Meet the people behind SAICA’s Sustainability Technical Committee
The objective of SAICA’s Sustainability Technical Committee (STC) is to support the organisation in responding to various current and emerging sustainability aspects as it relates to members and other stakeholders. This includes advocacy, thought leadership, guidance, and stakeholder engagement.
Focus areas include reporting and disclosure, with specific emphasis on the global convergence of sustainability reporting standards and frameworks.
The focus areas also involve assurance and verification, with a specific emphasis on non-financial sustainability information. Integrated thinking, with specific reference to sustainability in terms of the International Integrated Reporting Framework and the Integrated Thinking Principles, also plays a major role, as well as sustainability advocacy and thought leadership with identified key stakeholders, covering the areas of reporting, assurance, and integrated thinking and any other key aspects considered non- or pre-financial information.
The committee consists of 13 passionate and committed individuals ready to drive change.
Yvette Lange
As chair of the STC, Yvette Lange CA(SA), adjunct professor in the School of Accountancy at the University of Witwatersrand, explains that her interest and passion are primarily based on the needs and responsive rapid developments within the global landscape regarding sustainability reporting and assurance.
‘Being a part of the STC will provide me with an opportunity to contribute and influence these developments in a meaningful way to arrive at appropriate outcomes locally as well as globally,’ says Yvette.
‘Furthermore, we hope to see the STC shape the thinking of SAICA’s members to think in a more integrated way to use their positions of skill and influence to achieve the changes needed for a sustainable world.’
‘Purpose-led business has been a growing concept over the past few years and has moved up even further on the company agenda since the advent of the COVID-19 pandemic and now the climate change and biodiversity loss crises,’ she continues.
‘Companies should be prepared to demonstrate how any decisions they have made in response to these crises are grounded in a broader evaluation of value creation and long-term sustainability.’
From an integrated thinking perspective, companies must, according to Yvette, have a clear purpose. ‘This provides a framework for explaining how an organisation creates value and the development of an interconnected strategy, governance, and operations.’
Within the context of inevitable change in business, society, and the world at large, companies that are guided by their purpose will have a keener sense of how they should evolve. ‘Business models, strategy, and even governance structures will need to be refined and, in some cases, re-developed. It is essential for integrated thinking, guided by a company’s purpose and values, to drive these changes.’
Amanda Khoza
Amanda Khoza runs a management consulting firm that looks at sustainability and socio-economic development strategies for corporates.
‘I am not a CA(SA) but have two master’s degrees. I was appointed to the SAICA committee because of my interest in sustainability from a non-accounting perspective,’ Amanda explains.
‘I started with accounting ambitions and have come full circle to do something for the accounting profession. Bringing my investment knowledge and business development experience into the mix has shaped my career into a colourful, exciting, and varied journey.’
She is excited about this new challenge. ‘The calibre of people on the STC is very high – and diverse (not everyone is an accountant, we even have a professor and engineer), bringing innovation and thorough engagement on sustainability matters. Being on the committee is a passion project because we contribute to shaping the sustainability governance narrative for corporates and as contributors from a South African perspective.’
She believes the accounting profession can further influence banking and finance institutions to incorporate core ESG principles in their frameworks and service offerings.
‘An integrated approach for investment purposes and operational and product development strategies will fast-track incorporation. In the same way GAAP principles are generally accepted, ESG principles must be mainstreamed into these institutions’ practices, procedures, and systems. The profession can support the development and updating of frameworks to ensure the principles become better embedded,’ says Amanda.
She adds: ‘So much regulatory reform is happening in multiple sectors that compliance has become critical to business as usual. Yet, with all the application inconsistencies, corporates are overwhelmed to ensure they are ready for the new normal that is upon them. ‘The effectiveness and impact of global disclosures also remain untested; thus, at this stage, there’ll be more box-ticking than achieving substantive sustainability.’
Anria van Zyl
As a senior lecturer and Head of Digital and Leadership Acumen in the School of Accountancy at Stellenbosch University, Anria van Zyl CA(SA) facilitates modules in digital acumen, sustainable business models, integrated and sustainability reporting, and information and risk management.
She became a CA(SA) because she loves solving problems and unpicking complex systems. CAs are in essence information system experts; we create and maintain knowledge systems.’
Anria firmly believes the accountancy profession has a very important role to play in the corporate sustainability space. ‘For too long the profession has viewed everything that cannot be easily monetised as off-balance sheet events. We have the knowledge and expertise to create, maintain and verify the information needed for integrated thinking.’
For her, the STC has the potential to help shift the paradigm and normalise corporate sustainability and integrated thinking.
When it comes to sustainability standards and South Africa’s growth, Anria feels the focus should always first and foremost be on the way business is done. ‘We should also always remember what the purpose of corporate reporting is,’ she says
‘Reports have to be useful to decision-makers and should provide sufficient context for decision-makers to understand our unique context and operating environment. If we keep that in mind, we can use the standards as a guide for best practices and information that could be included in our reports.’
When it comes to the role of the accountant in clean energy and just transition, Anria explains companies need to get to grips with the concept of value creation. ‘They need to expand their risk management processes to actively consider how they create and destroy value across all six capitals. The role of an accountant is to hold business accountable by providing the information, whether it is financial or non-financial, needed for integrated decision-making.’
Benny de Lange
Benny de Lange, an ecologist, works as an associate with Earthinc, specialising in sustainability embedment and disclosure specialising in the mining sector. He also has experience in the public, financial services, and telecommunications sectors.
‘I spent the first half of my career undertaking environmental and social impact assessments and management plans throughout Africa,’ Benny explains.
The second half of Benny’s career involved managing sustainability assurance teams at one of the Big 4 firms. ‘This has given me valuable insight into the complexity of sustainability, and specifically the interconnectedness between the environment and society.’
As an ecologist, Benny understands and appreciates that ecosystems and processes are interconnected. ‘My career calling has always been to ensure that any solutions I develop take social and environmental complexity into account.’
As a member of the STC, Benny plans to continue driving this agenda – engendering an appreciation that sustainability is complex and not just a new fad that looks good but that is something that executives need to understand in the context of their businesses.
‘The biggest change I would like to see is that sustainability mainstreamed by executives and boards is due to an ethical and moral need to do so and because environmental and social issues really can affect their business (business risk). And not just because if they don’t, it limits access to global funding.’
Based on Benny’s experience in sustainability, ethical conundrums were not a problem as the risk of misstatement and fraud were historically low and the robustness of the audit methodology precluded subjective judgements. ‘And because of the risks associated with issuing any assurance report with a partner’s signature on it, internal quality control processes were also quite rigorous.’
From his experience with ESG-embedment engagements, ethics takes form as regulatory body ethics policy, company ethics policy, consequences for breaches, training and awareness, and accountability.
Paul O’Flaherty
Paul O’Flaherty CA(SA) leads EY Parthenon across Africa. ‘EY Parthenon is involved in helping companies in three areas: corporate strategy execution, transaction strategy execution, and turnaround and restructuring strategy execution,’ he explains. ‘I also lead the EY Sustainability Field of Play across Africa, which coordinates and monitors all sustainability services that EY offers.’
He believes it is extremely important for CAs(SA) to play their part in transforming companies to recognise and adopt sustainable practices for the future and feels the STC is a good form of educating and inspiring SAICA members. ‘Everyone has a responsibility to ensure that sustainability is high on the agenda of all corporates,’ says Paul.
For him, a finance function is not just about reporting disclosures. ‘It is about establishing a closer working relationship between the sustainability and finance teams.’
Furthermore, it is important to understand an organisation’s current sustainability issues. ‘Non-financial measures and metrics that reflect key stakeholder issues, key components of their organisation’s ESG strategy, and external sustainability ratings then need to be embedded into their reporting.’
Organisations need to have appropriate policies, processes and controls for ESG data, and the right data management systems needed to report new data streams.
‘Introducing sustainability-linked criteria into their capital allocation processes (for example carbon pricing and water usage) is also essential. As is understanding the financial impact of climate-related physical and transition risks across short-, medium- and long-term time horizons to increase the reliance of their organisation’s strategy and reduce financial statement misstatement risk.’
Lastly, it is important to understand the evolving regulatory landscape for ESG reporting across operations to pre-empt new data and performance reporting requirements as well as how to access green finance that can benefit the business and the reporting requirements associated with related KPIs.
Penelope Gregoriou
Penelope Gregoriou is an experienced finance professional at Alexander Forbes Investments. Her work is focused on research, reporting, thought leadership, and brand management.
Part of her focus is on sustainable investing, impact, and sustainability reporting, and enhanced corporate citizenship. ‘I believe that finance professionals play an essential role in driving the direction of business strategy and underlying operations. Being part of the STC allows me to play a contributory role in the capacity-building that finance professionals might need.’
She would like to see corporates moving beyond tick-box exercises and mandatory reporting to intentional implementations of sustainability considerations that contribute to key national impact objectives and address South Africa.
Penelope feels the mainstreaming of ESG considerations should not be topical. ‘It is something that will continue to be prioritised as we continue to be met by socio-economic, governance, and environmental risks that will pose a risk to the success of businesses, and ultimately, if they will be successful in the long term.’
‘There have been heightened engagements around ESG and it has been, and will be, a recurring agenda point that can be used to hold companies responsible and accountable for their role as a corporate citizen by investors.’
Ronell Govender
Ronell Govender cultivates a proactive approach to her tasks and is passionate about sustainability and business output delivery.
‘My role includes sustainability and ESG reporting within Naspers by identifying areas of risk, needs, and opportunities, whilst aligning to global best practice and actively assisting the Group to measure and report their emissions, reduce their footprint through decarbonisation reduction strategies, drive social impact investment and improve sustainability performance.’
She is passionate about her role as part of the STC, because climate change is a reality. ‘Like many other developing countries, South Africa is especially vulnerable to the impacts and threat of social, economic, and environmental risks. The energy space is a spotlight in South Africa with power shortages and load-shedding, we need to switch to affordable renewable energy.’
‘We must learn to achieve our sustainability goals by meeting the needs of the present without compromising future generation needs. Together we are stronger, to make an impact in the world we live in.’
Ronell believes the role of business leaders is evolving. ‘Just as the financial reporting process are conducted monthly, reviewed and approved for reporting purposes, CFOs should ensure such processes are in place for non-financial information. For example, when reporting scope two emissions, the same supporting document (electricity bill) which is used to record electricity costs on the financial side, can be used to record kilowatt hour consumption on the non-financial side,’ she adds.
‘Building ESG reporting criteria in work streams will allow for more efficient and effective audit reviews. Importantly, there should be an ESG framework or guideline that outlines the non-financial reporting process, standards, and requirements.’
Scott Williams
As ESG coordinating director for Marsh in the India, the Middle East and Africa (IMEA) region, Scott Williams CA(SA) coordinates the ESG-related work of their diverse team of risk advisors as well as helps to deliver sustainability strategy and reporting projects.
‘I genuinely believe that CAs(SA) can make a profound contribution to the sustainability of business and help create the world we want. I feel that by being an STC member I am making a contribution to the sustainability agenda, and I am very lucky to be able to share ideas with, and learn from, such a diverse group of colleagues on the STC.’
He would like to see business accelerate their progress towards net-zero emissions and for them to provide balanced external reporting that accurately reflects where they are on their sustainability journey.
‘Companies should not let the current state of flux in the reporting environment confuse them or deter them from their sustainability agendas,’ explains Scott. ‘The most important thing is to fully incorporate sustainability into your corporate strategy, create initiatives that are linked to this strategy and be able to accurately monitor, measure and report on them.’
If companies do this, then they will be able to adapt to the requirements of whichever frameworks become the global reporting norm.
When it comes to ethical practices in the profession, Scott’s advice is that ethical behaviour needs to be embedded in the minds of aspiring CAs(SA) from an early stage. ’In the real world, as a profession, we need to take a zero-tolerance approach to unethical behaviour and incompetence.’
Thomas van Viegen
Thomas van Viegen serves as managing director of EARTH.INC, a small boutique advisory consultancy predominately focused on three high-impact industry sectors: financial institutions, mining, and agribusiness. ‘I focus on the risk, impact, and dependency interphase between climate change and natural capital and financial risk exposure and management.’
He has an academic background in environmental science, environmental policy and planning, and recent qualifications in sustainable development and resilience science.
‘I’m passionate about sustainability, particularly the climate change and natural capital thematic areas. Similarly, understanding that nature and natural capital is the next frontier in financial risk management. There is no better place than the STC to influence the captains of South African industry.’
Thomas would like to see a deeper understanding by the accounting profession of the opportunity aspects beyond sustainability risk; that embracing sustainability is good for business, creating longer-term diversified value.
‘The South African financial sector has been considering climate-related risk for the past 20 years, due to the risks largely around droughts, and more recently floods,’ explains Thomas. ‘What is certain, is that the current and predicted exposures don’t fit the conventional risk models anymore, and that uncertainty with regards to climate-related shocks and surprise is becoming elevated on the risk registers.’
Notwithstanding the response to physical risk, the emergent transition risk (internally in the organisation, as well as externally by investors and shareholders) has elevated the awareness around financed emissions in credit portfolios.
‘Although the tangible manifestation of chronic and acute physical risks is increasingly apparent, the “peripheral” nature of transition risk as alluded to above makes it increasingly onerous to trade into stricter more regulated geographies.’
Bongiwe Mbunge
As an executive partner at Mazars in South Africa, Bongiwe Mbunge CA(SA) is excited to be part of the STC, as she values collaborating with professionals with diverse skill sets and being at the cutting edge of upcoming legislation.
Bongiwe has always had a passion for numbers. ‘Particularly financial accounting. It drew me into the accounting profession. Secondly, I love being in public practice, working across a variety of clients.’
In January this year, the Corporate Sustainability Reporting Directive (CSRD) entered into force in the EU. ‘It is progressive as it brings unlisted businesses firmly under regulation. I would like to see this kind of certainty for the African continent,’ says Bongiwe.
Looking closer to home, she does not feel South Africa is on par with other global players in transitioning disclosures for investor perspectives. ‘We are behind. We have competing socio-economic factors. That is why we need to make tangible progress on our transition plans.’
She firmly believes the CA(SA) has an important role in this transition. ‘This begins with the allocated executive responsible for this item. I believe there is a benefit to having the accountant as custodian. Accountants need to extend their knowledge into strategic sustainability topics and thus, would be best positioned to drive and influence the business strategy towards clean and just transition. It begins with narrowing their knowledge gap.’
Kavita Pema
Kavita Pema serves as group head: sustainability and ESG at AECI. ‘I lead the development and execution of a broad-based, company-wide strategic sustainability initiative, integrating sustainability throughout the company.’ She also has to ensure that the company’s sustainability effort enhances business performance and supports the long-term interests of the company.
Kavita is not a CA(SA): she has an MSc degree in environmental management.
‘It is imperative that businesses realise that sustainability and profitability cannot be separated but should rather be complementary parts of an integrated and robust business strategy,’ she explains.
‘Companies need to understand that this trend is not a fad and that integrating sustainability provides a strong basis for responsible business management which in the long run will materialise savings, build credibility and earn goodwill and trust from stakeholders.’
She believes South Africa’s economic growth is dependent on international investment. ‘As a result, we do not have the option of not taking the sustainability standards into account. There is certainly room to tailor the new developments in this space into current business structures and approach the implementation in a phased manner. If businesses conduct a comprehensive materiality assessment ties to enterprise risk, it will be possible to prioritise business-critical aspects of the standards for immediate action.’
Globally, sustainability is at the top of most agendas across all stakeholder groups, particularly investors and the new generation. ‘Business is being challenged to create shared value and contribute to a better world for future generations. The most appropriate response to these challenges is the development of robust ESG strategies and implementation plans in support of long-term commitments.’
Karien Erasmus
As associate director at BDO in risk advisory, Karien Erasmus leads the company’s national sustainability practice. She is a development practitioner and a sustainability specialist.
‘The relationship between developmental objectives and challenges has always fascinated me.’
Karien is looking forward to being a part of the STC. ‘There is so much happening in the sustainability space and being able to be part of such an esteemed and dynamic group of individuals to unpack how these changes might impact and potentially influence South Africa’s sustainability journey, is exciting.’
She would like to see a greater emphasis on climate adaptation. ‘We are missing the mark in terms of mitigation and we need to start developing practical, scalable adaptation plans to manage the climate risks we face.’
In South Africa, and across Africa, the most vulnerable of populations will be most adversely impacted by climate change. ‘We need to start unpacking and planning for the interaction for risks such as health, socio-economic and environmental risks to build societal resilience.’
Karien believes because of South Africa’s robust environmental regulations, the country is in many cases ahead in terms of how environmental and social risk and reporting forms part of corporate functionality already. ‘However, we need to start moving away from reporting for the sake of reporting, or disclosing in a siloed manner and appreciate the complexity of sustainability, specifically in terms of South Africa’s various socio-economic challenges,’ she says.
‘We must also be more vocal about the long-term economic implications of various standards and reporting requirements. As a developing economy, we cannot afford to tie ourselves down to commitments which could limit growth and rather identify and disclose how we identify and manage trade-offs in terms of the various sustainability goals.’
