S.Africa’s sun and terrain attract renewable investors

Kim Harrisberg, Reuters

When Shireen Gouws heard about a new hotline advertised in the community centre where she works in the small town of Laingsburg in South Africa, she was quick to spread the word. Finally, she thought, people could have their say about renewable projects in their area and make sure they were reaping the benefits of the transition to green energy. The toll-free hotline, available in 11 official South African languages, was launched on July 9 after a year-long pilot in Laingsburg and the town of Sutherland, where people could call in with complaints, queries and suggestions related to the wind farms operating in the area.

“Usually companies come and go and there is no engagement with the community, maybe a meeting once in a while. (Now) the community can express themselves if they are happy or unhappy about something,” Gouws, who works as a clerk at the community centre, told the Thomson Reuters Foundation in a phone interview.

The ENGAGE! hotline was launched by South African sustainable consulting company Cultiver following a year-long pilot with Enel Green Power, a renewable power unit of Italy’s largest utility firm, Enel Group.

Enel Green runs the Karusa and Soetwater wind farms in Laingsburg and Sutherland. Cultiver has worked with Enel on community projects in the area since construction on the wind farms began in 2019, and the hotline offers a new way of engaging with the public. Enel did not immediately reply to a request for comment. Cultiver now offers the hotline platform to renewable energy, infrastructure and mining projects across southern Africa.

Cultiver’s aim is to ensure residents of remote towns where solar and wind farms are being installed are included in the dialogue about how these green projects can also benefit locals, said Fezeka Stuurman, the head of Cultiver. ENGAGE! allows community members to put their grievances directly to project owners and local government, if relevant, to ensure their concerns are dealt with urgently and minimise the risk of social unrest, Stuurman added.

“We decided that we needed something for communities to reach us directly and in a way that would be dignified, private and insightful,” Stuurman told the Thomson Reuters Foundation. As a result of the pilot project, Cultiver helped facilitate the drilling of boreholes for drought-stricken areas, the creation of a value-chain workshop for businesses interested in working with Enel, and the organisation of a registration event for small businesses to take part in procurement, Stuurman said.

Richard Halsey, a policy advisor on the South African team at the International Institute for Sustainable Development (IISD), praised the hotline’s free access and inclusivity for community members. But the fact that it is funded by project owners could mean some renewable energy and mining companies or infrastructure developers may choose not to use the hotline as it is an additional, optional expense, he said.

Its effectiveness could also be limited as community members are only invited to engage once the project has started, rather than giving them an initial say in what kind of project they would like to see in their area, Halsey added.

“Effective communication across communities isn’t just a ‘nice to have’ bonus for developers,” said Halsey. “Real involvement and interaction can empower decision-making on both sides ... smoothing the way towards clean energy deployment and helping avoid frustrating delays and opposition,” he said in emailed comments.

South Africa is among the world’s top 15 greenhouse gas emitters - and the leading emitter in Africa. About 80% of its carbon emissions, and some 90,000 jobs, are linked to coal. South Africa has secured $676 million in grants from rich nations to shift from coal to clean energy sources such as wind and solar power.

The country’s sweeping coastline, vast semi-desert and near all-year-round sun are seen by many renewable energy investors as offering impressive potential for solar and wind projects.

South Africa already has in place a 13-year-old programme that procures clean energy from independent power producers (IPPs) to feed into the national grid, while aiming to empower local communities by giving them some of the profits back. IPP policy states that the power producers should prioritise socioeconomic development within a 50-km (31-mile) radius of the project site. More than 6,000 megawatts of generation capacity, primarily from wind and solar, have already been granted to bidders under the IPP scheme, according to the U.S. International Trade Administration (ITA).

But research has shown that the money from these projects does not always trickle down to the surrounding communities, building a culture of mistrust when new projects move in. The hotline is meant to combat this trend. It is advertised through pamphlets and community ambassadors from Cultiver, who talk directly to residents.