Reference no: EM133299680

Case: In the wake of COP26, decisive action was taken by the South African government to concretise its commitment to the just energy transition (JET) - a move towards a sustainable, low-carbon and equitable energy system - as a national imperative. On the positive side, major players in the local energy sector have followed suit, joining the fray of South African industry leaders who have demonstrated their support of this mandate, says domestic appliances manufacturer Defy Appliances CEO Mustafa Soylu. However, he points out that, as the drive towards a more sustainable future accelerates, it is clear that skilled workers within the science, technology, engineering and mathematics (STEM) industries are needed, who are equipped to design, develop, execute and manage renewable energy programmes. Soylu says that upskilling within this field is of particular relevance within the country's unique socioeconomic context, with South Africa notoriously having the highest Gini coefficient in the world. "Our country faces a widening divide in terms of wealth and opportunity. This is a gap that training and education can serve to bridge, particularly in STEM careers that are characterised by their ability to pay a living wage, thus tackling poverty," he says. However, Soylu emphasises that there is certainly no 'quick fix', and successfully making the transition towards a more sustainable and equitable energy system requires a long-term commitment from all stakeholders. He highlights Defy's WE-InTech programme as one such example; offering training, internships and job opportunities to women pursuing careers in the STEM fields. The initiative is centred around increasing participation in new-generation research and development (R&D), posited to offer a sustainable solution that will contribute to building a more inclusive economy. In alignment with this plan of action, State-owned utility Eskom also recently announced its decision to invest in upskilling staff to become renewable energy artisans. Through partnering with the South African Renewable Energy Technology Centre (Saretec) in a memorandum of agreement signed last month, Eskom showcased its intention to upskill technicians and qualifying community members in renewable energy. Soylu says that this too demonstrates support for the JET strategy, facilitating a shift from Eskom's current dependency on coal while prioritising labour and job creation.

He expresses his endorsement of this decision by Eskom, claiming that it will "develop a trained and capable workforce that can make strides in building a strong and sustainable local renewable energy sector, providing viable solutions to the ongoing energy crisis". Soylu adds that this investment will assist the country in meeting global and local environmental objectives. "We must ensure that all solutions to the energy crisis are socially responsible as well as sustainable, in that they benefit the individual and community, as well as the broader environment," Soylu states.

Question 1. There are four training conditions, within the process of training, that describe the environment and critical inputs for training. Elaborate on these four conditions.

Question 2. Prior to beginning any training in the organisation, the cost of the training needs to be weighed up against the benefits of the training. Provide an overview of the factors that should be considered in conducting a cost and benefit analysis.