Hyprop creates safe environments and opportunities for people to connect and have authentic and meaningful experiences. It does so by owning and managing dominant retail centres in mixed-use precincts in key economic nodes in South Africa and Eastern Europe. Retail property ownership typically has a low environmental impact. Hyprop does, however, continually aim to reduce its impact on the environment, particularly by reducing consumption of natural resources where possible.
Management regularly reviews the execution and efficiency of our environmental monitoring systems and submits reports to the Social and Ethics committee for review.
Hyprop's environmental strategy aims to practically address the key environmental impacts of its operations, namely water and energy usage and waste. Our approach is informed by best practice, proven methods, ease of implementation, and the benefit-to-cost ratio of retrofitting green-design principles to existing buildings.
5-Star GreenStar EBP v1 Rating
Canal Walk is the first Super Regional shopping centre in South Africa to be awarded a 5-star rating by the Green Building Council, attesting to the fact that the operations and management of Canal Walk are efficient and effective. Canal Walk achieved the 5-Star Greenstar Rating for implementing practical and measurable strategies and solutions aimed at achieving high performance in management, indoor environmental quality, energy, transport, water, land use and ecology, as well as emissions.
Some of the key elements that make Canal Walk a sustainable building are its replacement of hazardous cleaning chemicals with environmentally-friendly products and reducing waste to landfill, which includes installing a 40-ton In-Vessel Composter (IVC) to handle food waste. Canal Walk has cut its energy consumption by 34% against a 2009 baseline and its water consumption is 44% more efficient than the industry average.
|Water consumption (kℓ)
|Waste recycling (volume) (%)
|Scope 2 carbon emissions (tCO2e)
We have assessed the risks and opportunities presented by climate change as part of our annual submission to Carbon Disclosure Project (CDP) and our Group risk management process.
Key direct environmental risks
|Change in temperature extremes
|Higher temperatures may result in air-conditioning equipment not operating at sufficient levels in peak summer temperatures
|Danger of flooding at coastal centres, notably Canal Walk and Somerset Mall
|Change in rainfall patterns
|Extreme rainfall can cause flooding, leaks and damage to tenants' and Hyprop's property
|Successive droughts can lead to additional unbudgeted capital expenditure
South African Biodiversity Disclosure Project (BDP)
The Biodiversity Disclosure Project (BDP) is a voluntary biodiversity disclosure platform that provides companies with a practical avenue through which to report annually on their biodiversity performance. Initially targeting South African companies, the BDP will enable businesses to disclose their biodiversity performance in a standardised and comparable manner.
Hyprop will be participating in the newly launched South African BDP.
Canal Walk is in a biodiversity-rich area, is part of the greater Century City precinct, and is situated within Intaka Island, an award-winning 16-hectare national wetland conservation area rich in birdlife and indigenous plants.
Canal Walk adheres to the precinct's environmental management plan, does not discharge sewerage, fertilisers, herbicides or chemicals into canals that run through the precinct, and only uses biodegradable cleaning products for parking decks, walkways and walls to minimise water pollution. In addition, Hyprop contributes financially to the environmental management plan of the precinct.
Energy efficiency – an environmental and financial imperative
The nature of Hyprop's business involves relationships with tenants to create authentic and meaningful experiences for shoppers. A necessary part of this is the consumption of electricity, which forms a large portion of Hyprop's annual operational spend. This makes energy efficiency a financial and environmental imperative.
The Group has implemented a range of energy efficiency initiatives to better manage costs as well as to improve our environmental performance and reach our environmental impact targets.
|Total electrical consumption
|Direct non-renewable energy consumption (GJ) from diesel burnt
|Direct renewable energy consumption (GJ) from solar PV
|Direct energy consumption (GJ) from electricity consumed but not recovered
|Indirect energy sold (GJ), i.e. electricity recovered from tenants
|Electricity consumption (megawatt hours or GWh)
|Energy consumption (GJ) - calculated
Energy use intensity (GJ/m2)
Kilowatt hours per occupied space (GWh/m2)
Projects aimed at conserving/reducing local authority electricity consumption
|Progress at 30 June 2020
|Atterbury Value Mart
|Solar PV system on centre roof
|Solar PV system on parking roof
|Application to NERSA
|Hyde Park Corner
|Solar PV system on office roof and carports
|Solar PV system on parking roof
|Solar PV system on upper level roof
|Solar PV system on centre roof
The solar projects were scheduled for completion by 30 June 2020 but were delayed due to Covid-19. Based on initial feasibility studies, the solar projects should generate approximately 6% of the centres' electricity consumption.
Carbon tax has been introduced and the first submissions for the period 1 June 2019 to 31 December 2019 and submissions to the Department of Environment, Forestry and Fisheries, are imminent.
Hyprop's scope 1 and 2 carbon footprint is determined using the UK Department for Environment, Food and Rural Affairs (DEFRA) emission factors and the revised reporting standard of the Greenhouse Gas Protocol, the accepted international tool for government and business leaders to understand, quantify and manage greenhouse gas (GHG) emissions.
Total carbon emissions
(tonnes of carbon dioxide equivalents (tCO2e)
|Scope 1: all direct GHG emissions from diesel and fugitive refrigerant gas leaks
|Scope 2: indirect GHG emissions from consuming purchased electricity in the common area
|Scope 3: indirect GHG emissions from electricity that is resold to the tenants
Hyprop recognises water resource management as a global challenge. We continue to investigate viable opportunities to reduce water consumption. These initiatives include installing water-efficient equipment throughout our properties and improving our measurement and monitoring standards. We work with our stakeholders, particularly our tenants and shoppers, to reduce water consumption. Water efficiency is considered when choosing technical equipment such as toilets, taps and dry condenser systems for all new developments, renovations and upgrades.
Hyprop monitors bulk water consumption at centres daily to identify unusual patterns that might indicate leaks.
Projects aimed at conserving/reducing water consumption
|Non-potable, grey water
|190kℓ tanks complete and commissioned. Filtration of supply and pumps to chillers and toilets is operating. All reticulation to chillers is complete. Reticulation to main toilets cores is complete. Reticulation to food court toilets is being finalised.
|Reverse osmosis (RO) plant
|The RO plant and tank were installed and commissioned by 30 June 2019. We are waiting for the City of Cape Town to issue the necessary water use licence.
|Black water treatment plant
|Two proposals have been received for the installation of a black water treatment plant and are being evaluated.
|Water tank installation (fire & potable)
|The installation is complete and fully commissioned but can only become operational once the extraction licence is issued. The water extraction agreement has been signed by Hyprop. Signature by the City of Cape Town and issuing of the water licence is awaited.
|Boreholes and water treatment
Total water consumption – kilolitres (kℓ )
Average water volume consumed per hour worked (ℓ/h)
Annual kilolitres of water consumed
Retail: kℓ per occupied space (kℓ/m2)
Office: kℓ per occupied space (kℓ/m2)
|Improve consumption measuring and monitoring; identify leaks from unusual flow patterns
|Bulk check meters have been installed at all sites except Canal Walk
|Canal Walk is currently evaluating various smart metering systems
|Fire-system water consumption
|Identify leaks and illegal use of water
|Save water and avoid abuse of infrastructure
|South African and Nigerian buildings monitored
|Reduce water usage
|Waterless urinals were installed at the food court at Woodlands Boulevard in the current year
|Waterless urinals to be installed in the planned toilet upgrades at Canal Walk in 2021
|Reduce water usage at hand wash basins
|Aerators fitted at all sites
|Reduce water usage in toilets
|Pilot restroom fitted with Propel-air toilets
|Test complete and very successful;Expanded rollout to the centre planned for 2021 financial year
Our approach to waste management aims to maximise recycling, minimise disposal to landfill sites and comply with legislation. Waste is collected from tenants and separated at waste yards. All centres have suitable waste-segregation facilities. On-site waste management system information is regularly reported to tenants, and Canal Walk and Clearwater Mall have public recycling stations.
Hyprop is looking into alternatives to landfill for all waste streams, with a focus on organic waste. In the 2019 financial year, two sites - one in the Western Cape and one in Gauteng started sending their wet waste to farms where it is used as animal feed. Unfortunately, those facilities stopped operations in the 2019 calendar year. As a result, Hyprop has commenced with its own solutions on site, starting with a pilot In-Vessel Composter at Canal Walk which will produce a soil additive from waste which would otherwise be sent to landfill. This has a triple impact in that it saves on waste disposal, improves recycling, and reduces the Group's carbon footprint.
Waste generated by construction is disposed of in line with responsible management plans. For development projects, we adhere to applicable regulations and consider best practice to optimise the environmental quality of our construction sites.
In 2020, Hyprop recycled 77.2 % (by volume) of total waste, down from 81% in 2019. While lower in percentage terms, lower Group volumes reflect greater individual recycling efforts from our tenants. Furthermore, the closure of the two organic-waste solutions in 2019 lead to an increase in disposals. Nevertheless, the target of 75% has been exceeded. According to our waste service provider, current market conditions dictate that a higher recycling target would involve an increasing cost and would be less economically viable.
Audits were conducted of tenant back-of-house waste source segregation at Canal Walk and this programme will be extended to other centres. Areas of improvement during the year included improved source segregation from tenants, particularly for food waste, to prevent contamination of recyclables.
|Total non-hazardous waste disposed (t)
|Total hazardous waste disposed (t)
|Total waste sent for recycling (t)
|Waste sent for recycling (%)
|Number of loads ordered
|Quantity of units collected (t)
|Recycled (volume) (%)
Fines and penalties
Hyprop was not fined for non-compliance with environmental laws and regulations during the year.
Three of the Eastern European malls underwent environmental benchmarking during the year, Skopje City Mall (North Macedonia), Delta City Belgrade (Serbia) and Delta City Podgorica (Montenegro). The environmental audits were conducted by BREEAM. Skopje City Mall and Delta City Belgrade received a rating of "Very Good", whilst Delta City Podgorica received a rating of "Good".
|Heating oil consumption
|Skopje City Mall
|Delta City Belgrade
|Delta City Podgorica
Skopje City Mall
Delta City Belgrade
Delta City Podgorica
CO2 emissions (tonne/year)
Water consumption (m3/year)