature of many green economy initiatives, research institutions are often centra actors. They pay a key roe in deveoping and pioting technoogica soutions and fostering innovations, or observing and monitoring the outcomes and impications of transitioning to a green economy. Within South Africa, these institutes are often government-aigned or pubic entities, such as the Counci for Scientific and Industria Research (CSIR), the Water Research Commission (WRC) and Agricutura Research Counci (ARC). Universities use funding to everage innovations or to provide academic support or research; their invovement appears to be in triaing soutions within the agricuture, renewabe energy, and water and waste sectors. Universities identified as active in this space incude Mangosuthu University of Technoogy (agricuture and green technoogies), Steenbosch University (renewabe energy, forestry), University of Cape Town (renewabe energy, recycing), University of Johannesburg (renewabe energy), University of Pretoria (waste beneficiation, agro-processing), University of Zuuand (agricuture), and Vaa University of Technoogy (waste/water). The importance of deveoping skis to support a transition towards a ow-carbon and cimate resiient economy is recognised but is not reported in-depth in this report as this is being covered by another assessment, Green Economy Learning Assessment for South Africa, supported by PAGE. However, skis deveopment and training was identified as a cross-cutting theme in the initiatives identified in GEISA and are reported on in the sectora anaysis in Section

29 2 KEY INSTITUTIONS AND ORGANISATIONS 2.6. Labour The reationship between trade unions and the green economy in South Africa has shifted since the aunch of the Green Economy Accord. Athough abour organisations initiay wecomed the Green Economy Summit (2010) and the Green Economy Accord (2011), they have since become increasingy sceptica of the agendas shaping the green economy. Labour is particuary focused on what it has referred to as a just transition (COSATU 2011 p. 39), arguing that a just transition requires a substantia focus on decent jobs, reskiing in key industries (particuary mining) and carefu consideration to ensure that incusion of nature in economic modes through, for exampe, Payment for Ecosystem Services (PES), do not further support capita accumuation (COSATU 2011). In summary, approximatey 50% of the projects identified for anaysis were funded by South African bodies, most notaby government or government-supported programmes, such as the Green Fund. Most projects had a variety of stakehoders - often a combination of project coordinators and managers (for exampe, an NGO or private partner) and oca communities. The extended network of stakehoders in South Africa s green economy ceary iustrates the importance of muti-stakehoder initiatives in enabing the transition to a greener economy. 29

30 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Section three provides an in-depth assessment of green economy initiatives by sector. Initiatives seected for anaysis had to meet a number of criteria (see Appendix) and had to be active between the periods January 2010 to March The eight sectors were drawn from the Nationa Strategy for Sustainabe Deveopment and Action Pan (DEA, 2011); nine themes were investigated within the context of each sector: Sub-sector activities Tota number of initiatives identified Geographica ocation of projects Funding sources and project partners Economic indicators Environmenta indicators Socia indicators Cross-cutting themes Circuar innovation 2 30

31 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Case studies per sector are incuded in the assessment to demonstrate best practices. The foowing section aims to provide a basic understanding of the financing mechanisms that catayse green initiatives in South Africa and reated chaenges. 3.1 Green finance The roe of finance in the green economy cannot be underestimated. When deveoping finance modes for green economy initiatives, it is vita to share knowedge about the opportunities within a given context (or country). A stakehoders in the vaue chain need to be incuded in these conversations to remove power gradients, deepen knowedge and unite a stakehoders toward deivery of a common goa (Nichos et a., 2016). They aso note that the maturity of a project or initiative correates to the eves of associated risk, and that different institutions wi invest in a project at different stages of deveopment (see Figure 4 beow). The South African government accounts for socia and environmenta benefits in cost-benefit anayses of green initiatives, even if these benefits are difficut to monetise. figure 4 Leve of finance versus project ife cyce in South Africa Leve of Activity/Funding Sweat Equity Concessiona Debt Private Equity Venture Capita Grants Commercia Debt The commercia banking sector is we capitaised, we reguated and very active in the South African market. As projects mature, they rey on concessiona oans, from oca or internationa banks (both commercia and deveopment banks). Private equity is scarce reative to the size of other sectors. Eary in the project deveopers rey on sweat equity with grant support. Venture capita, athough present, is reativey unavaiabe given the size of South Africa s economy. Source: Nichos et a. (2016) Nichos et a. (2016) argue that, in South Africa, projects typicay ony have access to grant and concessiona finance, which severey curtai the scae and risk toerance of a project. Creating stakehoder consensus on finance is necessary to streamine poicies that aim to drive investment at different stages of the project ife cyce. These views are supported by Swiing et a. (2016). 2 Circuar innovation innovation that supports a circuar economy. A circuar economy is where growth is decouped from the use of scarce resources through disruptive technoogy and business modes based on ongevity, renewabiity, reuse, repair, upgrade, refurbishment, capacity sharing and demateriaization (Accenture, 2016). 31

32 GEISA AN OVERVIEW Initiatives to remove financing barriers for green initiatives are highighted in the NBI report. The report proposes a number of market instruments and notes that a number of green stimuus funds that have been estabished. These are, however, inadequate to fufi the investment needs of a nearterm transition to a green economy. Green initiatives face more market chaenges than traditiona businesses. These can broady be categorised as behavioura, technoogica, informationa, structura, financia, reguatory, institutiona and poicy-reated. Whie many of these chaenges aso exist in other countries, South Africa experiences some unique barriers incuding high research and deveopment (R&D) costs, difficuties with sourcing suitabe funding, and a ack of cear green economy poicies in some sectors (see Box 2 beow). box 2 Market faiures that pose barriers to financing the green economy Market faiures that pose barriers to financing the green economy n High transaction costs associated with green economy projects reative to conventiona project financing. n High-risk perceptions due to technoogica uncertainties and ack of famiiarity because green economy projects and green industry business modes are often untested. n Higher upfront costs compared to conventiona ones and onger payback periods. n n n n n n Inadequate or unsuitabe bank reguations and investment poicies, which are often geared for arger, conventiona projects. Spit incentives in recouping benefits of investment, such in the case of green buidings. Technoogica risks arising from technoogy faiure, obsoescence or under-performance reative to expectations. Information and behavioura barriers, in part due to perceived or actua knowedge gaps and reiabiity concerns. Faiure to internaise socia and environmenta externaities of economic activities, thereby creating pricing distortions against green economy soutions. Poicy risks in the absence of cear and ong-term poicies. Source: Swiing et a.,

33 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY These chaenges do not mean that progress on-the-ground is non-existent. As demonstrated in the REIPPPP, when stakehoders and industry experts are engaged at the outset of a process and invoved in co-creating soutions, outcomes can be very powerfu. A Word Bank report has highighted the foowing as key success factors of the REIPPPP (Eberhard et a., 2014): Poitica support for the programme across many government departments Abiity of the Department of Energy (DoE) Independent Power Producer (IPP) unit to act independenty of government institutions whie adhering to standard governmenta rues and procedures Extensive knowedge of IPP and experience in working with the right stakehoders The skis and experience of the REIPPPP team A procurement process buit on trust between stakehoders Dedicated funding aocation with support from the Deveopment Bank of Southern Africa (DBSA), the Jobs Fund, commercia banks and other donors A tight procurement brief created by a cross-functiona working group of awyers and finance firms There is sti, however, room for improvement. The REIPPPP s current institutiona set-up reies on externa advisors; their knowedge shoud be transferred into a more permanent management structure that incudes the proposed independent system and market operator. It wi aso be a chaenge to maintain the characteristics that have been key to the programme s success, incuding its ad-hoc and entrepreneuria nature, funding mode and the way it sits outside of forma government structures, when it inevitaby becomes more formaised. The Green Fund (Box 3) is another exampe of what is achievabe. The R1.1bn aocated to kick-start the green economy was aocated to 31 investment projects, 8 capacity deveopment initiatives and 16 research activities between 2012 and However, when compared with the REIPPPP s investment of R193bn, it becomes cear that there is work to be done in scaing green economy initiatives. The roe of private finance within the REIPPPP and its potentia impacts cannot be overemphasized. 33

34 GEISA AN OVERVIEW box 3 The Green Fund Green Fund of South Africa Supporting Cataytic Investments for Greening the South African Economy An enabing green economy poicy framework capacitated the estabishment of the Green Fund in 2012 a nationa environmenta programme impemented by the Deveopment Bank of Southern Africa on behaf of the Department of Environmenta Affairs (DEA). R1.1bn in fisca aocation from the Nationa Treasury provided the seed funding for the Fund, which aims to respond to the market weaknesses that are currenty impeding South Africa s transition to a green economy by: n n n n Promoting innovative and high-impact green programmes and projects Reinforcing cimate and sustainabe deveopment poicy objectives through green interventions Buiding an evidence base for the expansion of the green economy Attracting additiona resources to support South Africa s green economy deveopment The Green Fund is structured to refect nationa green economy poicy priorities and the compex cross-inkages between macro-economic and sectora poicy focus areas. The Fund supports initiatives that are at various phases of the innovation vaue chain, from piot and demonstration to scae-up. Three thematic windows were deveoped through extensive research and consutation: Green Cities and Towns, Low-Carbon Economy, and Environmenta and Natura Resource Management. The focus areas and eigibiity criteria for each window is different and informed by key nationa poicies. However, a appications to the Green Fund woud be appraised in reation to four centra principes: reevance, which requires demonstrated aignment to thematic funding windows; innovation, which requires that the initiative be nove (innovation can reate to any of the foowing aspects: technoogy, business mode, institutiona arrangements, or financing approach); additionaity, by which financing compements avaiabe resources and does not substitute or crowd-out private investment; and the abiity to scae up and/or repicate, whereby the project has the potentia to be roed out to other sites and/or to be impemented on a arge scae. Financia support is provided for project deveopment, research and capacity buiding in the form of grants, oans and equity. By 2016, the Green Fund had approved 55 projects vaued at R738 miion, creating a projected 12,700 green jobs. The approved projects incude 16 research projects in a range of sectors, incuding waste, agricuture, widife, transport and construction, as we as 8 capacity deveopment programmes to support both institutiona and individua capacities. The Green Fund begins to address some critica chaenges facing South Africa such as inequaity, unempoyment and poverty. Sources: (Green Fund, 2014; DEA, 2015) Funding patforms such as the Jobs Fund and the Green Fund are paying a significant roe in funding green economy transition initiatives, with noteworthy contributions to the domestic finance which has cataysed green economy investments in South Africa. 34

35 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY 3.2 Green economy initiatives by province and sector Figure 5 provides a snapshot of seected initiatives by geographica distribution and sector. It aso indicates the number of permanent jobs created in each sector within each province. The size of the circe for each province shows the tota number of green economy initiatives in that province and hence the reative importance of green economy investments in each province. The soid coour circes represent the size of each sector in each province, providing an indication of eading and under-represented sectors. The back circes show the number of projects that created permanent jobs in each sector. It is important to note that this graphic maps a activity accounted for by the GEISA, and that if an initiative operates in more than one province, it wi be represented twice in the graphic. Therefore, the tota number of initiatives wi not add to 357. This infographic shows that some provinces have an active green economy, such as the Western Cape, Gauteng and KwaZuu-Nata (KZN) and that some sectors (namey, agricuture) have more job-creating initiatives than others. Certain sectors are more active in some provinces, such as agricuture in the Eastern Cape, KZN, Limpopo and Mpumaanga (this refects the more rura and smascae subsistence characteristics of these provinces), renewabe energy (RE) in the Western Cape, Gauteng and KZN (these have 26, 24 and 20 RE initiatives, respectivey), and transport in Gauteng (this refects the urbanisation of this region and inking of the two main cities, Johannesburg and Pretoria). A arge number of transport initiatives that operate across numerous provinces are incuded in the graphic as nationa initiatives. Seven of South Africa s nine provinces have aready concuded green economy strategies, incuding renewabe energy strategies. Additiona observations from the GEISA on green economy activity in each of the provinces, coud support and guide panning and investment processes. If no initiatives were identified in a particuar sector, it is ikey that initiatives in this sector do exist but were not accounted for by the GEISA, given time and scope constraints. Eastern Cape - Has initiatives in a eight sectors - Has the second highest number of agricutura initiatives after KZN (16) - Resource conservation and management is a significant sector, in terms of number of initiatives identified (7) and number of initiatives which had created jobs (5) - The Sustainabe Consumption and Production (SCP) sector had the fewest number of initiatives (1) Free State (FS) - Has the owest number of initiatives (14), aongside the North-West province - Agricuture (5), Energy (5) and Waste (2) sector initiatives were most active - No green economy-reated Water and Buit environment initiatives were identified Gauteng - One of three provinces with the highest number of initiatives - Energy (26), Transport (18) and Waste (8) are the eading sectors - Agricuture (5) is the east represented sector - No initiatives were identified in Resource conservation and management 35

36 GEISA AN OVERVIEW KwaZuu Nata (KZN) Limpopo - Had the highest number of initiatives - Initiatives were spread across a sectors - Most initiatives were identified in the Agricuture (21), Energy (20) and Waste (8) sectors - SCP sector initiatives (2) were east represented - Agricuture (14) and Energy (4) had the highest number of initiatives, foowed by Waste (2) and SCP (2) - Very few Transport (1) and Resource conservation and management (1) initiatives were identified - No initiatives were identified in the Water and the Buit environment sectors Mpumaanga - Has a ow number of initiatives (21) - Agricuture (11) and Energy (5) had the highest number of initiatives, foowed by Waste (3), SCP (1) and Resource conservation and management (1) - No initiatives in Buit environment and Water were identified North-West - Has the owest number of initiatives, aongside FS - Agricuture (6) and Waste (3) sectors are eading sectors, foowed by SCP (2), Energy (2) and Transport (1) - Three sectors were not represented Northern Cape - Energy (6) and Agricuture (8) are eading sectors, foowed by SCP (2) - Resource conservation and management (1) and Waste (1) are poory represented - Buit environment, Waste and Water sectors are not represented Western Cape - Has the second highest number of initiatives - Initiatives are spread across a sectors - Energy (24) and Agricuture (14) are the eading sectors - Has the most Buit environment (14) projects - Few initiatives were identified in SCP (3), Resource conservation and management (3) and Water (1) 16% of the initiatives incuded in the GEISA did not specify a province, mosty in the transport and energy sectors; these are represented as nationa programmes. The foowing section wi discuss each sector in greater depth. 36

37 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY figure 5 A geographic representation of green economy initiatives, per sector A GEOGRAPHIC REPRESENTATION OF GREEN ECONOMY INITIATIVES, BY SECTOR 1 1 Province Sector Initiatives Initiatives creating permanent jobs WHAT DOES THIS SHOW? The reative size of the provincia green economy initiatives is the arge circe. The cooured custers show the number of initiatives by sector. The back bas highight the initiatives which created jobs Energy NORTHERN CAPE WESTERN CAPE Transportation Agricuture Resource Conservation & Management NORTH WEST Buit Environment Sustainabe Consumption & Production Waste Water 5 4 EASTERN CAPE FREESTATE GAUTENG LIMPOPO KWAZULU NATAL MPUMALANGA ? INITIATIVES WITH NO PROVINCE SPECIFIED

38 GEISA AN OVERVIEW Cean energy and energy efficiency Sub-sectors were identified as: Soar, wind, energy efficiency (incuding soar water heating - SWH), Bio-energy Hydrogen and fue ces Hydro-energy Education (incuded for energy-reated education initiatives) Tota number of initiatives identified: 120 Tota per sub-sector: soar (45), bio-energy (31), energy efficiency (incuding soar water heating) (9), wind (8), hydrogen and fue ces (6), hydro (5) and education (9). Number of jobs identified In genera, there is poor reporting on jobs for energy projects. Of the 120 identified renewabe energy and energy efficiency initiatives, ony 10 provided detaied information on the number and type of jobs created. 9 of the 10 initiatives reportedy created a arge number of temporary jobs during the construction phase of the projects. Athough these numbers do not provide an indication of the types of jobs created, it has been assumed that, since most renewabe energy initiatives are sti in the construction phase, the jobs created are mainy for semi- to ow-skied abour. No jobs were reported for soar PV projects (more specificay, for private instaations). Geographica ocation of projects The GEISA showed that most initiatives are independent projects that operate in a singe set ocation. The Inventory counted 21 independent energy projects in the Western Cape, a arge number of which are commercia soar photovotaic (PV) instaations; 16 in Gauteng, incuding municipa waste-to-energy projects; 13 in KZN, many of which are soar PV projects and 11 in the Eastern Cape. Many of the energy projects in Gauteng and KZN are part of municipa initiatives; Western Cape is the ony province with a significant share of commercia energy projects, some of which are in the agricutura sector. Less than 5 energy projects were ocated in the Limpopo, Northern Cape and Mpumaanga provinces. However, since REIPPPP projects were not counted individuay by the GEI- SA, it is possibe that arge numbers of renewabe energy projects exist in the Northern and Eastern Cape provinces as we. The GEISA referred to the REIPPPP initiative mainy to draw insight for the broader assessment. The REIPPPP had approved a tota of 95 renewabe energy projects by the cosing of Bid window 4 but specific detais reating to finance, target dates and measurabe objectives were acking. By comparison, the Private Sector Energy Efficiency (PSEE) initiative s detaied reporting was exempary. Funding sources and project partners Large-scae renewabe energy projects tend to have mutipe partners and a crowding in of investments. In genera, there is a ack of detaied reporting about funders. Other notes regarding renewabe energy projects incude: 53 out of 120 projects have a South African funder; Finand, Austria, UK and Germany are common internationa investors Large energy projects such as REIPPPP and Cean Deveopment Mechanism (CDM) projects are predominanty funded by internationa agencies and banks 38

39 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY The Industria Deveopment Corporation (IDC) and the Department of Trade and Industry (the dti) are active funding partners The Technoogy Innovation Agency (TIA) is active in funding piot and research projects A cear distinction between funders and project partners is often not made in reports ethekwini Metropoitan Municipaity had the highest number of energy projects supported by a singe funder, after the Energy and Environment Partnership (EEP) Southern and East Africa (S&EA) Pubic private partnerships (PPPs) for energy projects were predominanty observed in municipaity-ed projects Poor reporting has ed to an information gap about the tota vaue of funding for renewabe projects. Funding is generay above R5 miion for sma-scae (<1MW) projects, above R20 miion for medium-scae (>1MW) and above R100 miion for arge-scae projects. Ony haf of the energy projects incuded in the GEISA reported project contracting and impementation dates. Figure 6 provides an iustration of the renewabe energy project peak in 2013 and subsequent decine. figure 6 Number of renewabe energy projects by start date Number of Projects Project Start Date (Year) Economic indicators The cean energy initiatives discussed in this section are mainy renewabe energy projects that focus on eectricity generation; energy efficiency initiatives are discussed in the section on SCP. Most renewabe energy projects have potentia for expansion because of the nature of the technoogy. However, there is poor recording of projects post-funding; onine news artices argey provided information about the size of the pant, the cient and the companies responsibe for energy performance certificates. The ack of reporting on the scae of funding and source of funds and the ack of measureabe indicators eave major information gaps. 39

40 GEISA AN OVERVIEW Environmenta indicators Carbon emissions are currenty the main indicator of improved environmenta performance (especiay for CDM projects); no indicators measure the cross-sectora environmenta impacts of energy projects incuding water efficiency and sustainabe and use. Socia indicators Very few projects reported associated socia benefits. However, REIPPPP and CDM projects did, as this was part of their funding criteria. Cross-cutting themes Green jobs, awareness and training are the three most prominent themes. The government s Integrated Resource Pan, and associated poicy documents, focuses on job creation and improving skis in renewabe energy technoogies. Since renewabe energy technoogy is fairy new to South Africa, each project provides opportunities for jobs, training and awareness. Government sets cear targets for the socio-economic deveopment outcomes for REIPPPP projects. Circuar innovation Bio2Watt in Bronkhorstspruit is a good exampe of partnerships for bioenergy; its coaborators incude farmers, business and the oca municipaity (see Section for more information on Bio- 2Watt). The Bio2Watt project is considered to be an exampe of circuar innovation in waste to energy since waste from the farming process is used to generate eectricity instead of being discarded at a andfi site. CASE STUDY 50 MW Khi Soar One Project, Upington, Northern Cape Source: Abengoa Soar, 2014 Khi Soar One is a 50 MW concentrated soar power (CSP) pant being buit by Abengoa and Industria Deveopment Corporation (IDC) near the town of Upington in the Northern Cape Province. The tower is 205 metres ta, uses more than 4,000 atest-generation heiostats (ASUP 140), and covers 300 hectares. Khi Soar One uses super-heated steam, dry cooing technoogy, and has a two-hour steam storage system. Dry-cooing CSP systems use up to 90% ess water than wet-cooing technoogy, which is critica in semi-arid South Africa especiay in the Northern Cape. It is reported that a but one of the CSP pants impemented under the REIPPPP use dry-cooing systems. The Khi Soar One initiative is a great exampe of the effectiveness of partnerships between private business, government and oca communities 51% of ownership is by Abengoa Soar (51%), IDC (29%) and the Khi Community Trust (20%). Benefits incude: Approximatey 183,000 tons of CO2 emissions offset per year 600 jobs created during the construction phase 35 permanent jobs 40

41 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY CASE STUDY TIA Heio100 Technoogy Deveopment Project, Mariendah, Western Cape The Soar Therma Energy Research Group (STERG) at Steenbosch University has been deveoping a unique South African CSP technoogy that is abe to provide dispatchabe, cean energy at utiity scae, with the added benefit of high ocaisation potentia. It is the first South Africandesigned heiostat system intended for sma utiity-scae CSP towers. In eary 2014, the team won a grant from the Technoogy Innovation Agency (TIA) to showcase the technoogy in a 100kW piot faciity. The project iustrates the positive outcomes resuting from partnerships between research institutions and government that aim to commerciaise and support oca industry. It was seected as one of the winners of the Word Wide Fund for Nature (WWF) Cimate Sover Projects Source: Heio100, 2014 Concusions GEISA findings suggest that the foowing areas require further investigation: Research and deveopment of hydrogen fue ces and soar energy technoogies Decentraised and off-grid renewabe energy soutions which address energy poverty in areas that do not have access to eectricity Municipa finance as a key source of innovative financing of renewabe energy projects Waste-to-energy technoogies, as part of sustainabe waste management soutions, particuary for municipaities Reporting systems and data quaity for renewabe energy projects, from both the REIP- PP as we as private and pubic sector initiatives 41

42 GEISA AN OVERVIEW Transport and infrastructure Sub-sectors were identified as: Aternative fues Car share programmes Freight Fue efficiency and emissions Non-motorised transport Transport panning and Roads and taxis Tota number of initiatives identified: 64 Tota per sub-sector: panning (23), non-motorised transport (12), fue efficiency and emissions (10), aternative fues (8), roads (3), taxis (3), car share (3) and freight (2). Number of jobs identified Reporting of jobs was extremey poor for this sector. 10 of the 62 projects reported on jobs created; a reported the creation of 50 or more jobs and a created jobs were temporary. It is assumed that these jobs are created during the construction phase of the projects. Geographica ocation of projects GEISA shows that Gauteng province has the highest number of green transport initiatives (13); the Western Cape has 6 and the remaining provinces have an average of 3 projects each. 36% of these projects were in transport panning, 19% were in the non-motorised category and 16% were in the fue efficiency and emissions reduction. Initiatives that fa into the panning, non-motorised transport and fue efficiency and emissions categories were found to be equay supported by nationa and oca governments. Few initiatives fe into the car share and freight categories, as these are mainy private arrangements or commercia businesses respectivey. Funding sources and project partners The majority of funding came from South Africa. It was further noted that funding was spread across mutipe funders. The Department of Transport (DoT) had the highest number of projects by a singe funder with a tota of eight projects. As seen in the energy sector, there was evidence of pubic-private partnerships (PPPs); municipaities were centra to such partnerships. Funding ranged from R100, 000 to R17 biion; Bus Rapid Transit (BRT) projects received the highest amounts of funding. Economic indicators The majority of the projects identified were party state-owned or -funded. Transport and infrastructure projects are highy dependent on the avaiabiity of medium to ong-term pubic financing. Environmenta indicators Litte data with measurabe environmenta indicators is avaiabe for green transport and infrastructure projects. Whie greening this sector through initiatives such as non-motorised transport, car-sharing and pubic transport is integra to achieving the country s Nationay Determined Contributions (as set under the Paris Agreement), data coection of these impacts is sti in the eary stages. Socia indicators There were no measurabe indicators of socia impacts for the recorded transport initiatives. However, transport panning is part of nationa and oca strategic pans to tacke issues such as access to services and integrated urban panning. 42

43 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY CASE STUDY Iyeza Express Bicyce Courier Service, Khayeitsha, Cape Town, Western Cape Iyeza Express a medicine deivery service was founded in 2013 with just one customer, Sizwe Nzima s grandmother. It now deivers much-needed medication to over 1000 peope in Khayeitsha, Cape Town whie creating empoyment for five oca youth with basic skis. It was founded by 21-year od Sizwe Nzima from Khayeitsha. The project is currenty part of the New Economy Acceerator Programme. Source: Iyeza Heath, 2015 It is a good exampe of oca SMEs finding oca soutions to address oca chaenges, addressing issues incuding access to heath care, transport, youth, job creation and innovation. The project has received a variety of accoades, for exampe being isted as one of the Forbes Africa 30 under 30 most promising young entrepreneurs (2013) and received the Centre for Pubic Service Innovation (CPSI) Pubic Sector Innovation Award for improvement of pubic service in South Africa (2014). Cross-cutting themes The three key cross-cutting issues reated to transport are, in order of rank: governance and partnerships, research and Sma Medium Enterprise (SME) deveopment. Governance and partnerships faciitated 58% of the tota recorded projects, since transport panning forms part of nationa and oca government initiatives often with ong-term, arge-scae projects. Concusions There is a considerabe amount of disconnected activity which, in some way, addresses mobiity issues. This activity coud be aggregated and expanded to form a green mobiity sector that provides safe and appeaing aternatives to private car ownership. A few notes on the transport sector: In genera, there was a trend of poor recording of transport-reated projects from a green economy perspective, and many promising initiatives were not recognised as providing viabe, greener aternatives A significant portion of innovation in the transport sector ies in the private sector; the GEISA argey focused on pubicy-funded initiatives Non-motorised transportation in cities has become a focus for a few municipaities; there is rea potentia here for coaborative initiatives with the private sector and non-profit organisations Legisative changes coud faciitate the proiferation of smaer, more efficient vehices and non-motorised transport options for commuter transport and freight The quaity of data avaiabe on green transport initiatives is poor, and there is a ack of foow-up reporting which makes it difficut to assess the impact of these initiatives 43

44 GEISA AN OVERVIEW Agricuture, Food Production, Fisheries and Forestry Sub-sectors were identified as: Farming Fisheries Forestry Tota number of initiatives identified: 54 Tota per sub-sector: farming (40), fisheries (5) and forestry (9). Number of jobs identified The exact number of jobs created by the 54 reviewed projects was undetermined. However, it can be said that approximatey 26 projects in this sector (46% of surveyed initiatives for this sector) created at east 50 jobs per project. The Agricuture, food production, fisheries and forestry sector reported the highest potentia for job creation. Geographica ocation of projects Most projects in this sector were in KZN (21) and Eastern Cape (16), which, have the highest poverty headcount in the country and some of the poorest rura popuations (StatsSA, 2014). The Western Cape and Limpopo each have 14 projects in this sector 3. Between 5 and 11 projects were identified in the Free State, North West Province, Gauteng, Northern Cape and Mpumaanga. It is recognised that there are ikey to be more projects being undertaken in the Free State than indicated by the GEISA. A positive correation was observed between the number of initiatives in the sector and the rura poor ocated within the provinces of KZN and the Eastern Cape. Approximatey 50% of the projects had a oca focus; eight were initiated at a provincia and nine at a nationa eve. Funding sources and project partners The Jobs Fund, Department of Agricuture, Forestry and Fisheries (DAFF) and the Green Fund were the most prominent funders within this sector. The majority of initiatives are funded by South African entities, incuding private companies. The SEED Initiative was a good avenue for identifying projects, highighting oca initiatives that engaged a wide variety of community partners. The initiative was founded at the 2002 Word Summit on Sustainabe Deveopment in Johannesburg by UNEP, UNDP and IUCN, and supports the promotion of socia and environmenta entrepreneurship for sustainabe deveopment and poverty reduction. The Widands Conservation Trust is aso a proactive partner, often acting as fundraiser and project coordinator. Approximatey 50% of the projects provided vaues of funding. Projects with the argest funding pots were aocated to: Agri-Parks: A reativey new nationa project (DAFF) (R2 biion) Micro Agricutura Financia Institutions of South Africa (MAFISA) (R1 biion); Very itte information was avaiabe on the specific activities funded under this umbrea initiative Operation Phakisa and Camdeboo Aquacuture projects (R250 and R400 miion respectivey) 3 Note: Some projects are being impemented in more than 1 province. 44

45 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY CASE STUDY Tshwane Food and Energy Centre, Tshwane, Gauteng The Tshwane Food and Energy Centre is a greenfied deveopment, sited on 200 of 2,600 hectares zoned for agricuture. It aims to provide an integrated soution to food security and production, energy suppy, economic stimuation and job creation, whist embracing sustainabe green practices. In addition, the project wi improve the iveihoods of twenty-five dispaced farming famiies from nearby townships; they wi be provided with a pot of and on which to ive and farm. Each pot of and encompasses a house, rainwater harvesting tank, soar water heater, bio-septic tank, greenhouse, chickens and chicken huts, thereby enabing residents to be sef-sustaining and ive off-grid. Tshwane has provided 90% (R40m) of the core funding this fufis the Counci s remit to meet COP21, C40 and ICLEI objectives and targets, which wi hopefuy hep to attract additiona funding. R5m worth of investment has been provided by the EBF Group, who are the main contractors. EBF and the City of Tshwane wi co-manage the project unti it is sef-sustainabe. The Centre aso offers training programmes to ensure the farmers are equipped to understand farming economics and can efficienty produce quaity products. In addition, neighbouring farms with different products are invited to se their products at Tshwane Food and Energy Centre market stas and benefit from the training. This initiative heps Tshwane position itsef as the eading green capita of South Africa. It is an exampe of we-integrated partnerships operating across the agricuture and energy sectors in a arge city. Source: Dimmer, 2016 Economic indicators Job creation is a critica outcome of agricutura initiatives and 26 initiatives (46%) of the agricutura initiatives surveyed in the GEISA created 50 or more jobs. A verification of actua jobs being created woud need to be undertaken per project. A number of the agri-businesses and sma-scae farming initiatives have the potentia for scaabiity, athough there was itte evidence of expansion of initiatives at the time of the survey. Of a the sectors anaysed, the setting up of SMEs within the agricuture sector was a significant theme, with over 40% of projects citing the initiation of SMEs as an objective of their projects. 45

46 GEISA AN OVERVIEW Environmenta indicators A imited amount of information was made avaiabe to draw concusions on the environmenta benefits of initiatives impemented within the sector. However, some farming and mainy forestry projects (25%) auded to improving biodiversity e.g., by panting of trees. Not a forestry projects resut in benefits, uness indigenous trees are panted. A number of the forestry projects did aude to this, such as the Dukuduku Forest project, funded by GEF to conserve and restore the Dukuduku forest. It incudes the Manukeana indigenous nursery, which focuses on rare and endangered pants species in the area. It coud be argued that as these are projects that inherenty improve biodiversity, they woud have positive environmenta impacts. Projects that focused specificay on improvements in farming practices or introduction of organic practices coud be considered more beneficia than others. However, due to poor data avaiabiity, it is not possibe to adequatey refect on this. Socia indicators The most prominent socia improvement benefit reported in this sector was the skis deveopment and training for project beneficiaries and stakehoders; over 70% of projects reported this as an objective. A quarter of a agricutura projects mentioned the aeviation of poverty (especiay in rura settings) and improvement of heath and nutrition as outcomes of the initiatives. Cross-cutting themes Over 80% of provided funding was to invest in initia infrastructure or to cover set-up costs for entrepreneurship activities (57%). Over haf of the projects had a training or business deveopment eement. This was often tied into funding being an enaber to access markets e.g. for food. Project partners incuded academic institutions and agricutura coeges, projects therefore had an eement of research. Seven of the projects reported a focus on women farmers or sma-scae producers of food. Circuar innovation Circuar innovation was not a common theme for the majority of the initiatives identified. However, the agricutura sector often pays a roe in circuar innovation through the beneficiation of agricutura waste. A good exampe of this is the Bio2Watt initiative, which is a cross-sectora (agricuture and renewabe energy) initiative that uses offa from oca abattoirs, manure from oca ivestock farms and organic waste from oca juice makers, to produce power (see Section for further information on this initiative). Concusions A number of projects overapped with other sectors. These tended to be those that aso improved the biodiversity of a region or farmand, or where agricutura waste is used to generate energy. Some projects, such as the Tshwane Food and Energy Centre, iustrate how green jobs in the agricutura sector have transitioned from the more traditiona approach of supporting oca farmers initiatives to supporting more hoistic, muti-partnered projects that, if repicated throughout the country, coud contribute significanty towards a green economy transition, improving iveihoods and increasing jobs. 46

47 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Resource Conservation and Management Sub-sectors were identified as: Payment for ecosystem services (PES) Working for programmes Ecoogica infrastructure Offset programmes Widife management These sub-categories were based on the green economy programmatic areas isted on the DEA green economy website (DEA 2016). They worked reativey we, and if offset was interpreted as carbon offset, most information coud be captured. Infrastructure resiience was interpreted as ecoogica infrastructure as it made itte sense in this category to define it as engineering infrastructure. Tota number of initiatives identified: 31 Tota per sub-sector: Ecoogica infrastructure resiience and ecosystems (19), Widife management (5), Offset programmes (4), Working for... programmes (3), and Nationa payment for ecosystem services (0). Number of jobs identified Job data is extremey difficut to work with due to the ack of standardisation of reporting on job creation. Terminoogy incuding fu-time, part-time, fu-time equivaents, persona days, temporary, permanent, annua, over ife of project and created to date had varied meanings across job creation reports. This wi require carefu thought and standardisation as the GEISA is deveoped further. Large numbers of work opportunities were created in this sector. The Expanded Pubic Works Programme (EPWP) Working for programmes create iteray thousands of work opportunities annuay. However, there appears to be itte foow-through into permanent jobs since the economic modes are not yet in pace e.g. varieties of payment for ecosystem services. Geographica ocation of projects The majority of the projects in this sector (other than the very arge EPWP Working for programmes) tended to be ocay focused. There was a high concentration of oca projects in the Eastern Cape (4) and KZN (4). This sector ends itsef to ocay-focused projects as biomes/ecosystems are significanty different and thus require different kinds of projects. The arge EPWP projects tended to be impemented through nationa (e.g. SANParks) or oca impementation partners (mutipe). Funding sources and project partners Funding was spread across internationa and oca funders. Internationa funding came primariy from the GEF and was often counter-funded (in very high amounts) by EPWP. Internationay funded projects tended to focus on infrastructure resiience (here understood as ecoogica infrastructure) and, due to the high counterpart funding from EPWP, tended to focus on short-term work opportunities rather than ong-term job creation. Loca (municipaity) eve funded projects in semi-urban conservation or ecoogica infrastructure projects were aso often suppemented by EPWP. Nationa eve projects were predominanty funded by very arge nationa or internationa projects e.g. EPWP (through SANParks) or the Green Fund. 47

48 GEISA AN OVERVIEW CASE STUDY Expanded Pubic Works Programme (EPWP) The Expanded Pubic Works Programme (EPWP), aunched in 2004, incorporates a number of very arge resource management and conservation programmes, incuding: Working for Water Working for Wetands Working on Fire Working for Land Working for Forests Other programmes These programmes use government expenditure to create work opportunities for the unempoyed. In addition to the biions of Rand that are spent annuay by the nationa government on EPWP initiatives, additiona counterpart funding is raised through the Land-user Incentive Programme and funding agreements with arge internationa donor projects in the natura resource management (NRM)/ environmenta sectors. This investment creates tens of thousands of short-term work opportunities throughout South Africa with a cear commitment to socia incusivity. In addition to the work opportunities and wages (beow minimum wage), there is a skis deveopment component. These initiatives have undoubtedy had a huge and positive effect on NRM in South Africa. However, numerous studies have identified a number of areas that require attention, incuding the ack of job creation beyond EPWP work opportunities. This is party a function of the ack of rea commercia opportunities in the NRM sector due to non-existent or inadequate finance mechanisms such as payment for ecosystem services. EPWP provides both forma and informa training. However, in the medium to ong term consideration shoud be given to expanding existing ski sets in order to sustain the necessary and required skis in the sector. Thus, even in we-estabished and internationay accaimed green economy initiatives such as the EPWP, there is sti room for improvement. It must be acknowedged that South Africa has a ong history of inking tourism and nature conservation through a system of nationa parks, provincia parks and private nature reserves. These initiatives are now considered business as usua and were therefore not accounted for in this initia round of research as projects with data on funding, job creation, duration, etc. Severa of the arger (and we-documented) conservation projects in this sector support community ventures, such as Somkhanda and Makueke, were captured in the Inventory. 12% of surveyed initiatives focused on carbon offsets; however, it is uncear how many of these initiatives are actuay attracting ongoing carbon funding. The arge EPWP projects have a been under impementation for many years. Spikes in funding for the sector are the resut of cas for proposas from arge funders such as GEF and the resutant project ro out. For exampe, the Critica Ecosystem Partnership Fund (CEPF) project, managed through Widands Conservation Trust, resuted in an increase of projects in Eastern Cape and KZN due to a focus on eastern South Africa. 48

49 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Economic indicators It is extremey difficut to obtain meaningfu data on job creation given the varied definitions of basic terminoogy. Initia indications are that very few permanent jobs are created beyond the projects. The ack of projects that coud be cassified under payment for ecosystem services is an indication that the financia instruments for this kind of conservation work are not yet in pace. This is aigned with the recent research on Natura Resource Management (NRM) and the green economy conducted by the South African Nationa Biodiversity Institute (SANBI, 2014) and the CSIR (Audouin et a. 2015). Environmenta indicators A reviewed projects had biodiversity benefits and deiver significant co-benefits, such as strengthening community participation in oca resource governance and protecting indigenous forest. Many projects referred to the number of hectares (ha) paced under conservation (ong-term benefit) or restored (no rea information about foow-up), which was a usefu metric to capture. Socia indicators The majority of projects had an awareness-raising component. However, foow-through to more meaningfu education and green skis training was weak; ony 11 of the 31 projects specificay mentioning NRM-reated capacity deveopment. It is aso difficut to separate genera skis deveopment e.g. HIV/AIDS awareness or genera heath and safety training from training focused on NRM or conservation and green skis. Athough not often expicity stated, most projects seemed to be aware of the importance of promoting socia incusion and activey supported women and youth in the seection of participants. Cross-cutting themes Athough not specificay identified as green economy projects, one shoud not underestimate the vaue of we-estabished and ongoing conservation work. These initiatives create rea jobs over the ong term. SANParks use of EPWP and Environmenta Protection and Infrastructure Programme (EPIP) funding to enhance conservation areas and tourism infrastructure is a vaue-adding approach to ongoing conservation work. Circuar innovation Whie not specificay focused on circuar innovation, what is innovative in this sector is the sheer size of the EPWP programme and its focus on creating work opportunities. This has had both positive and negative socia and economic impacts; though the impacts on NRM have been argey positive. Concusions The focus on jobs may be miseading in this sector; a focus on iveihoods may be more usefu given the importance of ecosystem services to marginaised communities. This is not addressed we in project outines, perhaps due to the EPWP s focus on job creation. The need to protect and restore natura ecosystems is substantia and ongoing, and green economy initiatives in this sector shoud be further scaed up. There is aso an urgent need to factor environmenta services into financia instruments in order to create a more sustainabe economy; in other words, without some kind of payment for the protection of ecosystems, the potentia to buid a viabe green economy in this sector is imited. 49

50 GEISA AN OVERVIEW Buidings and the Buit Environment The foowing sub-sectors were identified as a way to provide more nuanced insights into the sector: Buidings Integrated panning Materias Settements and cities Tota number of initiatives identified: 29 Tota per sub-sector: Buidings (11), Materias (8), Settements & Cities (7) and Integrated Panning (3). Number of jobs identified Job data was quite imited for this sector, with ony nine of the projects providing detais on number of jobs being created. The number of jobs per project may be summarised as foows: 4 Projects: >50 permanent jobs, >50 temporary jobs 2 Projects: between11-50 permanent jobs, between temporary jobs 2 Projects: between temporary jobs ony 1 Projects: <10 permanent jobs, < 10 temporary jobs Due to the nature of construction work, jobs tended to be temporary; permanent jobs can be created in the operation and maintenance of green buidings. Geographica ocation of projects There is a strong bias toward activities in the Western Cape, which is home to 13 projects. This coud be reated to the Province s 110% Green initiative (which incudes the Better Living Chaenge and Sustainabe Settement Innovation Summit). Other areas of activity are in Gauteng (6 projects), KZN (3 projects) and Eastern Cape (2 projects). No projects were identified in the other provinces. 19 projects were specific to a oca government jurisdiction; 9 projects were nationay reevant; 1 project was province-specific. Funding sources and project partners The majority of the projects incuded in the Inventory received funding from South African sources. Two projects received foreign funding, from Germany and Switzerand, respectivey, both of which are active in the sustainabe buiding sector. This may expain their interest in coaborating with South Africa on projects. Funding sources were diverse. The Green Fund financed the argest number of projects (4), the Department of Human Settements funded three, and five projects were sef-funded or funded by mutipe sma contributions (such initiatives may be considered as potentia projects for arger-scae funding in future). Funding ranged from R780, 000 to R120 miion. The argest funded green initiative was the Corridors of Freedom project in Johannesburg, which aims to transform segregated urban settement patterns through transit-oriented deveopment. There is aso a R125,000 (USD $9 miion) project funded by the Word Bank, the Swiss State Secretariat for Economic Affairs (SECO) and Nationa Treasury known as the Cities Support Programme, an integrated urban panning initiative. 50

51 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY CASE STUDY Ocean View Stonehouse project, Cape Town, Western Cape Source: enca, 2013 The Ocean View Stonehouse Project in Cape Town exempifies how sight shifts in the housing mode can achieve environmenta, socia and economic benefits. The initia pan was to cear the hiside site of rocks and import cement bocks to construct the houses. By using the abundant on-site stone for housing construction, the project was abe to reduce materia and import costs and reaocate this capita to stonemasonry training opportunities for oca workers. It aso significanty reduced CO2 emissions resuting from the project. Ocean View Stonehouse Project has created aestheticay peasing, soidy buit homes and eft a egacy of skied workers that can be empoyed for other construction projects. A number of new projects were aunched in and four projects wi end in Limited information on funding detais was avaiabe for projects under impementation in this sector. Economic indicators Three projects demonstrated signs of financia sef-sustainabiity, two of which were commercia enterprises that were sef-funded since inception. Upon anaysis, 15 projects indicated potentia for up-scaing for further impact. Environmenta indicators Ony two projects provided an indication of CO2 emissions reductions: Cato Manor Energy Efficiency in Low Cost Housing Retrofit reported a reduction of tonnes per annum and the CO2 Energy Efficient Cay Brick Project reported an emissions reduction of 24,000 tonnes in This indicates that there is significant room for improvement in environmenta impact reporting on buit environment projects. It must be noted, however, that the Green Buiding Counci of South Africa s (GBCSA) certified projects have exceent data reporting, which coud provide a reporting mode for other projects. Socia indicators 13 projects exhibit evidence of poverty aeviation, skis deveopment and capacity buiding. Considering the potentia of the buiding industry to provide ow-skied jobs for the unempoyed, this sector has significant potentia to further contribute to poverty aeviation and skis deveopment. Four projects expicity mentioned youth invovement (ishack, Ocean View Stonehouse Project, Incusive Vioence and Crime Prevention (VCP) programme, Kein Begin Sustainabe Settement), but positive impacts on youth are expected to be much higher. The Wescape Deveopment project footprint was extended to reaise heath benefits, as it improved access to pubic heath services. Cross-cutting themes The most prominent cross-cutting theme was research (9 projects), foowed by training and awareness (8 projects each), green jobs (6 projects), governance and partnerships (5 projects), knowedge management, socia entrepreneurship, SME deveopment and youth (4 projects each), and finance and investment (2 projects). Further research is necessary, as is an increased focus on green job creation and a shift to greener buiding practices so that existing jobs in the sector become green. An expicit focus on trade and gender were not found to be themes of any projects surveyed in the sector. 51

52 GEISA AN OVERVIEW Circuar innovation The buiding industry has the potentia to pay a significant roe in promoting a circuar economy by reusing waste materias in new buiding construction. Projects that embrace this principe incude the Ocean View Stonehouse Project, the Kein Begin Sustainabe Settement Project, the Compressed Brick Manufacturing Project, EcoBrick Exchange and E-Khaya. The Two Rivers Urban Park project and the Greyton 110% Green Forum embrace circuar innovation more broady, ooking at systems that faciitate resource re-use where appropriate, taking into consideration that re-used buiding materia may not be of the same quaity as virgin materia. Concusions South Africa is a eader in green innovation in the buit environment in Africa and has one of the fastest growing green buiding sectors in the word. The country was in fact identified as goba eader in green buidings in the Word Green Buiding Trends 2016 (Dodg Data & Anaytics, 2016), with a sectora growth rate of 41% compared to a goba average of 37%. Green approaches are entering the commercia property sector with the hep of the GBCSA and others. Green innovation in the residentia sector has the potentia to deiver significant environmenta, socia and economic benefits, particuary in the provision of socia housing, which continues to be buit using highy unsustainabe designs and practices, despite environmenta guideines for ow-income housing and a number of demonstrated aternatives Sustainabe Consumption and Production (SCP) (incuding Mining and Manufacturing) The SCP sector was difficut to spit into sub-sectors because of the way the sector is structured, and thus initiatives identified in GEISA were not grouped into sub-sectors. SCP can be appied across a sectors. One coud categorise eary-stage SCP projects by sector (for exampe, energy efficiency, industria symbiosis and water efficiency). Industria symbiosis is an approach to resource efficiency where unused or residua resources of one company are used by another, resuting in mutua economic, socia and environmenta benefits. Tota number of initiatives identified: 25 Projects were mainy reated to impementing energy-efficiency measures. This coud be due to a number of factors, such as the energy crisis (wherein more investment has been made in demand-management strategies), technoogy deveopment and energy efficiency tax incentives. Much of the activity in this sub-sector has been ed by the private sector. The Private Sector Energy Efficiency Programme (PSEE) has successfuy demonstrated the business case for mainstreaming energy efficiency, highighting the savings potentia of impementing energy efficiency measures. However, many proposed measures were not impemented, primariy due to ack of avaiabe funding. The Inventory does not capture a PSEE initiatives. Switch Africa Green recenty impemented three SCP projects, a in the agricuture sector, whie the Nationa Ceaner Production Centre of South Africa (NCPC-SA) is a key catayst in the SCP sector and has case studies of projects that have been impemented. The scae of the action, however, does not yet match the scae of the chaenge. 52

53 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY CASE STUDY Recycing Paets Pays, Cape Town, Western Cape Industria symbiosis programmes (ISPs) unocks business opportunities through utiising unused or underutiised resources, such as materias, energy, water, assets, ogistics and expertise. A key part of the ISPs is connecting companies that can hep each other reaise these opportunities. A Western Cape Industria Symbiosis (WISP) forum in August 2014 connected the EnviroServe company with Combo Timber Structures. Combo Timber Structures began coecting broken paets from EnviroServe cients and remanufacturing them into new usabe paets. This resuted in a fundamenta shift in their business mode; it eiminated the need to purchase virgin wood to make paets. Thanks to further industria symbiosis, offcuts that cannot be used for paets are used for to make kennes and fire starters. Athough the project is sma-scae, it iustrates how a different approach can reduce andfi waste, create new revenue streams, save money, and benefit society and the environment. In the emerging green economy, projects citing muti-capita benefits such as these are rare gems. 1. Economic benefits R29,000 in cost savings by diverting wood from andfi R174,000 in additiona revenue via the sae of remanufactured paets. R100,000 invested by Combo Timber Structures for new equipment to dea with increased wood voumes 2. Environmenta benefits 79 tonnes of wood diverted from andfis 200 tonnes of CO2e savings 3. Socia benefits Three permanent jobs created to manage increased voumes of wood Source: Western Cape Industria Symbiosis Programme (no.date) This WISP project shows the potentia to achieve major socia, environmenta and economic benefits with one activity. Number of jobs identified Job data was very scarce for this sector. Ony two of the projects provided detais on permanent jobs created; one created ess than 10 jobs and the other created over 50. Ony three projects provided detais about the number of temporary jobs created; two projects created over 50 and one project created ess than 10 jobs. Much of the work in this sector, especiay pertaining to energy efficiency, is carried out by consutancy firms. Energy audits themseves create jobs in the form of energy efficiency monitoring, reporting and verification professionas. 53

54 GEISA AN OVERVIEW Geographica ocation of projects There is a fairy even spread of SCP projects across the country. Eight of the 14 projects that are cassified as nationay-ed projects provided no information about the provinces in which they were impemented. Eight projects are cassified as oca projects. These spanned across various categories. Some represented innovative ways of doing things, in many instances in response to drivers such as rising energy prices and oad shedding. Five projects were cassified as provincia-eve projects; four were impemented in Gauteng. Three of the five projects were funded by the IDC and GIZ. Funding sources and project partners The most common source of funding for SCP initiatives in South Africa was the IDC, which funded six projects. Specific detais on reevant project budgets were not indicated. The NCPC-SA payed a roe in four projects, but it was uncear from pubicy avaiabe information whether or not they funded individua projects. The argest project invoved R800 miion, the smaest R2 miion. With significant amounts of missing data, it is difficut to gain an understanding of funding sources in this sector as a whoe. Donor funding has payed a key roe in the identified SCP initiatives. For exampe, there were three EU-funded initiatives, Switch Africa Green, which is funded by the EU, and the PSEE, which was funded by the UK s Department for Internationa Deveopment. Private companies pay a significant roe as funding partners in this sector. The EU, UNEP and other UN organisations as we as NCPC and the Energy Efficiency Leadership Network (EELN) feature as major project partners. There is an even spread of projects start dates. The start dates of eeven of the 25 projects were not pubicy avaiabe. Six of the captured projects were competed by the time the Inventory research began, and three projects are due for competion by Sixteen projects faied to provide the intended competion date. Economic indicators Most SCP projects required a substantia initia investment, with a projected pay-back period. Required investments are wide-ranging up to R800m. These pay-back periods ranged from six months to three years. One project, with a required investment of R800m, has a projected pay-back period of two years. As such, none of the projects auded to the potentia to become stand-aone sef-sustaining entities. Nine of the 25 projects have the potentia to be scaed up in the medium to ong term. Environmenta indicators Approximatey 50% (14 in tota) of the projects demonstrated energy savings. Six projects were reativey arge scae, with annua energy savings of over 51,000MWh per project. Three projects reported energy generation, a in the ,000MWh per year range. Due to the nature of many of these projects, the energy savings or energy generation were key parts of the project viabiity studies, which, in turn, supports the coection and discosure of energy data. However, there coud be improvements in the range of data captured and the consistency of its presentation. 54

55 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Socia indicators Socia indicators were poory reported, though there are impied heath benefits to impementing energy efficiency measures, such as the improvement of oca air quaity. Skis deveopment, particuary through the work of the NCPC-SA, is a key socia benefit emerging from the sector. There is room for improvement on that front, especiay as many projects coud support skis deveopment, notaby through reorientation of education and training systems. This coud hep to equip technicians aong the skis vaue chain to impement ceaner production systems. Cross-cutting themes The most prominent cross-cutting theme was finance and investment, as SCP projects required a degree of upfront investment inked to a pay-back period. Of a reviewed SCP projects, 12 provided quaitative evidence of green job creation, athough the quantitative data did not support this assertion. Nine of the initiatives were aimed at raising awareness or sharing knowedge about their impacts. Circuar innovation Industria symbiosis projects provided evidence of circuar innovation. Three provinces Gauteng, KZN and Western Cape have successfuy impemented provincia industria symbiosis programmes, and there is aso a nationa industria symbiosis programme. There is scope for further innovation in this area. Concusions The NCPC-SA, PSEE and Switch Africa Green (SAG) and IDC are paying a key roe in making the case for and financing of energy efficiency initiatives in South Africa. The impact of NCPC and the PSEE on growing the energy efficiency sector coud be maximised if funding was increased to extend their capacity deveopment efforts and by inking these programmes to private finance, which is a critica barrier to the impementation of energy efficiency projects. SAG, a goba programme impemented jointy by UNEP and UNDP in six countries across four years, is sti in the eary stages of impementation but is aready sharing critica essons about energy efficiency in the agricutura sector. The IDC-supported energy efficiency initiatives in South Africa shoud be drawn on to strengthen the case for more private sector invovement in energy efficiency financing. Coaboration is strong in this sector. This shoud be everaged further to improve awareness within industry and catayse further symbiosis. However, very itte information is avaiabe onine, and what is avaiabe is dispersed and difficut to compare. There does not appear to be a centra coordinator of green projects in this sector in South Africa, so data extraction is time consuming. In some cases, an overarching project coordinator provides data for an entire arge-scae project (such as PSEE or some of the NCPC programmes). 55

56 GEISA AN OVERVIEW Sustainabe waste management practices Sub-sectors were identified as: Food waste Recycing Coection Waste-to-energy (WtE) Tota number of initiatives identified: 35 Tota per sub-sector: recycing (30), food waste (2), waste-to-energy (2) and coection (1). It is important to note that some waste projects are covered in sections on other sectors (Bio2Watt is covered in the section on the energy sector, food waste to anima feed projects are covered in the section on the agricuture sector, and paet repurposing is covered in the section on SCP). Number of jobs identified: It is difficut to comment on the tota number of jobs created as this information was often not suppied, even in the initiatives seected for anaysis. However, some projects indicated that over a hundred jobs had been created. This is significant given the potentia of sustainabe waste management practices to create jobs (Godfrey et a., 2016). Geographica ocation of projects Most waste management projects are ocated in Gauteng (8) and KZN (8); but aso in Western Cape (4), Eastern Cape (3), North West Province (3), Northern Cape (2), Limpopo (2), Mpumaanga (2) and Free State (2). The majority of these are oca-eve initiatives (17); whie nationa government supports five initiatives. There is no evidence of provinciay funded projects. Funding sources and project partners The main funders and project partners in this category were the Green Fund and PETCO. Many of the initiatives in this sector had been recognised and acknowedged by SEED s award scheme. The waste sector had some of the argest investments of a eight sectors surveyed in the GEISA, incuding the Working on Waste/Youth Jobs in Waste and Wastepreneurs, financed by the Green Fund, and the Durban Landfi Gas-to-Eectricity Project, which is supported by the Word Bank. Economic indicators 21 (60%) of the waste management projects stated that they had created 50 or more jobs, though it was not possibe to ascertain whether job numbers were predicted or had been reaised, given the desk-top methodoogy empoyed for the Inventory. It is impossibe to comment on whether projects continued to operate beyond the initia funding period. However, many of the recycing initiatives coud potentiay be repicated across the country, and some may indeed have aready expanded to other communities or regions. Environmenta indicators Most reported environmenta benefits were the number of tonnes of waste that were repurposed, coected or diverted from andfi. Additiona benefits incude reduced methane emissions from organic matter in andfis and reduced use of virgin materias resuting from increased use of recyced materias. Future reports coud investigate these types of project benefits. 56

57 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY CASE STUDY USE-IT waste beneficiation, ethekwini, KwaZuu-Nata The USE-IT initiative in ethekwini shows that materias that are perceived as waste can actuay be a high-vaue commodity that can be used to create new products. The USE-IT initiative aims to identify opportunities for waste beneficiation to increase waste diversion from andfi whie supporting green growth and job creation. Exampes of some of the initiatives supported by USE-IT incude: 1. Compressed earth bocks and Rambricks technoogy to use andfi-destined buiding rubbe as a component of a buiding bock mix for singe storey deveopments 2. E-Waste Recycing and Refurbishment Centre 3. Hammarsdae Waste Beneficiation Centre 4. Organics and Composting working with the Duzi Umgeni Conservation Trust (DUCT) to estabish sma piot composting operations using harvested oca riverweed From 2010 to 2014, ethekwini provided R4.5m for USE-IT to set up a waste beneficiation custer from which eeven projects have been created or supported. As a whoe, the project has: 1. Diverted 18,254m³ of waste from andfi, incuding 2,064 tons of pastic, 1,562 tons of paper, 934 tons of gass, cans and meta and 1,680m³ of green waste 2. R3.6m equivaent savings to andfi 3. Created 84 direct jobs and 68 indirect jobs from and a tota of 2,122 jobs since inception in 2009 For every Rand of funding ethekwini provided to USE-IT, the city has saved R1.83 in andfi diversion, making this is a cost-negative project with job-creation, environmenta, economic and socia benefits. Socia indicators The socia benefit most commony reported by a number of waste management initiatives is job creation and poverty aeviation. Cross-cutting themes Most funding was aocated to infrastructure deveopment or new business set-up costs. Four projects focused on (cosed oop) circuar innovation. A number of initiatives were connected to academic institutions and had a research component. The majority of projects had a community awareness raising and training eement. At east 26 of the initiatives activey invoved women. Circuar innovation Circuar innovation is particuary reevant to the waste management sector, and severa projects iustrate how waste can be a vauabe by-product of a process that can be reused to create a product to reaise additiona vaue. 57

58 GEISA AN OVERVIEW CASE STUDY Bio2Watt Biogas Pant, Bronkhorstspruit, Gauteng Source: Bio2Watt, 2016 Bio2Watt (Pty) Ltd is a eading industria scae biogas waste-to-energy company in South Africa. They have a purey green energy approach that uses andfibound waste for energy generation processes, thereby heping to decrease water and air poution. The Bronkhorstspruit Biogas Pant (BBP) is the first commerciay viabe biogas project in South Africa. It is ocated in Bronkhorstspruit (in the Tshwane Metropoitan area) on the premises of one of South Africa s argest feedots, Beefcor. This ocation provides proximity to key fue suppies, grid access and sufficient water, which is suppied by Beefcor s stormwater coection dams. Eary stage support was provided by the Department of Energy, who are using this project as a benchmark for future deas of simiar nature. Support has aso been provided by an extensive set of stakehoders, incuding BMW, who are using the Bio2Watt system to suppy energy to the Rossyn pant. The pant began feeding power into the nationa grid in October 2015, and created ong-term direct and indirect empoyment. The success of BBP is ikey to ead to many more pants. With over 14 miion catte in South Africa, a significant number of which are kept on arge farms, the potentia for project repication is substantia. Interest shown in BBP indicates that this is a new emerging industry in South Africa. Concusions Amost 75% of identified waste projects support sustainabe waste management, from coection and recycing to waste beneficiation. This highights the importance of an end-of-ife focus in a product s vaue chain, with exampes of how to create vaue for waste or reduce waste through ean management initiatives in suppy chains (these are possiby captured within the SCP sector). 90% of waste in South Africa sti goes to andfi (DEA, 2012), meaning that there is ampe opportunity to impement sustainabe waste management practices across the waste hierarchy and waste streams. The food waste management sector aso merits attention. South Africa wi aunch the UN s Think. Eat.Save campaign nationay over the coming year (it was aunched gobay by UNEP, FAO and other partners in 2013). This wi raise significant awareness on the issue, and coud resut in increased funding for initiatives to reduce food waste. 58

59 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Water management Pease note that arge catchment management projects were incuded in the section on Resource Conservation and Management (RCM) (e.g. EPWP, Working for Water, Working for Wetands). Sub-sectors were identified as: Water harvesting Aternative technoogy effuent management Comprehensive municipa water metering Reducing water osses in agricuture, municipaities and mining These sub-sectors are based on the green economy programme areas isted by the DEA (DEA 2016). These categories proved to be not particuary usefu, as many arger water sector projects reate to catchment management. It is recommended that in future the water sector be sub-divided into three sectors catchment management, water capture and oss reduction, and effuent management to capture the fu spectrum of water sector initiatives. Tota number of initiatives identified: 10 Tota per sub-sector: catchment management (5), effuent management (3), and urban initiatives focused on water capture and oss reduction (2). Number of jobs identified The number of jobs being created in the sector is sti imited. Opportunities are emerging, particuary in initiatives reated to greater pubic and private sector investment in catchment management and eak detection. The War on Leaks initiative, which is sti reativey new seems to have a significant impact, particuary with regard to training. Geographica ocation of projects These projects were often nationa eve, as water issues coud be deat with in simiar ways across the country. Significant innovation was evident in the urban initiatives in KZN and the Western Cape. Funding sources and project partners Outside of the arge nationa water initiatives incuded in the RCM sector, funding for these initiatives were often municipa-eve and aocated to innovation in wastewater treatment. The 2015/2016 drought has ed to a focus on eak detection, and both nationa and oca government are initiating projects in this area. Water poution from sewage is aso an emerging focus area. Most projects are at research phase or impementation. Economic indicators There is potentia to scae-up many of the initiatives, which are sti argey pubicy-funded. The case for greater (and compementary) private sector investment in critica ecosystem services such as water has been articuated recenty by both the South African Nationa Biodiversity Institute (SANBI, 2014) and the Counci for Scientific and Industria Research (Audouin et a., 2015). Environmenta indicators Key impacts of the water management projects are protection of water resources (catchment management), water saving and reduced nutrient oad into water sources. These impacts were not quantified in the projects surveyed in the Inventory. 59

60 GEISA AN OVERVIEW CASE STUDY Enviro Champs, Mpophomeni, KwaZuu-Nata Source: Mpophomeni Conservation Group, 2015 In the context of high unempoyment, poor service deivery and a history of activism around socia issues, oca communities are increasingy mobiising on environmenta issues. The Enviro Champs in Mpophomeni in the catchment of Midmar Dam, KZN, is one exampe of community mobiisation. With initia support from oca NGOs and the UMgungundovu District Municipaity, community members have used citizen science toos to monitor and report on sewage manhoes in their community that are discharging raw sewage. 20 community members, predominanty women and youth, currenty monitor over 60 manhoes. Four years ago, over 50% of the manhoes were surcharging hundreds of itres of sewage into streams that fow into the Midmar Dam. Years of monitoring the manhoes and oca water quaity and upoading this information to the Internet produced rea resuts: as of January 2016, there were no discharging manhoes. The Enviro Champs are currenty funded by the EPWP to monitor sewage spis, water eaks, soid waste and a number of other environmenta issues in their community. They aso work with the nationa Department of Water and Sanitation, the UMgungundovu District Municipaity, municipa pumbers, the Mpophomeni municipaity and Ward Counciors to ensure that a safe and heathy environment is maintained in Mpophomeni. Accredited education and training initiatives supported by oca NGOs have enabed the Enviro Champs to run environmenta education programmes and street theatre in Mpophomeni. This mode is now supported in other areas across the country incuding Steenbosch, Ceres, and Pongoa. The Enviro Champs are active in supporting these emergent community initiatives. A key chaenge is finding a sustainabe funding mechanism for these community initiatives, such as payment for eak and spiage detection. This wi require innovation in terms of reporting and ow transaction costs for payment. Access to the internet and the use of cephone technoogy makes the initiative quite feasibe. Socia indicators A growing number of very sma initiatives modeed on the Enviro Champs/FLOW/Water Hussers are improving the quaity of ife in under-serviced urban areas. The potentia to buid this into an economic activity depends on owered transaction costs and supporting community invovement with benefits. There seems to be huge invovement from both youth and women in such projects, often due to the vountary and cose-to-home nature of this work. 60

61 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Cross-cutting themes There is a cose ink between the water and resource management sectors due to the emphasis on catchment management as a response to water quaity and quantity issues. A focus on the ink between waste and water is aso emerging, due to the poor functionaity of South Africa s wastewater treatment pants. Finay, the ink between energy and water (particuary wastewater) is evident, due to efforts to improve current technoogy and infrastructure to use methane gas produced at wastewater treatment pants. There is aso potentia for greater inkages between stormwater management and water saving initiatives. Circuar innovation A number of initiatives in the wastewater sector have substantia potentia for nutrient recovery. Johannesburg Water produces compost from wastewater sudge and waste wood from the tree-feing industry. Many of the identified initiatives were in the research phase and were not incuded in the data captured. This is an area with substantia potentia for expansion. Much of the work reated to the inks between wastewater and the circuar economy are sti at the research phase or are sma piot studies. Unfortunatey, some of the more innovative work such as Genius of Space ( is very poory reported on beyond a description of the project. Therefore, it is difficut to assess its impact. Concusions The majority of initiatives in the water sector overap with RCM, SCP, agricuture and energy, since the avaiabiity of water is a critica input in these sectors. It is recommended that mechanisms for water pricing and investment modes for catchment management (which are aready underway) are prioritised, given the ongoing water crisis in the region. New and successfu approaches to water conservation, oca-eve water management and sanitation that are currenty avaiabe in South Africa shoud be up-scaed. 61

62 GEISA AN OVERVIEW 3.3 Cross-cutting themes The foowing themes were used to examine and understand some of the overarching impacts of identified initiatives in South Africa s green economy transition: Governance and partnerships Trade Finance and investment Research Awareness Training Skis deveopment Knowedge management Figure 7 provides a detaied overview of the distribution of these themes across each sector. Each puzze piece represents the percentage of initiatives that incorporate the given theme. It shows that certain sectors have a thread of themes common to them, or that certain themes are pertinent to certain sectors. For exampe, finance and investment is, perhaps obviousy, the most common theme, as funding is generay directed to set-up and/or tria innovations or businesses to impement an initiative. The seed investment acts as a catayst for bringing an idea or arge-scae project to commercia reaisation. Awareness was identified in a sectors, but particuary in the transport sector, which is ikey due to the emphasis of these initiatives in encouraging behavioura changes incuding the use of aternatives to private cars. Trade was identified as a key theme in the agricutura sector, notaby for initiatives that focus on export-oriented agro-processing, where getting products to market is a primary goa. Skis deveopment through training mechanisms was identified as a key cross-cutting theme in a sectors. Improved business skis can hep ensure sustainabiity of initiatives post-funding, and improved technica skis can hep to ensure that users or empoyers have a good understanding about maintenance and operations. Whie training was not a focus of the GEISA, it woud be usefu to better understand who is offering training, how to enhance training, how green skis coud be integrated into other initiatives to improve South Africa s skis set, and to compement current research. This is an important area that requires further assessment, as there is a strong sense that the skis deveopment component of green economy work is often negected. Having an increased green skis poo wi enabe South Africa to proactivey impement and up-scae green economy initiatives. The gaps, made visibe by Figure 7, are aso of interest, particuary the dearth of initiatives which focus on women and youth. Given the scae of the energy sector, there are severa gaps regarding its impact on cross-cutting themes, and further research is needed to capture data across a of the green economy criteria. Additiona research is needed to determine whether these are rea gaps or whether the information is not pubicy avaiabe. As part of the data gathering process, each initiative was aso assessed against a number of criteria across broad green economy indicators. These incuded environmenta and socia benefits emerging from the investments, jobs created; finance generated, project scaabiity and ongevity, and circuar innovation. 62

63 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY figure 7 A sectora overview of the cross-cutting themes A SECTORAL OVERVIEW OF CROSS-CUTTING THEMES CROSS-CUTTING THEMES of initiatives exhibiting the stated cross cutting theme Awareness Finance & Investment Governance & Partnerships Green Jobs Socia Entrepreneurship Knowedge or SME Management Research Deveopment Trade Training Women Youth No cross-cutting themes exhibited ENERGY 34% 5% 18% 31% 1% 9% 3% 3% 9% 1% 2% 41% TRANSPORTATION 97% 0% 58% 5% 0% 19% 13% 0% 0% 2% 2% 2% AGRICULTURE 4% 81% 7% 13% 0% 2% 57% 37% 61% 13% 2% 2% RESOURCE CONSERVATION & MANAGEMENT 26% 0% 29% 39% 13% 32% 26% 0% 35% 6% 0% 19% BUILT ENVIRONMENT 28% 10% 21% 21% 14% 31% 14% 0% 28% 0% 14% 10% SUSTAINABLE CONSUMPTION & PRODUCTION 36% 72% 16% 48% 36% 16% 24% 0% 28% 0% 0% 16% WASTE 21% 67% 0% 46% 0% 8% 42% 4% 50% 21% 21% 4% WATER 50% 0% 0% 30% 10% 20% 20% 0% 20% 10% 10% 10% 63

64 GEISA AN OVERVIEW What was abundanty cear from this exercise was the genera ack of information about the number of jobs created and about the genera socia and environmenta benefits of green economy initiatives. This does not impy that the information does not exist; rather it suggests that initiatives do not necessariy report their broader impacts in the pubic domain. This points to the need to design research monitoring, evauation and earning (RMEL) processes that enabe initiatives to identify and report on the mutipe returns of green investments, particuary the socia and environmenta benefits, in order to provide evidence that wi support the case for additiona investments into greening economic sectors. Section 3.4 beow incudes insights from the interviews and from iterature recommended by the interviewees, and compements the findings of the sectora anaysis. The Appendix provides more detai on the research approach, incuding the interview questions and ist of peope interviewed. 3.4 Stakehoder insights Definitions and criteria The issue of definitions and criteria came up repeatedy in interviews and was a recurring point of engagement between partners. As mentioned, this review worked with a definition of green economy that cosey aigns with UNEP s idea of a ow carbon, resource efficient and sociay incusive economy. In 2010, the South African Green Economy Summit defined the green economy as a ow carbon, resource efficient and pro-empoyment economy the emphasis on empoyment and jobs refects a focus on the high and persistent unempoyment eves in South Africa. This definition is concise, easiy communicated and understood, and conveys the centra importance of socio-economic factors to the green economy transition in South Africa. As such, it was a usefu way of introducing the focus of the GEISA to interviewees and for setting the criteria for the data searches, which had a strong emphasis on direct job creation. It is recommended that the concept of pro-empoyment is broadened to incude indirect contributions to empoyment and job creation, such as skis deveopment and research. Despite the usefuness of the above definition for the green economy scoping exercise, it negects many important issues. Many interviewees stated that these negected issues has resuted in tension in green economy discussions in South Africa and internationay. Interview participants described the definition as, on the one hand, fuffy, catch-a, a wish ist and on the other as eco-centric and divisive. In some instances, these responses seemed more focused on the term green economy than the short definition given, but the underying tensions were evident and shaped participants responses. A number of the interview participants that were famiiar with green economy discussions noted that the work, Green Economy Discourse in South Africa, by Car Death (2014) provided usefu insights for navigating the issues surrounding green economy definitions in South Africa. Death identifies four main discourses of the green economy: Green revoution radica transformation of economic (and hence socia and poitica) reationships to bring them in ine with natura ecoogica imits Green transformation a re-aignment of current socio-economic and poitica systems whie eaving the basic eements and assumptions of economic growth intact 64

65 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Green growth sees green markets as an economic opportunity thus dismissing the notion of imits and focusing on new markets, new services, and new forms of consumption Green resiience aims at protecting the status quo and paces an emphasis on buiding infrastructure and communities that are resiient to cimate change (food defences, disaster reief pans) rather than addressing underying environmenta issues It is possibe to identify each of these discourses to some degree within South African invocations of the green economy, but it is impossibe to ceary identify a homogenous South African position given the different agendas, actors, and emphases invoved (Death, 2014). The impication of ack of carity in terms of definition is that South Africa is a recognised eader in the green economy whie having one of the worst ranking environmenta performance records. (Yae Environmenta Performance Index, as cited in Death, 2014). As Death notes, the risk is that despite the frequent use of the green economy rhetoric, the overa commitment is rather shaow and incoherent, and it poses itte potentia to drive sustained economic growth et aone genuiney transform the South African deveopment mode. In addition to the discourses mentioned above, other commentators have noted the importance of recognising a green jobs discourse in South Africa (Swiing et a., 2016). Perhaps due to the ack of conceptua carity, there is a growing sense that the focus on green economy wi detract from a focus on pressing socia and economic issues, and coud be divisive and aienating in South Africa. This position is strongy articuated in the report, The Power of Coective Action in Green Economy Panning: It s the economy, stupid (Nichos et a., 2016), which makes the point that terms ike the green economy (environmentaists), incusive economy (human rights speciaists) and circuar economy (engineers) are a trying to communicate the same simpe idea the economy that we have is not necessariy the one that we want. In reaity there is ony one economy and we cannot have a meaningfu conversation about the economy if we divide it into narrow chunks. The imit of this approach is that it seems to separate the economy from the society in which it operates and the panet in which we ive. This a goes to show that there is a rea ack of carity in the coective discussion on the green economy at present, and cas the usefuness of a catch-a phrase into question. A more hoistic and integrated framework and anguage for conveying the country s ambition needs to be deveoped. This is not to impy that consensus needs to be reached. In fact, interviewees noted that by waiting for consensus to be reached, many opportunities for action and positive engagement among stakehoders and across sectors woud be missed. More importanty, it appears that what is needed is a framework for acknowedging mutipe perspectives and understanding what informs these perspectives. It wi then be possibe to deveop ways of working on joint initiatives based on common principes or aspirations, grounded in shared risk or opportunity and refective of stakehoders skis and experience. One suggestion that seemed to provide a usefu starting point was to make the inks between the green economy and the Sustainabe Deveopment Goas (SDGs) more expicit, and to highight how different green economy initiatives contribute to the SDGs. In the ongoing deveopment of the GEISA, interview participants suggested that it woud be usefu to broaden the definition and thus open up the criteria. 65

66 GEISA AN OVERVIEW Lighthouse projects and suggested areas of focus In the interviews, participants were asked what they considered stand out or ighthouse initiatives in the green economy andscape of South Africa. The REIPPPP was mentioned by a number of interviewees (see Section 1.3 for a more detaied description of this initiative). However, many smaer initiatives were aso considered to be outstanding for their innovation and reevance. Some of these initiatives tended to refect emerging priorities such as the water crisis or the aspiration and need to find ways of working across sectors. This cross-sectora work was referred to by a number of interview participants as nexus projects. These insights are expored in more depth in this section. The REIPPPP was noted by many interviews as a very significant case study that needs to be better understood as a mode for green economy expansion in South Africa. Since this project has aready been mentioned in this report, no further detai wi be provided here. Interview participants aso identified a number of aspects of the REIPPPP that needed to be better understood and adapted for other sectors, incuding poicy reform, reguatory change, financia mechanisms and crisis response, in order to scae up the work in other green economy priority sectors. An innovative initiative that was not captured in the Inventory and that was mentioned as by interviewees was the Buungua Lodge initiative in the tourism sector. This kind of initiative has strong socia and environmenta attributes and seems to succeed because of the ink to highy skied and infuentia individuas in oca communities, and the abiity to deveop ocay whie based on nationay-connected initiatives. Other sma-scae initiatives such as tea production by community groups and deriving vaue from oca resources such as baobab trees were mentioned in a simiar spirit. Off-grid renewabe energy, incuding the uptake of Photovotaic ces (PV) by residentia and commercia sectors, was mentioned by a number of interviewees with the V&A Waterfront cited as a prominent exampe. Reduced production costs was mentioned as a key driver for the expansion of this area. The industria symbiosis initiatives currenty under impementation in the provinces of Gauteng, KZN and the Western Cape were considered to merit greater attention, given their potentia within the green economy space. Aso mentioned was the introduction of green manufacturing to arge businesses, such as Coca Coa and South African Breweries, who sought to offset their environmenta impacts (particuary water consumption). Participants fet that studies that buid the business case for such initiatives woud provide an incentive for more businesses to foow suit. Finay, the Biodiversity and Wine Initiative in the South African wine industry was mentioned, aong with the importance of deveoping a abe to signify the positive biodiversity impacts of this initiative to potentia consumers. Interviewees aso noted that many exciting green initiatives operate across more than one sector. One exampe is the nexus between water and energy. As water avaiabiity diminishes due to drought and use, concentration of poutants increases. This is exacerbated by the fact that the vast majority of the wastewater treatment works in South Africa are sti categorised as medium- to highrisk and 25% are considered critica risk, which means the pant is approaching its critica state of operation and therefore requires intervention (DWS, 2014). In parae, wastewater treatment works have to invest between 22% and 60% of their operating costs to purchase energy (Scheepers & van der Merwe-Botha, 2012; interview data). One interviewee mentioned an innovative soution: use the sewage from wastewater treatment pants in biogas eectricity systems. This wi require coaboration across the water and energy sectors; and can provide insights about the types of support that nexus initiatives need. 66

67 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY The Bio2Watt experience (referenced as a case study in Section 3.2.7) shows that reguations reated to cross-sector coaborations require some attention. For instance, energy reguations contributed to a five-year deay in construction and operations because energy from biogas production was not abe to feed into the nationa grid. Many interview participants mentioned the importance of these cross-sectora initiatives as sites for innovation, earning and change (particuary as reated to poicy, reguations, financia modes, skis shortages, technoogica bottenecks and more). It may make more sense to scae up outstanding projects instead of simutaneousy deveoping a range of initiatives. That way, projects can buid on existing good practice and avoid simiar issues or deays across mutipe sites System change for a green economy transition Information obtained through interviews showed that a number of areas require systemic change in order to support the agenda of a green economy transition. Some of these changes were noticeaby absent, despite a number of piot studies; others were evident as innovations in particuar initiatives. This review custers these insights into four areas: finance, integration, information, and socio-economic considerations Finance The REIPPPP highighted the importance of creating new financia modes for energy pricing and guarantees in the form of feed-in tariffs and ong-term government commitment to the growth of the renewabe energy market. Athough there are sti gaps in this framework, it has payed an important roe in giving investors the confidence to assess risk and rewards based on a onger-term perspective. This has opened up new partnerships and financing agreements to support renewabe energy. The ack of simiar mechanisms in other sectors, such as the recycing sector for instance, has exposed many businesses to substantia risk and has stifed sector deveopment. Another area requiring systemic change is ecosystem vauation in the context of economic deveopment. For too ong, companies have been abe to expoit ecosystem services without paying a price that refects the true costs of these resources. For exampe, most companies use water resources without being required to make substantia investments in catchment maintenance to ensure ongoing water avaiabiity. At present, government invests heaviy in in maintaining and rehabiitating ecosystem services through initiatives such as the Working for programmes; these programmes need to find a way to convert short-term work opportunities into ong-term jobs. This systematic shift wi require a substantia focus on financia mechanisms, such as payment for ecosystem services, and other incentives to stimuate greater pubic and private sector investment in ecoogica infrastructure. Some of the interviewees mentioned the need for new financing modes, such as support for green start-ups that provide mentor guidance, protection against market voatiity, preferentia interest rates, etc., and that socia and environmenta costs and benefits, need to be refected in vauation. This wi require onger timescaes for payback periods and more sophisticated fu-cost accounting practices. Finay, it is important to note that the insurance industry is a partner in a number of green economy initiatives and is doing a substantia amount of work reated to risk and risk mitigation from a financia perspective. This industry woud thus be an important partner in creating systemic change in the financia sector. 67

68 GEISA AN OVERVIEW Cross-sectora inkages Sectora integration is reevant to many existing and emerging green initiatives. In interviews, sectora experts and experts working in cross-cutting thematic areas such as research (trans-discipinary and cross-sectora research), education (trans-discipinary earning) and poicy making (cross-sectora poicy and integrated panning frameworks) continuay mentioned cross-sectora coaboration. Many interviewees mentioned the importance of integrating systems thinking into sioed discipines, and working to identify key evers or infuence points within systems. Existing and potentia ( dream ) strategic projects to support sectora integration were discussed by interviewees. Exampes such as the Tshwane Food and Energy initiative and emerging industria symbiosis initiatives provide potentia areas for earning about and up-scaing sectora integration. Poicy was identified as a key area to support sectora integration and a systems approach. As noted, a tota of 32 nationa or provincia eve frameworks, strategies, poicies or Acts support or enshrine sustainabiity and/or the green economy in South Africa. These poicies, whie creating an enabing framework for the green economy transition, have aso created obstaces and compexity that can hinder the green economy transition (e.g. the Bio2Watt experience, mentioned in section 3.7.2, where energy sector reguations caused a five-year deay in project reaisation). Addressing the issue of poicy coherence wi require muti-stakehoder engagement on poicy. It is recommended that such poicy engagement be supported in future initiatives Certification and information Many interviewees wanted to know how to distinguish between rea green initiatives and greenwashing. This was a major barrier for companies that wanted to support a reduction in GHG emissions, resource efficiency and pro-empoyment product deveopment, but were unabe to recoup their investment through competitive advantage, differentiation and price premiums on environmentay and sociay responsibe products. At the same time, suppy chain managers need to spend substantia time and resources to identify green products or production inputs to integrate into their suppy chains; this points to a ack of easiy accessibe information and appication of recognised standards. Quaity assurance standards, such as those issued by the Internationa Organisation for Standardisation (e.g. ISO 14001) and the South African Bureau of Standards, set internationa and nationa benchmarks for environmenta management systems; the Forestry Stewardship Counci (FSC) provides industry standards, and initiatives such as the Good Guide ( provide product-eve environmenta and socia information to guide decision making. Transparency aws, which coud potentiay make discosure of the socia and environmenta performance of a buiding compusory at the time of sae avaiabe, was identified as another too to support transitions to greener economies. One interviewee gave the exampe of Austraia, where seers need to te buyers how much water and energy their property requires to operate and advertise this information when seing the property. 68

69 3 ANALYSIS OF CURRENT INITIATIVES FOR AN INCLUSIVE GREEN ECONOMY Socio-economic considerations For the purposes of this anaysis, the main difference between UNEP and South Africa s definition of the Green Economy is the emphasis on socia incusivity and pro-empoyment in the atter. On this front, it is important to note that a focus on forma empoyment within the forma economy coud undermine some very significant initiatives in the green economy and further marginaise poor communities. For exampe, the EPWP programmes aim to enhance the iveihoods and quaity of ife of the resource poor in South Africa a focus on forma jobs undermines both the egitimacy and socia benefits of these green initiatives. If the economy is understood as the distribution of resources, then the distribution of environmenta goods outside of the forma economy aso requires attention, and the contribution that functioning ecosystems make to rura iveihoods needs to be factored into the broader discussion on green economy in South Africa. More focus aso needs to be paced on creating entrepreneurship opportunities (even if they are informa) that contribute to a green economy. At the same time, campaigns can hep to change consumer habits and preferences so that they support sustainabe consumption and behaviour patterns. Whie the procurement poicy of the South African government has a strong redistributive goa, skis for greening pubic procurement requires nationa-eve attention. This wi have to be carefuy baanced against the transformative focus on pubic procurement poicies. Insights from the data, interviews and stakehoder feedback suggest that, in addition to an inventory of initiatives that iustrates the extent of green economy activity across the country, a more detaied study is required to track the on-going integration of green economy principes into the economy. Further research coud compement the insights from the GEISA, which has begun to iustrate how green investments can hep make significant inroads into greening the South African economy. 69

70 GEISA AN OVERVIEW 4 SUMMARY OF FINDINGS AND RECOMMENDATIONS The Green Economy Inventory of South Africa (GEISA) presents an overview of the initiatives across sectors that are driving South Africa s transition to a resource efficient and ow-carbon economy, drawing insights about opportunities and how to prioritise future green investments. It cannot fuy capture the richness and diversity of actions taken towards South Africa s transition to a green economy, but it does estabish a knowedge base for improved coaboration, coordination, poicy deveopment and impementation. The overview resonates with the concusions made in the South Africa Green Economy Modeing (SAGEM) report (UNEP 2013), which ceary states that green economy investment interventions have positive impacts on the main indicators representing the transition of South Africa to a green economy. 70