Deputy Minister Narend Singh: Africa's Green Economy Summit

Recognising the Programme Director and Invited Speakers,
Representatives of International Organisations,
Delegates from South African Institutions and Partners,
Public and Private Sector Representatives,
Financiers,
Project Developers,
Members of the Media
Ladies and Gentlemen,

Good morning.

I am honoured to be addressing you this morning, during the opening of the 4th Africa’s Green Economy Summit. I am aware that this year’s theme entitled: From Ambition to Action – Scaling investment in Africa’s Green and Blue Solutions. The difficulty is about translation of policies, strategies and frameworks into meaningful action. This is where the rubber hits the road!

To achieve realistic and sustained action, a plethora of imperatives need to be addressed. This spans the length and breadth of transitioning from brownfield to greenfield investments, adopting low carbon business practices, advancement of innovation and clean technology, addressing the skills gap, ensuring that these new and emerging business opportunities are not only recognized but are also able to access affordable finance.

We need entrepreneurs, innovators and small businesses who are risk-takers and disruptors, to realise an inclusive low carbon economy.

That being said, there are a few basics which we must continue to pursue. Importantly, transitioning our energy systems. The Just Energy Transition Partnership (JETP) and Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), continue to transition our energy system.

The large-scale transformative programmes under these flagship initiatives require for investors, industry, academia and the public sector to work in close collaboration. The energy transition also provides opportunities for innovation, driving competitiveness, exploring new markets and building the required skills sets. The latter recognizes the role of academia in preparing a capable workforce for industries which will come online.

Another key issue is that of food security, which is of global concern, and is also an imperative for the African continent. For South Africa, given that we are geographically located in a water scarce region, we must further strengthen the pathways of sustainable food systems, which requires adoption of climate smart agricultural practices. These entail enhancing productivity, resilience, and sustainability in farming while addressing climate change challenges simultaneously. 

Climate smart agriculture also includes the uptake and application of water conservation measures and optimizing energy sources and usage, maintaining healthy soils on agricultural land, through using alternatives to chemical fertilizers as well as developing and planting crop varieties that can better withstand extreme weather events and other climate-related challenges.

We have some notable examples on the African continent. Kenya has been exploring the production of green fertilizers using green hydrogen.

The case in point is that whilst we have tried and tested demonstrations, we need to find innovative ways to address the costs for “at scale” commercialization and affordability, to ensure uptake of these emerging green technological initiatives.

Globally, between 20 – 25% of greenhouse gas emissions, is attributed to the transport sector, with road transport contributing the majority of the emissions. Low carbon and sustainable transport systems aim to reduce emissions. Public Transport Systems, taxi and e-hailing systems play key roles in reducing emissions. It is therefore important that these continue to gain traction within the economies of the world.

At a small business level, we cannot ignore the innovations associated with low carbon and sustainable transport systems. Worthy of mention, these include greening freight and logistics cold value chain, e-cargo bikes for short distance deliveries and passenger transportation.

Advancing circular business solutions ensures sustainable resource efficiency. Given the reliance of virgin material as input material for businesses and noting the scarcity of resources, such as water, more circular business solutions are required. In this regard, the Department of Forestry, Fisheries and the Environment is actively promoting the Circular Economy approach.

We need to work collectively towards finding practical solutions to address barriers to entry, including support for transitioning existing small businesses towards becoming green enterprises. Furthermore, I cannot emphasize more the importance of adequately skilled workforce for new and emerging green enterprises.

We need bankable project pipelines, access to finance for early-stage low carbon business ventures, provide necessary business development support, centralize access to information through appropriate online platforms, tailor support which is relevant for the rural vs the urban space and be deliberate in realizing what long term business enterprise sustainability is about.

I would like to spend a few minutes to highlight a few key initiatives which the Department of Forestry, Fisheries and the Environment is currently involved in, in advancing green enterprise development.

In terms of advancing the transition to a low carbon economy, the Department has been actively engaging with the Department of Trade, Industry and Competition (DTIC) and the National Cleaner Productions Centre (NCPC) in raising awareness on green enterprise development, within industrial development zones (IDZs).

At Continent level, the Department is also the focal point a new programme entitled: Innovative Climate Action to Accelerate Green and Inclusive Industrialization in the Southern Africa Region. which is currently at planning stages with the United Nations Agencies (i.e., United Nations Economic Commission for Africa (UNECA) United Nations Trade and Development (UNCTAD)), as implementing agents. The programme will be implemented in six Southern African countries—Malawi, Mozambique, Namibia, South Africa, Zambia, and Zimbabwe.

At a global level, the Department is a participating country to the Global Partnering for Green Growth and Global Goals (P4G) Programme, which supports global south countries in Latin America, Asia and Africa. On the African Continent, South Africa participates in the Programme together with Ethiopia and Kenya. The Programme aims to advance and support early-stage small green enterprises through investment readiness, commercialization and market access. The Programme has been active since 2019.

Collaboration with emerging markets and developing economies (EMDEs) in the global south, provides opportunity to share knowledge and information, cross learning and access market opportunities, given the similarities in the challenges we face as EMDEs.

As a country, we also work closely with international donor partner countries, through bilateral and multilateral agreements to pursue a common agenda or transitioning to a low carbon and inclusive economy.

Our task is to ensure that Africa remains a relevant and competitive player in current and future markets. A low hanging fruit for Africa is, in moving away from the export of primary commodities and instead, focusing on the development of value chains and further beneficiation of minerals and other natural resources locally. This will provide space for new and emerging industries, the much-needed job creation opportunities, and allow for advancing technology and innovation. Not forgetting the higher price that beneficiated goods receive in the market.

Given the geopolitical headwinds, we must forge new partnerships and strengthen existing ones, look to the Global South to continue to strengthen our trade networks and advocate for an inclusive low carbon transition through necessary measures, including leveraging the opportunities presented by the African Continental Free Trade Area (ACFTA).

We must continue to pursue low carbon solutions for Business!

We must continue to explore options for affordable access to finance!

We must continue to develop and retain the critical skills required for a transition to an inclusive and low-carbon economy!

In conclusion, I would like to wish you well in your deliberations over the next two days. Let’s keep it relevant for the benefit of our beautiful Continent!

I thank you.

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