South Africa, as a member state of the United Nations (UN), adopted the 2030 Agenda for Sustainable Development in 2015. At the heart of this Agenda are the 17 SDGs. The SDGs are a universal call to action to end poverty, protect the planet and ensure that by 2030 all people enjoy peace and prosperity.
The UN established a voluntary accountability mechanism called the Voluntary National Review (VNR). Through the VNR process, the UN member states assess and present national progress on the 2030 Agenda, including their collective performance on the 17 SDGs.
South Africa presented its first VNR to the UN High-Level Political Forum (HLPF) on Sustainable Development in 2019. Initially, South Africa intended to submit its VNR in 2024. However, due to government changes, this could not be achieved. The 2024 report will now be presented to the HLPF in July 2025.
The UN Global Compact Network South Africa (GCNSA), a corporate sustainability platform, was once again tasked by the government to compile the second VNR for the private sector, measuring progress towards meeting the SDGs.
Methodology
An interactive methodology was followed, grouping six top South African industries to provide comprehensive insights into sustainability trends, challenges and opportunities. Participating companies contributed keynote speakers who presented industry insights and shared sustainability frameworks.
Additionally, companies that registered for the VNR process submitted case studies and completed a broad-based survey to offer further insights, while also prioritising the SDGs. Tailored workbooks outlining the VNR process and key dates for industry discussions were crafted for each participating company. These companies engaged in six industry-focused round table discussions, guided by expert panels and moderators, and delved into 10 targeted topic discussions.
The use of diverse feedback mechanisms, including digital platforms like Mentimeter, facilitated rich, multidimensional dialogue. Post-discussions and one-on-one sessions were arranged to review the workbooks that companies completed, culminating in a collection of success stories. These narratives, alongside insights from the round table discussions, formed the basis of the report’s findings.
Summary of key findings
On Wednesday, 28 August 2024, GCNSA hosted the launch of the VNR on private sector South Africa’s progress towards meeting the SDGs.
The Private Sector VNR Report 2024 reiterates global trends, while highlighting that, on aggregate, we are off track on the SDGs. South Africa’s public and private sectors, plus civil society, need to collaborate to ‘move the needle’ on the country’s achievement of the SDGs, said Dr Achieng Ojwang, Executive Director of GCNSA.
1. The SDG priorities of the private sector has changed significantly since 2019, as the graphic shows.
Companies continued to prioritise SDG 8: Decent Work and Economic Growth, the ‘powerhouse’ goal for the private sector. Beneath this there were significant changes; the three biggest increases were climate action, the focus on partnership for the goals and zero hunger. The SDGs which saw the most significant declines in priority were education, industry innovation and infrastructure, and responsible consumption and production. This likely reflects constrained purse strings, action to focus on forthcoming regulations and an increasingly clear understanding that companies cannot make optimised progress if they work alone.
2. The top SDG priorities vary significantly across industries, based on where they can maximise impact, as the graphic below shows.
3. Policy enablement: Companies are deeply concerned that policy is not innovating quickly enough, with policy compliance remaining too difficult, too resource consuming and too punitive. Policy enablement matters recommended by the private sector to government include:
| A | B | C | D | E |
| Making it simpler to adopt: e.g. streamline policy and process | Having a ‘one-stop shop’: such as online and digital portals | Making it consistent: harmonise local and provincial policies and integrate reporting frameworks | Checking if it is working: transparent policy review, spotlight effective policies | Placing more focus on incentives: more tax rebate and financing incentives, and incentivise collaboration |
4. Leveraging opportunities: Multilevel stakeholder coordination is needed to maximise the material sustainability opportunities that could enable the South African private sector.
5. Companies identified the top 10 risks for mitigation as depicted below.
| Top 10 risks | SDGs | Impact | Probability | |
| 1 | Security and safety for staff and customers | 3, 5, 9, 16 | 7.9 | 7.7 |
| 2 | Energy management and cost efficiency | 7, 12 | 8.1 | 7.3 |
| 3 | Environmental impact and resource management | 8, 12, 13, 14, 15 | 8.0 | 7.4 |
| 4 | Policy, regulatory compliance and business integrity | 16, 17 | 7.7 | 7.4 |
| 5 | Market competition and economic stability | 1, 4, 8, 17 | 7.4 | 7.7 |
| 6 | Project implementation cost and complexity | 9, 17 | 7.6 | 7.0 |
| 7 | Social responsibility and inclusivity | 1, 5, 10, 11 | 7.4 | 7.1 |
| 8 | Sustainable supply chain and source of supply | 8, 9, 11, 12, 13, 16 | 7.6 | 6.8 |
| 9 | Workforce development and labour dynamics | 3, 4, 8 | 7.3 | 6.8 |
| 10 | Innovation for sustainability | 4, 9, 12, 17 | 7.0 | 6.8 |
6. Overall, many of South Africa’s corporates are contributing to the country meeting its SDG targets by increasingly integrating the goals into their core business strategy, recognising that sustainable practices can drive growth and innovation, and give businesses a competitive advantage.
7. The private sector is also investing in sustainable solutions as well as in the research and development of sustainable products, services and technologies; collaborating with other businesses, NGOs and the government to tackle complex sustainability challenges; advocating for sustainable development policies and engaging in sustainable policy development; investing in community development projects that align with the SDGs; improving sustainability throughout the supply chain; and building awareness and reporting on its sustainability performance.
Significant progress is still needed to fast-track private sector contributions to the SDGs. Collaboration is essential for accelerating SDG implementation. GCNSA calls on South Africa’s public and private sectors, along with civil society, to enhance collaborative efforts. Only through this unity can we achieve meaningful progress towards the SDGs.
Find out more
- Link to report: https://globalcompactsa.org.za/special-initiatives/voluntary-national-review-2024/#handbook-insights
- Contact information: Rethabile Mbokodi – rethabilem@globalcompactsa.org.za
Source: This article was originally published in the Trialogue Business in Society Handbook 2024.
