The sustainability of renewable energy is linked to its long-term positive impact within host communities and close collaboration will help bring about a socially just transition to cleaner energy, says renewable independent power producer (IPP) Scatec sub-Saharan Africa GM Jan Fourie.

He adds that it will also result in a fairer distribution of skills and jobs in the country.

The South African government’s aim to have 25% of the country’s electricity generated from renewable sources by 2030 promises a far-reaching impact on the sustainability, not only of power supply, but also in the areas of social and environmental sustainability.

The Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) provides a 30% weighting of consideration of IPP bids based on the bidder’s contribution to local socioeconomic development over a 20-year timeline.

Scatec’s role within communities as a conscientious custodian is not motivated simply by a desire to be compliant and adhere to regulations, Fourie says.

“It makes strategic business sense too. We are going to be a part of the social fabric of these communities for decades to come and, in many ways, the fates of IPPs and their host communities are intertwined. Thriving, sustainable communities are what we need and what we work towards, for the development of our people and to succeed as a company.”

The company developed its comprehensive sustainability strategy to be well-rounded and holistic, as well as congruent with the 17 key United Nations Sustainable Development Goals, Fourie says.

To achieve this, Scatec engages in a process of collaborative visioning, working closely with its host communities to create a lasting positive impact over the long term.

Scatec’s strategic goals for integrated community development over the next 20 years revolve around five key pillars – education, youth development, local economy, well-being and community visioning.

To achieve these goals, it is partnering with various experts, government representatives and leaders within the communities, such as principals, pastors and CEOs.

“People from the project areas are stakeholders in every sense, having partial ownership of the company in the form of shares held by community trusts.

“The company’s take on employment as a sustainability-oriented IPP is that we want people from our host communities as part of our operations at every level.

"We run internship programmes in the areas where we operate, not only to upskill and empower people, but with a view to having local people in our offices, in highly skilled technical and leadership positions. When we understand each other better, we all operate better.

“For example, a plant manager who is from the local community, understands the nuances of the particular context and is able to manage operations more fluidly at an inter-personal level,” Fourie explains.

IPPs like Scatec also assist with indirect employment by outsourcing various roles, such as maintenance and vegetation control, to small local companies based in project site areas.

Fourie adds that Scatec also ensures the sustainability of its suppliers in terms of raw-material sources, carbon intensity and labour practices.

“An ethical supply chain is paramount and we will not support unsound environmental practices or structural violence against marginalised people in the form of unjust working conditions.”

“We want to help solve whatever particular problems and challenges our host communities face. Revenue generated through the community trust’s shareholding and the project’s socioeconomic development contribution, which is a percentage of revenue, is used for a variety of social-benefit programmes like clinics, the construction of community facilities, co-ops to create jobs and efforts to assist schools with specific challenges in education.”