The Global Cold Chain Alliance (GCCA) is calling for urgent policy action to allow temperature-controlled logistics operators in Africa to boost food supply chain resilience in preparation for future energy blackouts and load-shedding.
GCCA Director Africa Paul Matthew
The call comes as GCCA Africa publishes a new report which shows the adverse effects of blackouts and load-shedding on the temperature-controlled storage and transportation operations which are critical to food and pharmaceutical supply chains. The report, 'Strengthening Cold Chain Resilience Amid Rolling Energy Blackouts aka Load-shedding', was commissioned by the Advisory Committee of the Global Cold Chain Alliance Africa, and conducted by Tutwa Consulting Group.
The report shows that the resilience of the cold chain is threatened by energy challenges such as load-shedding and an overreliance on ageing coal-fired power plants, particularly in Botswana, Madagascar, Mauritius, Morocco, Namibia, Senegal, South Africa, Zambia and Zimbabwe. Frequent power outages during load-shedding strain refrigeration equipment, leading to increased maintenance and breakdowns in cold chain operations.
Global Cold Chain Alliance Director for Africa Paul Matthew says: "An effective cold chain is the foundation of a safe, affordable and resilient food supply chain for Africa, maximising the availability and shelf-life of food and very substantially reducing post-harvest loss and waste. Our industry is also vital to economic growth and trade across the continent. Reliable access to energy is a core requirement for keeping food refrigerated in storage and in transportation, and our new report shows the impacts on the cold chain over the past two years of the worsening energy crisis and increase in load-shedding.
"We have identified the actions that governments must take to allow cold chain operators to prepare for further energy disruptions, giving these crucial businesses greater scope to keep providing their vital services."
The policy actions that GCCA is recommending to governments are detailed in the new report. They include:
- Boosting renewable energy supply through measures including extending Renewable Energy Incentives, providing tax credits for cold chain businesses investing in renewable energy.
- Minimising the risk of future blackouts by using the cold chain sector as an energy storage medium through demand-side management strategies.
- Reducing impacts on temperature-controlled logistics in the event of blackouts.
Paul Gibbons, CEO Commercial Cold Holdings (CCH), said: "The Strengthening Cold Chain Resilience Amid Rolling Energy Blackouts report highlights the important role the cold chain plays in food safety and security."
Digistics CEO Renier du Preez said: "Africa as a continent, needs to take urgent action to support temperature-controlled logistics operators to ensure food security and boost supply chain resilience, without this, stability in markets will be under pressure due to food shortages and unaffordability due to an escalation in food costs that also negatively impacts inflation."
For more information:
Shane Brennan
Global Cold Chain Alliance
Tel: +44 7584 066160
www.gcca.org/regions/africa/