ENERGY SAVVY: The way forward - Energy management
It has become achingly clear that the South African national power grid is no longer fit for purpose. Despite a record number of load shedding free days, disruptions have marred the energy landscape. With no real long-term solution in sight, the country’s reliance on expensive coal reserves and emergency measures means that it is past time for retailers and wholesalers to take charge of their own electricity needs. As technology rises to meet these challenges and innovative solutions are shaped to drive the industry forward; the good news is that retailers and wholesalers have an array of tools at their disposal for building sustainable and optimised energy management solutions that can help reduce costs, optimise consumption and positively impact business. Immediate action might be unrealistic, but a timeous response is important given the energy climate. This means that audits, real-time and targeted solutions must be implemented in the not-too-distant future. Time is running out for retailers and wholesalers to address the energy question, and this is true globally, not just in South Africa.
Local retail committed to energy sustainability
In its 2024 Sustainability Report, Shoprite Holdings stated that it is expanding installed renewable energy capacity to reduce the Group’s carbon footprint. It says, “Shoprite’s solar panels now cover an area that is bigger than 27 soccer fields, with the solar photo voltaic (PV) facilities generating enough clean energy to power over 10 000 homes annually.” In terms of value impact (FY2024), the report says renew able energy consumption reached 6.5% of total electricity consumed (FY 2023: 5.5%),
which is 26.2% of its 2030 target. Shoprite also has “82 rooftop solar systems across 77 sites, with 73 in South Africa and four in Namibia Pick n Pay’s 2024 Sustainability Report also reports positive developments, saying, “We target a 45% improvement in energy efficiency across Pick n Pay’s energy programme (322 company owned stores) by 2030 and 100% conversion to natural refrigeration in Pick n Pay company-owned and Boxer stores by 2040.”
The report says the Group has solar installations at three Pick n Pay distribution centres, eight Pick n Pay stores, and 10 Boxer stores and facilities, which represents the majority of the stores and facilities owned in the Group property portfolio. Pick n Pay also invested in solar installations at two new stores and invested in additional solar capacity at its Eastport distribution centre. In their 2024 Sustainability Report, the SPAR Group’s Sustainability Executive Kevin O’Brien noted, “SPAR prioritises actions that comply with increasingly stringent regulations while fostering long-term resilience, stakeholder trust and operational excellence. Our proactive approach is reflected in the double materiality assessment SPAR commissioned in 2024.
With crucial input from stakeholders across our value chain, this was a ground-breaking step towards alignment with the EU’s new CSRD.” The report states, “Long-term efficiency improvements across our territories include installation ofenergy-saving equipment in stores and warehouses (including innovative refrigeration and lighting solutions to renewable energy) by our business partners engaging with preferred suppliers in the development and implementation of these solutions.” SPAR’s distribution centres have solar PV installations, which help reduce the reliance on grid electricity and the costs associated with diesel powered generators.The Woolworths Good Business Journey Report 2024 says that the business aims to source 100% of their energy from renewable sources by 2030.
The report says the “resistance of electricity supplying authorities (Eskom/municipalities) in enabling large-scale renewable energy systems connection” remains a challenge to this goal, as do the “far-reaching impacts of loadshedding, from increased operating costs to numerous breakdowns, and implications for renewable energy projects viability.” The report goes on to say, “We have prioritised retrofitting energy-efficient equipment to old facilities when the opportunity arises. We ensure that using energy-efficient equipment is standard for new facilities. The benefits include improved energy productivity, reduced maintenance costs, and other energy-efficiency savings. The energy journey is not without obstacles often faced by local retailers and wholesalers. The report says, “Solar PV installations in stores where we are tenants depend on landlords’ willingness for us to install our own solar PV systems and/or share their installations
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