Invest Africa, the leading trade and investment platform for African markets has partnered with global law firm, DLA Piper, to support the development of ESG best practice in Africa’s renewable energy projects.
Environmental, Social and Governance (ESG) measurements and targets are a crucial part of fundraising as investors look to drive sustainable growth along with their portfolios. It presents a significant opportunity for Africa’s green energy sector as the continent boasts of ample of natural resources.
The project will bring together experts from impact investment, development finance and law and will discuss ways to improve ESG practices in African renewable projects from both an operational and fundraising perspective.
Invest Africa’s COO, Veronica Bolton-Smith, said that despite the region being a minor contributor to global emissions, Africa is yet vulnerable to the impacts of climate change. Falling prices of renewables will form a more important part of Africa’s electrification movement.
Therefore, it is crucial for projects to be given the tools to apply best practice in ESG, from an environmental perspective as well as in terms of fair working conditions, good governance, and contribution to social inclusion. Invest Africa is looking forward to closely working with DLA Piper on this motive, she added.
Natasha Luther-Jones, International Co-Head Sustainability and ESG, and Global Co-Chair of Energy and Natural Resources, DLA Piper, mentioned that climate change is one of the biggest challenges currently faced by companies and people.
While seeking for reducing its impacts, whether it be by means of how we power our devices, how we dress or what we eat, where we live or how we work, it all boils down to the need to increase the amount of affordable and accessible clean energy.
She continued that renewable energy firms are not automatically sustainable as sustainability covers all ESG factors, and not just environmental. It is understood that the requirement for renewable energy will continue to rise, leading to rise in number and size of renewable energy companies.