Western Cape Government Green Economy Report 2018
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
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About this RepoRtThis is the fifth Western Cape Government (WCG) Green Economy Report. This report aims to:
• Provide stakeholders with a solid basis for assessing the Western Cape Government’s work in the
Green Economy; and
• Contextualise the WCG policy and strategy response to the Green Economy.
The report:
• Identifies the Green Economy issues that are most material to the Western Cape, focusing on the
role for provincial government specifically; and
• Prioritises report topics in line with the Green is Smart Strategy Framework and the Western Cape
Green Economy Indicators.
The scope of this report covers work undertaken and progress achieved under the WCG Green is
Smart Strategy Framework for the financial year beginning on 1 April 2018 and ending on 31 March
2019. It has been structured so as to give the general context of the Green Economy and then
review the five component sections of the table of indicators, namely i) The Natural Resource Base;
ii) Resource Productivity; iii) Socio-economy iv) Environmental quality of life; v) Policy & Finance.
This was the fifth year of targeted Green Economy (GE) projects in the Western Cape.
Due to the nature of the data that is required for the Western Cape Green Economy Indicators, there
is a reporting lag of at least one year for most of the indicators. As a result, most of the sector data
is for the 2016/17 calendar year; where this is not the case, the most recent year is provided. The
WCG Department of Environmental Affairs and Development Planning (DEA&DP), Chief Directorate:
Environmental Sustainability would like to acknowledge all colleagues and stakeholders who have
contributed to this report.
AcknowledgementsDepartment of Environmental Affairs and Development Planning
Gray Maguire (lead author); Karen Shippey; Ronald Mukanya; Francini van Staden; Vera Mukasa;
Khuthala Swanepoel; Lize Jennings-Boom; Eddie Hanekom; Albert Ackhurst; Shereen Pearson (layout)
Department of Economic Development and Tourism
Anzel Venter; Helen Davies
Department of Agriculture
Francis Steyn; Ferdie Endemann; Andrew Partridge
Department of Social Development
Gavin Miller; Nosisi Dingani; Marisa Lombaard
Department of Transport and Public Works
Corine Gallant
City of Cape Town
Sivuyile Jokazi
GreenCape
Raldo Kruger; and all authors of the 2018 GreenCape Market Intelligence Reports.
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list of AbbReviAtions
coct City of Cape Town
csiR Council for Scientific and Industrial Research
deA&dp Department of Environmental Affairs and Development Planning
dedAt Department of Economic Development and Tourism
doA Department of Agriculture
dlg Department of Local Government
dotp Department of the Premier
dti Department of Trade and Industry
dtpw Department of Transport and Public Works
dws Department of Water & Sanitation
edp Economic Development Partnership
eiA Environmental Impact Assessment
eiif Ecological Infrastructure Investment Framework
epwp Expanded Public Works Programme
gdp Gross Domestic Product
ge Green Economy
hod Head of Department
ict Information and Communications Technology
iclei Local Governments for Sustainability
idZ Industrial Development Zone
ipp Independent Power Producers
iRp Integrated Resources Plan
issd International institute for Sustainable Development
lng Liquified Natural Gas
miR Market Intelligence Report
mRf Materials Recovery Facility
ngo Non-Governmental Organisation
peRo Provincial Economic Review and Outlook
ppA Power Purchase Agreement
psg Provincial Strategic Goal
psp Provincial Strategic Plan
pt Provincial Treasury
Re Renewable Energy
Reipppp Renewable Energy Independent Power Production Procurement Programme
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sAlgA South African Local Government Association
seZ Special Economic Zone
sidAff Sustainable Infrastructure Development and Finance Facility
soeoR State of Environment Outlook Report
sseg Small Scale Embedded Generation
stem Science, Technology, Engineering and Mathematics
swcmA Strategic Water Catchment Management Area
wcccRs Western Cape Climate Change Response Strategy
wcg Western Cape Government
wcwss Western Cape Water Supply Strategy
wisp Waste Industrial Symbiosis Programme
wwf Worldwide Fund for Nature
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contents1. InTRoDuCTIon: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1.1. The backdrop: The Provincial Economic Review & Outlook (PERO) . . . . . . . . . . . . . . . . . . . . . . 2
2. DEvEloPmEnTS In ThE GREEn EConomy: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
2.1. Global . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
2.2. South Africa. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
3. WESTERn CAPE GREEn EConomy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
3.1. Natural resource Base. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
3.2. Resource Productivity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
3.3. Socio-economic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
3.4. Environmental Quality of Life . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
3.5. Policy & Finance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
4. ConCluSIon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
4.1 Western Cape Green Economy Indicators: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12
5. APPEnDIx 1: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
5.1 Additional Notes on Green Economy Indicators Definitions and Scope. . . . . . . . . . . . . . . . . . . 15
6. REFEREnCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
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The last year in between Green Economy reports has been a tumultuous year from an environmental
perspective to say the very least. At a global level the IPCC Special Report on Global Warming
triggered a new level of urgency in responding to the global climate crises with the years 2015 to
2018 being the hottest ever recorded. South Africa and the Western Cape in particular, fell under
global media scrutiny when the City of Cape Town became one of the first Metropolitan cities to
potentially run out of water.
Issues of ocean pollution and biodiversity loss became commonplace topics of conversation as
respected research reports such as the WWF’s Living Planet Report (WWF 2018) showed population
sizes of wildlife having decreased by 60% globally between 1970 and 2014. At the same time increasing
dissatisfaction with inequality and slow economic growth has seen an increase in political populism.
Yet nature underpins our economic activity, with total annual ecosystem services are worth $125
trillion of value (WWF 2019) without which no economic activity at all is possible. This dependency is
part of the explanation why the 2019 WEF Global Risk Report finds that environmental risks account
for 4 of the 5 most likely global risks.
In 2016 we saw fossil fuels and renewable energy subsidies become financially equivalent for the
first time resulting in unprecedented growth in the green jobs sector. That said, the transition to
greener technologies has not moved fast enough for our economies to remain out of danger. What is
required is a redoubling of efforts to build on our successes and achieve an economy that improves
human well-being, promotes social equity and reduces environmental risk. As the successes show,
green economic activities create more jobs, offer better investment opportunities, reduce the risk
of stranded assets, and promote sustainable development.
WASTE TRIkES FoR InFoRmAl RECyClERS 29 mARCh 2019
1 intRoduction
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the bAckdRop: the pRovinciAl economic Review & outlook (peRo)
Despite the technical recession at the start of the 2018 financial year (the second since the early
1990s) the South African economy grew by 1,4% in the fourth quarter of 2018, contributing to an
overall growth rate of 0,8% for the entire year. The 2018 recession spanned the first two quarters
of the year, with the economy shrinking by 2,7% in the first quarter and contracting further by 0,5%
in the second. Despite the 3,3% contraction however, positive growth was observed in the third
(2,6%) and the fourth (1,4%) quarter and was just enough to push the overall growth rate for the
year into positive territory to 0,8%. A result indicating that the growth rate decreased from 1,4% in
2017 but increased from 0,4% in 2016 (StatSA 2019).
At a national level a sharp 17.7% rebound in value added by the agriculture, forestry and fisheries
sector was welcomed as much of the country (with the exception of the Western Cape) made a
recovery from the drought.
The growth rate in the Western Cape was subdued in 2018 as a result of the drought and the difficult
national economic circumstances, with the previous fastest growing sector, namely agricultural
processing, suffering the worst impacts of the drought. This context of bleak economic growth
prospects combined with increasing unemployment and increased demand for public services
requires innovative service delivery models and presents both a challenge and an opportunity for
the Green Economy.
This report touches on significant investments from all three tiers of government in the Saldanha
IDZ, the Atlantis SEZ, in various Strategic Water Catchment Management Areas (SWCMA’s) across
the province and in service support infrastructure that all represent a province in the process of
turning a crises into an opportunity.
1.1
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
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ImAGE SouRCE: DEPARTmEnT oF AGRICulTuRE - lAnDCARE
2 developments in the gReen economy
globAl
Internationally, the Green Economy is increasingly prioritised in light of climate change. While this
has largely been driven by first world cities, many key aspects can be adopted from international
examples. In other countries, the Green Economy is being used as the approach to address other
challenges such as elevated air pollution that affect health and environmental degradation to the
extent that natural systems are unable to function (WWF 2019).
According to the WWF while energy demand worldwide is still on the rise, the only major energy
sources that show signs of decline in production are conventional oil and coal. Discoveries of new
conventional oil reserves hit a record low in 2017. The coal sector is facing eroding profitability
too with the world’s largest coal producer Glencore, pledging to limit its coal production and re-
prioritise investment in other commodities needed as part of a transition towards cleaner energy
and transportation. This follows on from a slew of bankruptcies in both American and Chinese coal
companies (WWF 2019).
The integration and popularisation of
concepts such as Johan Rockstrom’s
“Planetary Boundaries” (Rockstrom
2009) and Kate Raworths’ “Doughnut
Economics’ (Raworth 2012) reflects a
growing acceptance that economic
development must take place within
the earth’s natural resource and system
boundaries. The Green Economy is
central in enabling this change and
there is rapid growing support for a
transition to a more efficient market-
friendly manner of conducting global
economic affairs. The Western Cape
2.1
Figure 1: Delegates at PAGE
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Government was pleased to be able to engage on these topics on a global stage during the annual
Green Economy Coalition and Inter-Ministerial Partnership for Action on Green Economy (PAGE)
held in Cape Town in January 2019 (Fig. 1).
Similarly, the wide spread adoption of the 17 Sustainable Development Goals (SDGs) and their 231
supporting indicators in not only the public sector, but private sector practice provides evidence
of a changing global agenda. Targets set under the Nationally Determined Contributions (NDCs)
required by the Paris Agreement and the increasing use of the five capitals model provide an excellent
framework for the transition to the Green Economy, all of which is clearly reflected in the meteoric
rise in the global issuances of “green” and “sustainability” bonds (CBI 2018).
0
uS
D B
illio
ns 50
100
150
200
Label diversification is increasing beyond green bonds
Included green labelled deals
Social bonds
Sustainability bonds
other excluded
2013 2014 2015 2016 2017 2018
Figure 2: Growth in Sustainability/Green bonds (CBI 2018)
south AfRicA
The National Department of Environmental Affairs has defined the Green Economy as a “system of
economic activities related to the production, distribution and consumption of goods and services
that result in improved human well-being over the long term, while not exposing future generations
to significant environmental risks or ecological scarcities” (DEA 2018). This agenda was given further
support in 2018 by the signing of the 27 Power Purchase Agreements (PPA’s) remaining from the
stalled previous Renewable Energy Independent Power Producer Procurement Programme (REIPPPP)
bid window in 2015. Additionally, the draft Integrated Resources Plan (IRP) for electricity presently
places heavy reliance on new wind, solar PV and gas capacity and energy from independent power
producers (IPPs) for the years ahead, and limits the use of new coal and new nuclear in the energy
mix. The net impact of this has been a slow, but steady decrease in the carbon intensity of the
country’s electricity generation.
South Africa is one of the strongest proponents of the Green Economy in Sub Saharan Africa and
has one of the most developed approaches. While there is currently no national Green Economy
strategy, there are multiple policy documents that support and help drive the Green Economy.
From the social compact of 2011, the Green Economy Accord and the Carbon Tax, to the National
Strategy for Sustainable Development and Action Plan (2011-2014), the New Growth Path (2020)
and National Development Plan (2030); the country has firmly committed to a just transition to a
“low-carbon, resource-efficient and pro-employment development path”.
2.2
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The Western Cape is increasingly being recognised as a place of Green Economy success examples
and there appears to be a growing understanding in government of the sectors' value. The Green
Economy is becoming increasingly entrenched in policy and legislation, both nationally and provincially.
Whilst parts of this growth have been due to the energy security and water crises, the Green Economy
contribution in responding to the crises has highlighted the value that it is able to add in building
the resilience of the economy as a whole.
The Green Economy Working Group, which falls under Provincial Strategic Goal 1 and is chaired by
DEDAT’s Chief Director: Green Economy, reports annually on the specifics of the individual projects
funded by the Provincial Green Economy budget allocation, with key highlights mentioned below.
The Provincial Biodiversity Economy Strategy (PBES) was informed by recommendations that
emerged from implementation of the Western Cape Eco-Invest project, an initiative that was
concluded within the DEA&DP Green Economy Programme in March 2015. Phase 1 of the Western
Cape Eco-Invest project investigated priority ecosystems and their potential to leverage private
sector investment into biodiversity and ecosystem goods and services. This was followed by the
second phase of the project which assessed the state of readiness of a number of identified priority
nature-based economy supply chains in the province. Phase III explored and consolidated findings
from Phase I and II culminating in the establishment of the Biodiversity Economy Strategy. The
strategy sets out required actions to unlock key identified biodiversity economy value chains. The
strategy was finalised in 2016 and the implementation plan approved in March 2017. The transversal
initiatives being implemented in the Province by the Sub-Directorate: Biodiversity was funded mostly
through the Green Economy allocation, this includes:
• Development of a Provincial Ecological Infrastructure Investment Framework (EIIF) including
biomass economies;
• Payment for Ecosystem Services (PES) in the Keurbooms & Karatara catchments;
ImAGE SouRCE: DEPARTmEnT oF AGRICulTuRE - lAnDCARE
3 westeRn cApe gReen economy
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• Developing business concepts and sustainability planning for the Bitou Agroforestry and Natural
Products projects – two communities attended training on Business development and agro-
processing;
• Developing a community of practice for the honeybush industry & preparation of guidelines for the
sustainable harvesting of wild honeybush;
• Baseline Assessment of the Wild Bee Populations Value and Risks; and,
• Cost and Benefit Analysis for the Breede River Estuary.
In the water sector the partnership between GreenCape and the Department of Agriculture (DoA)
on the integration of the SMARTAgri and ClimateAgri programmes has introduced a range of
reforms to practice that promote a climate-resilient low carbon production system that is productive,
competitive, equitable and ecologically sustainable across the value chain. This has been achieved
through priority programmes aimed at the roll-out of a broad range of conservation agriculture
initiatives, farm level support for water and energy efficiency as well as the development of an
integrated knowledge system for climate smart agricultural extension.
The DEDAT led partnership between the CoCT, GreenCape, DEA&DP, EDP and Wesgro on the
Business Water Resilience Support programme led to multiple business support initiatives. A series
of one on one industrial workshops were held focusing on developing processes for tariff relaxation
for businesses in financial stress. Multiple events with municipalities have acted in support of this on
systemic issues relating to regulatory & financing clarity as well as decentralisation of water supply.
The ongoing uncertainty with regards to energy supply both nationally and within the province has
been met with a LNG promotion programme aimed at improving the Provincial energy mix through
the use of the lower carbon Liquified Natural Gas (LNG). Similarly, Green Economy funding has been
directed towards the promotion of the uptake of Small Scale Embedded Generation (SSEG) and
the promotion of energy efficiency retrofits.
The recognition of public procurement as a key driver of socio-economic and ecological change has
also established a firm foothold during the 2018/19 financial year. Partnerships with the International
institute for Sustainable Development (ISSD), WWF, ICLEI, DoTP, DEDAT, PT, and DLG have led to
the integration of Total Cost of Ownership principles at the heart of the provincially based Economic
Procurement Policy as well as the Sustainable Infrastructure Development and Finance Facility
(SIDAFF). This has been further supported by the Green Procurement Implementation Programme
(GPIP) which has seen the DoHS develop a Green Procurement framework for low-cost housing
that is now being rolled out across the Province.
nAtuRAl ResouRce bAse
The increasing pressure on the surface water supply system due to extremely low winter rainfall
between 2015 and 2018 necessitated a rapid business-unusual response from local and provincial
government authorities. Partnering with the private sector, officials developed a range of response
measures, from fodder relief, to pressure management, emergency augmentation and water re-use
on an unprecedented scale. The City of Cape Town in particular went from using over 200 litres
a person a day at the end of 2016 down to less than 125 litres a person a day at the height of the
drought, including residential and industrial use and water lost to leaks.
3.1
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Additional large-scale alien vegetation clearing programmes are being rolled out to improve water
availability and create jobs in the province for a number of years under national projects. Recent efforts
have focused on coordinating the planning and implementation of the clearing efforts toward a more
effective water management strategy allowing various stakeholders an opportunity to contribute.
DEA&DP has been greatly supported in alien clearing efforts by the invaluable work of organisations
such as:
• The Nature Conservancy - the Greater Cape Town Water Fund,
• The CSIR - the Ecological Infrastructure Investment Framework (EIIF),
• WWF - the Water Stewardship programme
Along with a number of other NGO and private sector partners.
ImAGE SouRCE: DEPARTmEnT oF AGRICulTuRE - lAnDCARE
It is thanks to work such as this that despite not having an increase in the capacity of our bulk water
supply system for the years reported on in the indicators, that the WCG is working towards securing
more water in our existing infrastructure, as shown in figure 2 below.
In support of this, 12 918 hectares of private land were rehabilitated in the 2016 year with the support
of LandCare projects, funded by the LandCare grant, EPWP grant and Department Equitable Share
funding. This not only frees up water runoff, but also reduces fire risk and promotes biodiversity.
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
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unit Cost (uRv in Rand/m3)
Additional Water (mm3/year)0 10 20 30 40 50 60
Catchment restoration increases water supply at the lowest unit cost
Removal of IAPs in 7 Priority Sub-Catchments
Desalination
Groundwater Exploration
Water Reuse
voelvlei Storage Scheme
Cease Forestry Steenbras
Figure 3: Water supply gain and unit cost (URV) comparison between different catchment restoration and other supply options in the Western Cape (including raw water treatment costs where applicable) (TNC 2018)
ResouRce pRoductivity
The water crisis that occurred between 2015 to 2018 drove large-scale change in the water sector.
Water efficiency in businesses and households improved significantly in response to both the
restrictions and water tariffs. This response was, however, markedly different between different
municipalities in the Western Cape, depending on the drought status and municipal response in each
municipality. There is uncertainty around the degree of ‘bounce back’ of water use that will occur
following the water crisis, but trends are showing that some permanent change towards heightened
efficiency has occurred. While businesses that have made efficiency improvements are unlikely to
revert to business as usual there is still significant room for improvement in the business sector. As
far as the commercial sector in Cape Town's CBD is concerned, tenants only reduced their water
use by 10%, while the industrial sector managed to reduce theirs by 30%.
While the official GreenDrop score from the national Department of Water & Sanitation (DWS)
remains unavailable, it is encouraging to see that operational compliance for the Province’s effluent
treatment facilities was 93.6% for the 2016 year.
With regards to waste, the province has achieved its 5 year target of 20% landfill diversion by 2019
with the present value standing at 26.7%. GreenCape’s waste Market Intelligence Report (GreenCape
2018) estimates a provincial waste production figure of roughly 7.7 million tonnes of waste annually
however, of which 3.6 million (47%) consists of commercial and industrial waste. The remaining 4.1
million tonnes (53%) is municipal solid waste (MSW). Of the total for the province, the City of Cape
Town (CoCT) generates a substantial portion (48%) of the waste, which includes 2.8 million tonnes
(36%) of MSW and 0.9 million tonnes of commercial and industrial waste (12%).
Clearly, there is still much to be done to move us towards a circular economy as landfill sites are
reaching capacity and waste is set to be the next major resource crisis.
3.2
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socio-economic
The sharp rise in households with access to either fixed or mobile broadband has been broadly
welcomed by South Africans, with the majority of internet users in the country stating that it has
positive implications for education, commerce, politics and socialising (Pew 2018). This trend is
expected to continue into the future and presents a new frontier of opportunity for economic
activity.
There has been little fluctuation in the percentage of students graduating in the Science, Technology,
Engineering and Mathematics (STEM) fields over recent years. (Unpublished CHEC, 2018). The
developments of both the Atlantis SEZ and Saldanha IDZ have however prompted extensive
skills development and enterprise development programmes. This is to build the capacity of local
communities, with the aim of providing a hub for Green Economy related training in the future
(through organisations such as SAREBI). The Skills Programme and Provincial Game Changer in
DEDAT have been driving the training of Photovoltaic installers and working with national bodies on
the training of plumbers for alternative water installations. Skills training initiatives are being run by
various academic institutions, with the University of Stellenbosch driving the Bridgiot smart meter
business, UCT running a FutureWater programme and UWC hosting the South African Renewable
Energy Institute.
Skills development programmes are still needed in multiple areas and need to be scaled up for Green
Economy related small business development support. Innovation is not yet effectively supported
through all sectors and current knowledge hubs are still silo based and seldom run at a national
level. (Unpublished, DEDAT, 2018)
While the 2016 figure for the share of exports from the agricultural sector relative to total exports
reflects a positive increase, it is important to note that the impact of the drought was only really felt
in 2017 for Western Cape Agriculture. The reason being that the province relies heavily on irrigation
water from dams, therefore there will be a lag between the rains not coming and water shortages
as the dams are depleted. Further to this, the drought had the knock-on effect of causing significant
job losses in the agricultural sector which in turn will have negative impacts on indicators such as
GDP per capita and food security (PERO 2018).
The Western Cape has been able to take advantage of developments on the African continent to
increase agricultural and agri-processing exports to certain countries in the region. There has also
been strong growth of certain products to East Asia and the Middle East. In some cases this is due
to increased demand in countries experiencing positive market growth, in other cases there have
been deliberate focused efforts to promote exports of a particular product to a country, such as
was done with wine and brandy to China and Angola (Export.gov 2018).
Despite being an under-developed sector in South Africa, the massive potential for job creation and
revenue generation within Aquaculture is recognized. It is the fastest growing food production sector
in the world. Marine aquaculture is capital and technology intensive and is seen as a source of high-
value fishery products for export while freshwater aquaculture is mainly viewed as a potential source
of food security for rural communities in coastal areas. Due to the sectors high growth potential,
the state has initiated an aquaculture programme under Operation Phakisa as a key growth area.
Under the programme the Western Cape has been identified as the highest potential investment
area with abalone farms exporting mainly to China securing the provinces dominance. While exact
industry figures remain unofficial for the province, estimates indicate that production volumes have
risen from under 3000 tonnes per annum to over 4000 in 2018 (Pers Comms 2019).
3.3
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enviRonmentAl QuAlity of life
The marginal increase in food insecurity in the province between the 2015 and 2016 figures is
consistent with national trends towards increasing unemployment and increasing inequality. The
Western Cape Government Strategic Framework for Household Food and Nutrition Security (WCG
2016) aims to find a good balance between social and economic interventions - by protecting
communities, while also addressing the underlying issues that shape the food economy such as the
way cities are developed, the way resources are managed and the access that communities have
to fresh and nutritious food.
Significant employment losses in the agricultural sector in 2017 and 2018 will continue to have a
marked impact on this indicator moving forward and as such the strategy requires increased support.
Improvements in the percentage of freight transported by rail reflects a shift in the right direction
for the province, and the Provincial Freight Strategy (DTPW 2019) has set a course to build on
this success. In the Western Cape, the bulk of export coal, export iron-ore, export manganese and
domestic coal are highly suited to being transported by rail. Transporting rail-friendly freight on rail
rather than road reduces logistics costs, and impacts positively on the road network, whilst reducing
the transport sector’s carbon emissions
The relative increase in private transport vs public transport however, is a trend that is set to
continue for the next few reporting years at least as large-scale disruptions to the Western Cape
public transport system have wreaked havoc over recent years. Between 2015 and 2018 80% of
train carriages burned in the country have been in the Western Cape (over 270 individual carriages)
which has resulted in massive disruption and entire sections of the rail service being shut down
(M&G 2018). This is a key contributor to worsening traffic congestion that has led to increased
commuting times, air pollution and a decrease in safety. Innovations such as e-hailing are providing
some solutions and experiencing significant up-take, but carpooling would do well to build on the
digital app approach to increase its reach.
There have been some other State-led measures to counter the trend towards private transportation,
most notably in the City of Cape Town. The MiCiti bus system has provided a safer, more accessible
and reliable form of public transport along its routes. There is however, a great deal more work to
be done to address the challenges of public transport.
The high level of electrification across the province is unlikely to increase significantly going into
the future as the bulk of unelectrified households are unlawful settlements (such as those on flood
plains and private land) where connection is not possible. The main issue is no longer so much about
electrical connection but much more with regards to affordability. Although somewhat dated the
Department of Energy (DoE 2013) estimated that 43% of South Africans are energy poor, spending
more than 10% of their income on energy needs - with many in the lowest LSM group spending
25% and more of their income on energy. This remains both a threat and an opportunity for Green
Economy in so far as our ability to respond to the need with non-fossil fuel-based solutions.
3.4
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policy & finAnce
A key focus on advancing the WC Green Economy has been on unlocking regulatory barriers. While
this has been challenging due to most of the relevant regulations sitting as the mandate of national
government, it has encouraged a more collaborative approach to facilitating change. This has given
rise to innovative solutions such as the Province’s first issuance of green and social impact bonds,
while further blended finance strategies for sustainable infrastructure rollout are being developed
such as the Sustainable Infrastructure Development and Finance Facility (SIDAFF).
Other key areas of work have included the adoption of municipal feed-in tariff frameworks for 18
municipalities, the development of new water regulations promoting water efficiency, the City of
Cape Town’s amendments to their Water By-Law and the new national industry waste management
plans. The changing nature of municipal revenue stream requires innovation in municipal finance
models that need to be redesigned to reduce reliance on sales of resources. The current reliance
of municipalities on the sale of utilities is at odds with the need to reduce electricity and water
consumption and waste provision that are adjusted to deliver solutions that are more fitting.
The stop-start nature of REIPPPP due to multiple national energy policy shifts has caused uncertainty
in investor markets, but this has partly been relieved by the revised IRP 2018 that targets 200 MW
of renewable energy by 2030. Similarly, existing legislation that limits municipalities to a maximum
purchase of 1MW of power directly from independent energy providers is currently being challenged.
The building development sector and the water sector have called for greater regulatory clarity
around water and regulations at a municipal level are still needed across multiple areas so as to
encourage and enable improved resource efficiency. (Per Comm, Helen Davies, 2018)
The focus on oceans and coasts through the Operation Phakisa (Oceans & Coast) & through changes
in coastal legislation has been driven through improved coastal management in the WC (DEA 2018)
According to the WC State of Environment Report (SoEOR 2018), the percentage of overexploited
fish species has decreased between 2012 and 2014, indicating some recovery of selected species’
stocks. The percentage of linefish species (targeted by recreational anglers) considered collapsed
has increased between 2013 and 2016 and should reveal further major opportunities for aquacultural
development in the near future. This should include about 884 hectares of Saldana bay being
dedicated to aquaculture, or about 10% of the bay. At present 15 of the 35 registered Operation
Phakisa aquaculture projects are located in Saldanha Bay (DEA 2018).
The designation of the Atlantis Greentech Special Economic Zone (SEZ) in October 2018 provides an
opportunity to catalyse the WC as a hub for the Green Economy, with five investors already located
on the site, providing 312 jobs and totaling R680 million in investment. The targeted investment up
to 2030 is approximately R2.7 billion and projection forecast the creation of approximately 3 000
jobs, with 21 new investors already showing significant interest in the SEZ (GreenCape 2018).
3.5
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
12
Whether as a result of a response to crises (such as in the case of the drought) or in response to a
new opportunity (such as with aquaculture or renewable energy) it is clear that there is a great deal of
dynamism in the Western Cape’s Green Economy. As the South African public becomes increasingly
aware of the devastation caused by environmental degradation, this dynamism should represent
a beacon of hope that we can not only address the challenges of poverty and unemployment, but
that we can do so without jeopardising the quality of life of future generations.
In the coming years, the Western Cape Government looks forward to reporting on the steps taken
to address key challenges facing the province including climate impacts, the need to achieve a
zero-waste society and municipal finance innovation. As such the Western Cape Government is
committed to working with our partners at local and national government, as well as joining hands
with the private sector to enable the development of innovative, sustainable solutions.
westeRn cApe gReen economy indicAtoRs:
InDICAToR unIT 2012 vAluE 2013 vAluE 2014 vAluE 2015 vAluE 2016 vAluE SouRCE:
Percentage
change in carbon
emissions against
2009 baseline.
Data is for energy
sector only.
Percentage (%) -17.80% Data is reported biennially. No data for 2013.
Data not yet available.
-12.10% Data not available yet
lize Jennings-Boom
Agricultural land
improved through
conservation
measures annually.
hectares (ha) 27,359ha 29,076ha 18,036ha 7,342ha 12,918ha Francis Steyn
Total water supply
versus total water
demand.
volume (m3) Supply:
596,000,000m3
Demand:
510,201,000m3
Supply:
596,000,000m3
Demand:
508,100,000m3
Supply:
596,000,000m3
Demand:
547,260,000m3
Supply:
565,850,000m3
Demand:
541,340,000m3
Data not available yet
Greencape
WATER WEEk, EnvIRonmEnTAl AWAREnESS AnD EDuCATIon 16 mARCh 2019
4 conclusion
4.1
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
13
InDICAToR unIT 2012 vAluE 2013 vAluE 2014 vAluE 2015 vAluE 2016 vAluE SouRCE:
Carbon emissions
for energy sector.
Carbon-equivalent emissions (Co
2e)
Emissions for energy sector:
36,345,753.00tCO2e
Emissions per unit GDP:
82tCO2e/million
units GDP*
Data is reported biennially. No data for 2013.
Data not yet available.
Emissions for energy sector:
38,901,581.00tCO2e
Emissions per GDP :
103tCO2e/million
units GDP
Data not yet available.
lize Jennings-Boom
Total energy
consumption.
Gigajoule (GJ) 276,333,250GJ No data for 2013/2014 financial year.
316,251,814.16GJ 299,401,472GJ Data not available yet
lize Jennings-Boom
Energy
consumption by
sector.
Gigajoule (GJ) Industry:
85,383,982.29GJ
Transport:
146,296,369.73GJ
Agriculture:
6,968,221.23GJ
Commerce and Public Services:
10,921,301.41GJ
local Government:
2,111,886.20GJ
Residential:
24,652,304.95GJ
No data for 2013/2014 financial year.
Data not yet available.
Industry:
87,530,766GJ
Transport:
161,817,293GJ
Agriculture:
5,092,440GJ
Commerce and Public Services:
14,430,141GJ
local Government:
1,561,059GJ
Residential:
28,969,771GJ
Data not available yet
lize Jennings-Boom
Energy
consumption per
unit GDP.
Gigajoule (GJ)/million units GDP
629GJ/million units GDP*
Data is reported biennially. No data for 2013.
Data not available yet.
792GJ/million units GDP.
Data not available yet
lize Jennings-Boom
Energy
consumption per
capita.
Gigajoule (GJ)/capita
46GJ/capita* Data is reported biennially. No data for 2013.
Data not available yet.
48GJ/capita Data not available yet
lize Jennings-Boom
Total energy
produced from
renewable sources
by independent
power producers.
megawatt (mW)
133.40MW 421.82MW 497.00MW 606.0MW 606.0MW** IPPP
municipal solid
waste generated
annually.
Tonnes 3,807,765 tonnes No data 2,922,190 tonnes
4,067,982.20 tonnes
2 491 114 tonnes Belinda langenhoven
Waste diverted
from landfill
annually.
Percentage (%) 9% Data is reported biennially. No data for 2013.
38.00% 16.00% 26.70% Belinda langenhoven
Green Drop Score. Percentage (%) 84.50% No data for 2013.
No data for 2014.
No data for 2015. No data for 2016.
DWS
Percentage of
households with
access to the
Internet at home.
Percentage (%) 54.3% (StatsSA) 54.4% (StatsSA) 53.9% (StatsSA) 57.05% (StatsSA) 68.5% (StatSA) Gavin miller
Percentage
students
graduating from
science and
engineering
faculties.
Percentage (%) 40.40% 41.00% 41.20% 41.0%*** 39.94% Cape higher Education Consortium
Percentage
agricultural and
agri-processing
exports as a
portion of total
provincial exports.
Percentage (%) 48.95% 55.07% 50.81% 48.22% 52.24% Andrew Partridge
Total value of
aquaculture sector.
Rands (R) R405 million R538.56 million Data not available.
Data not available. Data not available yet
Ferdie Endemann
Total annual
tonnage produced
by the aquaculture
sector.
Tonnes 2,574.00 tonnes 3,352.35 tonnes Data not available.
Data not available. Data not available yet
Ferdie Endemann
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
14
InDICAToR unIT 2012 vAluE 2013 vAluE 2014 vAluE 2015 vAluE 2016 vAluE SouRCE:
modal split
for passenger
transport.****
Percentage (%) Private transport: 52%
Public transport: 48%
Private transport: 52%
Public transport: 48%
Private transport: 52%
Public transport: 48%
Private transport: 48%
Public transport; 52%
Private transport: 53%
Public transport; 47%
Sivuyile Jokazi-CoCT
Percentage of total
volume of land
freight haulage
by rail.
Percentage (%) n1: 32%
n2: 0.9%
n7: 3.4%
n1: 45.2%
n2: 4.1%
n7: 0.0%
No data available.
No data available. n1: 48%
n2: 3.9%
n7: 0.7%
Corine Gallant
Percentage
households with
access to energy.
Percentage (%) 90.50% 89.30% 87.60% 89.82% 86.55% Gavin miller
Percentage
households with a
measure of food
insecurity.
Percentage (%) 21.30% 22.70% 25.50% 13.13% 13.55% Gavin miller
Percentage
households
with access to
sanitation.
Percentage (%) 95.60% 94.80% 94.60% 93.21% 94.18% Gavin miller
Percentage
land under
conservation.
Percentage (%) 6.40% 6.54% 6.81% 7.00% 7.40% Cape nature AR
Cumulative value
of renewable
energy projects
financed by
national and
international
green/climate
funds.*
Rands (R) R3.22 billion R8.024 billion R380 million R3.74 billion R6.00 billion IPP
Annual value of
capital investment
in aquaculture.
Rands (R) R241 million R36.7 million No data available.
No data available. Ferdie Endemann
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
15
BIoDIvERSITy InDABA mARCh 2018
5 Appendix 1
AdditionAl notes on gReen economy indicAtoRs definition And scope
InDICAToR
CATEGoRyInDICAToR ADDITIonAl noTES on DEFInITIon AnD SCoPE
DATA SouRCE AnD
ConTACT
natu
ral R
eso
urc
e B
ase
Percentage change in carbon emissions against the 2009 baseline.
Data is for energy sector and limited waste emissions only (i.e. it excludes AFOLU
emissions). In 2009, emissions in the Western Cape totalled 44,261,200 tCO2e.
Percentage change is calculated as: absolute change in emissions /2009 emissions.
Negative value indicates a decrease in carbon emissions relative to the 2009
baseline.
lize Jennings-Boom
Department of Environmental Affairs and Development Planning: Climate Change Directorate.
Agricultural land improved through conservation measures annually.
This statistic refers to the number of hectares of agricultural land that is protected/
rehabilitated to improve agricultural production.
Francis Steyn
Western Cape Department of Agriculture
Department of Agriculture’s Annual Report: 2016/2017
Total water supply versus total water demand.
Current supply yield is the modeled yield of the system based on water infrastructure (dams, boreholes etc) and long
term average rainfall.
Re
sou
rce
Pro
du
cti
vit
y Carbon emissions for energy sector.
This excludes emissions from Agriculture, Forestry and Other Land Use, as well as
Industrial and Waste emissions.
lize Jennings-Boom
Department of Environmental Affairs and Development Planning: Climate Change Directorate.
So
cio
-eco
no
mic
Total energy consumption
This information is drawn from the Western Cape Government Energy
Consumption and CO2 Emissions Database for the Western Cape.
lize Jennings-Boom
Department of Environmental Affairs and Development Planning: Climate Change Directorate.
Energy consumption by sector.
WCG follows the Department of Energy in the use of the Standard Industrial
Classification codes.
lize Jennings-Boom
Department of Environmental Affairs and Development Planning: Climate Change Directorate.
Energy consumption per unit GDP.
The unit of measurement conforms to national reporting practices. lize Jennings-Boom
Department of Environmental Affairs and Development Planning: Climate Change Directorate.
Energy consumption per capita.
The unit of measurement has been changed to conform to national reporting
practices.
lize Jennings-Boom
Department of Environmental Affairs and Development Planning: Climate Change Directorate.
5.1
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
16
InDICAToR
CATEGoRyInDICAToR ADDITIonAl noTES on DEFInITIon AnD SCoPE
DATA SouRCE AnD
ConTACT
So
cio
-eco
no
mic
Total energy produced from renewable sources by independent power producers.
This value represents the total, cumulative amount of renewable energy that has
been procured in the Western Cape through the REIPPPP (as of March 2017).
IPPPP Report: march 2017
municipal solid waste generated annually.
This value represents the total amount of solid waste generated annually by the six
district/metropolitan municipalities in the Western Cape in 2016.
Eddie hanekom
Department of Environmental Affairs and Development Planning: Waste Management
Waste diverted from landfill annually
This represents the total percentage of waste diverted from landfills in the Western
Cape in 2016.
Eddie hanekom
Department of Environmental Affairs and Development Planning: Waste Management
Green Drop Score The Green Drop score is a weighted score for municipal wastewater. The audit
assesses the entire value chain involved in municipal wastewater services including
collection, treatment and discharge of sewerage.
Department of Water and Sanitation
Percentage households with access to broadband connection
Statistics were calculated using the StatsSA 2016 General Household Survey data
for the Western Cape.
Statistic refers to the percentage of households that have access to either: i) fixed
broadband; or ii) mobile broadband.
Gavin miller
Western Cape Department of Social Development
Percentage students from science and engineering faculties.
This statistic applies across South Africa, and not specifically to the Western Cape
province. The statistic is a reflection of the percentage of students who graduated
in 2015 from: i) engineering; and ii) natural and physical sciences.
Department of higher Education and Training Annual Report: 2016/2017.
Agricultural and agri-processing exports as a percentage of total provincial exports.
The 2012, 2013 and 2014 figures have been updated from previous reports.
Agriculture and agri-processing exports refers to the percentage exports of
agriculture, forestry, fishing, food, beverages and tobacco as a percentage of the
total provincial exports.
Andrew Partridge
Department of Agriculture
Total value of aquaculture sector.
Data not available.
Total annual tonnage produced by the aquaculture sector.
Data not available.
En
vir
on
me
nta
l Q
uality
of
lif
e
modal split for passenger transport.
This statistic is only for the City of Cape Town.
For a breakdown of the modal split please see page 26 of the Comprehensive
Integrated Transport Plan, 2018-2023 https://tdacontenthubfunctions.
azurewebsites.net/Document/1794
Sivuyile Jokazi
City of Cape Town: Transport Planning
Percentage of total volume of land freight haulage by rail.
The Western Cape Department of Transport and Public Works divides freight
haulage into three main transport corridors corresponding to the national roads,
the N1, N2 and N7.
Corrine Gallant
Western Cape Department of Transport and Public Works.
Percentage households with access to energy.
Statistics were calculated using the StatsSA 2015 General Household Survey data
for the Western Cape.
Statistic refers to the percentage of households with access to a mains electricity
supply.
Gavin miller
Western Cape Department of Social Development
Percentage households with a measure of food insecurity.
Statistics were calculated using the StatsSA 2015 General Household Survey
data for the Western Cape. Statistic refers to the number of households who are
“sometimes”, “often” and “always” food insecure.
Gavin miller
Western Cape Department of Social Development
Percentage households with access to sanitation
Statistics were calculated using the StatsSA 2015 General Household Survey data
for the Western Cape.
Statistic refers to the percentage of households with access to: i) a flush toilet
connected to a public sewerage system; ii) flush toilet connected to a septic tank;
and iii) a pit latrine/toilet with a ventilation pipe.
Gavin miller
Western Cape Department of Social Development
Po
licy a
nd
Fin
an
ce
Percentage land under conservation
This statistic refers to the conservation estate of CapeNature, which is the area
of land in the Western Cape that is managed by CapeNature. This area of the
conservation estate is 894,346 ha.
Capenature Annual Report 2015/2016.
Cumulative value of renewable energy projects financed by national and international green/climate funds.
IPPPP Report: march 2017
Annual value of capital investment in aquaculture.
Data not available.
Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
17
CBI (2018). Climate Bonds Initiative. Green Bonds: The state of the market 2018. See: https://www.
climatebonds.net/resources/reports/green-bonds-state-market-2018 [Accessed: 16/02/2019]
Department of Environmental Affairs (DEA). (2018). Republic of South Africa. About Green Economy.
Available at See: https://www.environment.gov.za/projectsprogrammes/greeneconomy/about
[Accessed: 15/02/2019]
Department of Environmental Affairs (DEA). (2018). Republic of South Africa. See: https://www.
environment.gov.za/projectsprogrammes/operationphakisa/oceanseconomy [Accessed: 31/13/2020]
Department of Energy (DoE). (2013). A Survey of Energy Related Behaviour and Perceptions in South
Africa. The Residential Sector. See: http://www.energy.gov.za/files/media/Pub/DoE-2013-Survey-of-
EnergyRelated-Behaviour-and-Perception-in-SA.pdf [Accessed: 15/11/2018]
Department of Transport & Public Works (DTPW). (2019). Provincial Freight Strategy. https://www.
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[Accessed: 17/02/2019]
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GreenCape. (2018). Greentech Atlantis Special Economic Zone (SEZ) 2017/18 Annual Report. See:
https://www.green-cape.co.za/assets/Uploads/20180903-GreenCape-ASEZ-Annual-Report-FAWeb3.
pdf [Accessed: 14/02/2019].
GreenCape. (2018). Waste – Market Intelligence report 2018. See: https://www.greencape.co.za/
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Western Cape Government Environmental Affairs and Development Planning | Green Economy Report 2018
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ConTACT: Chief Directorate Environmental Sustainability
Western Cape Department of Environmental Affairs and
Development Planning
Leeusig Building, 01 Dorp Street, Cape Town, 8001
Private Bag X9086, Cape Town, 8000
Tel: 021 483 0776 Fax: 021 483 3093
Email: [email protected]
www.westerncape.gov.za/eadp
Cover photograph by James Puttick © WCG DEA&DP
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