Page 66 - Risk Report 2024

IRMSA
66 RISK REPORT 2024/25

8.10 Climate

Extreme weather events due to failed global, regional, and national climate change
mitigation, augmented by insufficient adaptation to strengthen resilience, increasingly
affect SA.

The risk is driven by the following challenges impeding domestic resilience:
• Excessive global and regional greenhouse gas emissions from anthropogenic activities.
• Rising global sea temperature supporting El Niño impacts, causing elongated dry spells, droughts, above
average/rising temperatures and heatwaves.
• Inherently arid climatic conditions limiting agricultural production.
• Adverse industrial environmental practices.
• Insufficient political and investment urgency amidst priorities perceived to be more urgent (e.g. land
restitution conflicts).
• Political instability and policy uncertainty thwarting a just energy transition and SA’s Nationally
Determined Contributions.
• Adaption delays, due to lack of political will, siloed actions, and greenwashing causing insufficient policy
frameworks to –
• expand private power producers, to reduce GHG emissions and thresholds (e.g. Climate Change Act,
Carbon Tax Act), and promote the domestic voluntary carbon market;
• further promote increased adoption of responsible investment and climate-related disclosures,
such as the JSE Responsible Investment Index, CRISA, and other relevant ESG reporting frameworks
(beyond regulated and listed entities); and
• active public and private research initiatives into primary production resilience (climate-smart
agriculture and forestry).

THATO SERITILI LEVIN MBATSANI LEO LONG SAKHUMZI DIZA
Sustainability Associate CRM Prac Senior Manager Chief Risk Officer
JSE Business Manager: Risk Verra Land and Agricultural
Management Development Bank
Land and Agricultural