Climate Change Data

Norsad Capital

Climate Impact & Sustainability Data (2023)

Reporting Period: 2023

Environmental Metrics

Scope 1 Emissions:8,038 tCO2e
Scope 2 Emissions:68,607 tCO2e
Renewable Energy Share:26%

ESG Focus Areas

  • Climate Change
  • Sustainable Livelihoods
  • Gender Equality
  • Financial Inclusion

Environmental Achievements

  • 26% of portfolio utilized renewable energy sources
  • 10% of portfolio took proactive measures to quantify and mitigate their carbon emissions

Social Achievements

  • Portfolio supported 14,921 jobs, with 22% held by new employees
  • 45% of jobs across the portfolio were held by women
  • 22% of portfolio jobs were held by young people (25 years or younger)
  • Launched a tailored business training program for 28 disabled SME owners in partnership with the Local Enterprise Authority (LEA) and the Botswana Council for the Disabled (BCD).

Governance Achievements

  • Norsad Climate Policy approved, affirming commitment to a just green transition, aligning with TCFD disclosures, conducting carbon footprint analysis, and developing a Climate Strategy.
  • Received technical assistance from Swedfund to measure climate risk levels across the portfolio and developed a climate reporting tool for portfolio companies to use in 2024.
  • Published a Climate Statement acknowledging climate change as a major threat and incorporating climate-related considerations into business practices.
  • Achieved a 100% score from the PRI for confidence building measures.

Climate Goals & Targets

Long-term Goals:
  • Impacting 100 million African lives
Medium-term Goals:
  • Developing a Business Integrity toolkit
  • Experimenting with sustainability-linked loans mechanisms
Short-term Goals:
  • Enhancing climate strategy, climate reporting, and supporting portfolio companies to collect climate-related data
  • Revising impact measurement tools

Environmental Challenges

  • Global economic, political, and social uncertainties
  • Rising inflation and interest rates
  • Political instability in many African countries
  • Climate change and its impact on agricultural and fisheries sectors
  • Significant shortage of affordable housing in South Africa
  • Challenges related to cancer care in Kenya (costs, lack of patient education)
Mitigation Strategies
  • Continued to pursue opportunities aligning with long-term investment thesis and contributing to sustainable growth
  • Implemented operational changes in fisheries investments (selecting new species, adopting new techniques)
  • Investing in affordable housing solutions in South Africa through Lakutshona
  • Investing in an oncology ward at Ruai Family Hospital in Kenya to expand healthcare services

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks
  • Increased rainfall variability, heat waves, and droughts
  • Reduction in fish stocks

Reporting Standards

Frameworks Used: IRIS+, OPIM, TCFD, AA1000 Accountability Principles (2018), Client Protection Standards

Third-party Assurance: Independent consulting firms (names not specified)

UN Sustainable Development Goals

  • SDG 1 (No Poverty)
  • SDG 2 (Zero Hunger)
  • SDG 3 (Good Health and Well-being)
  • SDG 4 (Quality Education)
  • SDG 5 (Gender Equality)
  • SDG 8 (Decent Work and Economic Growth)
  • SDG 9 (Industry, Innovation, and Infrastructure)
  • SDG 11 (Sustainable Cities and Communities)
  • SDG 13 (Climate Action)

Investments in healthcare, education, affordable housing, agriculture, financial institutions, and renewable energy contribute to these goals.

Awards & Recognition

  • Shortlisted for Best ESG Investment Fund – Emerging Markets (Private Markets) and Best Corporate Sustainability Strategy: Investment Manager at Reuters Business Awards
  • Awarded ‘Highly Commended’ under the ‘Responsible Investor’ category at 2024 Real Leaders Impact Awards
  • Ranked number 104 out of 185 top impact companies