Socio-Economic Impact Assessment Report

SOCIO-ECONOMIC IMPACT ASSESSMENT REPORT

Scoping and Environmental Impact Assessment for the Proposed Nuweveld 132/400 kV Powerline near Beaufort West, Western Cape Province

Final Scoping Report

September 2020

Prepared for:

Aurecon South Africa (Pty) Ltd

Prepared by:

Dr Hugo van Zyl and James Kinghorn Independent Economic Researchers

APPENDIX 6 OF NEMA EIA REGULATIONS: REQUIREMENTS OF SPECIALIST REPORTS REQUIREMENT SECTION (1) A specialist report prepared in terms of these Regulations must contain— (a) details of— (i) the specialist who prepared the report; and Appendix D (i) the expertise of that specialist to compile a specialist report including a curriculum Appendix D vitae; (b) a declaration that the specialist is independent in a form as may be specified by the Appendix E competent authority; (c) an indication of the scope of, and the purpose for which, the report was prepared; Section 2 (cA) an indication of the quality and age of base data used for the specialist report; Section 3 (cB) a description of existing impacts on the site, cumulative impacts of the proposed Sections 4, 5 development and levels of acceptable change; and 6 (d) the duration, date and season of the site investigation and the relevance of the season to N/A the outcome of the assessment; (e) a description of the methodology adopted in preparing the report or carrying out the Appendix A specialised process inclusive of equipment and modelling used; (f) details of an assessment of the specific identified sensitivity of the site related to the Section 5 proposed activity or activities and its associated structures and infrastructure, inclusive of a site plan identifying site alternatives; (g) an identification of any areas to be avoided, including buffers; Section 5 (h) a map superimposing the activity including the associated structures and infrastructure Section 3.8 on the environmental sensitivities of the site including areas to be avoided, including buffers; (i) a description of any assumptions made and any uncertainties or gaps in knowledge; Section 3 (j) a description of the findings and potential implications of such findings on the impact of Section 5 the proposed activity or activities; (k) any mitigation measures for inclusion in the EMPr; Section 5 (l) any conditions for inclusion in the environmental authorisation; N/A (m) any monitoring requirements for inclusion in the EMPr or environmental authorisation; Section 5 (n) a reasoned opinion— (i) whether the proposed activity, activities or portions thereof should be authorised; Section 7 (iA) regarding the acceptability of the proposed activity or activities; and (ii) if the opinion is that the proposed activity, activities or portions thereof should be Section 6 authorised, any avoidance, management and mitigation measures that should be included in the EMPr, and where applicable, the closure plan; (o) a description of any consultation process that was undertaken during the course of Section 3 preparing the specialist report; (p) a summary and copies of any comments received during any consultation process and Appendix F where applicable all responses thereto; and (q) any other information requested by the competent authority. N/A (2) Where a government notice gazetted by the Minister provides for any protocol or minimum N/A information requirement to be applied to a specialist report, the requirements as indicated in such notice will apply.

EXECUTIVE SUMMARY

Red Cap Energy (Pty) Ltd (Red Cap) is proposing to develop up to three wind farms on a site in the Beaufort West Local Municipality, Central Karoo District Municipality, Western Cape. The wind farms are located approximately 65km north of Beaufort West and approximately 30km south of Loxton (see figure below) on an area ±32,000ha in extent. The proposal includes the development of an approximately 120km long 132/400kV powerline/grid line which will connect the proposed wind farms to the Eskom Droërivier Substation located south west of Beaufort West. The project includes four discreet applications all subject to the Scoping and EIA process in terms of the National Environmental Management Act (NEMA). This report deals with the Nuweveld Grid line corridor application. The proposed project’s key strategic objectives can be summarised as supporting additional electricity generation capacity whilst meeting national renewable energy and climate change targets. The project was assessed in terms of its compatibility with South African grid infrastructure policy and strategic spatial planning, as well as with socio-economic development planning with a focus on local and regional planning. It was found to be broadly supported by policy objectives, provided environmental impacts and impacts on other land uses and potentials are found to be acceptable. Long-term positive economic impacts can only flow from a project that is financially sustainable (i.e. financially viable in the long term with enough income to cover costs). The powerline in itself is not a profit-making development. It would be financed by wind farms, developed as part of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), that connect to it. After construction, the line and switching stations will be handed over to Eskom at no cost. The REIPPPP essentially ensures that once a renewable project is operational there are relatively low levels of financial risks in order to encourage these types of projects. The proposed powerline is thus highly likely to prove financially viable assuming the one or more of the Nuweveld Wind Farms are able to secure a long-term contract through the REIPPPP and then proceed to operation. The expenditure associated with the construction phase of the project would be between R500 million and R600 million in the case of the 132kV option and between R1 million and R1.3 million in the case of the 400kV option. In the case of both the 132kV option and the 400kV option, roughly 80 to 110 jobs of 18 to 24-month duration would be associated with construction, of which it is estimated that between 43 and 58 would accrue to workers from the local municipal area. The project’s operational phase would result in some marginal direct and indirect economic opportunities associated with ongoing maintenance and support efforts for the powerline. Positive impacts resulting from expenditure on the construction and operation of the project were thus found to be of a moderate positive significance during construction and of a minor positive significance during operations. Impacts associated primarily with the influx of people were considered. There was a focus on the increased risk of social ills such as increased alcohol and drug use, increased teenage and unwanted pregnancies, increased prostitution and increases in sexually transmitted diseases (STDs such as HIV) in the wider community and potential strain on services (municipal and accommodation) stemming from ‘new’ people coming to the area. Given that relatively few people are likely to be employed during construction, and given the marginal nature level of economic activity associated with the operations phase, impacts were found to be of minor negative significance during construction and of negligible significance during operations. Risks to tourism would be driven by visual and associated heritage impacts on a relatively isolated area with wilderness quality and limited signs of civilisation. A review of the local tourism industry found that tourism facilities and attractions in the areas surrounding the project site are limited and sparsely distributed, consisting mainly of accommodation facilities with some cultural attractions, commercial hunting and wildlife viewing in the wider area. The tourism context itself should thus limit impacts to a minor negative significance during construction as well as during operations provided that the mitigation measures prescribed in the other specialist studies are implemented. Impacts on surrounding landowners and communities are expected to result from an increase in the risk of crime, potential damage to farm infrastructure, increased littering, increased potential for veld fires, greater risk of increased dust and noise levels and safety concerns associated mostly with presence of large trucks and machinery. Particular attention was given to the increased traffic and other activity which would be experienced by residents of Loxton and

1-1 the more isolated communities in the area. The resulting impacts on surrounding landowners and communities, including to their sense of place, are expected to be minor negative with mitigation during construction and operations. The table below presents an assessment of the worst-case-scenario considering both the 132kV option and the 400kV option for each of the impacts assessed. As depicted the impacts are the same for both the 132kV and the 400kV option and thus also for the “worst-case-scenario”.

Impact 132 kV powerline 400 kV powerline Worst -case -scenario Pre -mitigation Post -mitigation Pre -mitigation Post -mitigation Pre -mitigation Post -mitigation Impacts from expenditure on the Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) construction of the project Impacts from expenditure on the Minor (+) Minor (+) Minor (+) Minor (+) Minor (+) Minor (+) operation of the project Impacts from expenditure on the Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) decommissioning of the project Impacts associated primarily with the influx Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) of people (construction phase) Impacts associated primarily with the influx Negligible (-) Negligible (-) Negligible (-) Negligible (-) Negligible (-) Negligible (-) of people (operation phase) Impacts associated primarily with the influx of people Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) (decommissioning phase) Impacts on tourism Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) (construction phase) Impacts on tourism Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) (operation phase) Impacts on tourism (decommissioning Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) phase) Impacts on surrounding landowners and Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) communities (construction phase) Impacts on surrounding landowners and Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) communities (operation phase) Impacts on surrounding landowners and communities Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) (decommissioning phase)

The combined overall impact assessment above considers the pre-mitigation and residual impacts, should the worst- case-scenario (WCS) be developed within the corridor. The WCS considers the impact significance of the development of the 132 kV and 400 kV power line, identifies which one of the options has the highest negative impact (pre and post mitigation), and presents this as the option that will be developed within the corridor. Although it should be noted that the WCS will not be developed due to only one of the powerline options being developed within the corridor, it is argued that if the residual overall impact of the WCS is deemed acceptable and mitigatable, then the development of either a 132 kV or 400 kV powerline within this corridor would also be acceptable. It is the opinion of the specialist that based on the acceptability of developing the WCS, either the 132 kV or 400 kV can be developed within the corridor, provided that all mitigation measures specific to each option are implemented. 1-2

LIST OF ABBREVIATIONS

AIDS Acquired Immune Deficiency Syndrome ART Antiretroviral Therapy BBBEE Broad Based Black Economic Empowerment BWL M Beaufort West Local Municipality CDC Community Day Centre CEQ Council on Environmental Quality CKDM Central Karoo District Municipality CSI Corporate Social Investment DCGHSTA Department of Cooperative Governance, Human Settlements and Traditional Affairs DEA Department of Environmental Affairs DEA&DP Department of Environmental Affairs and Development Planning DoE Department of Energy DRDLR Department of Rural Development and Land Reform EAP Environmental Assessment Practitioner EIA Environmental Impact Assessment EMPr Environmental Management Programme GN Guide Number HIV Human Immunodeficiency Virus IDC Industrial Development Corporation I&AP Interested and Affected Party IDP Integrated Development Plan IRP Integrated Resource Plan KHLM Karoo Hoogland Local Municipality kV Kilovolt LED Local Economic Development MW Megawatt MTS Mixed Technology Switchgear NDM Namakwa District Municipality NDP National Development Plan NEMA National Environmental Management Act NPV Net Present Value PHC Primary Healthcare Centre PkSDM Pixley ka Seme District Municipality REDZ Renewable Energy Development Zone REFIT Renewable Energy Feed -In Tariff REI PPP P Renewable Energy Independent Power Producer Procurement Programme S&EIA Social and Environmental Impact Assessment SDF Spatial Development Framework SEA Strategic Environmental Assessment SMME Small, Medium and Micro-sized Enterprises STD Sexually Transmitted Disease TB Tuberculosis TIA Traffic Impact Assessment ToR Terms of Reference ULM Ubuntu Local Municipality VIA Visual Impact Assessment WEF Wind Energy Facility

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1. INTRODUCTION

Nuweveld North – blue outline, West – yellow outline, East – green outline, Grid corridor - white outline

Figure 1-1 The site of the proposed wind farms and powerline corridor

Independent Economic Researchers have been appointed to undertake a specialist socioeconomic and tourism impact assessment for all four applications. They are inputs to the Scoping and Environmental Impact Assessment (S&EIA) processes and reporting led by Aurecon South Africa (Pty) Ltd (Aurecon). This report was produced by Dr Hugo Van Zyl and James Kinghorn of Independent Economic Researchers (see abbreviated CV and declaration of independence in Appendix D and Appendix E). It deals with the Nuweveld Grid line corridor application, for which the applicant is Red Cap Nuweveld North (Pty) Ltd, a wholly owned subsidiary of Red Cap. Counterpart reports have been produced for the Nuweveld North, Nuweveld West and Nuweveld East Wind Farms. The proposed powerline is comprised of the following project components, which are considered in this assessment and referred to as the “the project” or “the development”.

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Table 1-1 Project component descriptions, specifications and footprint areas

Project Components Specifications Approximate Description Disturban ce areas (WCS) Switching stations • Each wind farm will have a Switching Station yard of 150m x 75m located next to the 3.4ha (x3) Wind Farm Substation. The Switching Station will consist of a Switchgear building and High Voltage Gantry. • The switching stations form part of the Gridline infrastructure and will be handed to Eskom in the operations phase (i.e. becoming part of the National Grid) 132kV collector • Up to approximately ≤15km of overhead 132kV high voltage monopole pylon 0.5ha transmission lines powerline is required to link the switching stations (x3) to the Collector switching station/substation. The pylon types that maybe used are described in further detail in Appendix H and on average will be about 260m apart (estimate 65 pylons x 80m 2= 0.5ha) Collector switching • 132kV scenario: 150m x 150m - 132kV collector switching station with collector & 12.0ha station/substation switchgear building and High Voltage gantry (2.25ha) • 400kV scenario: 300m x 400m – 400kV collector substation with collector & switchgear building and High Voltage gantry (12ha) 132/400kV Gridline • 132kV scenario: Up to approximately ≤105km of overhead 132kV overhead 3.5ha powerline (440 x 80sqm = 3.5ha): o the 132kV pylons types that may be used are depicted in Appendix H o Monopole spans, without stays, are on average 260m o Triple pole (‘twin tern’) spans for valleys can be up to 800m o Pylon type and span distance is determined by topography but the majority will be the single monopole structures • Up to approximately 105km of 400kV overhead powerline (estimate 290 pylons X 100sqm = 2.9ha): o The lattice pylon types that may be used are depicted in Appendix I. o Cross-rope suspension spans, with stays, are on average 400m o Self-supporting suspension spans, without stays, are on average 400m o Pylon type and span distance is determined by topography but the majority will be the cross-rope suspension structures Temporary laydown, • Temporary laydown areas will be identified along the power line route, with the main staging and yards equipment and construction yards being based in one of the surrounding towns or 5ha areas and access at the wind farm site camp & laydown areas. roads/tracks • Existing access roads and tracks (upgraded to ± 2-4m wide where needed) will be required for the used as far as possible and new access tracks would be created where needed – construction / these would be 2-4m wide (wider than 2m when side drains are needed or due to 56ha decommissioning the topography). phase Total disturbance footprint (WCS) 81ha

1.1. Terms of reference The term of reference (ToR) was to undertake all necessary data collection and fieldwork to assess the project and produce an impact assessment report. The reports must fulfil the requirements of Appendix 6 of the EIA Regulations (as amended) and provide:

• Project specific description to be assessed. • A detailed baseline description of the receiving environment in and surrounding the site, including a description of key no go areas or features or other sensitive areas to be avoided, presented as a sensitivity map. • A description of all methodology and processes used to source information, collect baseline data, generate models and the age or season when the data was collected. A description of any assumptions made and any uncertainties or gaps in knowledge. • A description of relevant legal matters, policies, standards and guidelines. • A list of potentially significant environmental impacts that may arise in the construction, operation and decommissioning phases of the project, including possible cumulative impacts 1-5

• A detailed impact assessment of each impact including: o A pre-mitigation and post-mitigation impact assessment description; and o A list of essential mitigation measures and management interventions. • A cumulative impact assessment of the three wind farms and gridline alongside other Eskom powerline infrastructure in the area or approved but not yet built Eskom infrastructure. • An assessment of the “No go” alternative. • An overview and summary of the assessed impacts. • A discussion on the overall impact of the project and a reasoned opinion as to whether the proposed activity, or portions of the activity can be authorised. Provide any additional recommendations regarding avoidance, management, or mitigation measures for consideration or inclusion into the Environmental Management Programme (EMPr). Any other information the specialist believes to be important, including recommendations that should be included as conditions in the Environmental Authorisation.

2. APPROACH AND METHODOLOGY

The approach adopted involved the following steps in line with accepted EIA practice 1: 1. Investigate the existing context within which the project would be established. 2. Identify impacts. 3. Assess impacts without mitigation measures. 4. Recommend mitigation measures. 5. Re-assess impacts assuming mitigation measures are implemented. 6. Provide a reasoned opinion regarding the impacts and acceptability of the project.

Guidance on the approach was taken primarily from the Department of Environmental Affairs and Development Planning (Western Cape) guidelines on economic specialist input to EIA processes (van Zyl et al., 2005) augmented by the guidelines on social specialist input to EIA processes (Barbour, 2007). This included guidance on the appropriate level of detail required for the assessment in order that it be adequate for informing decision-making without going into superfluous detail (i.e. superfluous detail in this report as well as superfluous detail when the briefs of other specialist studies forming part of the EIA are taken into account). Aurecon provided the impact assessment methodology employed in this assessment and a copy of the methodology can be found in Appendix A.

2.1. Assumptions and Limitations The following assumptions and limitations apply to the study:

• All information provided by the EAP, the applicant, the applicant’s project team, other official sources and other specialists involved in the EIA is assumed to be correct unless there is a clear reason to suspect incorrect information. • The quantification of economic impacts in order to inform the assessment of the significance of impacts was not possible, nor considered necessary, for all impacts. Where possible, quantification focused on impacts considered to be most important in the overall assessment. Assessments of impact significance made without quantification (and based on a consideration of the likely magnitudes of impacts and/or expert judgements) are, however, considered adequate unless otherwise specified. • All impacts are assessed individually and then as a whole to the degree possible and appropriate. An overall assessment and discussion of net impacts (i.e. whether overall benefits exceed costs) was undertaken to the degree thought appropriate and justifiable combining quantifiable and unquantifiable impacts. Given uncertainties and the potentially subjective nature of comparisons between impact categories, the emphasis

1 Note that the methodology used is included in Appendix A 2-6

in the report is on presenting assessments of impact categories with less emphasis on trying to reconcile them in an overall assessment of net effects. To a large degree this role of comparing and weighing up different (and hard to reconcile) impacts is the ambit of the relevant decision-making authorities. • The findings of the assessment reflect the best professional assessment of the author drawing on relevant and available information within the constraints of time and resources thought appropriate and made available for the assessment. See

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• Appendix B for the disclaimer associated with this report.

2.2. Sources of Information Key information sources used in the assessment include:

• Census data and other socio-economic baseline data. • Policy document focused on renewable energy, economic development planning, spatial planning. • Local and international literature on the impacts of other existing projects of a similar nature. • The requirements of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) and available information from operational wind farms with reference to their powerline components. • Inputs from the other specialists making contributions to the EIA. • Interviews with stakeholders and informants (see next section).

2.3. Stakeholder inputs Interviews were conducted with the stakeholders listed in the table below (consultation notes are provided in Appendix F).

Table 2-1 List of interviewed stakeholders and informants

Person Affiliation Gavin Harvey Karoo Farm Co Pty Ltd Johan Bezuidenhout Farm Manager, Rondavel Marette and Ben Steenkamp De Hoop Trust Wouter Hugo Vorster Vorster & Vorster Boerdery cc (Olijvenhuis Guest House) Lekker Le Guest House Wynand Janse van Rensburg (Lekker Le Guesthouse) Johan and Marinda Willemse Owners, Die Windpomp Guesthouse Ruben James and Benjamin Goliath Beaufort West Golf Course Gerald Minnaar Minnaar Trust Andre Murray Landowner, Part of Kuils Poort Ian Murray Manager, Part of Kuils Poort Llewellyn Lakay IDP, Beaufort West Municipality Dons Le Roux Electrical Superintendant, Beaufort West Municipality Jacob Jeffrey van der Linde Ward 7 Councillor, Beaufort West Municipality Euna Wentzel Ward 6 Councillor, Beaufort West Municipality Sascha Klemm Beaufort West Tourism Organisation Jaco Herselman Owner, Steenbokkie Private Nature Reserve

The following key socio-economic issue and impacts were raised by stakeholders and were used to inform the scope and content of this impact assessment:

• Impacts on sense of place with implications for impacts on surrounding landowners, communities and tourism. • Increased crime including livestock theft. • Increased traffic both during construction and operations with implications for safety on the road for other road-users. • Impacts associated with movements of people in response to changing land-use and associated social-ills such as increased risk of crime and spread of Sexually Transmitted Disease (STDs).

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• Increased chances of gates being left open on farms with implications for the movement of livestock and agricultural productivity.

The fact that the powerline is being proposed by a private entity has one important implication borne in mind throughout the assessment presented in this report. The applicant does not have any legal standing to appropriate privately owned land for the purposes of developing the powerline. This is akin to a form of mitigation in the sense that any potential negative impacts on landowners linked to a powerline running over their land will have been considered in their decision-making. If any given landowner expects that the negative impacts associated with the proposed powerline running over their land will be too significant to accept, they will be within their rights to simply refuse to host the powerline on their land. Note that this consideration is important in the case of impacts on landowners within the proposed powerline corridor but does not have any implications for the assessment of impacts on surrounding landowners, communities and any other stakeholders who do not own land within the corridor.

2.4. Iterative design process This specialist assessment has been produced as part of an iterative design process being undertaken for this project. As part of this process, various design and corridor options have been considered, assessed and further refined to ensure adherence to the environmental and technical constraints present on site. Previous processes include a Screening Phase and a Pre-application Scoping Phase which included the production and distribution of a Pre-application Scoping Report. Specialist recommendations made to further refine the design and corridor option of the project were included in the Pre-application Scoping Report. The refined design and corridor that resulted from the Pre-application Scoping Phase is what has been assessed in this report and the findings of this report will inform that outcomes of the Scoping Phase of this project. The key socio-economic risks identified were to tourism and to surrounding landowners. These risks stem primarily from visual and heritage impacts. The design and layout recommendations in the pre-application specialist studies dealing with these impacts were thus also aimed at limiting risks to tourism and to surrounding landowners. Note that the socio-economic screening and pre-application specialist inputs assisted with the design and layout process by providing baseline information in the form of locations and profiles of the tourism facilities that had the potential to be impacted.

3. DESCRIPTION OF THE AFFECTED ENVIRONMENT

The significance of impacts is often highly dependent on the socio-economic environment or context within which they occur. For example, job creation or losses in a small local community with a stagnating economy and high unemployment will be more significant than it would be in a larger community with a healthy economy. In order to offer such baseline information to the impact assessment this section describes the socio-economic environment. The main information sources used were municipal socio-economic profiles generated by the provincial government, the Municipal Economic Review and Outlook for 2018, as well as Census 2011 and Community Survey 2016 data. Given that the Community Survey was not carried out at smaller spatial scales and considering that the Census 2011 is eight years old, these two sources of data were relied upon to a lesser extent. The towns nearest the Wind Farm site are Loxton (~30km from the site’s northern boundary) and Beaufort West (~60km from the site’s southern boundary). Loxton is in the Ubuntu Local Municipality which forms part of the Pixley ka Seme District Municipality in the Northern Cape Province. The Powerline would run from the wind farms sites to the Droërivier substation which is situated ~4km to the south-west of Beaufort West. The proposed wind farm sites and the majority of the grid line corridor (excluding the urban and peri-urban areas near Beaufort West) are situated within Ward 2 and Ward 7 of the Beaufort West Municipality which, in turn, forms part of the Central Karoo District Municipality of the Western Cape Province (note that Ward 7 covers a particularly large area of 8,175 square kilometres and extends as far as the town of Merweville which is over 100km from the Wind Farm site).

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Other towns, which are further than 50km from the Wind Farm site but still relatively nearby, include Nelspoort in Beaufort West Municipality, Fraserburg in the Karoo Hoogland Local Municipality (which form part of the Namaqua District Municipality in the Northern Cape Province) and Victoria West in the Ubuntu Local Municipality (located within the Northern Cape’s Pixley ka Seme District Municipality). With this locational context in mind, socio-economic context data is focused on the Central Karoo, Pixley ka Seme and Namakwa District Municipalities, as well as the Beaufort West, Ubuntu and Karoo Hoogland Local Municipalities, along with towns of Loxton, Beaufort West and Nelspoort within these local municipalities. Note that due to a greater availability of data, more detail is provided on the Central Karoo District Municipality and the Beaufort West Local Municipality relative to the municipalities located in the Northern Cape.

3.1. Current land uses Current land uses in the wider rural area, where the grid corridor would be located, are focused on extensive agriculture with small stock primarily in the form of sheep, game farming, some tourism and conservation primarily in the form of the Karoo National Park. The farms are large and homesteads are far and few between to maintain economically viable farm units. Small communities are housed on the farms and work as farm labourers or in associated tourism ventures. Away from the towns there are few other sources of enterprise or employment. For more details on agricultural land uses, see the Agricultural Specialist Study. The town of Beaufort West is a regional hub. Typical urban land uses can be found on the urban periphery of Beaufort West where part of the powerline infrastructure would be located. These include residential areas, recreation / tourism ventures and accommodations, industrial areas, major infrastructure (such as existing electricity transmission infrastructure, the N1 road and railway line) some mining (in the form of a quarry in the northern part of the town) and recreational uses (including the golf course in the northern part of the town).

3.2. Demographics Beaufort West Local Municipality (BWLM) had a population of 53 168 in 2018, up from 49 586 in 2011, which translates to a population growth rate of around 1% per annum over the seven-year period (see Figure 3-1). This is slightly higher than the annual growth rate for the Central Karoo District Municipality (CKDM), which was 0.92% over the same period. There were around 14 935 households in the BWLM in 2016, which implies an average household size of 3.4.

80,000

70,000

60,000

50,000

40,000 Central Karoo District Municipality

30,000 Beaufort West Local Municipality

20,000

10,000

0 2011 2016 2018

Source: WCPG, 2018a; 2018b Figure 3-1 Population trends in the CKDM and the BWLM

Ubuntu Local Municipality (ULM) had a population of 19 471 in 2016, up from 18 601 in 2011 (see figure below), implying an average growth rate of 0.92%. This is slightly higher than the average growth rate for Pixley ka Seme

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District Municipality (PkSDM), which averaged 0.98% over the same period. With an estimated 6 034 households in 2016, ULM had an average household size of 3.2 in that year.

250,000

200,000

150,000 Pixley ka Seme District Municipality 100,000 Ubuntu Local Municipality

50,000

0 2011 2016

Source: StatsSA, 2011; 2016 Figure 3-2 Population trends in the PkSDM and the ULM Karoo Hoogland Local Municipality (KHLM) had a population of 13 009 in 2016, up from 12 501 in 2011 (see figure below), implying an average growth rate of 0.8%. This is in contrast to the average growth rate for Namakwa District Municipality (NDM), which was negative and averaged -0.17% over the same period. With an estimated 4 620 households in 2016, KHLM had an average household size of 2.8 in that year.

140,000

120,000

100,000

80,000 Namakwa District Municipality 60,000 Karoo Hoogland Local Municipality 40,000

20,000

0 2011 2016

Source: StatsSA, 2011; 2016 Figure 3-3 Population trends in the KHLM and the NDM

Around 51.3% of BWLM’s population are female. This proportion is similar to that of the Central Karoo District Municipality’s (CKDM) population, of which 51.04% are female. In the case of the ULM, around 50.4% of the population are female, which is also roughly in line with the PkSDM’s 50.59% Recent population estimates are not available at the settlement level, but the 2011 census gives some indication of the towns nearby the study site, as outlined in Table 3-1. Beaufort West had a population of 20,053 in 2011, while Loxton had a population of 1,044 and Nelspoort 1,696.

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Table 3-1 Population groups in the towns surrounding the study site, 2011 Population Group Beaufort West Loxton Nelspoort Black African 1 452 28 288 Coloured 15 624 895 1 375 Indian or Asian 107 3 14 White 2 741 113 13 Other 129 5 6 Total 20 053 1 044 1 696 Source: StatsSA, 2012

BWLM’s dependency ratio 2 has been decreasing over time as an ever-larger proportion of the population falls into the working age group (see Figure below). The dependency ratio has decreased from 59.7 in 2011 to 56.7 in 2019 and according to the Western Cape Provincial Government’s projections it will have reduced to 55.1 by 2024.

0% 10% 20% 30% 40% 50% 60% 70%

Under 15

15 to 64

Over 65

Over 65 15 to 64 Under 15 2011 6% 63% 31% 2019 9% 64% 27% 2024 11% 64% 25%

Source: WCPG, 2018a; 2018b Figure 3-4 Age cohorts over time in the Beaufort West Local Municipality

The population of the ULM appears to be following a similar trajectory to that of the BWLM, although post-2016 data are not available to confirm this. The dependency ratio in the ULM fell from 64 in 2011 to 50 in 2016, with an increasingly large portion of the younger population falling into the working age category.

0% 10% 20% 30% 40% 50% 60% 70% 80%

Population under 15

Population 15 to 64

Population over 65

2011 2016

Source: StatsSA, 2011; 2016

2 The dependency ratio expresses the ratio of those typically not in the labour force (being lower than the age of 15 and higher than the age of 64) to those typically in the labour force (people of ages 15 to 64). 3-12

Figure 3-5 Age cohorts over time in the Ubuntu Local Municipality The dependency ratio in the KHLM fell from 61 in 2011 to 56 in 2016, following a similar trend to ULM, although less pronounced.

0% 10% 20% 30% 40% 50% 60% 70%

Population under 15

Population 15 to 64

Population over 65

2011 2016

Source: StatsSA, 2011; 2016 Figure 3-6 Age cohorts over time in KHLM

3.3. Employment and sectors BWLM’s unemployment rate was around 26.2% in 2017, having increased steadily since 2013. The local municipality’s trend has for the most part been consistent with that of the district municipality as well as that of the province at least since 2005 (see Figure 3-7).

0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Beaufort West Local Municipality Central Karoo District Municipality Western Cape Province

Source: WCPG, 2018a Figure 3-7 The unemployment rate in BWLM and CKDM over time

Recent employment data are not available for ULM, PkSDM or KHLM. The 2011 census revealed that in that year the unemployment rate in ULM was 29.1% and in PkSDM, 28.3%. The youth unemployment rate in 2011 was 34.8% in ULM and 35.4% in PkSDM. For the KHLM, unemployment data is outlined in Figure 3-8, which shows that the unemployment rate peaked around 2003 and has been falling since.

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Source: KHLM, 2017 Figure 3-8 The unemployment rate in KHLM over time The sector which contributes most to employment in BWLM is wholesale and retail trade, catering and accommodation. This sector contributed 3,059 of the total of the area’s 12,132 jobs in 2015. The second highest number of jobs was in agriculture, forestry and fisheries which employed 2,190 people in that year. Table 3-2 outlines each sector’s employment numbers in 2015 and shows the annual change in job numbers each year between 2011 and 2016.

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Table 3-2 Sectoral contribution to employment and net employment growth per sector in Beaufort West Local Municipality

e denotes estimate Source: WCPG, 2018a Most jobs in BWLM fall into the semi-skilled (42.7%) and low-skilled (36.9%) categories with skilled jobs making up only 20.4% of jobs in the area (see Table 3-3).

Table 3-3 Sectoral contribution to employment and net employment growth per sector in Beaufort West Local Municipality

e denotes estimate Source: WCPG, 2018a

3.4. Education levels The proportion of people over the age of 20 years who have obtained a matric certificate increased in the 2011 to 2016 period at both the local and district municipality scales (See Figure 3-9). This indicates that basic education levels have improved in the study area during this time. The proportion of people who have obtained some form of higher education has however decreased over the same period, at both the local and district municipality scales.

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100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2011 2016 2011 2016 Beaufort West Local Municipality Central Karoo District Municipality Higher education 7% 4% 7% 3% Matric 24% 32% 22% 30% No schooling 10% 5% 10% 6%

Source: Stats SA, 2012; Stats SA, 2017 Figure 3-9 Education levels in those over 20 years old in BWLM and CKDM, 2011 and 2016 In the ULM, the proportion of people over the age of 20 years with no schooling has fallen from 16% to 12%. For the PkSDM this figure has fallen similarly from 15% to 12%. At the same time, the proportion of people who have attained a matric certificate has increased for both ULM and PkSDM, while the proportion of people who have attained some form of higher education has fallen (See Figure 3-10).

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2011 2016 2011 2016 Ubuntu Local Municipality Pixley ka Seme District Municipality Higher education 6% 4% 6% 5% Matric 19% 23% 21% 24% No schooling 16% 12% 15% 12%

Source: Stats SA, 2012; Stats SA, 2017 Figure 3-10 Education levels in those over 20 years old in ULM and PkSDM, 2011 and 2016 Education trends in the KHLM and NDM are more or less in line with those in the ULM and PkSDM and the BWLM and CKDM. Detailed data are available in Figure 3-11.

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100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2011 2016 2011 2016 Karoo Hoogland Local Municipality Namakwa District Municipality Higher education 8% 12% 7% 8% Matric 16% 26% 19% 24% No schooling 17% 13% 7% 4%

Source: Stats SA, 2012; Stats SA, 2017 Figure 3-11 Education levels in those over 20 years old in KHLM and NDM, 2011 and 2016

3.5. Availability of municipal services Access to basic services has improved over time both at the local and district municipality levels, except in the case of water. Figure 3-12 shows that a greater proportion of households had access to a flush toilet connected to sewerage, weekly refuse removal and electricity and lighting in 2016 as compared to 2011 throughout the local and district municipalities. The greatest improvement has been in the proportion of households with a flush toilet connected to sewerage, which increased from 83% to 95% in the BWLM and from 78% to 94% in the CKDM over the period. However, the proportion of households with piped water inside their dwelling fell from 81% to 78% in BWLM and from 77% to 74% in CKDM between 2011 and 2016. This is likely the result of water provision not keeping pace with the growing number of households in the local as well as the district municipality.

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2011 2016 2011 2016 Beaufort West Local Municipality Central Karoo District Municipality Flush toilet connected to sewerage 83% 95% 78% 94% Weekly refuse removal 84% 92% 79% 91% Piped water inside dwelling 81% 78% 77% 74% Electricity for lighting 92% 96% 89% 95%

Source: Stats SA, 2012; Stats SA, 2017 Figure 3-12 Access to key municipal services in BWLM and CKDM, 2011 and 2016

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According to the Western Cape Government, there are relatively few informal houses in either the BWLM or in the CKDM. In the BWLM, 99.6% of households live in formal dwellings, which is a slightly higher proportion of households than the CKDM with 97.8%. Service delivery in the ULM and PkSDM shows a similar trend to that seen in BWLM and CKDM. Figure 3-13 shows that service delivery in ULM and PkSDM has improved in all areas except in terms of the number of households who have access to piped water inside their dwellings. As with BWLM and CKDM, this is likely the result of water provision not keeping pace with the growing number of households in the local as well as the district municipality.

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2011 2016 2011 2016 Ubuntu Local Municipality Pixley ka Seme District Municipality Flush toilet connected to sewerage 64% 75% 66% 73% Weekly refuse removal 67% 75% 73% 74% Piped water inside dwelling 49% 46% 47% 45% Electricity for lighting 85% 90% 85% 90%

Source: Stats SA, 2012; Stats SA, 2017 Figure 3-13 Access to key municipal services in ULM and PkSDM, 2011 and 2016 In contrast to service delivery trends in the ULM, PkSDM, BWLM and CKDM, the KHLM and NDM have experienced more mixed results with regards to changes in service delivery levels between 2011 and 2016. Both the local and district municipalities have seen improvements in the proportions of households which have access to piped water inside their dwellings. More detailed data are shown in Figure 3-14 below.

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2011 2016 2011 2016 Karoo Hoogland Local Municipality Namakwa District Municipality Flush toilet connected to sewerage 40% 40% 58% 68% Weekly refuse removal 63% 58% 80% 82% Piped water inside dwelling 60% 75% 63% 71% Electricity for lighting 66% 68% 87% 88%

Source: Stats SA, 2012; Stats SA, 2017

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Figure 3-14 Access to key municipal services in KHLM and NDM, 2011 and 2016

3.6. Health As is pointed out in the PkSDM Health Profile, the provision of basic services such as water has direct implications for the health status of communities. A major concern in the study area is HIV/AIDS and Tuberculosis (TB) treatment and care. HIV prevalence as measured in 2016/17 was around 2.5% for the Central Karoo, which is lower than the Western Cape’s 5.1%. BWLM’s latest IDP revision notes the importance of providing preventative care to vulnerable communities. This preventative care is provided by government and consists primarily of condom distributions and campaigns to encourage the practice of safe sex. In terms of providing treatment, government provides antiretroviral therapy (ART) to people living with HIV. There were a total of 1,631 people receiving ART in the Central Karoo during March 2017, out of a total of 23,931 in the Western Cape. The CKDM experienced an HIV transmission rate of 1.4% in 2016. This was down from 3.4% in 2014 and 4.3% in 2015. The transmission rates experienced in 2014 and 2015 were higher than any of the Districts in the Western Cape, the others experiencing rates of between 0.6% and 1.7% in those years. The following healthcare facilities provide treatment in the BWLM: • Murraysburg Primary Healthcare Centre • Murraysburg Mobile Clinic (PHC) • Nelspoort Mobile Clinic • Nelspoort PHC • Beaufort West Mobile Clinic • Nieuveldpark PHC • Merweville Mobile Clinic • Kwa Mandlenkosi PHC • Beaufort West District Hospital • Hillside Clinic PHC (constructed in • 2016/17) Murraysburg District Hospital • • Merweville Satellite Clinic Nelspoort Specialised Hospital

• Beaufort West CDC

The facilities listed above also provide treatment to people diagnosed with TB. Collectively, the facilities provided treatment to people with Sensitive TB at a success rate of 78.2% in 2015 and to people diagnosed with Drug-Resistant TB at a success rate of 53.6% in 2014. Similar to the BWLM, communities living in the ULM also face challenges with respect to HIV/AIDS and TB. According to the latest available information, the ULM currently has 3 clinics and 2 Community Health Centres, no district hospital (for Pikley ka Seme District these are located in the Emthanjeni, Siyancuma and Siyathemba Local Municipalities), no Mobile Clinics and no Satellite Clinics (HST, no date). The ULM IDP identifies the following issues in the local health sector:

• “Inadequate health facilities • Limited medical staff (Doctors & Nurses) • Limited equipment’s • Underutilized facility • Shortage of ambulances • Arrogance” (ULM, 2018)

The latest available information indicates that the KHM has 3 PHC clinics and 2 Mobile Clinics. Municipalities continue to address health issues facing communities through the provision of health services and through the continued training of Community Health Workers. In addition to treating HIV/AIDS, facilities provide immunisation for children (CKDM’s immunisation rate was 74.9% in 2016). Other challenges faced by communities include a higher than anticipated neo-natal mortality rate – 14 neonatal deaths per 1000 live births for CKDM in 2016 (the target had been set at 6 or less). 3-19

3.7. Local and regional socio-economic growth and development plans/priorities In terms of future economic development goals, the 2018-2019 review of the 2017-2022 Integrated Development Plan (IDP) of the BWLM is most instructive. According to this plan, the Municipality highlights 5 priorities, each of which is linked to a number of strategic objectives:

• “Priority 1 Service to the people • Priority 2 Sustainable economic growth • Priority 3 Well-run administration • Priority 4 Financial sustainability • Priority 5 Transparent organisation” (BWLM, 2018: 84)

Priority 2 above is linked to the following strategic objectives:

• “Objective 2.1 - To facilitate investment and maintenance of economic and social infrastructure to ensure infrastructure-led economic growth and development. • Objective 2.2 - Create an investment friendly environment to attract investment to enable economic growth and job creation. • Objective 2.3 – Sustainability of the environment and Agriculture” (BWLM, 2018: 84-85)

At the district level, the Central Karoo District Municipality IDP 2017-2022, 2 nd Review 2019-2020, highlights the following developmental objectives:

• “To improve and maintain district roads and promote effective and safe public transport for all • To deliver sound administrative and financial services, to ensure viability • To plan to minimize the impact of social ills, disasters and improve public safety in the region • To establish an inclusive tourism industry through sustainable development and market which is public sector led, private sector driven and community based • To build a well capacitated workforce and skilled employable youth and communities • To pursue economic growth opportunities that will create descent work • To facilitate good governance principles and effective stakeholder participation • To promote safe, healthy and socially stable communities in an environment conducive to integrated and sustainable development” (CKDM, 2018: 161)

The Ubuntu Local Municipality 2017-2022 & 2018/19 Draft IDP outlines the following strategic objectives associated with National Key Performance Area 2: Local Economic Development: “a. Private Sector Investment Upliftment & Acceleration b. Public Sector Investment Upliftment & Acceleration c. Tourism Upliftment & Acceleration d. Agriculture & Agri-processing Upliftment & Acceleration e. Industry Upliftment & Acceleration f. Commerce Upliftment & Acceleration g. SMME Upliftment & Acceleration h. Industrial & Commercial Economic Zone Establishment” (ULM, 2018: 38)

Inputs to the IDP from the Loxton community, in terms of stated economic imperatives, outline the importance of agriculture and tourism to the town. The position of the community, as submitted by the Ward 3 committee member Allan Booysen, is in favour of developing agriculture and tourism through various initiatives. Support is also expressed for “renewable energy alternatives to gas and coal energy sources” (ULM, 2018: 55). 3-2

The table below outlines the developmental objectives and outcome-oriented goals put forward in the KHLM IDP for the period 2017 - 2022.

Table 3-4: Developmental objectives and Outcome orientated goals, KHLM

Source: KHLM, 2017: 195

3.8. Identified sensitivities In the screening exercise the specialist identified a number of no go and sensitive areas to be avoided by the corridor and associated powerline. There were no identified sensitivities on the northern portion of the corridor only in the south as shown in Figure 3-15 below. The no go areas included the urban areas, Karoo National Park and individual tourism accommodations and are based on the Visual Screening Assessment (with buffers of no-go within 150m, high sensitivity within 250m and medium sensitivity within 500m) which would also suffice to ensure that impacts on residential property values are minimised. The Steenbokkie Nature reserve is marked as a high sensitivity (and not a No Go) as the reserve already has large powerlines passing through it.

Figure 3-15: Sensitivities identified during screening

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4. IDENTIFICATION OF IMPACTS

Aside from a review of the compatibility of the project with local, regional and national socio-economic development plans and the financial viability/risks associated with it (broad level review), the following impacts have been identified as relevant for assessment based on the guidelines for socio-economic specialist inputs, the nature of the project, stakeholder inputs and the receiving environment: Construction phase impacts: 1. Impacts on regional employment and household income associated with project activities and expenditure. 2. Impacts associated primarily with the influx of people. 3. Impacts on surrounding landowners and communities. 4. Impacts on tourism.

Operations phase impacts: 1. Impacts on regional employment and household income associated with project activities and expenditure. 2. Impacts associated primarily with the influx of people. 3. Impacts on surrounding landowners and communities. 4. Impacts on tourism.

Decommissioning phase impacts: 1. Impacts on regional employment and household income associated with project activities and expenditure. 2. Impacts associated primarily with the influx of people. 3. Impacts on surrounding landowners and communities. 4. Impacts on tourism.

Cumulative impacts: 1. Impacts on regional employment and household income associated with project activities and expenditure. 2. Impacts associated primarily with the influx of people. 3. Impacts on surrounding landowners and communities. 4. Impacts on tourism.

Note that the above choice of impact categories aims to limit overlap with other specialist studies and is therefore partially informed by the nature and scope of the work conducted by other specialists contributing to the EIA. In particular, impacts on agriculture and those associated with traffic are not a focus of this report as they are dealt with by other relevant specialists in their studies.

5. ASSESSMENT OF IMPACTS

This section provides an assessment of the identified impacts and suggests management and mitigation actions to avoid or reduce negative impacts or to enhance positive benefits. Impact rating tables are based on the impact assessment methodology for assessment of impact significance provided by the EAP outlined in Appendix A. The purpose of this study is to identify potential impacts that may occur during the construction, operational and decommissioning phases. The decommissioning phase of the project at the end of its design life would be of similar duration to the construction phase. Note that for each of the impacts assessed, and for all project phases, the ratings determined were found to be the same for both the 132kV and the 400kV options. While there are obviously some differences both in terms of the degree of positive impacts associated with expenditure as well as in terms of negative impacts, these differences were not found to be substantial enough to warrant the allocation of a different impact rating for the 132kV option than was assigned

5-4 to the 400kV option in any of the cases considered. Thus only one impact summary table was used for each impact as the ratings are the same for the 132kV and for the 400kV options. Cumulative impact assessment considered construction and operation of the 132 kV/ 400kV powerline alongside other Eskom infrastructure in the area or approved but not yet built Eskom infrastructure as per the requirements of DEA (see map provided in Appendix G). Note that there are no powerlines of 132kV capacity or higher which are currently approved and not yet constructed. As such, only existing powerlines were considered.

5.1. Compatibility with policy and planning guidance The proposed project’s key strategic objectives can be summarised as facilitating the evacuation of additional generation capacity to the National Grid thereby contributing to electricity supply. This section contextualises the project with respect to these objectives along with a wider consideration of the project’s fit or compatibility with transmission infrastructure planning, as well as with socio-economic and associated spatial development planning objectives and guidance.

5.1.1. Transmission infrastructure planning and development The development of electricity transmission infrastructure is recognised as a key national development imperative. Strategic Integrated Project (SIP) 10 was created to this end and has the overall objective of achieving “electricity transmission and distribution for all”. It also supports two other SIPs focused on energy namely, SIP 8: Greening energy in support of the South African economy and SIP 9: Electricity generation to support socio-economic development. While none of these projects are registered as a SIP projects, it remains and important contributor to these strategic development areas. In order to address the planning challenges associated with future electricity transmission, DEA commissioned the National Electricity Grid Infrastructure Strategic Environmental Assessment (SEA). The overall aim of the SEA was to identifying priority corridors (see following Figure) and to improve and streamline environmental regulatory processes inside the corridors. At least 90% of the powerline corridor for the project falls within the identified Central Corridor specified in the SEA. It therefore achieves a relatively high level of compatibility with national electricity grid planning. Electrical transmission and distribution is a fundamental service underpinning most economic activity and enterprise thereby playing a central role in most socioeconomic development (along with the other basic services).

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Nuweveld Grid Corridor

Figure 5-1 Final corridors in the National Electricity Grid Infrastructure Strategic Environmental Assessment

5.1.2. Socio-economic development and spatial planning Socio-economic development imperatives inform spatial planning imperatives. A critical aspect of socio-economic desirability is thus whether the proposed development complements economic planning as reflected in spatial development planning. Integrated Development Plans (IDPs) and their accompanying Spatial Development Frameworks (SDFs) are particularly important in this regard. SDFs are central to economic development planning and are drawn up in order to guide overall development in a direction that local and provincial authorities see as desirable. Indeed, the basic purpose of an SDF is to specify the spatial implications of IDPs designed to optimise economic opportunities. The proposed development thus ideally needs to ‘fit’ or be compatible with what is envisaged in SDFs, structure plans and other planning documents in order for it to clearly ‘fit’ with the optimal distributions of economic activity as envisaged in these plans. Or, if it doesn’t obviously fit with existing planning, there need to be clear and compelling reasons why a deviation from planning should be considered. The following provincial and regional planning documents were found to be of relevance and were consequently reviewed:

• Western Cape Spatial Development Framework • Northern Cape Provincial Development and Resource Management Plan / Provincial Spatial Development Framework • Namakwa District Municipality Integrated Development Plan 2017-2022 • Namakwa District Municipality IDP Revision 2018/2019 • Namakwa District Municipality Rural Development Plan • Central Karoo District Municipality IDP Revision 2018/2019 • Central Karoo District Municipality SDF • Beaufort West Local Municipality IDP 2017-2022 • Beaufort West Local Municipality IDP 2017 – 2022 1st Annual Review for 2018/2019 5-6

• Beaufort West Local Municipality SDF • Ubuntu Local Municipality IDP 2017-2022 2017-2018 amendment • Karoo Hoogland Local Municipality IDP 2017 - 2022

Considered as a whole, these documents recognise the importance of integrated and diversified economic development that makes optimal use of each area’s comparative advantages and creates economic opportunities. The concept of a powerline evacuating energy from a wind farm development and thus supporting renewable energy is thus broadly supported provided environmental impacts and impacts on other land uses and potentials are acceptable. The Beaufort West Municipality Spatial Development Framework (SDF) was found to be most relevant with respect to specific planning guidance near Beaufort West town. It was completed in 2013 and builds on the 2011 Urban Restructuring Framework. Figure 4.1 on the overleaf shows the map of conceptual proposals for new development areas. The proposed powerline corridor excludes the existing and planned urban area of Beaufort West. At its nearest point, the corridor would be approximately 110m from the town’s urban edge and residential areas and should not impact on any future urban expansion or major infrastructure plans (see Figure 3-15). When determining a final routing for the powerline within the corridor, it is recommended that the urban edge be treated as an area of high sensitivity given the limitations that powerlines may impose on other land uses, their potential to cause urban fragmentation and their potential to impact on residential amenity and property values. With respect to the latter, applying the sensitivity zone or buffer distances for settlements/towns contained in the Visual Impact Assessment (i.e. no-go within 250m for a 400kV line and 50m for a 132kV line (unless there is already an existing powerline closer than this) would suffice to ensure that impacts on residential property values are minimised. These zones are broadly consistent with the review of powerline property value impact studies contained in the 2015 National Electricity Grid Infrastructure SEA. The SEA found that risks to property values from major powerlines in urban and peri-urban settings were highly variable. To the extent that overall guidance emerged from the review, risks very seldom extend beyond 500m and were broadly most significant within 150m to 250m (see Van Zyl and Barbour 2015) 3.

3 Major powerlines or high voltage powerlines were broadly defined with limited specification of powerline heights in the studies reviewed. 5-7

Source: CNdV Africa (2013) Figure 5-2 Beaufort West SDF conceptual proposals map of new development areas

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Note that the Nuweveld powerline corridor will intersect with the following renewable project applications located closer to Beaufort West potentially requiring co-ordination with their planning when determining a final routing for the powerline within the corridor :

DEA REF # PROJECT APP_RECEIV APPLICANT Proposed Construction of19MW Photovoltaic Solar Facility on Portion 1 12/12/20/2133 2012/02/09 BioTherm Energy (Pty) Ltd Of The Farm Steenrotsfontein 168, Beaufort West, Western Cape The Proposed Beaufort West Photovoltaic Park on Portion9 Of The 12/12/20/2286 2012/09/19 EAB Astrum Energy (Pty) Ltd Farm 161 Kuilspoort in The Western Cape Province 14/12/16/3/3/2/772 Proposed establishment of the Beaufort West Solar Power Plant Site 1 , 2015/02/16 Beaufort West Solar 1 (Pty) Ltd (Withdrawn / lapsed) Western Cape 14/12/16/3/3/2/773 Proposed Establishment of the Beaufort West Solar Power Plant Site 2 , 2015/02/16 Beaufort West Solar 2 (Pty) Ltd (Withdrawn / lapsed) Western Cape Province 14/12/16/3/3/2/774 Proposed Beaufort West Solar power plant site 3 near Beaufort West 2015/02/10 Beaufort West Solar 3 (Pty) Ltd (Withdrawn / lapsed)

5.2. Financial viability and risks Long-term positive economic impacts can only flow from a project that is financially sustainable (i.e. financially viable in the long term with enough income to cover costs). The powerline in itself is not a profit-making development. It would be financed by wind farms that connect to it and which were preferred bidders in the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), after which it is handed over to Eskom at no cost. The REIPPPP essentially ensures that once a renewable project is operational there are relatively low levels of financial risks in order to encourage these types of projects. The proposed powerline is thus highly likely to prove financially viable assuming the one or more of the Nuweveld Wind Farms are able to secure a long-term contract through the REIPPPP and then proceed to operation. The remainder of this report focuses on the economic impacts (including costs and benefits) that would accrue to wider society in order to provide information on the overall economic desirability of the project.

5.3. Impacts from expenditure on the construction and operation of the project The construction and operational phases of the project would both result in positive spending injections into the area that would lead to increased economic activity best measured in terms of impacts on employment and associated incomes. Bear in mind that at this stage of project planning estimates of expenditure and employee needs are generally tentative and not detailed resulting in a broad level of assessment but underpinned by experience obtained from work done on other wind farm and powerline developments. All new expenditures will lead to linked direct, indirect and induced impacts. Taking employment as an example, impacts would be direct where people are employed directly on the project in question (e.g. jobs such as construction workers), indirect - where the direct expenditure associated with a project can lead to jobs and incomes in other sectors (e.g. purchasing building materials maintains jobs in that sector) and induced where jobs are created due to the expenditure of employees and other consumers that gained from the project. Direct impacts are the most important of these three categories as they are the largest and most likely to create change in the local area. Their estimation also involves the lowest level of uncertainty. The quantification of indirect and induced impacts is a far less certain exercise due to uncertainty surrounding accurate multipliers particularly at a local and regional level. This uncertainty makes it inadvisable to quantify indirect employment unless an in-depth analysis is required. Potential direct employment impacts are consequently quantified here and likely indirect impacts are considered in a qualitative sense when providing overall impact ratings.

5.3.1. Construction phase impacts

Construction expenditure would not displace other investment and would constitute a positive injection of new investment. During the construction phase the civil and other construction, specialised industrial machinery and building construction sectors would benefit substantially. The development would provide a major injection for

5-1 contractors and workers in the area that would in all likelihood purchase goods and services in the local area and the wider region. Preliminary estimates indicate that a total of between R500 million and R600 million would be spent on the entire construction phase of the 132kV option including infrastructure and building construction as well as other specialised machinery installation. In the case of the 400kV option a total of between R1 billion and R1.3 billion would be spent (see Table 5-1). The local area would benefit primarily from expenditure on civils and buildings. The majority of the more technical components of the powerline would be sourced from larger industrial areas in other parts of the province or country. The construction of the project represents a significant investment spread over roughly 18 to 24 months. Bear in mind that estimates are only meant to give an approximate indication of potential expenditure and are subject to revision as only once the final tenders are received and then the project complete can the exact amounts be known.

Table 5-1: Construction expenditure estimate and likely allocation per geographical area

Duration of Spend in 2019 rands spread over construction construction phase phase Gridline - 132 kV Civils R 200 000 000 -R 240 000 000 Towers and electrical equipmentR 300 000 000 -R 360 000 000 18 - 24 months Total R 500 000 000 -R 600 000 000

On local suppliers within 50kmR 50 000 000 -R 60 000 000 On suppliers in the rest of the Western CapeR 150 000 000 -R 180 000 000 On suppliers in the rest of South AfricaR 200 000 000 -R 240 000 000 On imports R 100 000 000 -R 120 000 000 Total R 500 000 000 -R 600 000 000 Gridline - 400 kV Civils R 400 000 000 -R 520 000 000 Towers and electrical equipmentR 600 000 000 -R 780 000 000 18 - 24 months Total R 1 000 000 000 -R 1 300 000 000

On local suppliers within 50kmR 100 000 000 -R 130 000 000 On suppliers in the rest of the Western CapeR 300 000 000 -R 390 000 000 On suppliers in the rest of South AfricaR 400 000 000 -R 520 000 000 On imports R 200 000 000 -R 260 000 000 Total R 1 000 000 000 -R 1 300 000 000

In order to estimate direct temporary employment during construction standard construction industry estimates for labour required were used. Table 5-2 outlines employment that would be associated with the main components of the construction phase. Roughly 80 to 110 jobs of 18 to 24-month duration would be associated with the construction period for either the 132 kV or the 400 kV option. Again, bear in mind that the estimates are not to be regarded as highly accurate and are meant to give an indication of potential impacts.

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Table 5-2: Estimated direct temporary employment during construction

Number of workers Duration of Highly Medium Low Employment categories Total employment skilled skilled skilled Gridline - 132 kV Civils 2 - 3 2 - 3 22 - 31 26 - 35 18 - 24 months Towers and electrical equipment 3 - 5 3 - 5 48 - 63 54 - 75 18 - 24 months Total 5- 8 5- 870-9480-110

Gridline - 400 kV Civils 2 - 3 2 - 3 22 - 31 26 - 35 18 - 24 months Towers and electrical equipment 3 - 5 3 - 5 48 - 63 54 - 75 18 - 24 months Total 5 - 8 5 - 8 70 - 94 80 - 110

Table 5-3 below presents estimates of how much employment is likely to go to workers from different areas. It is anticipated that approximately 43 to 58 temporary jobs would be allocated to workers from the local municipal area and a further 31 to 43 jobs to workers from the rest of the province given the project’s skills profile. This estimate is applicable to both powerline options.

Table 5-3: Employment per area during construction

Construction workers

Highly skilled Medium skilled Low skilled Total

132/400 kV gridline Anticipated % of workers from the local municipal area 5% 20% 60% Number from the local municipal area 0 - 0 1 - 2 42 - 56 43 - 58

Anticipated % of workers from the rest of the province 25% 40% 40% Number from the rest of the province 1 - 2 2 - 3 28 - 38 31 - 43

Anticipated % of workers from the rest of South Africa 67% 40% 0% Number from rest of SA 3 - 5 2 - 3 0 - 0 5 - 9

Anticipated % of workers from overseas 3% 0% 0% Number from overseas 0 - 1 0 - 0 0 - 0 0 - 1

Total 5-9 5-8 70-93.6 80 - 110

Direct household income impacts would flow from all wages paid during construction. These were estimated by multiplying the projected number of direct jobs associated with the project above by assumed average monthly salaries for each skill category (i.e. R6,000 for low skilled, R25,000 for medium skilled and R60,000 for highly skilled employees). Again, these estimates are to be treated as indicators. The results of this exercise in Table 5-4 below indicate that incomes flowing to workers would be between R18 million and R27 million. This estimate is applicable to both powerline options.

Table 5-4: Household incomes during construction (2019 rands ‘000)

Direct income during construction (R '000) % of Highly skilled Medium skilled Low skilled Total total 132/400kV gridline Workers from local municipality area R 315 - R 315 R 525 - R 840 R 5 292 - R 7 056 R 6 132 - R 8 211 31% Worker from the rest of the province R 1 575 - R 2 520 R 1 050 - R 1 680 R 3 528 - R 4 738 R 6 153 - R 8 938 33% Workers from the rest of SA R 4 221 - R 6 754 R 1 050 - R 1 680 R 0 - R 0 R 5 271 - R 8 434 31% Workers from overseas R 189 - R 1 260 R 0 - R 0 R 0 - R 0 R 189 - R 1 260 5% Total R 6 300 - R 10 849 R 2 625 - R 4 200 R 8 820 - R 11 794 R 17 745 - R 26 842 100%

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In addition to the above direct employment and associated income opportunities, a significant number of temporary indirect opportunities would be associated with the project. These would stem primarily from expenditure by the project in the local area and region as well as expenditure by workers hired for the construction phase. Impacts during construction with the mitigation proposed would result in a moderate positive significance given the size of the expenditure injection, construction period and the number of potential employment and income generation opportunities involved. Even though the 400kV line will have ± 50% higher expenditure, given the size of the expenditure injection, the impact assessment criteria were found to be the same for the 132kV and 400kV lines and therefore, the 400kV and 132kV have been assessed under one assessment table below.

Table 5-5: Impacts from expenditure on the construction of the project (applicable to both the 132kV and the 400kV options) Project phase Construction Impact Impacts from expenditure on the construction of the project Description of Increased economic activity best measured through changes in expenditure and employment impact Mitigatability Medium Mitigation exists and will notably increase the significance of impacts Potential • Setting targets for how much local labour should be used based on the needs of the applicant and mitigation the availability of existing skills and people that are willing to undergo training. Opportunities for the training of unskilled and skilled workers from local communities should be maximized. • Using local sub-contractors where possible and requiring that contractors from outside the local area that tender also meet targets for how many locals are given employment. • Exploring ways to enhance local community benefits with a focus on broad-based BEE and preferential procurement. • Setting up a skills and services database in partnership with the local municipality and civil society for the local area before any hiring or contracting decisions are made. This can help to ensure fairness and limit potential interference in hiring processes. • An effective employee induction programme is essential to ensuring that new employees, some of whom will be unfamiliar with the responsibilities of maintaining employment, are adequately prepared and motivated to adjust to the lifestyle required of them. This programme should incorporate life skills training as well as basic financial literacy training. • Counselling services should be made available to employees to ensure that they have adequate guidance. • Assisting smaller enterprises where possible in tendering for contracts and in accessing finance which are common constraints to their participation in projects. • Avoiding potential service provider decisions that may lead to abuse or local dissatisfaction. For example, only appointing one accommodating rental agent or one catering supplier may lead to local dissatisfaction regarding the spreading of project benefits. • As far as possible, avoid significant variation in salaries between various contractors for the same types of jobs. When variations are too high, the likelihood of dissatisfaction increases. Assessment Without mitigation With mitigation Nature Positive Positive Duration Short term impact will last between 1 and 5 Short term impact will last between 1 and 5 years years Extent Regional Impacts felt at a regional / Regional Impacts felt at a regional / provincial level provincial level Intensity High Natural and/ or social functions High Natural and/ or social functions and/ or processes are notably and/ or processes are notably altered altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence High Substantive supportive data High Substantive supportive data exists to verify the assessment exists to verify the assessment Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified

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Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - positive Moderate - positive Comment on Agree with above significance significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Major (+)

5.3.2. Operational phase impacts Impacts during operations would result in some marginal direct and indirect economic opportunities associated with ongoing maintenance and support efforts for the powerline. As such impacts from expenditure during the operations phase are rated as minor positive with mitigation.

Table 5-6: Impacts from expenditure on the operation of the project (applicable to both the 132kV and the 400kV options) Project phase Operation Impact Impacts from expenditure on the operation of the project Description of Increased economic activity best measured through changes in expenditure and employment impact Mitigatability Medium Mitigation exists and will notably increase the significance of impacts Potential mitigation • Setting targets for how much local labour should be used based on the needs of the applicant and the availability of existing skills and people that are willing to undergo training. Opportunities for the training of unskilled and skilled workers from local communities should be maximized. • Using local sub-contractors where possible and requiring that contractors from outside the local area that tender also meet targets for how many locals are given employment.

Assessment Without mitigation With mitigation Nature Positive Positive Duration On-going Impact will last between 15 and On-going Impact will last between 15 and 20 years 20 years Extent Municipal Impacts felt at a municipal level Municipal Impacts felt at a municipal level area area Intensity Very low Natural and/ or social functions Very low Natural and/ or social functions and/ or processes are slightly and/ or processes are slightly altered altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence High Substantive supportive data High Substantive supportive data exists to verify the assessment exists to verify the assessment Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Minor - positive Minor - positive Comment on Agree with the above significance significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Major (+)

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5.3.3. Decommissioning phase impacts Activities associated with the decommissioning of the project at the end of its design life would create somewhat less, but essentially similar, opportunities as the construction phase in terms of temporary local employment and other income opportunities. Note that operational phase impacts were assessed under the worst case assumption that they would cease after a minimum of 20 years and that the impacts of decommissioning consequently do not include a consideration of the withdrawal of the project’s operational phase benefits from the economy. As such impacts from expenditure during the decommissioning phase are rated as moderate positive with mitigation.

Table 5-7: Impacts from expenditure on the decommissioning of the project (applicable to both the 132kV and the 400kV options) Project phase Decommissioning Impact Impacts from expenditure on the decommissioning of the project Description of Increased economic activity best measured through changes in expenditure and employment impact Mitigatability Medium Mitigation exists and will notably increase the significance of impacts Potential • Setting targets for how much local labour should be used based on the needs of the applicant and mitigation the availability of existing skills and people that are willing to undergo training. Opportunities for the training of unskilled and skilled workers from local communities should be maximized. • Using local sub-contractors where possible and requiring that contractors from outside the local area that tender also meet targets for how many locals are given employment. Assessment Without mitigation With mitigation Nature Positive Positive Duration Short term impact will last between 1 and 5 Short term impact will last between 1 and 5 years years Extent Regional Impacts felt at a regional / Regional Impacts felt at a regional / provincial level provincial level Intensity High Natural and/ or social functions High Natural and/ or social functions and/ or processes are notably and/ or processes are notably altered altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence High Substantive supportive data High Substantive supportive data exists to verify the assessment exists to verify the assessment Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - positive Moderate - positive Comment on Agree with above significance significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Major (+)

5.3.4. Cumulative impacts Cumulative impacts would be associated with spending on the proposed powerline, existing Eskom infrastructure in the area and the three wind farms. Given the highly significant expenditure and jobs associated with the wind farms in particular, overall cumulative impacts are likely to be major positive for construction and operations.

5.3.5. Mitigation National government is placing significant emphasis on the local economic development initiatives which renewable energy project developers commit to in their bids to be preferred projects in the REIPPPP. The Nuweveld projects

5-6 will be such projects. This should ensure that only projects which have made significant commitments to this aspect will be selected as preferred bidders in the REIPPPP. Appendix C contains the DoE scorecard (applicable to projects in the previous round of bidding) with regard to its economic development sub-criteria covering aspects such as job creation, local content, ownership, management control, preferential procurement, enterprise development and socio- economic development. Among other things, the scorecard should ensure that project developers pay attention to:

• Setting targets for how much local labour should be used based on the needs of the applicant and the availability of existing skills and people that are willing to undergo training. Opportunities for the training of unskilled and skilled workers from local communities should be maximized. • Using local sub-contractors where possible and requiring that contractors from outside the local area that tender also meet targets for how many locals are given employment. • Exploring ways to enhance local community benefits with a focus on broad-based BEE and preferential procurement.

There is no reason to believe the yet-to-be-published DoE requirements for fifth round local benefit enhancement that would guide the project would be different in any negative way and thus they should adequately ensure a suitable base level of local benefit enhancement. Their fair and transparent application will, however, require extensive interactions and collaborative engagement with the local community and its representatives. The applicant should therefore ensure that adequate time and resources are devoted to these activities. Particular attention should be paid to the following objectives:

• Setting up a skills and services database in partnership with the local municipality and civil society for the local area before any hiring or contracting decisions are made. This can help to ensure fairness and limit potential interference in hiring processes. • An effective employee induction programme is essential to ensuring that new employees, some of whom will be unfamiliar with the responsibilities of maintaining employment, are adequately prepared and motivated to adjust to the lifestyle required of them. This programme should incorporate life skills training as well as basic financial literacy training. • Counselling services should be made available to employees to ensure that they have adequate guidance. • Assisting smaller enterprises where possible in tendering for contracts and in accessing finance which are common constraints to their participation in projects. • Avoiding potential service provider decisions that may lead to abuse or local dissatisfaction. For example, only appointing one accommodating rental agent or one catering supplier may lead to local dissatisfaction regarding the spreading of project benefits. • As far as possible, avoid significant variation in salaries between various contractors for the same types of jobs. When variations are too high, the likelihood of dissatisfaction increases.

It is also important to anticipate that there are likely to be people whose (potentially unrealistic) expectations will not be met leading to dissatisfaction. This is difficult to avoid and can affect community relations. However, its impacts can be lessened by ensuring that all local benefits are carefully monitored and also communicated to local communities.

5.4. Impacts associated primarily with the influx of people Potential impacts of the influx of people have been assessed in detail as part of the social specialist studies for other renewable energy projects in small communities the findings of which are drawn on here (see Barbour and van der Merwe, 2012 and van Zyl and Barbour, 2014 in particular). Barbour and van der Merwe note that while the presence of construction and other workers does not in itself constitute an impact, the manner in which workers conduct themselves can affect the local community and lead to increased social ills. They also make the observation that likely impacts are related to the number of employment opportunities that would go to non-locals and how the recruitment process is managed.

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Note that there is some potential for overlap between this section and the section which deals with impacts on landowners and communities. In order to limit overlap, this section focuses on impacts associated with increased risk of social ills in the wider community and potential strain on services (municipal and accommodation) stemming from ‘new’ people coming to the area including those who have already secured employment as well as job-seekers hoping to find work at the project or in other businesses which may grow as a result of it.

5.4.1. Construction phase impacts Community concerns are common, especially in smaller communities, regarding the negative impacts associated with an influx of outside workers particularly during the construction of large projects. These concerns include those associated with negative impacts on social structures and increased ‘social ills’ such as increased crime levels, increased alcohol and drug use, increased teenage and unwanted pregnancies, increased prostitution and increases in sexually transmitted diseases (STDs such as HIV). These types of impacts are more commonly associated with the influx of people looking for work without success but can also be associated with workers that do find work. As previously mentioned, the applicant has indicated that they are committed to implementing a ‘locals first’ employment policy where possible as per REIPPPP requirements. It is likely that a significant proportion of workers would be sourced locally especially low and medium skilled workers. These workers would already be part of the local community and its social structures thereby reducing the risk posed by influx. Another potential issue raised is that the influx of workers from outside the area during construction may overwhelm Beaufort West in terms of available accommodation. As was outlined in Section 5.3, construction will create between 80 to 110 jobs of 18 to 24-month duration for either the 132 kV or the 400 kV option. Of these jobs, between 36 and 53 are likely to be filled by people from outside of the local municipality who are thus likely to require accommodation. As part of the assessment of tourism impacts for the wind farms and powerlines it was estimated that roughly 300 beds are available in accommodation in the areas immediate surrounding the wind farms and grid corridor. As this excludes much of Beaufort West, it is considered likely that Beaufort West and surrounds probably has at least 700 to 1000 beds available and there is additional accommodation in Carnarvon, Loxton and Victoria West. Thus, it stands to reason that the area will be able to accommodate construction workers. It is anticipated that, with mitigation, the threat posed to the community by influx would be manageable. This comes with the caveat that the impact on individually affected community members has the potential to be high (for example, for an individual being affected by crime) whereas the assessed impacts are averaged for the whole community. The significance of impacts is assessed as minor negative during construction with the effective implementation of mitigation measures.

Table 5-8: Impacts associated primarily with the influx of people – construction phase (applicable to both the 132kV and the 400kV options) Project phase Construction Impact Impacts associated primarily with the influx of people Description of Resulting from influx of workers during the construction phase impact Mitigatability Medium Mitigation exists and will notably reduce significance of impacts

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Potential • A ‘locals first’ policy with regard to construction labour needs. mitigation • The community should be able to contact the site manager or his/her representative to report any issues which they may have. The site manager and his/her representative should be stationed within the area and should therefore be available on hand to deal with and address any concerns which may be raised. • A complaints register should be available on site to any individual who may have a particular complaint with regards to the construction process. • The applicant and the contractors should, develop a Code of Conduct for the project. The code should identify what types of behaviour and activities by workers are not permitted in agreement with surrounding landowners and land managers. For example, access on land that is not part of the development will not be allowed. • The applicant and the contractor should implement a Tuberculosis and HIV/AIDS awareness programme for all workers at the outset of the construction phase; • Arrangements must be made to enable workers from outside the area to return home over the weekends or /at regular intervals. This would reduce the risk posed by non-local construction workers to local family structures and social networks. • Condoms should be freely available to employees and all contractor workers. • The applicant should honour his commitment to spend R 100 000 per year during construction to contribute to security initiatives. • The contractor should make the necessary arrangements for ensuring that all non-local construction workers are transported back to their place of residence once the construction phase is completed. • Close coordination with the municipality is required, including regular meetings. Assessment Without mitigation With mitigation Nature Negative Negative Duration Short term impact will last between 1 and Short term impact will last between 1 and 5 years 5 years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements Intensity High Natural and/ or social functions Moderate Natural and/ or social functions and/ or processes are notably and/ or processes are altered moderately altered Probability Likely The impact may occur Likely The impact may occur Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Minor - negative Minor - negative Comment on Agree with above significance significance Cumulative Cumulative impact of powerline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Moderate (-)

5.4.2. Operational phase impacts

Operational phase impacts associated with the influx of people were determined to be negligible. During the operations phase, the powerline would be maintained by existing Eskom teams. The presence of a powerline, unlike the presence of more substantial projects, is not likely to attract job-seekers to the area.

Table 5-9: Impacts associated primarily with the influx of people – operations phase (applicable to both the 132kV and the 400kV options) Project phase Operation Impact Impacts associated primarily with the influx of people

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Description of Resulting from influx of workers and other potential movements of people during operations impact Mitigatability Low Mitigation does not exist; or mitigation will slightly reduce the significance of impacts Potential N/A mitigation Assessment Without mitigation With mitigation Nature Negative Negative Duration On-going Impact will last between 15 and On-going Impact will last between 15 and 20 years 20 years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements Intensity Very low Natural and/ or social functions Very low Natural and/ or social functions and/ or processes are slightly and/ or processes are slightly altered altered Probability Unlikely Has not happened yet but could Unlikely Has not happened yet but could happen once in the lifetime of happen once in the lifetime of the project, therefore there is a the project, therefore there is a possibility that the impact will possibility that the impact will occur occur Confidence High Substantive supportive data High Substantive supportive data exists to verify the assessment exists to verify the assessment Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Negligible - negative Negligible - negative Comment on Agree with above significance significance Cumulative Cumulative impact of powerline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Moderate (-)

5.4.3. Decommissioning phase impacts Decommissioning would be very similar to construction phase impacts, although it may use slightly less labour and be of a shorter timeframe. Impacts resulting from workers who are employed as part of the decommissioning phase would thus be largely similar to those experienced during construction. Note that it stands to reason that the two phases would differ in terms of the number of job seekers who would likely be attracted to the area on the prospect of finding work. Newly proposed projects attract people seeking to benefit from them in terms of finding employment either during the construction but also during operations. Since the decommissioning phase would signal no further longer-term opportunities, the appeal of perceived opportunities would be lower than for the construction phase. The significance of impacts is assessed as minor negative during decommissioning with the effective implementation of mitigation measures.

Table 5-10: Impacts associated primarily with the influx of people – decommissioning phase (applicable to both the 132kV and the 400kV options) Project phase Decommissioning Impact Impacts associated primarily with the influx of people Description of Resulting from influx of workers during the decommissioning phase impact Mitigatability Medium Mitigation exists and will notably reduce significance of impacts

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Potential mitigation • A ‘locals first’ policy with regard to decommissioning labour needs. • The community should be able to contact the site manager or his/her representative to report any issues which they may have. The site manager and his/her representative should be stationed within the area and should therefore be available on hand to deal with and address any concerns which may be raised. • A complaints register should be available on site to any individual who may have a particular complaint with regards to the decommissioning process. • The applicant and the contractors should, develop a Code of Conduct for the project. The code should identify what types of behaviour and activities by workers are not permitted in agreement with surrounding landowners and land managers. For example, access on land that is not part of the development will not be allowed. • The applicant and the contractor should implement a Tuberculosis and HIV/AIDS awareness programme for all decommissioning workers at the outset of the decommissioning phase; • Arrangements must be made to enable workers from outside the area to return home over the weekends or /at regular intervals. This would reduce the risk posed by non-local decommissioning workers to local family structures and social networks. • Condoms should be freely available to employees and all contractor workers. • The contractor should make the necessary arrangements for ensuring that all non-local decommissioning workers are transported back to their place of residence once the decommissioning phase is completed. • Close coordination with the municipality is required, including regular meetings.

Assessment Without mitigation With mitigation Nature Negative Negative Duration Short term impact will last between 1 and 5 Short term impact will last between 1 and 5 years years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements Intensity High Natural and/ or social functions Moderate Natural and/ or social functions and/ or processes are notably and/ or processes are altered moderately altered Probability Likely The impact may occur Likely The impact may occur Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Minor - negative Minor - negative Comment on Agree with above significance significance Cumulative Cumulative impact of powerline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Moderate (-)

5.4.4. Cumulative impacts The cumulative impact associated with all three wind farms and the gridline going ahead at the same time would be an increase in the likelihood of a larger influx of people to the area whether they have jobs secured or are job seekers. This should result in a higher risk of social problems associated with influx particularly during construction. In terms of adequate accommodation, between 104 and 129 construction employment opportunities are likely to be filled by people from outside of the local municipality per wind farm. Assuming all three projects go ahead at the same time, this will result in about 312 to 378 potential new people in the area needing housing. In addition, for the gridline, between 36 and 53 construction jobs are likely to be filled by people from outside of the local municipality who are thus likely to require accommodation. As Beaufort West probably has at least 700 to 1000 beds available for accommodation and there is additional accommodation in Carnarvon, Loxton and Victoria West, it is expected that 5-11 adequate accommodation will be available. With adequate forewarning, it is also likely that businesses will respond to the opportunity and add accommodation stock if needed. If the mitigation measure prescribed are adhered to the potential impacts due to an influx of people should be adequately managed and the overall cumulative impact in this regard would be moderate negative for all phases.

5.4.5. Mitigation Mitigation measures should include: 4

• A ‘locals first’ policy with regard to construction and operational labour needs. • The community should be able to contact the site manager or his/her representative to report any issues which they may have. The site manager and his/her representative should be stationed within the area and should therefore be available on hand to deal with and address any concerns which may be raised. • A complaints register should be available on site to any individual who may have a particular complaint with regards to the construction or operations processes. • The applicant and the contractors should develop a Code of Conduct for the project. The code should identify what types of behaviour and activities by workers are not permitted in agreement with surrounding landowners and land managers. For example, access to land that is not part of the development will not be allowed. The applicant and the contractor should implement a Tuberculosis and HIV/AIDS awareness programme for all construction workers at the outset of the construction phase. • Arrangements must be made to enable workers from outside the area to return home over the weekends or at regular intervals. This would reduce the risk posed by non-local construction workers to local family structures and social networks. • Condoms should be freely available to employees and all contractor workers. • Introduce alcohol testing on a weekly basis for construction workers. • The contractor should make the necessary arrangements for ensuring that all non-local construction workers are transported back to their place of residence once the construction phase is completed. • Close coordination with the municipality is required, including regular meetings. The local community hold local government accountable for impacts resulting from the influx of people. Thus, as an existing focal point, it is important that local government plays a part in addressing these issues and efforts should be made by the applicant to involve the municipality in developing mitigation measures as needed and sharing information (including information about procedures surrounding employment and supplier involvement) with members of the public.

5.5. Impacts on tourism Tourism is a key sector and has the potential to play an increasingly prominent role as a driver of economic development. It is thus important to consider the potential impacts of the project on this sector. The assessment of impacts on tourism was based on the following:

• Information on current tourism use and potential focusing on the area surrounding the site.

• A review of the literature on the impact of powerlines on tourism.

• Pertinent information from other specialist studies - the Visual Impact Assessment (VIA) and Heritage Impact Assessment (HIA) were most relevant in this regard.

• Own observations, experience in assessing other similar projects and inputs from stakeholders including the local tourism organisation.

4 Partially drawing on Barbour and van der Merwe (2012) and van Zyl and Barbour (2014).

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The focus of assessment was on gauging overall tourism impacts. This overall assessment was, however, partially informed by a consideration of risks to selected known and more prominent individual tourism establishments or facilities (this does not imply that there are absolutely no other tourism establishments in the area nearby the grid corridor).

5.5.1. The tourism context Information on current tourism use and potential was gathered using planning documents for the district and local municipalities, interviews with the local tourism organisation and other stakeholders, own observation and accommodation search websites including SafariNow, AirBnB, Lekkeslaap and Google, as well as Wesgro’s Cape Karoo Visitor Trends information sheet. The primary overall tourism appeal of the area lies in its isolated nature. Views are characterised by open landscapes with few signs of civilisation, reflective of the Karoo’s reputation as a very sparsely populated, quiet place. The Karoo is sometimes referred to as “Die Niks” – an Afrikaans phrase meaning “The Nothing”, which is suggestive of the level of isolation that one experiences when travelling through parts of the Karoo such as the area concerned. The Figure below shows the proposed corridor in relation to selected known surrounding tourism establishments and facilities. 5 Table 5-11 provides a brief profile of these establishments which tend to offer accommodation as well as activities such walking, mountain biking, farm activities and hunting.

5 Note that the Shepherding Back Biodiversity (SBB) Project was considered from a tourism perspective. The available online information on the project (primarily from the SBB’s project page on the Landmark Foundation website, Global Environmental Facility (GEF) project grant documents and other articles about the project) showed that the project is primarily about sustainable land use management and integration of biodiversity management into agricultural practices. The available information on the SBB project thus does not indicate that it has a specific tourism component or that it includes specific tourism facilities or establishments. For clarification purposes, requests for basic maps and tourism information on the SBB were directed to Dr Smuts of the SBB. Unfortunately no response was received. The SBB was therefore not included in the assessment as a specific tourism establishment or facility although it is important to recognise the link between conservation initiatives such as the SBB and the enhancement of overall tourism potential in the area. 5-13

Figure 5-3 Map showing the proposed corridor in relation to identified tourism establishments

Table 5-11 Tourism facilities profile Within proposed Number of Name of tourism facility Number of units / rooms powerline beds corridor (Yes/No) Accommodation Badshoek Hunting Lodge 7 units 50 No Chateaux de Villiers 2 units 14 Yes Lemoenfontein country house and self -catering 10 rooms 20 No Olijvenhuis Guest House 1 house 6 Yes Lekker Le Guest Cottage 1 cottage 6 Yes Country Cottage 1 cottage 4 No

Steenbokkie Private Nature Reserve 32 camping sites, 2 14 beds plus Yes cottages, 3 rooms camp sites Khulu Umzi Self -catering Game Lodge 1 farm house 9 No Jakhalsdans guesthouse, farmstay and safari 3 units 21 No Riverine Rabbit Retreat 1 farm house 10 No

In addition to specific tourist facilities, correspondence with a representative of the Beaufort West Tourism Organisation has revealed that “a popular scenic drive is a loop that goes up De Jagers Pass and down Molteno Pass, or 5-14 the other way around.” (S. Klemm, pers com). A photograph taken on this route in the vicinity of the study site is shown below. These areas are also viewed as areas with relatively more tourism potential along with those closer to the Karoo National Park nearer to Beaufort West.

Figure 5-4 Photograph taken from the north of the project site, facing in a southerly direction

5.5.2. Literature on the impacts of powerlines on tourism Grid infrastructure has the potential to affect tourism negatively primarily through the visual impacts that are often associated with sub-stations and transmission lines in particular. Although the peer reviewed literature on this topic is limited, tourism impact assessments have been commissioned as part of environmental impact assessments. A selection of recent studies of this nature in South Africa were reviewed. Their findings can be summarised as follows:

• Seaton Thomson and Associates (2012) assessed the eco-tourism impact of the proposed Merensky – Foskor 275KV transmission line in Mpumalanga. They found a high degree of resistance and sensitivity to transmission lines in an area with numerous game farms and eco-tourism establishments. Their key finding was that the route of the lines directly through the middle of protected areas would have a severe impact on eco-tourism. As a consequence they strongly recommended that the transmission line be moved to run along the R526 and R36 roads where they would have far lower impacts on eco-tourism and the sense of place of the overall destination.

• Milburn (2013) assessed the eco-tourism impact of the proposed Perseus - Gamma 765KV transmission line in the Northern Cape and Free State. The study considered three alternatives which were found to have very different impacts on tourism. The clearly preferred alternative followed an existing transmission line and transmission servitude resulting in negligible additional visual impact and associated risks. The other two alternatives had varying impacts with one being problematic given its risk for the nearby Mokala National Park which is key to the tourism offering of the area. The other was also found to have ecotourism risk but of a lower significance as it would not affect the National Park as much.

• The eco-tourism impact of the proposed Kappa - Omega 765kV transmission line between Koeberg and Victoria West area in the Western Cape were assessed by Murimbika (2013). Three corridor alternatives were assessed all of which were found to have some level of tourism risks given the presences of numerous tourism assets and scenic view areas. However, similar to Milburn (2013), the preferred route was the alignment staying closest to the existing transmission line and road networks.

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A study conducted into the perceptions of tourists on the appropriateness of electric transmission lines within Icelandic landscapes revealed that transmission lines are considered among the least appropriate forms of infrastructure when considered alongside a variety of other forms. It should be noted that Iceland is renowned for having undisturbed landscapes and so tourists’ perceptions around changes to these landscapes will have been especially acute (tourists interviewed found hotels to be an even less appropriate form of infrastructure to be developed). The study highlighted certain groups of tourists as being more opposed to the development of transmission lines in tourist areas than others (Stefánsson et al., 2017: 6): “Men consider transmission lines more inappropriate than women and tourists younger than 25 years old are less likely to consider them inappropriate than older groups... Icelanders are more negative towards transmission lines than other nationalities, except for the inhabitants of other Nordic countries. Tourists that visit the areas in their own cars are more against power lines than those that travel by bus and rental cars. Hikers and those that travel on motorcycles or quads are vehemently against transmission lines; however, these groups are too small for post-hoc tests to exhibit significant differences.”

Stefánsson et al also found large differences in the intensity of tourist perceptions towards transmission lines between study sites, with tourists visiting sites which were better known as places to experience ‘wilderness’ being far more opposed to the prospect of transmission lines being built. In summary, powerlines have been found to entail risks for tourism where visual quality and natural landscapes with minimal signs of man-made structures are a key attraction. This tends to be the case in relatively unspoilt areas and particularly those containing land uses such as protected areas and game farms.

5.5.3. Specialist findings and key considerations

The Visual Impact Assessment (VIA) of the powerline sums up the sense of place of the area as follows: “The flat-topped dolerite hills and Nuweveld mountains, forming the escarpment, are characteristic features of the Great Karoo in an otherwise fairly featureless, parched landscape, an area noted mainly for its empty, uncluttered landscapes and dark, star-lit skies at night. Isolated farmsteads form green oases in the semi-arid landscape, sheltered from the heat by poplars and other exotic trees.” (Lawson and Oberholzer 2020) With reference to visual receptors in the project area, the VIA finds that, “scenic resources and sensitive receptors along the powerline route include a number of guest farms, mainly in the plain below the escarpment. On the plateau there are a number of farms that could be affected, although distance would be mitigating factor.” The VIA goes on to state that, “the proposed corridor in which the powerline servitude will be located largely succeeds in avoiding most visual constraints. Exceptions to the no-go zones have been indicated on the visual sensitivity maps. Micro-siting of powerlines could be considered if necessary within the corridor during the pre-construction phase.” It concludes that the project may be authorised from a visual impact standpoint. The Heritage Impact Assessment (HIA) draws on the VIA to assess impacts on cultural landscapes which has relevance from a sense of place and therefore tourism impacts perspective. The HIA notes the relatively undisturbed wilderness atmosphere that pervades the region. It concludes that impacts on the cultural landscapes would be moderate negative with mitigation mentioning that “the landscape is almost entirely undisturbed and lacks similar developments.” (Orton 2020). Two areas within and directly adjacent to the proposed corridor were found to be particularly sensitive in terms of having potential to be affected socio-economically by the presence of a potential powerline. These areas are discussed below. Area 1 - Badshoek Accommodation and Commercial Hunting Facility, Chateaux De Villiers Portions RE/424 and 443 (belonging to Colin De Villiers) are located in a particularly pristine part of De Jagers Pass and there is potential for a powerline to have a significant impact on tourism here considering the commercial hunting and accommodation offered by Mr De Villiers (Badshoek Hunting Lodge). It is thus advised that a more westerly route be taken within the proposed corridor. Based on a meeting held on 1 October, 2019, Mr De Villiers was open to

5-16 considering a powerline on the western parts of portions RE/424 and 443, shown in the map below. This should also limit risk to Chateaux De Villiers Guest House which lies within the corridor.

Figure 5-5 Map showing the corridor (white line borders) in relation to portions RE/424 and 443, Badshoek Hunting Lodge and Chateaux de Villiers Area 2 – Steenbokkie Private Nature Reserve Following a conversation held with Jaco Herselman on 4 October 2019, the Steenbokkie Private Nature Reserve, as a whole, is not considered to be particularly sensitive to the development of a powerline. This conclusion follows a consideration of the nature of activities offered by the Reserve as well as the fact that there are already several powerlines crossing this piece of land. There is, however, one location on the Reserve which is considered to be sensitive. This is the accommodation area located on portion 2/162 (circled in red in the image below)

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Figure 5-6 Map showing the location of the Steenbokkie Private Nature Reserve accommodation (all of the area shown on the map lies within the corridor)

5.5.4. Construction phase impacts Aside from impacts driven primarily by visual and heritage changes, construction phase impacts would be driven by temporary changes and disruptions. These include the following which are discussed in Section 5.6 given their greater relevance to impact on surrounding landowners:

• Deterioration of local roads • Greater risk of increased dust levels • Increased risk of crime such as stock theft and poaching • Increased littering • Increased potential for veld fires

These would essentially reduce the appeal of the local area as a tourist destination, particularly in a place ordinarily characterised by tranquillity. These impacts would be experienced to a varying degree over the 18-24-month construction period. They have a high potential to be mitigated. In terms of timing, some surrounding landowners pointed out that hunting-based tourism is most prominent during the months of May, June, July and August. The construction impact may thus be most significant during these months. Interviews with Ward Councillors representing the areas concerned as well as representatives of the Beaufort West Golf Club and other tourism establishments likely to be affected by the project indicated that while the Powerline may have some level of impact on tourism, these impacts could be mitigated, especially with regards to construction phase impacts which were considered to be most relevant. The tourism context, literature review, other specialist findings and key considerations discussed above indicate that the project should have a minor impact on tourism with mitigation in the construction phase.

Table 5-12: Impacts on tourism during construction (applicable to both the 132kV and the 400kV options) Project phase Construction Impact Impacts on tourism Description of Reduction in tourism appeal due to construction activities impact Mitigatability Medium Mitigation exists and will notably reduce significance of impacts

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Potential Impacts on tourism are dependent on how the site is developed and managed to minimise negative mitigation biophysical impacts. The measures recommended in other specialist reports to these impacts (primarily the minimisation of visual, heritage and ecological impacts) would thus also minimise tourism impacts. Assessment Without mitigation With mitigation Nature Negative Negative Duration Short term impact will last between 1 and 5 Short term impact will last between 1 and 5 years years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements Intensity Extremely Natural and/ or social functions Moderate Natural and/ or social functions high and/ or processes are severely and/ or processes are altered moderately altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Medium The affected environment will Medium The affected environment will only recover from the impact only recover from the impact with significant intervention with significant intervention Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - negative Minor - negative Comment on significance Agree with above significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Minor (-)

5.5.5. Operational phase impacts Experience from other grid infrastructure assessments and the findings of the literature review indicate that instances where powerlines are most likely to result in negative impacts on tourism are those where they are situated in areas with a clear wilderness quality with little or no signs of ‘civilisation’ in the form of infrastructure such as existing powerlines and major roads. The conclusions of the VIA and HIA confirm that the project site and surrounds have this quality and that impacts would be significant on the cultural landscape which will have consequences for the sense of place and attraction associated with the area. The tourism context, literature review, other specialist findings and key considerations discussed above indicate that the project should have a minor negative impact on tourism with mitigation in the operational phase. While the literature review in particular highlights the potential for powerlines to have a more significant impact on tourism, it is the specialists’ assessment that if the mitigation measures prescribed in this assessment as well as in the those of the other specialists are implemented, post-mitigation impacts will remain minor. This is further substantiated by the number of tourism facilities which could potentially be affected.

Table 5-13: Impacts on tourism during operations (applicable to both the 132kV and the 400kV options) Project phase Operation Impact Impacts on tourism Description of Reduction in tourism appeal due to changes in sense of place, increase in business tourism impact Mitigatability Low Mitigation does not exist; or mitigation will slightly reduce the significance of impacts

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Potential Impacts on tourism are dependent on how the site is developed and managed to minimise negative mitigation biophysical impacts. The measures recommended in other specialist reports to these impacts (primarily the minimisation of visual, heritage and ecological impacts) would thus also minimise tourism impacts. Assessment Without mitigation With mitigation Nature Negative Negative Duration On-going Impact will last between 15 and On-going Impact will last between 15 and 20 years 20 years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements Intensity Moderate Natural and/ or social functions Low Natural and/ or social functions and/ or processes are and/ or processes moderately altered are somewhat altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified

Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - negative Minor - negative Comment on Agree with above significance significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Minor (-)

5.5.6. Decommissioning phase impacts Decommissioning would be similar to construction phase impacts, although it may use slightly less labour and be of a shorter timeframe and relative intensity. Impacts of the phase would thus be similar to those experienced during construction from disruption and other nuisance factors such as increase dust levels etc. The tourism context, literature review, other specialist findings and key considerations discussed above indicate that the project should have a minor impact on tourism with mitigation in the decommissioning phase.

Table 5-14: Impacts on tourism during decommissioning (applicable to both the 132kV and the 400kV options) Project phase Decommissioning Impact Impacts on tourism Description of Reduction in tourism appeal due to decommissioning activities impact Mitigatability Medium Mitigation exists and will notably reduce significance of impacts Potential Impacts on tourism are dependent on how the site is developed and managed to minimise negative mitigation biophysical impacts. The measures recommended in other specialist reports to these impacts (primarily the minimisation of visual, heritage and ecological impacts) would thus also minimise tourism impacts. Assessment Without mitigation With mitigation Nature Negative Negative Duration Short term impact will last between 1 and 5 Short term impact will last between 1 and 5 years years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements

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Intensity Extremely Natural and/ or social functions Moderate Natural and/ or social functions high and/ or processes are severely and/ or processes are altered moderately altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Medium The affected environment will Medium The affected environment will only recover from the impact only recover from the impact with significant intervention with significant intervention Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - negative Minor - negative Comment on Agree with above significance. significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Minor (-)

5.5.7. Cumulative impacts The VIA found that “the proposed powerline and switching stations could affect the rural quality, or sense of place, of the general area as a result of potential cumulative visual impacts, particularly when combined with other existing Eskom and wind farm connecting power lines.” The cumulative impact of the proposed project in addition to existing grid infrastructure in the area was rated as minor negative. The cumulative impact on tourism associated with the proposed project in addition to existing grid infrastructure in the area and the three proposed wind farms would be a slight increase in tourism risk. Cumulative impacts have therefore been rated minor negative overall.

5.5.8. Mitigation Impacts on tourism are dependent on how the site is developed and managed to minimise negative biophysical impacts. The measures recommended in other specialist reports to these impacts (primarily the minimisation of visual, heritage, traffic and ecological impacts) would thus also minimise tourism impacts.

5.6. Impacts on surrounding landowners and communities As is often the case with large projects, concerns are usually raised by surrounding landowners and communities that relate to potential negative impacts associated mainly with greater activity nearby and the presence of workers on the site particularly during construction.

5.6.1. Construction phase impacts During the construction phase, impacts on surrounding landowners and communities would largely result from:

• Increased risk of crime such as stock theft and poaching • Damage to farm infrastructure such as fences • Increased littering • Increased potential for veld fires • Greater risk of increased dust and noise levels • Safety concerns associated mostly with presence of large trucks and machinery

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• Deterioration of local roads

Experiences with the presence of construction workers associated with the Eskom sub-stations and transmission lines in the area, as well as with other large projects, have made landowners particularly wary of the risks that come with the introduction of a significant labour force into the area. More people in farming areas are seen as a risk factor for trespassing, theft, damages to farm infrastructure and equipment, littering along with veld fires. Some of these potential impacts can also lead to changes in the sense of place, which is discussed in Section 5.5 and elaborated on below under operational phase impacts. The increased volume of project-related traffic in the area could affect surrounding communities. This will potentially occur through increased levels of noise, dust as well as through the threat to the safety of communities living in the area. The Traffic Impact Assessment (TIA) deals with impacts on roads in detail, noting that the project has implications in terms of the safety of pedestrians, particularly in Loxton and in the more isolated surrounds. The TIA covers traffic- related impacts and should be consulted for further information on this matter. All of the risks discussed above are considered manageable and impacts on surrounding landowners and communities have been rated as minor negative for the construction phase with mitigation.

Table 5-15: Impacts on surrounding landowners and communities during construction (applicable to both the 132kV and the 400kV options) Project phase Construction Impact Impacts on surrounding landowners and communities Description of Associated with greater activity nearby and related nuisance and damages impact Mitigatability Medium Mitigation exists and will notably reduce significance of impacts Potential mitigation • No construction workers, with the exception of security personnel, should be allowed to stay on the site overnight. • The community should be able to contact the site manager to report any issues which they may have. The site manager should be stationed within the area and should therefore be available on hand to deal with and address any concerns which may be raised. • A complaints register should be available on site to any individual who may have a particular complaint with regards to the construction or operations processes. • The applicant should develop a Code of Conduct for the project. The Code should identify what types of behaviour and activities by workers are not permitted in agreement with surrounding landowners and land managers. • The movement of workers on and off the site should be closely managed and monitored by the contractors. In this regard the contractors should be responsible for making the necessary arrangements for transporting workers to and from site on a daily basis. • The applicant should honour his commitment to spend R 100 000 per year during construction to contribute to security initiatives. • The applicant should implement measures to assist and, if needed, fairly compensate potentially affected surrounding landowners whereby damages to farm property, stock theft or significant disruptions to farming activities can be minimized or reduced. Measures should be agreed on before construction commences. • The EMP must outline procedures for managing and storing waste on site, specifically plastic waste that poses a threat to livestock if ingested. • Mitigation measures proposed by other specialists, in particular those prescribed in the Traffic Impact Assessment, need to be adhered to.

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Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Medium The affected environment will Medium The affected environment will only recover from the impact only recover from the impact with significant intervention with significant intervention Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - negative Minor - negative Comment on Agree with above significance significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Minor (-)

5.6.2. Operational phase impacts The operations phase would also be associated with relatively similar issues to those assessed for the construction phase albeit over a longer time period and of a lower intensity. One of the most substantial changes will be to the sense of place. One neighbouring landowner commented that the area is characterised by clusters of houses most of which are not visible to one another, creating a sense of solitude and isolation. There are very few trees in the landscape and little movement can be seen. The proposed development would lead to a change in the sense of place experienced throughout the study site as well as the surrounding landscape. This would occur through changes in the visual character of the area, as well as through an increase in activity during maintenance activities in the area, which would result in visual and heritage impacts such as those discussed in Section 5.5 on tourism. The presence of more people in the local area during the operations phase was raised as a concern by some landowners in the area as for the construction phase. These included increased risk of crime such as stock theft and poaching, damage to farm infrastructure such as fences, increased littering, increased potential for veld fires, greater risk of increased dust and noise levels, safety concerns and deterioration of local roads. Impacts associated with these concerns are likely to be of a similar nature but of much lower intensity than for construction since the line would be managed by existing Eskom teams. Traffic impacts should also remain manageable with mitigation as summarised above and assessed further in the Traffic Impact Assessment. As with the construction phase, impacts are largely considered manageable with focused mitigation and have been rated as minor for the operational phase with mitigation. These impacts have the potential to also be reflected in property values at a similar minor significance level. Bear in mind that confidence in assessment is medium especially as perceptions with respect to sense of place impacts are likely to be variable.

Table 5-16: Impacts on surrounding landowners and communities during operation (applicable to both the 132kV and the 400kV options) Project phase Operation Impact Impacts on surrounding landowners and communities Description of Associated with increased commerical activity in the area and resulting changes to sense of place impact Mitigatability Medium Mitigation exists and will notably reduce significance of impacts Potential • A ‘locals first’ policy with regard to labour needs. mitigation • All maintenance planned on the line should be communicated where possible with the affected landowners beforehand and access requirements confirmed. Assessment Without mitigation With mitigation

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Nature Negative Negative Duration On-going Impact will last between 15 and On-going Impact will last between 15 and 20 years 20 years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements Intensity Moderate Natural and/ or social functions Low Natural and/ or social functions and/ or processes are and/ or processes moderately altered are somewhat altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Low The affected environment will Low The affected environment will not be able to recover from the not be able to recover from the impact - permanently modified impact - permanently modified Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - negative Minor - negative Comment on Agree with above significance significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Minor (-)

5.6.3. Decommissioning phase impacts Decommissioning would be similar to construction phase impacts, although it may use slightly less labour and be of a shorter timeframe and relative intensity. Impacts of the phase would thus be similar to those experienced during construction from disruption and other nuisance factors such as increase dust levels, increased risk of crime, etc. As with construction, impacts on surrounding landowners and communities during decommissioning are considered to be of minor significance.

Table 5-17: Impacts on surrounding landowners and communities during decommissioning (applicable to both the 132kV and the 400kV options) Project phase Decommissioning Impact Impacts on surrounding landowners and communities Description of Associated with greater activity nearby and related nuisance and damages impact Mitigatability Medium Mitigation exists and will notably reduce significance of impacts

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Potential • No decommissioning workers, with the exception of security personnel, should be allowed to stay mitigation on the site overnight. • The community should be able to contact the site manager to report any issues which they may have. The site manager should be stationed within the area and should therefore be available on hand to deal with and address any concerns which may be raised. • A complaints register should be available on site to any individual who may have a particular complaint with regards to the decommissioning process. • The applicant should develop a Code of Conduct for the project. The Code should identify what types of behaviour and activities by workers are not permitted in agreement with surrounding landowners and land managers. • The movement of workers on and off the site should be closely managed and monitored by the contractors. In this regard the contractors should be responsible for making the necessary arrangements for transporting workers to and from site on a daily basis. • The applicant should honour his commitment to spend R 100 000 per year during decommissioning to contribute to security initiatives. • The applicant should implement measures to assist and, if needed, fairly compensate potentially affected surrounding landowners whereby damages to farm property, stock theft or significant disruptions to farming activities can be minimized or reduced. Measures should be agreed on before decommissioning commences. • The EMP must outline procedures for managing and storing waste on site, specifically plastic waste that poses a threat to livestock if ingested. Assessment Without mitigation With mitigation Nature Negative Negative Duration Short term impact will last between 1 and 5 Short term impact will last between 1 and 5 years years Extent Local Extending across the site and to Local Extending across the site and to nearby settlements nearby settlements Intensity Extremely Natural and/ or social functions Moderate Natural and/ or social functions high and/ or processes are severely and/ or processes are altered moderately altered Probability Almost It is most likely that the impact Almost It is most likely that the impact certain / will occur certain / will occur Highly Highly probable probable Confidence Medium Determination is based on Medium Determination is based on common sense and general common sense and general knowledge knowledge Reversibility Medium The affected environment will Medium The affected environment will only recover from the impact only recover from the impact with significant intervention with significant intervention Resource Low The resource is not damaged Low The resource is not damaged irreplaceability irreparably or is not scarce irreparably or is not scarce Significance Moderate - negative Minor - negative Comment on Agree with above significance. significance Cumulative Cumulative impact of gridline alongside other Eskom infrastructure in the area and all three wind impacts farms are assessed as Minor (-)

5.6.4. Cumulative Impacts Cumulative impacts associated with the powerline alongside existing grid infrastructure in the area and all three wind farms going ahead are expected to be minor negative with mitigation during construction and operations. This partially draws on the findings of other specialist studies including the Visual Impact Assessment (VIA) which finds that, “The cumulative visual impact significance is considered to be… moderate (-) for the powerlines, in the rural landscape of the plateau and escarpment. However, the powerline corridor would follow the Eskom powerlines and would have smaller pylons, and would therefore have minor(-) cumulative visual impact, particularly given the large number of existing powerlines converging on the main Eskom Droërivier Substation” (Lawson and Oberholzer, 2020).

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5.6.5. Mitigation Mitigation measures should include:

• No construction workers, with the exception of security personnel, should be allowed to stay on the site overnight. • The community should be able to contact the site manager to report any issues which they may have. The site manager should be stationed within the area and should therefore be available on hand to deal with and address any concerns which may be raised. • A complaints register should be available on site to any individual who may have a particular complaint with regards to the construction or operations processes. • The applicant should develop a Code of Conduct for the project. The Code should identify what types of behaviour and activities by workers are not permitted in agreement with surrounding landowners and land managers. • The movement of workers on and off the site should be closely managed and monitored by the contractors. In this regard the contractors should be responsible for making the necessary arrangements for transporting workers to and from site on a daily basis. • The applicant should implement measures to assist and, if needed, fairly compensate potentially affected surrounding landowners whereby damages to farm property, stock theft or significant disruptions to farming activities can be minimized or reduced. Measures should be agreed on before construction commences. • The EMP must outline procedures for managing and storing waste on site, specifically plastic waste that poses a threat to livestock if ingested. • Mitigation measures proposed by other specialists, in particular those prescribed in the Traffic Impact Assessment, need to be adhered to.

5.7. No Go Alternative The no-go alternative is, by definition, the continuation of the status quo the impacts of which can best be described as neutral. In particular, it can be noted that the no-go alternative would result in:

• Neutral impacts linked to project expenditure as this expenditure would not occur. • Neutral social impacts associated primarily with the influx of people as there would be no influx. • Neutral impacts on surrounding landowners and communities as the risk factors associated with the project would be absent. • Neutral impacts on tourism as the risk factors associated with the project would be absent.

Table 5-18: Impacts associated primarily with the No Go Alternative (applicable to both the 132kV and the 400kV options) Project phase No -Go Alternative Impact Impact on Socio -economic environment should the project not go ahead Description of The no-go alternative assumes that the project does not go ahead impact Mitigatability Low Mitigation does not exist Potential No mitigation is suggested mitigation Assessment Without mitigation NA Nature Neutral Duration Permanent Impact may be permanent, or in excess of 20 years Extent International Impacts felt at an international level Intensity Negligible Natural and/ or social functions and/ or processes are negligibly altered Probability Probable The impact has occurred here or elsewhere and could therefore occur Confidence High Substantive supportive data exists to verify the assessment Reversibility High The affected environmental will be able to recover from the impact Resource Low The resource is not damaged irreparably or is not scarce irreplaceability 5-26

Significance Neutral Comment on Agree with above significance significance

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6. CONCLUSION AND RECOMMENDATIONS

In terms of positive impacts, the project would be largely supportive of local and regional socio-economic development and power grid planning imperatives. The expenditure associated with the construction phase of the project would be R500 000 to R600 000 in the case of the 132kV option and R1 million to R1.3 million in the case of the 400kV option. Roughly 80 to 100 jobs of 18 to 24-month duration would be associated with construction, leading to minor positive benefits during this phase of the proposed project. Positive impacts linked to expenditure during operations are likely to be small and were thus not quantified. Negative impacts would primarily arise at a local scale. It is anticipated that, with mitigation, the risks posed to the community by the influx of people during construction would be manageable and of a minor significance with mitigation. Impacts on tourism would be driven by visual and associated heritage impacts on a relatively isolated area with wilderness quality and limited signs of civilisation. However, tourism facilities and attractions in the areas surrounding the project site are very limited and sparsely distributed. The tourism context itself should thus limit impacts to a low significance during operations with mitigation. Impacts on surrounding landowners and communities, including to their sense of place, are expected to be minor negative with mitigation during construction and operations. It is considered most likely that the combined positive impacts of the project would exceed its negative impacts resulting in an overall net benefit with mitigation. The project is therefore deemed acceptable in terms of socio-economic impacts and should be allowed to proceed. Note that the impacts of the three Nuweveld wind farms would only materialize if the grid project also proceeds. It is also considered likely that the positive cumulative impacts of the grid and three wind farms would exceed their negative impacts. Table 6-1 below provides a summary of the socio-economic impact ratings.

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Table 6-1: Summary impact table for both the 132kV and the 400kV option given both were the same

Ref: Project phase Impact Without mitigation With mitigation

Nature Duration Extent Intensity Probability Significance Nature Duration Extent Intensity Probability Significance Impacts from expenditure on the Almost certain / Moderate - Almost certain / Moderate - 1 Construction Positive Short term Regional High Positive Short term Regional High construction of the project Highly probable positive Highly probable positive Impacts from expenditure on the Municipal Almost certain / Municipal Almost certain / 2 Operation Positive On-going Very low Minor - positive Positive On-going Very low Minor - positive operation of the project area Highly probable area Highly probable

Impacts from expenditure on the Almost certain / Moderate - Almost certain / Moderate - 3 Decommissioning Positive Short term Regional High Positive Short term Regional High decommissioning of the project Highly probable positive Highly probable positive

Impacts associated primarily with the 4 Construction Negative Short term Local High Likely Minor - negative Negative Short term Local Moderate Likely Minor - negative influx of people

Impacts associated primarily with the Negligible - Negligible - 5 Operation Negative On-going Local Very low Unlikely Negative On-going Local Very low Unlikely influx of people negative negative Impacts associated primarily with the 6 Decommissioning Negative Short term Local High Likely Minor - negative Negative Short term Local Moderate Likely Minor - negative influx of people Extremely Almost certain / Moderate - Almost certain / 7 Construction Impacts on tourism Negative Short term Local Negative Short term Local Moderate Minor - negative high Highly probable negative Highly probable Almost certain / Moderate - Almost certain / 8 Operation Impacts on tourism NegativeOn-going Local Moderate Negative On-going Local Low Minor - negative Highly probable negative Highly probable Extremely Almost certain / Moderate - Almost certain / 9 Decommissioning Impacts on tourism Negative Short term Local Negative Short term Local Moderate Minor - negative high Highly probable negative Highly probable Impacts on surrounding landowners and Extremely Almost certain / Moderate - Almost certain / 10 Construction Negative Short term Local Negative Short term Local Moderate Minor - negative communities high Highly probable negative Highly probable Impacts on surrounding landowners and Almost certain / Moderate - Almost certain / 11 Operation Negative On-going Local Moderate Negative On-going Local Low Minor - negative communities Highly probable negative Highly probable Impacts on surrounding landowners and Extremely Almost certain / Moderate - Almost certain / 12 Decommissioning Negative Short term Local Negative Short term Local Moderate Minor - negative communities high Highly probable negative Highly probable

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In addition to the summary table presented above, a table is presented below which considers the worst-case-scenario considering both the 132kV option and the 400kV option for each of the impacts assessed. As depicted the impacts are the same for both the 132kV and the 400kV option and thus also for the “worst-case-scenario”

Impact 132 kV powerline 400 kV powerline Worst -case -scenario Pre -mitigation Post -mitigation Pre -mitigation Post -mitigation Pre -mitigation Post -mitigation Impacts from expenditure on the Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) construction of the project Impacts from expenditure on the Minor (+) Minor (+) Minor (+) Minor (+) Minor (+) Minor (+) operation of the project Impacts from expenditure on the Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) Moderate (+) decommissioning of the project Impacts associated primarily with the influx Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) of people (construction phase) Impacts associated primarily with the influx Negligible (-) Negligible (-) Negligible (-) Negligible (-) Negligible (-) Negligible (-) of people (operation phase) Impacts associated primarily with the influx of people Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) Minor (-) (decommissioning phase) Impacts on tourism Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) (construction phase) Impacts on tourism Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) (operation phase) Impacts on tourism (decommissioning Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) phase) Impacts on surrounding landowners and Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) communities (construction phase) Impacts on surrounding landowners and Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) communities (operation phase) Impacts on surrounding landowners and Moderate (-) Minor (-) Moderate (-) Minor (-) Moderate (-) Minor (-) communities (decommissioning phase)

6-30 argued that if the residual overall impact of the WCS is deemed acceptable and mitigatable, then the development of either a 132 kV or 400 kV powerline within this corridor would also be acceptable. It is the opinion of the specialist that based on the acceptability of developing the WCS, either the 132 kV or 400 kV can be developed within the corridor, provided that all mitigation measures specific to each option are implemented.

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7. REFERENCES

Barbour, T, 2007. Guideline for undertaken Social Impact Assessment in the EIA process: Provincial Government of the Western Cape, Department of Environmental Affairs & Development Planning, Cape Town.

Beaufort West Local Municipality (BWLM). 2018. Integrated Development Plan 2017 – 2022: 1 st Annual Review 2018/2019. BWLM, Beaufort West.

Brian, T., Dent, R. and Jackson, R. 2009. Report to the Scottish Ministers. Beauly-Denny Report Volume 1: Chapter 16 - Tourism, Recreation and Economic Impact.

Central Karoo District Municipality (CKDM). 2018. Integrated Development Plan 2019-2020: 2 nd Review. CKDM, Beaufort West.

CNdV Africa. 2013. Beaufort West Municipality SDF. CNdV Africa, Cape Town.

DEA (Department of Environmental Affairs). 2019. Draft National Strategic Environmental Assessment (SEA) for the effective and efficient roll-out of large scale wind and solar development in South Africa Phase 2. Draft CSIR Report to DEA. DEA, Pretoria.

DEA (Department of Environmental Affairs). 2016. National Electricity Grid Infrastructure Strategic Environmental Assessment. CSIR Report to DEA. DEA, Pretoria.

Haefele, M. 2015. Economic Impact of Power-line Siting in Anza-Borrego Desert State Park. A Discussion Brief Prepared for the Anza-Borrego Foundation, the Tubb Canyon Desert Conservancy and the Desert Protective Council.

Health Systems Trust (HST). no date. Pixley ka Seme District Profile (Online). Available: https://www.hst.org.za/publications/NonHST%20Publications/Northern%20Cape%20- %20Pixley%20ka%20Seme%20District.pdf [Accessed 18/12/2019]. Karoo Hoogland Local Municipality (KHLM). 2017. Integrated Development Plan (IDP) of the Karoo Hoogland Municipality 2017 – 2022. KHLM, Williston. Lawson, Q and Oberholzer, B. 2020. Visual Impact Report: Proposed Grid Connection: Scoping Phase. Milburn, D. 2013. EIA of the proposed Perseus-Gamma 765kv transmission powerline and substations upgrade, Northern Cape and Free State provinces: ecotourism impact assessment. Report prepared by Integrated Ecotourism Solutions for Mokgope Consulting.

Murimbika, M.E. 2013. Proposed Kappa-Omega 2nd 765kV Eskom Powerline and Substations Upgrade in Western Cape: tourism impact assessment study report. Report prepared for Nzumbululo Heritage Solutions.

Orton, J. 2020. Heritage Impact Assessment: Proposed 400 kV Power Line, Beaufort West Magisterial District, Western Cape. ASHA Consulting, Lakeside. Schwarz, A. 2020. Red Cap Energy Nuweveld Grid Connection Traffic Impact Assessment. Athol Schwarz, Table View. Seaton Thomson and Associates, and the Sustainable Tourism Research Institute of Southern Africa. 2012. Proposed Merensky-Foskor Power Line Eco-Tourism Survey . Prepared for NSOVO Environmental Consulting. Phase 2-Final Report.

Statistics South Africa (Stats SA). 2012. Census 2011. Stats SA, Pretoria.

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Statistics South Africa (Stats SA). 2017. Community Survey 2016. Stats SA, Pretoria.

Stefánsson, P. Sæþórsdóttir, AD. Hall, CM. 2017. When tourists meet transmission lines: The effects of electric transmission lines on tourism in Iceland. Energy Research & Social Science , 34: 82-92.

Ubuntu Local Municipality (ULM). 2018. 2017-2022 & 2018/19 Draft IDP. ULM, Victoria West.

Van Zyl, H.W., de Wit, M.P. & Leiman, A. 2005. Guideline for involving economists in EIA processes: Edition 1. CSIR Report No ENV-S-C 2005 053 G. Republic of South Africa, Provincial Government of the Western Cape, Department of Environmental Affairs & Development Planning, Cape Town.

Wesgro, 2018. Cape Karoo Visitor Trends 2018. Wesgro, Cape Town.

Western Cape Provincial Government. 2018a. Socio-economic profile: Beaufort West Municipality. WCPG, Cape Town.

Western Cape Provincial Government. 2018b. Socio-economic profile: Central Karoo District Municipality. WCPG, Cape Town.

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8. APPENDICES

Appendix A: Methodology This section outlines the proposed method for assessing the significance of the potential environmental impacts. For each predicted impact, criteria are ascribed, and these include the intensity (size or degree scale), which also includes the type of impact, being either a positive or negative impact; the duration (temporal scale); and the extent (spatial scale), as well as the probability (likelihood). The methodology is quantitative, whereby professional judgement is used to identify a rating for each criteria based on a seven-point scale (refer to Table 1); and the significance is auto-generated using a spreadsheet through application of the calculations in Figure 8-1. Specialists can comment where they disagree with the auto-calculated impact significance rating.

Calculations For each predicted impact, certain criteria are applied to establish the likely significance of the impact, firstly in the case of no mitigation being applied and then with the most effective mitigation measure(s) in place. These criteria include the intensity (size or degree scale), which also includes the type of impact, being either a positive or negative impact; the duration (temporal scale); and the extent (spatial scale). These numerical ratings are used in an equation whereby the consequence of the impact can be calculated. Consequence is calculated as follows: Consequence = type x (intensity + duration + extent) To calculate the significance of an impact, the probability (or likelihood) of that impact occurring is applied to the consequence. Significance = consequence x probability

Depending on the numerical result, the impact would fall into a significance category as negligible, minor, Figure 8-1: Calculation of significance

Table 1: Assessment criteria for the evaluation of impacts Numerical Criteria Category Description Rating 1 Immediate Impact will self -remedy immediately 2 Brief Impact will not last longer than 1 year 3 Short term Impact will last between 1 and 5 years Duration 4 Medium term Impact will last between 5 and 10 years 5 Long term Impact will last between 10 and 15 years 6 On -going Impact will last between 15 and 20 years 7 Permanent Impact may be permanent, or in excess of 20 years 1 Very limited Limited to specific isolated parts of the site 2 Limited Limited to the site and its immediate surroundings 3 Local Extending across the site and to nearby settlements Extent 4 Municipal area Impacts felt at a municipal level 5 Regional Impacts felt at a regional level 6 National Impacts felt at a national level 7 International Impacts felt at an international level 1 Negligible Natural and/ or social functions and/ or processes are negligibly altered 2 Very low Natural and/ or social functions and/ or processes are slightly altered Intensity 3 Low Natural and/ or social functions and/ or processes are somewhat altered 4 Moderate Natural and/ or social functions and/ or processes are moderately altered 5 High Natural and/ or social functions and/ or processes are notably altered 8-34

Numerical Criteria Category Description Rating 6 Very high Natural and/ or social functions and/ or processes are majorly altered 7 Extremely high Natural and/ or social functions and/ or processes are severely altered Highly unlikely 1 Expected never to happen / None Rare / Conceivable, but only in extreme circumstances, and/or might occur for this 2 improbable project although this has rarely been known to result elsewhere Has not happened yet but could happen once in the lifetime of the project, 3 Unlikely therefore there is a possibility that the impact will occur Probability 4 Probable Has occurred here or elsewhere and could therefore occur 5 Likely The impact may occur Almost certain / 6 It is most likely that the impact will occur Highly probable Certain / 7 There are sound scientific reasons to expect that the impact will definitely occur Definite When assessing impacts, broader considerations are also taken into account. These include the level of confidence in the assessment rating; the reversibility of the impact; and the irreplaceability of the resource as set out in Table 2, Table 3 and Table 4, respectively.

Table 2: Definition of confidence ratings Category Description Low Judgement is based on intuition Medium Determination is based on common sense and general knowledge High Substantive supportive data exists to verify the assessment

Table 3: Definition of reversibility ratings Category Description Low The affected environment will not be able to recover from the impact - permanently modified Medium The affected environment will only recover from the impact with significant intervention High The affected environmental will be able to recover from the impact

Table 4: Definition of irreplaceability ratings Category Description Low The resource is not damaged irreparably or is not scarce Medium The resource is damaged irreparably but is represented elsewhere High The resource is irreparably damaged and is not represented elsewhere

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Appendix B: Disclaimer

The primary role of this study is to inform the decision-making processes being undertaken by the relevant environmental authorities with regards to the proposed project. Due care and diligence has been applied in the production of the study. However, ultimate responsibility for approving, denying or requiring changes to the proposed project application rests with the relevant environmental authorities (and other government bodies where relevant) who also bear responsibility for interrogating and determining how assessment information from this economic specialist study along with other information is to be used to reach their decisions. Independent Economic Researchers and Dr Hugo van Zyl can therefore not be held responsibility or liable for any consequences of the decisions made by the relevant environmental authorities with regard to the proposed project. This includes any financial, reputational or other consequences that such decisions may have for the applicant, the Environmental Assessment Practitioner responsible for conducting the Environmental Impact Assessment process or for the environmental authorities themselves.

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Appendix C: REIPPPP Economic Development Scorecard for evaluation of wind energy project bids – subject to revision for current bidding window

Threshold Allocation of Element Measurement Target Level Weighting Bidder Proposal Level Points 1: Job Creation 25.00% 7.50 Number of RSA Based Employees who are Citizens *100 / Number of RSA Based 50.00% 80.00% 2.00% 0.60 84.13% 100-SR-01 RSA Based Employees who are Citizens Employees

30.00% 50.00% 1.67% 0.50 59.23% 100-SR-02 RSA Based Employees who are Black People Number of Black People employed *100 / Number of RSA Based Employees

18.00% 30.00% 2.00% 0.60 60.90% 100-SR-03 Skilled Employees who are Black People Number of Skilled Employees who are Black People *100 / Skilled Employees

100-SR-04 RSA Based Employees who are Citizens from Local Number of Employees resides in Local Communities employed *100 / Number of 12.00% 20.00% 2.67% 0.80 21.97%

Communities RSA Based Employees

Number of RSA Based Employees who are Citizens / 12 / MW Contracted Capacity NA NA 16.67% 5.00 16.11 Jobs for RSA Based Citizens per MW of Contracted Capacity of Facility

2: Local Content 25.00% 7.50 200-SR-01 Value of Local Content Spend Value of Local Content spend / Total Project Value 40.00% 65.00% 25.00% 7.50 40.08%

3: Ownership 15.00% 4.50

300-PC-01 Shareholding by Black People in the Seller 12.00% 30.00% 3.50% 1.05 25.30 % Shareholding by Black People in the Seller

300-PC-02 Shareholding by Local Communities in the Seller 2.50% 5.00% 4.00% 1.20 10.00% Shareholding by Local Communities in the Seller

300-CC-01 Shareholding by Black People in the Contractor 8.00% 20.00% 4.00% 1.20 21.60% Shareholding by Black People in the Contractor responsible for Construction

300-OM-01 Shareholding by Black People in the Operations 8.00% 20.00% 3.50% 1.05 20.00% Shareholding by Black People in the Operations Contractor Contractor

4: Management Control 5.00% 1.50

0.00% 40.00% 5.00% 1.50 100.00% Number of Black People in Top Management using the Adjusted Recognition of 400-SR-01 Black Top Management Gender *100 / Number of People in Top Management

5: Preferential Procurement 10.00% 3.00

0.00% 60.00% 5.00% 1.50 78.36% Amount of Procurement Spend on BBBEE Contributors recognised in terms of 500-SR-01 BBBEE Procurement BBBEE Recognition Levels * 100 / Total Amount of Procurement Spend

0.00% 10.00% 2.50% 0.75 8.83% Amount of Procurement Spend on QSEs and EMEs * 100 / Total Amount of 500-SR-02 QSEs and EMEs Procurement Procurement Spend

0.00% 5.00% 2.50% 0.75 3.26% Amount of Procurement Spend on Women Owned Vendors * 100 / Total Amount of 500-SR-03 Women Owned Vendor Procurement Procurement Spend

6: Enterprise Development 5.00% 1.50

Enterprise Development Contributions * 100 / Revenue in the Operating 600-SR-01 Enterprise Development Contributions 0.00% 0.60% 2.50% 0.75 3.03% Measurement Period

Adjusted Enterprise Development Contributions * 100 / Revenue in the Operating 600-SR-02 Adjusted Enterprise Development Contributions 0.00% 0.60% 2.50% 0.75 4.08% Measurement Period

7: Socio-economic Development 15.00% 4.50 Socio-Economic Development Contributions * 100 / Revenue in the Operating 700-SR-01 Socio-Economic Development Contributions 1.00% 1.50% 10.00% 3.00 7.10% Measurement Period

Adjusted Socio-Economic Development Contributions * 100 / Revenue in the 700-SR-02 Adjusted Socio-Economic Development Contributions 1.00% 1.50% 5.00% 1.50 9.59% Operating Measurement Period

100.00% 30.00

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Appendix D: Abbreviated CV for Dr Hugo van Zyl

Profile and Key Expertise

Economist with a PhD and nineteen years’ experience focusing on the analysis of projects and policies with significant environmental and development implications. Has conducted over 60 economic appraisals of infrastructure projects, industrial developments, mixed use developments, mining, energy projects, conservation projects and eco-tourism initiatives. The majority of these appraisals have involved the use of socio-economic impact assessment tools and cost-benefit analysis in order to inform decision-making. Has lead, participated in and co-ordinated research in environmental resource economics (incl. ecosystem services assessment and valuation, biodiversity finance and offsets, payments for ecosystem services, policy reform), socio-economic impact assessment, strategic assessment and protected area financing. Has provided economic inputs and guidance to national water tariff, air pollution, biodiversity conservation, biofuels, mine closure funding and climate change policy. Has had broad exposure to options for local economic development and their successful implementation. Country experience includes: South Africa, Namibia, Ethiopia, Russia, Seychelles, Georgia, Kazakhstan and Nigeria.

Selected relevant experience:

Economic and socio-economic impact assessments forming part of Environmental Impact Assessments (EIAs)

• Renewable energy : Wind – SWE near Vleesbaai, Western Cape (2013); SAGIT Energy Ventures near Bot River and Wolesley, Western Cape (2012). Windcurrent near Jeffrey’s Bay, Eastern Cape (2011); InnoWind near Mossel Bay, Western Cape (2011); Mainstream near Jeffrey’s Bay, Eastern Cape (2010). Solar – Mainstream Kentani near Dealesville, Free State (2014); Mainstream near Douglas and Keimoes, Northern Cape (2012); Thupela Energy near Vaalwater, Limpopo (2011). • Roads : N2 bypasses at Butterworth and iDutywa (2016); R44 upgrading between Stellenbosch and Somerset West (2014); Musina Ring Road, Limpopo (2011); Bloubos local road in Somerset West, Western Cape (2010); N1/N9 intersection upgrade at Colesberg, Free State (2009); tolling of the N1, N2 and R300 roads in the vicinity of Cape Town (2005); Changing road configurations on Hospital Bend in Cape Town (2001) • Infrastructure and agricultural development : Farm dams and production expansion for Habata Agri in the Robertson area, Western Cape (2017); Desalination plants for Umgeni Water, Kwa-zulu Natal (2015); Kleinberg Dam in the Hex River Valley, Western Cape (2014); Desalination plant for West Coast District Municipality, Western Cape (2012); Green Point World Cup Stadium, Cape Town (2008); Petroline petrol pipeline between Maputo and Gauteng (2008); Muldersvlei water treatment plant and reservoir near Klapmuts, Western Cape (2007); Iron ore terminal expansion at Saldanha port, Western Cape (2000); Wastewater treatment plan for East London, Eastern Cape (1996); Vissershok landfill expansion, Cape Town (2002); Regional landfill to service Cape Town (2006 and 2012); Helderberg waste transfer station in Somerset West, Western Cape (2008). • Industrial developments and mining : Upgrade and expansion of the Tsumeb copper smelter, Namibia (2017); Kamiesberg mineral sands mine, Northern Cape (2015); Burgan Oil fuel storage and distribution facility at Cape Town Harbour, Western Cape (2015), Frankfort Kraft Paper Mill, Free State (2015); Saldanha Regional Marine Outfall Project in Danger Bay near Saldanha Bay, Western Cape (2014), AfriSam limestone mine and plant at Saldanha Bay, Western Cape (2012); Vedanta zinc mine near Aggeneys, Northern Cape (2013); Expansion of the PPC cement plant at Riebeek West, Western Cape (2009); Burnstone gold mine expansion (2009); Valencia uranium mine in Namibia (2008); Tata Steel ferrochrome smelter in Richards Bay, KZN (2003); Conversion of the Sasol Chemical Industries plant in Sasolburg from a coal based to a natural gas based plant, Free State (2002). • Mixed-use and residential developments : Granger Bay extension of V&A Waterfront, Cape Town (2014); Ladysmith mixed-use development, Kwa-Zulu Natal (2014); Barinor and Richmond park developments in greater Cape Town (2011); De Plaat residential estate near Velddrif, Western Cape (2009); Langezandt leisure development in Struisbaai, Western Cape

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(2011); Garden Route Dam mixed use development in George, Western Cape (2008); Anandale mixed use development in Cape Town (2008); Schalkenbosch Golf Estate, Le Grand Golf Estate and Ceres Golf Estates (2006); Carpe Diem Eco Estate near Port Alfred, Eastern Cape (2006); Altona mixed use development in Worcester, Western Cape (2007).

 Lead author of the Western Cape Provincial Government guidelines on economic specialist inputs into Environmental Impact Assessments. (2005)

Inputs to Strategic Environmental Assessments (SEAs)  Lead economic specialist making inputs to the Strategic Environmental Assessment for shale gas development (fracking) in South Africa (2016).  Economic specialist inputs to form part of the Strategic Environmental Assessment for the roll-out of electricity transmission infrastructure throughout South Africa. (2015)  Environmental resource economic and socio-economic specialist study to form part of the Strategic Environmental Assessment and accompanying management plan for the Port of Saldanha, Western Cape. (2013)  Lead author of a Strategic Environmental Assessment (SEA) of the potential production of biofuels based on Jatropha in the Kavango and Caprivi regions of Namibia. (2010)  Environmental resource economics specialist study to form part of the Strategic Environmental Assessment and accompanying Environmental Management Framework for the Pixley ka Seme municipality in Mpumalanga. (2010)  Environmental resource economics specialist study to form part of the Strategic Environmental Assessment and accompanying Environmental Management Framework for the Albert Luthuli and Msukaligwa municipalities in Mpumalanga. (2008)

Other selected recent projects  Lead international consultant tasked with drawing up a Biodiversity Finance Plan to form part of the Georgian Biodiversity Finance (BIOFIN) project being undertaken by the Ministry of Environmental Protection and Agriculture (current).  Lead consultant tasked with drawing up a Biodiversity Finance Plan to form part of the South African Biodiversity Finance (BIOFIN) project being undertaken by the Department of Environmental Affairs in partnership with the UNDP (2017).  Assessment of the economic value associated with the Ethiopian protected areas system and the cost- benefit analysis of increased expenditure on protected areas development and management in Ethiopia. Conducted for the Ethiopian Wildlife Conservation Authority with UNDP funding. (2015)  Financial sustainability modelling and economic impact assessment of biodiversity off-set options associated with the construction of the N2 Toll Highway in the Pondoland Region of the Eastern Cape Province (2014).  Economic impact assessment component to form part of feasibility studies for six Special Economic Zones (SEZs) throughout the country commissioned by the Department of Trade and Industry (2014).  Co-author and consultant to the formulation of the ValuES project initiated by GIZ focused on methods for integrating ecosystem services assessment and valuation into decision-making (2014).  Second author of the guideline on conducting TEEB Country Studies focused on the value of ecosystem services. (2013)  Socio-economic assessment of impacts on surrounding farmers associated with mine dewatering at Sishen iron ore mine, Northern Cape. (2012)  Project leader and lead author of Financial Provisions for Rehabilitation and Closure in South African Mining: Discussion Document on Challenges and Recommended Improvements. (2011)

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Appendix E: Specialist Declaration

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Appendix F: Consultation notes

Meeting with neighbouring landowners / tourism operators – Marette and Ben Steenkamp Date: 30 September Location: De Hoop Attendees: Marette Steenkamp Ben Steenkamp James Kinghorn Notes: • Info on farming activities provided (areas, livestock numbers, drought, spending and employment) • Info on wedding and conference venue, accommodation and other attractions provided • Concern over gates being left open during operational phase maintenance • Expressed willingness to consider having powerline on land, provided that it is not too close to accommodation and tourist attractions on property – better to follow a fence-line (subsequently conveyed by J Kinghorn to G Ehlers) • Expressed the need for good communication from applicant throughout construction and from Eskom during operations

Meeting with neighbouring landowner / tourism operator – Wouter Vorster Date: 01 October Location: Olijvenhuis Attendees: Wouter Vorster James Kinghorn Notes: • Info on farming activities provided (areas, production, spending and employment) • Info on accommodation and other attractions provided • Expressed willingness to host powerlines, provided they followed a route to the west of the property • Noted that visitors are in part attracted by relative remoteness

Meeting with neighbouring landowners / tourism operators – Johan and Marinda Willemse Date: 01 October Location: Die Windpomp Guest House Attendees: Johan Willemse Marinda WIllemse James Kinghorn Notes: • Info on accommodation facilities provided • Expressed concern over the proposed temporary bypass required to develop the wind farms associated with the gridline: Given the interest previously expressed by SANRAL in building a permanent bypass, Mr and Ms Willemse were concerned that a temporary bypass would strengthen the resolve of those wanting a permanent bypass. Mr and Ms Willemse believe that a large part of the economic activity in Beaufort West is generated by through-traffic. As such they believe that a bypass would lead to a major reduction in local economic activity. • If there is no other option other than to use a temporary bypass, Mr and Ms Willemse request that only project-specific trucks be allowed to use the road, and that the road be destroyed after construction.

Meeting with neighbouring landowner / tourism operator – Colin De Villiers Date: 01 October Location: Colin De Villiers Trust Attendees: Colin De Villiers James Kinghorn

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Notes: • Info on accommodation, commercial hunting and wildlife viewing facilities provided • Expressed some concern over the visual impact of the 400kV powerline, especially being engaged in ecotourism • Express willingness to consider hosting the powerline, provided that it followed a relatively westerly route down from the higher ground, so as not to be visible from key tourist attractions on property.

Meeting with neighbouring landowner – Gerald Minaar Date: 02 October Location: Minnaar Trust Attendees: Colin De Villiers James Kinghorn Notes: • Info on farming activities provided (areas, livestock numbers, drought, spending and employment) • Expressed regret that Molteno Pass was no longer being considered • Expressed disinterest in hosting the 400 kV powerline due to: o Fragmentation of land o Inconvenience of having to allow maintenance staff onto land and tend to gates being left open o Visual impacts

Meeting with representatives of Beaufort West Golf Club Date: 02 October Location: Beaufort West Golf Club Attendees: Ruben James – BWGC Chai rperson Benjamin Goliath – BWGC Treasurer James Kinghorn Notes: • Info on club dynamics provided (visitor and member numbers, drought, activities, trends) • Expressed concern over temporary bypass required to develop the wind farms associated with the gridline – did not consider the plan to be viable • Neither Mr James nor Mr Goliath considered the powerlines to pose a significant threat to the Club provided that they did not pass through areas of play. In the event that areas would need to be crossed, however, were open to discussions surrounding how to facilitate placement.

Meeting with neighbouring land manager – Johannes Bezuidenhout Date: 02 October Location: Beaufort West Attendees: Johannes Bezuidenhout – Manager, Rondavel and other government-owned farms in the area James Kinghorn Notes: • Info on farming activities provided (areas, livestock numbers, drought, spending and employment) • Expressed concern over environmental impacts of powerlines on iconic species such as the black eagle • Also expressed concern that roads might need to be built to service powerlines, which could lead to fragmentation of habitat for plants and animals in the area. Suggested that as far as possible, the powerline should follow a route which would allow existing roads to be used.

Telephonic discussion with neighbouring landowner / tourism operator – Wynand van Rensburg Date: 30 September Location: Telephonic Attendees: Wynand van Rensburg – owner, Lekker Le Guesthouse James Kinghorn

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Notes: • Mr van Rensburg was supportive of project and happy for things to proceed without any more input from him

Telephonic discussion with neighbouring landowner – Robin Steven-Jennings Date: 07 October Location: Telephonic Attendees: Robin Steven-Jennings – owner, Hillandale Farms James Kinghorn Notes: • Concerns raised over visual impact of powerlines – could be unsightly • Concerns over impact of powerlines and wind turbines on birds • Concerns about the condition of roads in the area, both during construction and operations • Expressed hope that the project would improve access to electricity for houses in the area, especially for staff who are housed on farms.

Telephonic discussion with neighbouring landowner / tourism operator – Jaco Herselman Date: 4 October 2019 Location: Telephonic Attendees: Jaco Herselman – owner, Steenbokkie Private Nature Reserve James Kinghorn Notes: • Some info provided into tourist facilities and attractions at Steenbokkie • Mr Herselman expressed support for the project and willingness to consider hosting powerlines on property given that: o There are existing powerlines on the property o The only area which Mr Herselman considers sensitive is the portion of land where accommodation facilities are located, but this area is relatively easy to avoid.

Meeting with Ubuntu Forum for Socio Economic Development (UFSED) – Ingrid Schofmann Date: 27 September Location: Loxton Attendees: Ingrid Schofmann James Kinghorn Notes: • Info on UFSED provided • Discussions around Loxton’s socio-economic context provided including social dynamics, local economic development and socio-economic needs • Concerns expressed over the following: o impacts on raptors and other birds

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o impacts on livestock from vibrations emanating from wind turbines o That project selection in terms of socio-economic development spending by applicant could be vulnerable to political influences

Meeting with neighbouring landowners – David, Jenny and Andrew Jack Date: 26 September Location: Beaufort West Attendees: David Jack – owner, Duiker Kranse and others Jenny Jack - owner, Duiker Kranse and others Andrew Jack – owner, Spits Kop James Kinghorn Notes: • Info on farming activities provided (areas, livestock numbers, drought, spending and employment) • Concerns expressed over the following: o Visual impact of powerlines o Increase in crime levels due to presence of people from outside the area during construction and operations o Gates being left open during maintenance of powerlines • Given above concerns, interviewees felt that a once-off form of compensation was not adequate and that ongoing compensation would be more appropriate • Interviewees also felt that landowners and land users in the vicinity of the powerlines should be granted access to the grid, as many were not, at the time of the interview, connected. Felt that this was especially important for historically disadvantaged farmers

Meeting with representatives of Beaufort West Local Municipality Date: 03 October Location: Beaufort West Local Municipality Attendees: Llewellyn Lakay – IDP Officer Dons Le Roux – Electrical Superintendent James Kinghorn Notes: • Info provided around socio-economic conditions in Beaufort West • Info provided around existing and planned powerlines in the Beaufort West area • Both Mr Lakay and Mr Le Roux agreed with the powerline corridor proposed in general, furthermore suggesting that: o Within the corridor being considered, a route running east of Beaufort West would be preferable to one running on the west of the town o Existing powerline routes should be followed where possible • Both Mr Lakay and Mr Le Roux were in support of the temporary bypass required to develop the wind farms associated with the gridline, but suggested that it should be restricted to use by project-vehicles only.

Meeting with Ward Councillors - Beaufort West Local Municipality Date: 03 October Location: Beaufort West Attendees: Jacob van der Linde – Councillor, Ward 7 Euna Wentzel – Councillor, Ward 6 Notes: • Info provided around socio-economic conditions and political processes in Beaufort West • Info provided around existing and planned powerlines in the Beaufort West area

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• Mr van der Linde and Ms Wentzel were supportive of the project, but expressed regret that construction had not yet started on any of the renewable energy projects proposed closer to Beaufort West. • It was agreed that the proposed temporary bypass required to develop the wind farms associated with the gridline was the best way forward. However, it was noted that: o Particular attention should be placed on mitigating dust o Trucks passing through should preferably do so during mornings when children from the surrounding communities would be at school and less likely to be playing in the area where the road passes relatively close to Graceland neighbourhood. o It should be ensured that the bypass does not become a permanent feature as Mr van der Linde and Ms Wentzel felt that the local economy was highly reliant on through-traffic • In terms of socio-economic spending, Mr van der Linde and Ms Wentzel were positive about future contributions stemming from the project. In this regard they suggested that: o There should be a focus on developing schools in close proximity to the communities which they are to serve, due to the fact that long walking distances were contributing to high rates of pupils dropping out. o Local communities are also in need of improved centres for extra-mural activities, such as sports centres. o Improved facilities to provide care for elderly people are also needed. o The applicant should, as far as possible, ensure that funds do not end up serving any politically- motivated ends or enriching politicians at the expense of communities.

Email discussion with Beaufort West Tourism Organisation (BWTO) Date: 08 October Location: Email Attendees: Sascha Klemm – manager, BWTO James Kinghorn Notes: • Info provided on the local tourism context • Concerns expressed over visual impacts on sense of place (and thus Tourism) and impacts on the environment and on birds in particular: “A popular scenic drive is a loop that goes up De Jagers Pass and down Molteno Pass, or the other way around. The visual impact of the powerlines will be the greatest, however the placement of these lines in this relatively unspoilt parts of the area definatly impact the sense of place. Furthermore, the impact of the construction of the line will cause damage to the sensative karoo enviroment. The line as well as the wind turbines naturally cause a collision danger to birds, especially the small population of resident Black Eagle who nest on the cliffs.”

Telephonic discussion with neighbouring land manager – Gavin Harvey Date: 11 October Location: Telephonic Attendees: Gavin Harvey – Manager, Karoo Farm Co James Kinghorn Notes: • Mr Harvey expressed interest in providing inputs to the IEA process, requested more info • Mr Harvey to consult Karoo Farm Co Board of Directors and provide feedback

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Appendix G: Eskom infrastructure in the vicinity of the study site

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Appendix H: Nuweveld Grid Connection – Steel Double Circuit Monopole options and descriptions for the 132kV line Option

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Appendix I: Nuweveld Grid Connection – Steel Tower options and descriptions for the 400kV line Option

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