Shoprite secures R3.5-billion in loans for solar, related projects

South Africa’s largest retail group, Shoprite, said on Monday that it had finalised “sustainability-linked” loans worth R3.5-billion from major banks to fund big investments in renewable energy and other environmental projects.

The loans include a R2-billion facility from Standard Bank as well as an R800-million sustainability-linked loan and a R700-million “green loan” from Rand Merchant Bank for investment in environmental projects.

“A further sustainability-linked loan is in the pipeline,” the JSE-listed retailer said in a statement.

Read: Shoprite in JV with RTT as e-commerce lifts off in South Africa

The loans will be used to expand Shoprite’s investment in:

• Renewable energy and the increase of energy from renewable sources as a percentage of total electricity consumption;
• Recycling cardboard and plastic;
• Sustainable packaging, including reusable, recyclable and compostable packaging, containing recycled material; and
• Energy efficiency, including LED lighting, and a monitoring system for refrigeration to reduce energy consumption and waste.

“Shoprite Group increased the installed capacity of its solar PV systems by 82% in the previous financial year,” it said. “These investments will enable the group to expand on the substantial investments it has already made.”

“The loans enable us to continue on the road to reduce our environmental footprint by using more renewable energy and sustainable packaging, and recycling more waste,” said Shoprite’s group sustainability manager, Sanjeev Raghubir.  – © 2022 NewsCentral Media

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