For the first time, Southern Africa will have a green toolbox to offer small firms extra
rewards for cutting pollution. The initiative, which forms part of a move to establish the region’s first Carbon Register, was showcased to delegates at the COP26 climate summit in Glasgow.
“We are on the cusp of opening access to a regional solution for Carbon Markets, which will allow all Southern African SMMEs access to extra rewards for cutting their carbon footprint,” said Marc Tison, Senior Vice President of SEEDX10.
SEEDX10 is tapping into an already established global Carbon Market solution through a global partnership, to enable the Southern African Carbon Register to operate seamlessly across the region without any need for additional regulatory approvals. A Carbon Register is a mechanism that rewards businesses and organisations for creating carbon credits – these have a value and, through the Register, are tradeable around the world.
The credits are awarded for green projects and initiatives which reduce emissions and can be sold to willing buyers to offset their own carbon footprint. The buyers of carbon credits are large emitters of carbon like Eskom and large corporates, and worldwide demand is expected to spiral as countries scramble to make the carbon savings that are being pledged at COP26, by making the penalties for emissions higher and higher – using mechanisms such as carbon taxes.
“This new Carbon Register will enable SMMEs in Southern Africa and its neighbours to trade voluntary carbon credits – both within their own territory, between territories and globally, in compliance with all sections of the Paris Agreement,” said Tison.
“The aim is to create a new source of carbon credits from the Southern Africa region as global demand for these shoots up. Without access to a Carbon Register, SMMEs cannot participate in the global Carbon Market. This will unlock a new, exciting, and alternative form of funding for SMMEs to assist them to build and scale their businesses.” With offices already established in the USA, SEEDX10 is launching a Carbon Register for Southern Africa – with a unique offering.
“Our global location is key as it provides us with easier access to global capital markets and new trading markets for our clients who have products developed in the region that have global export potential,” explained Tison. “Small firms cannot at present easily benefit financially from their carbon-slashing initiatives.”
“We offer the chance of aggregating the achievements of a cluster of SMMEs to give them the combined critical mass to enter – and to directly benefit financially – from the carbon trading environment.
“Meanwhile, we believe we are launching a unique offering to SMMEs – we will be providing financial incentives to SMMEs who register their green projects through a link-up with Global Impact Holdings (GIH), an established and credible venture-capital provider.” GIH is a fast-growing venture capital player in SA, with a focus on supporting small businesses and making a positive impact on the economy.
The Carbon Registry business, with internet presence already established at www.sacxr.com, will be incorporated in Botswana, where SADC’s head office is located.