South Africa: Wärtsilä Achieves Level 4 B-BBEE Status

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  • Wärtsilä has achieved Level 4 score as a contributor to South Africa’s Broad-Based Black Economic Empowerment (B-BBEE) integration programme.
  • This recognition was given as a result of Wärtsilä’s company restructuring in 2020, whereby its South African operations were separated from its activities in other southern African countries.

The ownership structure was certified by a SANAS B-BBEE verification agency in December 2020.Among the major measures taken, Wärtsilä has established an Engineering Studies Ownership Trust as a black South African shareholder in Wärtsilä South Africa, and actively supports education in South Africa in line with the company’s Corporate Social Responsibility values.

B-BBEE is a programme actively promoted by the South African government. It provides a legislative framework for advancing the economic transformation of South Africa’s economy and enhancing the participation of black citizens in it.  Government tenders in South Africa, such as the Risk Mitigation Independent Power Procurement Program (RMIPPP), require level 4 certification and a minimum black South African shareholding of 25 percent. As part of the B-BBEE Act and its Codes of Good Practice, plus to fulfil the requirements for RMIPPP compliance, Wärtsilä has also increased its use of South African suppliers and sub-contractors, and has increased its locally-hired workforce.

“The level 4 certification enables us to remain an active and committed contributor to the future development of the South African economy. Our partnerships and cooperation with the likes of Nelson Mandela University that date back to 2014, show that as a company, we are deeply invested in the development of our people and communities,” says Mr Tord Johnsson, General Manager Strategy and Growth Projects, Africa & Europe at Wärtsilä Energy.

”We see the establishment of the Engineering Studies Ownership Trust as an opportunity to further stimulate and encourage engineering studies for the benefit of all involved, including our industry and Wärtsilä South Africa as a company. We have recruited additional personal and competences and will continue to do so as our business grows,” commented Feroza Cassim, Managing Director of Wärtsilä South Africa.

Wärtsilä has been operating in South Africa since 1994 and has an extensive and successful track record throughout Africa, having supplied power plants to almost every country of the continent representing a total capacity of over 7000 MWe. One of the biggest power plants in Africa with Wärtsilä’s technology is the 175 MWe power plant in Sasolburg, delivered in 2012 to South Africa.  More than 25 percent of the national electricity supply in more than 25 of the continent’s countries is produced by Wärtsilä technologies. Wärtsilä has an office in Johannesburg, and a service office and workshop in Cape Town in South Africa. Wärtsilä currently employs 40 people in South Africa.

Author: Bryan Groenendaal


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