Sustainability Week Africa: The path to sustainability must balance profit with community-focused practices, as seen in investments in solar power, responsible sourcing, and regenerative agriculture.
Held in the heart of a sunny Cape Town, the first edition of Economist Impact’s Sustainability Week Africa gathered hundreds of stakeholders from across the continent and the world to discuss Africa’s green industrial revolution. The two-day business-centered conference aimed to explore how businesses and investors can participate in tackling climate change and supporting the continent’s ecological transition, without forgetting its complex socio-economic realities. Panel discussions explored crucial issues ranging from supply chain sustainability to carbon credit financing, with speakers from some of the world’s largest multinationals and institutions.
Retail’s Response to Climate Change in Africa
Retail leaders discussed the need to address climate change, with Woolworths Holdings Limited at the forefront. Chief Sustainability Officer Feroz Koor noted how climate impacts in South Africa are influencing retail operations. Suppliers in the Western Cape, a drought-prone region, are already buying land elsewhere to mitigate the effects of water scarcity, underscoring the critical need for resilience in sourcing strategies. Woolworths has prioritized supply chain traceability, transparency, and sustainability to align its operations with the future of responsible retailing.
The retailer has committed R17.5 million to renewable energy projects across South Africa, including solar installations at their Cape Town headquarters, distribution centers, and stores in Limpopo and the Eastern Cape. This expansion has tripled the headquarters’ solar capacity, now powering 11% of its energy needs.
Many stores operate within leased spaces, meaning retailers often don’t own the building’s roof or infrastructure needed for renewable energy installations. At Phalaborwa Mall, Woolworths partnered with the landlord to install a 165 kWp solar system, which now provides 30% of the store’s energy needs. By partnering with landlords and adapting solar installations in stores, such as the 300 kWp installation in Greenacres, Woolworths is addressing ownership challenges while boosting renewable energy uptake.
Looking ahead, Woolworths aims to source all energy from renewable sources by 2030, combining this goal with energy efficiency practices like installing fridge doors and smart technologies that have reduced store energy intensity by two-thirds. Koor emphasizes that these investments not only enhance environmental sustainability but also support Woolworths’ goal of “future-fit” retail operations.
Financing Renewable Energy in Africa
Other panel discussions focused on challenges unique to sustainable investment in Africa, emphasizing the need to avoid “generalizing” the continent’s diverse contexts. Chris Chijiutomi, Managing Director and Head of Africa at British International Investment (BII), mentioned the unpredictable timelines for renewable energy projects, especially in countries where governments lack consistent planning frameworks.
“Not many investors have the patience and tenacity,” Chijiutomi remarked after referencing Planet Solar, a renewable energy project in Sierra Leona that has been in development for over a decade.
BII partnered with renewable fund manager Frontier Energy and other development finance institutions to invest $52 million in Sierra Leone’s Planet Solar project. This 50 MW solar initiative is set to increase the country’s electricity supply by 30%, marking Sierra Leone’s first large-scale grid-connected solar project. The investment will significantly expand energy access across multiple regions.
Beyond South Africa, other countries on the continent face additional challenges. Amith Singh, Head of Energy Finance at Nedbank CIB, pointed out barriers limiting other countries’ progress, including infrastructure gaps, currency convertibility issues, and widespread affordability concerns, which restrict many African consumers from accessing renewable energy. Singh highlighted that public-private partnerships could play a crucial role in overcoming these obstacles, even as some governments remain hesitant to privatize national grids.
Ziyad Cassim, a South African representative for the Global Energy Alliance for People and Planet (GEAPP), advocated for exploring alternative funding, such as carbon credits, to support sustainable projects across Africa.
“There is a broader discussion to have into how we assess risk in the African context,” he added, encouraging attendees to think “more creatively”,” Ziyad Cassim stated.
Balancing People, Planet, and Profit: Building a Sustainable Future
A panel discussion tackled the pressing need to balance economic growth with social and environmental priorities, under the theme “Balancing People, Planet, and Profit: Investing in the Transition While Supporting Communities and Employees.” Across Africa, 33 million smallholder farms play a vital role in food security, yet land degradation has created a significant “crop yield gap,” costing the continent an estimated $16 billion annually. Julie Greene, Chief Sustainability Officer at Olam Group, underscored that the company’s supported farmers often lose up to 20% of their crops before reaching markets, reflecting both inefficiencies and lost income.
To address these gaps, Greene emphasized the vast potential of regenerative agricultural practices and advanced harvest technologies. She noted that Africa could “leapfrog” traditional pesticide-based methods and adopt more sustainable, future-focused solutions, accelerating a shift toward climate-resilient farming.
Echoing this perspective, Nana Maidugu, Head of Sustainability and ESG at the Nigeria Sovereign Investment Authority, emphasized the panel’s core message and the central theme of the week:
“We need to develop our climate goals while at the same time developing our people and country.”
Her remarks capture the mission to foster an African climate strategy that elevates communities alongside environmental objectives, reflecting the broader call from the week’s discussions to pursue innovative, inclusive approaches that prioritize both immediate human needs and long-term sustainability.
