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Business Benefits from Cape Town's Climate and Infrastructure Strategy

With Gareth Morgan: City of Cape Town

Summary

The City of Cape Town is addressing climate resilience and service continuity through strategic investments, highlighted by two key examples.

First, following the severe 2016-2018 drought that impacted water consumption, businesses, and the city's reputation, Cape Town is investing in water augmentation projects to achieve water resilience by 2030. This aims to prevent future water restrictions like those in 2017-2018, ensuring continuity for businesses and households. Second, the city is tackling load shedding, which disrupts businesses and affects South Africa's GDP growth.

Despite a less severe load shedding profile in 2024 compared to 2023, Cape Town is investing in energy security measures to counter four stages of load shedding by 2026-2027, focusing on reliable electricity supply with climate co-benefits, often through decentralized, renewable solutions.

These efforts, part of a broader infrastructure strategy to renew, rehabilitate, and build new infrastructure, aim to minimize service disruptions, support households and businesses, and position Cape Town as a reliable, climate-responsible investment destination in South Africa.