At the 2024 GCCA Africa Cold Chain Conference held in Cape Town, Renier du Preez, CEO of supply chain and logistics provider Digistics and vice chair of GCCA Africa, addressed the urgent need for sustainability within Africa ' s cold chain logistics sector emphasising the impact of climate change and rising operational costs on the industry.
ASSOCIATIONS
Cold chain sustainability in a changing world
Compiled by Eamonn Ryan from the presentation
At the 2024 GCCA Africa Cold Chain Conference held in Cape Town, Renier du Preez, CEO of supply chain and logistics provider Digistics and vice chair of GCCA Africa, addressed the urgent need for sustainability within Africa ' s cold chain logistics sector emphasising the impact of climate change and rising operational costs on the industry.
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If you ' re running a cold store or your business the way you did five to seven years ago, you ' re in trouble." This set the tone for a discussion on how businesses must adapt to the rapidly changing landscape.
Du Preez highlights that climate change is no longer a distant threat; it’ s an immediate reality impacting operations. He cites extreme weather events as indicators of the climate crisis that can disrupt supply chains.
“ While the conversation around sustainability often revolves around costs, with stakeholders expressing concerns about return on investment, there are innovative approaches that can be taken. How can we do this differently?" he asks, underscoring the importance of finding sustainable solutions that also make financial sense.
He shares insights from Digistics ' own sustainability initiatives, particularly in solar energy implementation in warehouses and advancements in vehicle technology, such as tri-axle designs. He noted the challenges posed by rising electricity costs in South Africa, where Eskom tariffs have increased dramatically over the past 15 years.
" While Eskom ' s debt continues to climb, so too do our operational costs," Du Preez says, highlighting the need for the industry to adapt and innovate. He stresses that reducing carbon emissions is not just a moral obligation but a practical necessity in maintaining competitiveness.
Reflecting on recent blackouts and the lingering threat of loadshedding, he cautions that introducing renewable energy into a grid historically dependent on coal is fraught with complexity.“ Any spike in the grid could result in shutdowns, so contingency planning is paramount,” he explains. He also highlights the inefficiencies within local municipalities and the convoluted dynamics between private and government sectors that further complicate operations.
Water scarcity emerges as another looming challenge.“ We must recognise that water will soon be a critical issue, and we need to address this proactively,” Du Preez states. This points to a broader trend in which businesses must prepare for multiple contingencies and seize opportunities in doing so.
Du Preez also discusses legislative pressures, particularly the recent Climate Change Act in South Africa.“ This law is not negotiable; compliance will be necessary,” he asserts. As part of the country’ s commitment to the Paris Climate Agreement, businesses must understand their emissions baseline and develop reduction strategies.
He warns that South African exporters could face significant hurdles due to international mechanisms like the carbon tax adjustment mechanism in Europe, which could make it challenging for local suppliers to compete.“ The cost of products will
The integration of solar allows one to harness energy during the day.
All images by Freepik
10 www. coldlinkafrica. co. za COLD LINK AFRICA • May 2025