Santam Solar Water Heater Pilot Programme Feedback by sfq18532


									   Santam Solar Water
Heater Pilot Programme

  Presented by Ebrahim Asmal
            5 November 2009

What is happening to our planet?
          Context: What is happening to our planet?

• Increase in temperatures (including sea-surface temperature)
• Sea level rises
• Increase in the intensity and frequency of natural disasters
• Arctic sea ice is melting
• Heavier rainfall causes more flooding in many regions
• Extreme drought is increasing
• Ecosystems are changing
• Increase in the frequency of heat waves
• Warmer temperature is affecting human health

What is happening in the business world?
     Context: What is happening in the business world?


•   Even in the current global economic recession, many companies still have
    their focus on climate change1

•   The European union has established an emissions trading scheme2

•   The carbon disclosure project (CDP)3

•   New climate protocol to be discussed in Copenhagen in December 20094

•   An increase in global collaboration5

•   Carbon tax6

•   New opportunities have emerged7
    Context: What is happening in the Insurance world?

•   As our climate continues to change, the global insurance industry is
    becoming more vulnerable to the increasing risks which it poses.

•   This has prompted the global insurance industry to take action.

•   Several industry specific reports were released recently that shows that the
    insurance industry is leading on the matter of environmental risk

•   Swiss Re has done a study on the Economics of Climate Adaptation

•   UNEP FI ESG Factors in Insurance report was launched in October

•   ClimateWise statement publicly released calling for a robust deal in

•   New opportunities have emerged
       Context: What is happening in the business world?

             International                              South Africa
Even in the current global economic       An increase in the number South African
recession, many companies still have      companies who take climate change into
their focus on climate change             business consideration1
The European union has established an     South Africa was the first African country
emissions trading scheme                  to trade in the carbon trading market
                                          under the Kyoto Protocol2
The Carbon Disclosure Project (CDP)       Carbon Disclosure Project was also
                                          initiated in South Africa in 2007
                                          (Santam was the first short-term
                                          insurance company to participate)3
New climate protocol to be discussed in   South Africa to participate in the climate
December 2009                             change conference as part of the
                                          international climate-change
              What role can we play as insurer?

•   We have the ability to influence a wide range of stakeholders in our
    direct control

•   As leading insurer influence the industry we operate in.

•   Look at practices in our business that support the drive to reduce
    climate change3

•   Look at our own business and how we reduce our footprint
Santam Environmental Vision

           To be FUTURE THINKERS

         Santam is ready for the future.
      We are a hub of expertise in innovative
        environmental risk management.

   We are pro-actively addressing future threats
   such as climate change to our stakeholders.
Santam Environmental Vision

       In line with ClimateWise Principles:

   •   Lead in risk analysis
   •   Inform public policy making
   •   Support climate awareness amongst the
   •   Incorporate climate change into
       investment strategies
   •   Reduce the environmental impact of our
   •   Report and be accountable.
              How are we going to do this?

   Internal Management                            Core Business

Management of Santam’s own             Better risk knowledge, management,
   environmental impact                 selection and rating innovation and
                                       identification of appropriate solutions

                 Communication with Stakeholders
   Positioning and communication to internal and external audiences,
                     and take a leadership position.

            Environmental Forum (Centre of Expertise)
                    A focused team to lead thinking
           and drive environmental changes in the business
                    Internal Management

                             We have:

         Set in place an environmental policy with targets
and have shown progress in reduction based on Carbon audits done

     Environmental awareness programmes provided to staff
               A recycle programme introduced

    Joined ClimateWise and international insurance association

            Have set in place an Environmental Forum

  Start the dialogue conversation in the industry (eco-conference)

                   Get our own home in order
                         Core Business

                  Piloted the Knysna GIS process

Looking at a variety of solutions to support the vision eg SWH pilot

  Identifying a cross business initiatives still in investigation and
                         Discovery phase.

             Building it into the strategy process,
              Building in rather than bolting on
                    Communication with Stakeholders

The Ecocentric Journey conference took place in September 2009.

The aim of the conference was to:

    •   Raise awareness within the industry around the reality of climate change and the
        risk associated with operating non-sustainably

    •   Excite the local insurance industry, its role players and clients about the
        opportunities that arise from operating a sustainable business

    •   Create hubs and discussion forums to mobilise the industry and its stakeholders to
        start thinking about ways to collaborate, to address the problems and to take
        advantage of opportunities available

    •   Facilitate learning from local and international experts from the investment,
        insurance, scientific, government and multi-national think tank communities
                   Solar Water Heater Pilot Feedback

•   Santam replaces large volumes of geysers annually as part of its claims process
    (ie on average 40 000 units per annum)
•   At point of claim Santam has a captive client and hence it made sense to drive
    the option of SWH which supports our Environmental vision and national energy
•   We launched the pilot in September 2009 in partnership with DPE, Eskom and
    Unlimited Energy
•   The programme in essence is driven from our Claims and Quality management
•   We are still refining the programme to date from a systems and administrative
•   A critical component to the pilot is the offset of carbon which allows us to be able
    to make the SWH more affordable to our clients
                Solar Water Heater Pilot              continue..

•National policy by government will help in rolling out this process more speedily
                    Our SWH commitment statement

Climate Change issues remain high on the SA corporate agenda. Santam took
part in the 2009 Carbon Disclosure Project managed by the National Business
 Initiative and was rated 7th out of the 100 top firms in South Africa. Santam’s
          carbon emissions amounted to 6.261 tons at the end of 2008.

 As part of Santam’s commitment to create a world of certainty, we are already
  reducing our own carbon footprint. In addition, have made a commitment to
     offset our carbon emissions and we are investigating various renewable
      opportunities. We now want to facilitate sustainable alternatives for our
stakeholders to ensure that we all manage our risks responsibly. These projects
 will be planned in conjunction with National Policy as well as internal business
                           processes and procedures.
Thank you

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