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In South Africa, as in many developing nations, access to digital technology remains a hurdle for a large segment of the population, with only 44% owning smartphones in 2023. This stark statistic widens the digital divide, particularly as a result of device affordability issues, limiting South Africa’s full participation in the modern economy. 

The country’s ongoing migration to 4G networks aims to impend 3G and 2G networks by December 2027. Consumers are therefore required to upgrade their devices to those compatible with 4G networks, which can be prohibitively expensive for many individuals and households, particularly those already facing financial constraint. This requires targeted initiatives like device financing to address smartphone access and affordability. “South Africans are leveraging financial inclusion education to embrace improved consumer lending practices, effectively navigating economic challenges by positively utilising credit products and prudently managing debt, leading to recorded improvements in credit scores,” as stated in the TransUnion Credit Landscape report of 2023,which creates an opportunity for successfully rolling out device financing initiatives and addressing the smartphone access gap.

MTN South Africa partnered with the FoneYam device financing programme in 2023, with MTN capturing 37% of device sales through the FoneYam initiative at Pep (a South African low-cost retailer). FoneYam introduces flexible financing options tailored to the needs of low-income consumers ranging from instalment payments spread over flexible periods, with minimal or no interest, making devices more accessible without imposing a significant financial burden on consumers. MTN South Africa plans to partner with co-financing partners to add value to the consumer to increase uptake and promote our customer relationship.

Device financing solutions play a crucial role in narrowing South Africa’s digital divide by addressing affordability issues. These initiatives empower individuals to fully participate in the modern economy, leading to improved connectivity, expanded educational and job opportunities, and enhanced social inclusion. Continued investment in sustainable device financing programmes is key to driving economic growth and societal advancement in South Africa’s digital transformation journey. “Before I got help to buy a phone, I felt a bit left out because I couldn’t afford one. But now, I have the internet all the time, which has changed everything. I can talk to my family whenever I want, look for jobs online and even learn new things. It feels like a whole new world has opened up for me, and I’m really thankful for that.”

MTN Nigeria’s Foundation is delivering essential healthcare through the Y’ello Doctor Medical Intervention Scheme across six states. The Y’ello Doctor initiative provides free primary healthcare services to individuals in underserved communities in Lagos, Kano, Kwara, Gombe, Anambra, and Rivers State, through a mobile medical clinic platform. The initiative focuses on information dissemination through health talks, diagnosis and treatment of common communicable and non-communicable diseases such as malaria, pneumonia and sexually transmitted infections, screening for tuberculosis, blood pressure, diabetes and referral of patients to secondary healthcare facilities. This initiative was carried out in collaboration with participating States Ministry of Health and the National Primary Health Care Development Agency with emphasis on women and children.

Dr David Edwin, leading the Gombe team, expresses gratitude for the opportunity and highlights the project’s profound impact. “The Y’ello Doctor project left an indelible mark on the people of Gombe. It brought medical care to remote areas where doctors were scarce; a cause close to my heart having grown up in a village without medical services. This initiative delved deep into the lives of beneficiaries, offering services ranging from wellness checks to maternal kits and screenings. Through Y’ello Doctor, I honed my skills in community entry, team and stakeholder management, areas I hadn’t explored before. It was a departure from my work in government hospitals, yet immensely fulfilling, given the vast number of people we reached. Particularly gratifying was witnessing people receive medical care for the first time.”

Transforming challenges into environmental Opportunities

Uganda’s economic growth over the last two decades has led to increased population growth, stressing the existing water and sanitation services. Over 80% of the Ugandan population lacks access to clean, drinkable, or usable water.

In a country where water services and sanitation are stressed, the MTN Uganda team recognised the significance of tapping into a natural water resource at its disposal. The expansion of the MTN Uganda facilities, during COVID-19, resulted in a water management issue with an existing spring in the path of the building plan. MTN Uganda reframed this challenge. They redirected the excess spring water to the reserve water tank, utilised the resource for onsite irrigation of the property, and increased their ablution facilities, which were then supplied with water from the spring. This initiative saves approximately 20% of
water costs.

MTN Uganda also participated in the MTN water baseline assessment and, in line with recommendations, has commenced with water consumption monitoring across our buildings, data centres, and stores. Monitoring our water consumption is the foundation for responsible and sustainable water management. It will empower informed decision-making and promote our conservation efforts, benefiting the environment and cost containment. Water conservation is vital for ensuring a sustainable future.

Africa’s rising temperatures and resource scarcity pose a significant challenge but also an under-explored strategic opportunity. Young Africans, particularly vulnerable and innovative, are key to a ‘just transition’ – one that tackles climate change while fostering socioeconomic development. By supporting youth-led climate ventures, we can secure a resilient future for Africa, establish ourselves as a sustainability leader, and unlock new markets driven by innovative solutions.

MTN is supporting and encouraging young climate entrepreneurs through our Africa PachiPanda Challenge. This initiative encourages SMEs and youth to create new ideas that tackle current environmental challenges and promote sustainability using digital innovations. We are replicating and scaling the PachiPanda Challenge in 2022 held by MTN Zambia which was delivered through a partnership between MTN Zambia and the Worldwide Fund for Nature (WWF). The Group is scaling a similar programme across the continent for MTN markets to engage, as part of our climate entrepreneurship mandate and in line with the Group-wide sustainability strategy. The first round will include South Africa, Nigeria, Cameroon, Uganda and Zambia, followed by an African final.

Africa’s climate entrepreneurship scene presents a compelling strategic opportunity. These innovative ventures are at the forefront of tackling the continent’s environmental challenges, developing cutting‑edge solutions with the potential to transform Africa’s sustainability landscape. Through strategic partnerships or investments in these ventures, we can support emerging technologies specific to local market needs and contribute to a more resilient and sustainable Africa that reinforces our commitment to responsible business practices.

Top honours in the PachiPanda Challenge 2023 went to Isaac Mwanza, a visionary student at Mulungushi University and founder of EcoBuild. His initiative converts copper slag to stronger and cheaper cement. The second prize was awarded to New Tech, a venture promoting community recyclable material collection, while the third prize recognised generating renewable electricity and byproducts from waste.

Ultimately, by supporting African climate entrepreneurs, we not only contribute to a better future for the continent, but also solidify our market position as a leader in sustainable solutions.

With a commitment to achieve Net Zero GHG emissions within the value chain by 2040, and halve them by 2030, Ericsson is pioneering a sustainable future and leads the industry by example through its solutions. These targets are 1.5C aligned and validated by the Science-based Target initiative (SBTi). Signing the pledge supports MTN and Ericsson’s aims to achieve ambitious Net Zero goals and prioritises climate action for Africa’s socioeconomic future.

This collaboration can potentially address Scope 3 emissions, which are indirect emissions that occur in a company’s value chain outside their direct operations. Scope 3 emissions often comprise a substantial part of organisations’ footprints and are difficult to calculate and control as a result of limited operational influence and intricate supply chain involvement. Collaborations like Ericsson and MTN’s, where we potentially share upstream and downstream value chain suppliers, can improve opportunities to communicate with, engage and support supply chain partners, ultimately contributing to the goal of reducing emissions.

By leveraging Ericsson’s latest and most advanced sustainable technologies, MTN will be in a better position to realise its energy use and carbon management efforts in line with its commitment to reach Net Zero emissions by 2040. Implementing energy efficiency, network optimisation and sustainable practices throughout the value chain can help both companies contribute to a lower carbon footprint for the ICT sector.

Ericsson’s science-based approach to climate action will benefit the company, its stakeholders, and society. MTN is committed to protecting the planet and achieving Net Zero emissions by 2040. Our Net Zero goals are aligned, and together, we are working to contribute towards the sustainable development of society. To strengthen the collaboration, recently, Ericsson and MTN Group announced a Memorandum of Understanding (MoU) aimed at advancing sustainability across Africa. Under the MoU, the companies will explore, among others, opportunities to develop and promote innovative ICT solutions for the decarbonisation of their value chain ecosystem, enabling sustainable practices and contributing towards achieving their Net Zero commitments.

Africa Fights Back: Early Warnings for 300 Million People

Millions in Africa face the brunt of extreme weather. But a powerful new alliance is changing the game. MTN Group, Tomorrow.io, and Microsoft are joining forces to deliver life-saving early warnings directly to mobile phones across the continent. This means over 300 million people will get critical weather information using cutting-edge technology like satellite monitoring and artificial intelligence.

Africa: Rising Climate Threat & Extreme Weather

Africa is bearing the brunt of climate change, experiencing a surge of extreme weather events. Since 2022, devastating floods and droughts have caused immense hardship. In Nigeria, the worst floods in a decade claimed over 600 lives, while Uganda grappled with drought and famine, leading to over 2,500 deaths.

The stark difference in disaster preparedness saves lives. According to the UN, countries lacking early warning systems experience an 85% higher death rate from disasters compared to those with robust systems. Alarmingly, 60% of Africa lacks such systems. The recent Kwa-Zulu Natal floods in South Africa illustrate the dangers.

Torrential rains caused casualties, destroyed homes, and crippled infrastructure, leading to severe economic losses. MTN South Africa’s network was heavily impacted by the floods, compounded by damaged roads and power outages. Despite limited access, their tireless efforts restored connectivity.

Early warning systems are crucial for saving lives, protecting infrastructure, and promoting long-term sustainability in the face of climate change and extreme weather events like the KZN floods.

Tech Alliance Aims to Save Lives in Africa with Hyperlocal Weather Alerts This partnership focuses on creating a system that delivers critical weather information directly to vulnerable communities across Africa. By combining cutting-edge technology, the initiative aims to:

The goal is to provide clear and timely notifications about severe weather events, allowing communities to take preventative measures like evacuation or preparation. This collaborative effort has the potential to significantly reduce the impact of disasters and save lives across Africa.

Beyond Early Warnings: Building Resilience in Africa

This collaboration between Tomorrow.io, MTN Group, and Microsoft goes beyond simply delivering early warnings. It aims to transform how African communities prepare for and adapt to a changing climate.

Empowering Communities:

Scaling the Impact:

A Leap Forward:

This partnership represents a significant advancement. By harnessing cutting-edge
technologies (satellite monitoring, AI, mobile networks, and cloud computing), it empowers
vulnerable populations and contributes to a more resilient Africa in the face of climate change

Recognizing the far-reaching environmental impact of plastics, MTN Rwanda is actively committed to reducing plastic use throughout our operations and product offerings. In 2023, we embarked on a groundbreaking initiative to replace traditional plastic SIM cards with a more sustainable and biodegradable alternative. This decision reflects our dedication to responsible innovation that aligns with global efforts to combat the plastic waste crisis.

We are meticulously investigating a range of materials to find the optimal solution for this sustainable SIM card transformation. Our commitment extends beyond simply changing the SIM card material. We are carefully considering impacts on customer devices and the planet. As part of this comprehensive due diligence, we will require FSC (Forest Stewardship Council) certification for all forest-based materials used in the manufacturing process. This internationally recognized certification ensures that our SIM card suppliers prioritize responsibly managed forests, protecting biodiversity and promoting long-term sustainability.

Importantly, the paper-based SIM holders will not interfere with handset operation in any way. We have thoroughly evaluated potential risks and ensured that the design will deliver seamless connectivity for our customers. We are thrilled to launch this innovative and environmentally conscious product in 2024, contributing to a greener future for the telecommunications industry.

The three BTS sites, Jacana, Paludar and Konge, were originally powered by landlord generators and consumed fuel. The continuous operations (24/7) resulted in environmental pollution from emissions and ambient noise, in addition to high operating costs. The Konge BTS site had low availability, which impacted user experience while the Paludar and Jacana BTS sites had high operating costs as a result of the continuous use of the generator.

The implemented solar solution eliminated the need for continuous generator use, resulting in reduced fuel consumption. We saved over 5 100 litres of fuel across all sites. Additional benefits include:

We faced challenges during implementation, including:

The adoption of solar power at BTS sites facilitates infrastructure development in regions lacking traditional power sources. These reliable, solar-powered BTS sites enable the expansion of telecommunication networks into remote and underserved areas, promoting economic growth and social inclusion. Improved connectivity provides access to information, education, healthcare and economic opportunities, empowering communities and driving local development. Overall, this initiative has the potential to spur economic growth, promote environmental sustainability and enhance overall resilience and connectivity within communities.

We are proud to announce significant strides in our commitment to sustainability and reducing our carbon footprint, in alignment with MTN Group’s Environmental Strategy. In 2023, in partnership with I-Engineering, we launched the groundbreaking Energy Service Company (ESCO) project as PaaS, an initiative aimed at revolutionising our energy consumption patterns. This project will deliver 305 solar BTS sites across the region over the term of the agreement. MTN South Sudan has already achieved a remarkable 30% reduction in fuel costs, reflecting our dedication to environmental stewardship and operational efficiency. This initiative not only supports our green energy goals but also enhances the reliability and expansion of our network, particularly in and around the capital city, Juba.

Furthering our efforts, we successfully integrated two major data centres and other facilities into the National GRID. This transition is set to significantly decrease carbon emissions and contribute to our ongoing operational expenditure reduction drive. In addition to these achievements, we have also reinforced our network’s reliability in high revenue areas by procuring 11-20KVA diesel generators, ensuring stability and redundancy to GRID power. These initiatives underscore our commitment to a sustainable future at MTN South Sudan. They enhance community connections while fostering environmental responsibility. We are excited to continue this journey and lead the way in sustainable telecommunications in South Sudan.

In recent years, loadshedding/power outages have posed significant challenges to South Africa’s infrastructure, impacting various sectors including telecommunications. In 2023, the frequency of loadshedding surged dramatically, to a 1 000% increase compared to 2021. Amid this energy crisis, MTN South Africa found itself navigating through operational hurdles, particularly in sustaining network reliability amid power outages. To ensure continuity, MTN South Africa resorted to extensive utilisation of diesel generators, incurring substantial costs to maintain operations at an optimal level. However, this reliance on diesel came at a cost beyond monetary implications. The heightened diesel consumption not only strained operational budgets but also posed a significant setback to the company’s sustainability goals, contributing to increased carbon emissions. Recognising the urgent need to mitigate both financial and environmental impacts, MTN South Africa embarked on a proactive initiative – the inception of the MTN South Africa Solar Park. This visionary project aims to harness renewable energy sources to power the company’s infrastructure, thereby reducing reliance on conventional fossil fuels and minimising carbon footprint.

The design and development of the MTN South Africa Solar Park represent a pivotal step towards achieving energy independence and sustainability. The Solar Park boasts a 5MW Solar PV installation complemented by a robust 2MW Battery Energy Storage System (BESS) with a capacity of 6MWh (megawatt-hours). The MTN Solar Park’s Solar PV array harnesses the abundant solar energy resources, leveraging state-of-the-art photovoltaic technology to generate clean and renewable electricity. With a capacity of 5MW, this solar installation stands as a beacon of sustainability, capable of powering MTN South Africa’s campus operations with clean energy during daylight hours. For the BESS, the advanced solution empowers MTN South Africa to optimise energy utilisation by storing surplus solar energy generated during the day for deployment during periods of high demand or during nighttime hours.

The integration of the Solar PV, BESS and gas generators enables the campus to achieve energy autonomy, significantly reducing reliance on the municipal grid and diesel generators. By leveraging stored solar energy, MTN South Africa can seamlessly power its campus operations, ensuring uninterrupted service delivery while mitigating environmental impact and reducing operational costs. The campus is expected to significantly reduce its dependence on the municipal grid and diesel generators, achieving a remarkable 40% reduction in reliance on conventional energy sources.

The initiative encountered multifaceted challenges necessitating meticulous planning and execution. Beyond the monumental civil and structural groundwork, the implementation of the solar PV and battery components proved to be highly intricate, particularly within a campus already managing three distinct energy sources – diesel, gas and the grid. Navigating the complexities of integrating multiple energy generation sources posed significant hurdles in terms of control and distribution of power. Managing the seamless co‑ordination of these diverse energy inputs demanded sophisticated systems and precise oversight to ensure optimal performance and reliability. Furthermore, the task of monitoring all five energy sources – including the newly introduced solar PV and battery systems – presented an additional layer of complexity. With a vast array of components comprising 9 159 panels, 14 inverters, two transformers, and two battery containers, the monitoring process required meticulous attention to detail and advanced technological solutions. We are committed to overcoming challenges and are progressing, with dedicated efforts focused on streamlining operations, enhancing monitoring capabilities, and ensuring seamless integration of the solar PV and battery components into the existing energy infrastructure.

MTN breaks new ground in our renewable energy integration. Drawing from the invaluable insights and lessons gleaned from this landmark project, we are poised to replicate the learnings at our data centres and switching centres. This strategic expansion reaffirms reduction to our overall energy expenditure and reinforces our commitment to sustainability. We continue our exploration of emerging technologies, particularly those aligned with our zero-carbon aspirations. Looking forward, one such innovation on our radar is virtual wheeling, a technology with the potential to revolutionise energy management and further
diminish our environmental impact. Upon its launch, we intend to leverage virtual wheeling to optimise energy utilisation, ensuring even greater efficiency and sustainability across our operations.