Investment company on track to meet net-zero energy goals

As part of its ambition to achieve Landlord Scope 1 and 2 Net-Zero Carbon by 2030 as well as implement sustainable practices, property investment company Liberty Two Degrees (L2D) has successfully implemented portfolio-wide energy management improvements, says sustainability lead specialist Brian Unsted.

With this in mind, the company boasts total installed solar capacity of 13 MW across its portfolio, compared to 3 MW in 2022. The company also met its 2023 target of sourcing 3% of its portfolio’s energy baseload from renewable-energy sources, achieved through implementing onsite solar energy production.

L2D’s energy strategy involves “a focused approach to minimising both Scope 1 direct emissions and Scope 2 indirect emissions in its value chain”, says Unsted.

“By setting and actively pursuing this target, we not only align with global sustainability initiatives but also play a leadership role in driving positive environmental change in the property industry and the greater group,” he adds.

The company is at various stages of integrating renewable-energy capacity at several properties in its portfolio, including Sandton City and Eastgate Shopping Centre, in Johannesburg, and Promenade Mall in Michells Plain, in the Western Cape, as well as at Midlands Mall, located in Pietermaritzburg.

At Sandton City, L2D started a 1 MW installation at the mall in November 2023 and the project was commissioned in May 2024, says Unsted.

At Eastgate, the company has expanded the centre’s renewable-energy capacity from an initial 1 MW to a 5 MW solar power installation. The centre has almost 13 675 solar panels, which helps the centre meet about 35.04% of its daily energy needs through solar power generation.

“This is currently the largest registered rooftop installation, generating a total of 6 MW, or 7.216 MWp, in solar power,” he highlights.

At the Promenade Mall, the current installation of 1 MW achieved energy savings of 1 764 MWh in 2023.  Phase 2 of the mall’s renewable-energy project is currently under way with a roof-strengthening project in progress to support an additional 2.6 MW solar PV system by 2025.

Midlands Mall has a 5 MW installation, with Phase 1 of its renewable-energy project resulting in energy savings of 1 010 MWh. Phase 2 has achieved energy savings of 1 742 MWh since commissioning in October 2023.

“We have added an extra 4 MW of solar power,” Unsted adds.

He explains that L2D remains committed to complying with energy-management laws, regulations and codes of practice as part of its dedication to sustainable property operations. Its compliance with all relevant legislation underscores its dedication to responsible energy management in existing operations, upgrades and new developments.

This approach ensures that L2D aligns with current energy-management standards while positioning itself as a responsible and compliant player in the industry. By prioritising energy-related legal compliance, L2D contributes to a more sustainable and environment-conscious built environment, Unsted elaborates.

Growing Pains
In the expansion of its solar PV installations, L2D has faced several challenges, Unsted notes.

A key issue is the lack of available roof space to accommodate the expanding solar PV systems, resulting in the need to build structural steel subframes to support its solar expansions.

Additionally, existing roof structures often require strengthening and refurbishment to extend their lifespan before the solar PV systems can be installed.

Unsted also points out restrictions on the amount of solar that can be installed, noting that while batteries are still being explored as a component of its energy mix solutions, wheeling opportunities are at advanced stages.

Energy Efficiency
Investing in solar power is a strategic move for L2D as it provides a cost-effective, efficient and environment-friendly means of generating electricity, says Unsted.

In 2023, L2D produced 6 517 MWh through solar energy, resulting in yearly savings of over R11.8-million in electricity costs.

“To achieve our net-zero targets, we prioritise the efficient management of natural resources, a commitment independently verified through Green Star certification – an internationally recognised mark of operational excellence,” Unsted adds.

In 2021, L2D’s entire retail portfolio earned Green Star ratings, a significant achievement highlighting the company’s dedication to sustainability and the positive impact of greener retail practices.

“We are on track for recertification in 2024 ” he concludes.