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Collaboration fuels positive outcomes at the intersection of social impact and climate change: Kiva + SLR

May 22, 2024
Kiva borrower Tatiana and her employees on her farm in Moldova
Kiva borrower Tatiana and her employees on her farm in Moldova

In an era when the increasing pressures of climate change intersect with ongoing, social challenges related to equity and access, the unique outcomes of collaborative approaches to create systemic and global impacts are more critical than ever. How can partnerships across sectors — ranging from nonprofits and businesses to governments and communities — lead to innovative solutions and sustainable progress? Through the lens of two collaboration-focused organizations, Kiva and SLR Consulting, we explore the potent combination of social impact and climate action, showcasing the transformative power of working together towards a common goal.

Defining social impact and collaboration

An essential first step to successful collaboration is ensuring partners can define a common vision and approach that aligns with each organization’s values and impact goals. To this end, we will first explore how social impact and collaboration are defined by Kiva and SLR Consulting. 

Social impact refers to both the positive and negative effects an organization, activity, or policy has on the wellbeing of an individual, community, or society. At SLR, we support our clients to understand, measure, and manage their positive and negative social impacts, risks, and opportunities. We focus on how both public and private organizations can positively impact the communities they operate in, both at local and global levels, as well as the best practice techniques organizations and partners can employ to mitigate obstacles in collaboration. As a nonprofit, Kiva measures social impact through regular assessments at the individual, partner, and systemic levels to ensure the desired impact outcomes are met and to understand the overall social impacts of our work. 

Quote image: "Social impact refers to both the positive and negative effects an organization, activity, or policy has on the wellbeing of an individual, community, or society."

Collaboration in the social impact space is a dynamic partnership between various stakeholders, including nonprofits, businesses, governments, and communities, working together towards common goals. By combining strengths and resources, organizations can address the intertwined challenges of social impact and climate change, fostering innovative solutions and sustainable changes, particularly for those most vulnerable to climate change effects, such as low-income families or rural, small-holder farmers.

The power of collective action

The adage "achieving more together than alone" encapsulates the essence of collaboration. Societal change often sits at the nexus of private, nonprofit, government, and community action. Historically, collaborations have been the backbone of significant social and environmental reforms. For instance, the partnership between nonprofit organizations and local governments in the 1990s to address deforestation in the Amazon rainforest led to innovative conservation strategies that combined traditional knowledge with scientific research.

Intersectional approaches leading to greater impact

2023 was the world’s hottest year on record. As a result, climate disasters such as droughts and flooding are becoming increasingly common and taking a toll on food, water, and other systems that people need to survive. The social impacts of climate change are numerous ranging from health and nutrition impacts to displacement. 

While social and environmental impacts have traditionally been viewed in silos, their intrinsic links can no longer be overlooked. To best understand the complexities and relationship between social and environmental impacts, collaboration from experts is required from both lenses. This can allow for more innovative holistic thinking, shared resources and benefits. 

As the climate crisis worsens, many companies are adapting their operations to meet Net Zero goals. The impact of this transition, while initially perceived as positive for the environment, can have social and environmental implications for workers and communities around the world. As companies shift operating locations, technologies, and procedures there is potential for massive job losses, resource strains, and business impacts – if not handled correctly. Businesses, communities, nonprofits, and governments must work together to enable an equitable and “Just” Transition.

Just Transition serves as an example of the importance of an intersectional approach in tackling an impact problem. SLR defines the business role in Just Transition as “ensuring the costs and benefits (negative and positive impacts) of a transition to a low carbon economy are fairly distributed by placing people at the center of transition planning and implementation.” However, this cannot happen in a silo. A Just Transition considers the needs of everyone - employees, communities, and individuals. This requires resources and the participation of multiple actors responsible for delivering funding and driving action including private, nonprofit, government, and community action. 

Enabling a just transition

For example, government and regulatory support will be needed to encourage businesses to take part in a Just Transition. Companies will need to provide funding to support staff re/up-skilling and investment in green technology. Communities are at the heart of a Just Transition and businesses must engage with them either directly or through reputable partners, to determine community needs, and determine what support is needed to mitigate negative impacts and amplify positive impacts of the transition. Partnerships and advocacy through nonprofit organizations are often the main vehicles of successful implementation and communication between actors. 

Quote image: "The interconnection between social impact and climate change is particularly evident in communities most vulnerable to the detrimental outcomes of environmental changes."

Collaborative initiatives benefiting communities impacted by climate change

The interconnection between social impact and climate change is particularly evident in communities most vulnerable to the detrimental outcomes of environmental changes. With a majority of these individuals being located in rural areas within low- and middle-income countries, the costs of distributing some of the most effective climate change solutions can be a hindrance. A collaborative approach between social impact-focused organizations and private sector climate businesses can be essential to distributing these solutions and tackling the impacts in ways that benefit the most affected communities. 

Case study: d.light

A compelling case study of collaborative impact is the partnership between the social enterprise d.light and Kiva. This partnership has facilitated the funding of solar power solutions in off-grid communities, illuminating the potential of collaboration in providing sustainable energy access to those most in need. Such initiatives not only address the immediate need for clean energy but also contribute to long-term social and economic development.

KIVA STAFF VISITING D.LIGHT, KENYA
KIVA STAFF VISITING D.LIGHT, KENYA

Founded by Stanford graduates inspired by firsthand experience with energy poverty, d.light has catalyzed a movement to electrify underserved communities worldwide. Since its inception in 2008, d.light has illuminated the lives of over 170 million people in 70 countries through affordable solar solutions like lanterns, cookstoves, and solar home systems. The social enterprise recently set an ambitious goal to impact a billion lives by 2030, further propelled by a significant partnership with Kiva which enhances access to solar products via microloans in countries without formal distribution networks. 

Through their partnership with Kiva, d.light has been able to introduce their solar products to countries that lack the infrastructure and stability for d.light’s traditional, vertically integrated approach. By extending Kiva’s flexible loans to locally owned distributors, and thus bypassing the need for a vertically integrated, local distribution system, d.light has been able to expand into countries including Liberia, Namibia, Zambia, South Africa, Zimbabwe, and more. Households in these countries now have access to transformative solar energy products, where without this unique distribution model these families would have had to rely on dangerous and polluting fuels. Collaboration is essential in advancing climate-conscious solutions, as partnerships like those between d.light and Kiva exemplify how combining expertise and resources can significantly extend the reach and impact, while mitigating challenges, of sustainable technologies to underserved markets worldwide.

Overcoming challenges in collaboration

Collaboration between companies and charitable partners, while powerful, is not without its challenges. Common obstacles are misaligned goals, where the company and the charitable organization may have divergent objectives or priorities. This can lead to friction and inefficiencies as both parties strive to pursue their own agendas without fully understanding or appreciating each other's perspectives.

Unclear roles and responsibilities further complicate collaboration, as each party may have different expectations regarding their respective contributions and commitments. Without clearly defined roles, it's easy for tasks to fall through the cracks or for duplication of efforts to occur, leading to frustration and inefficiency on both sides.

Additionally, power imbalances can undermine the dynamics of collaboration, particularly when the company holds significantly more resources or influence than the charitable partner. In some cases, the company may inadvertently treat the charitable organization as a mere service provider or as a peripheral player in their CSR initiatives, rather than as an equal partner with valuable expertise and insights to offer.

Overcoming these obstacles requires a concerted effort from both parties to foster mutual understanding, trust, and respect. This entails aligning goals and expectations, establishing clear channels of communication, and defining roles and responsibilities upfront. It also requires acknowledging and addressing any power imbalances to ensure that the partnership is built on a foundation of equality and mutual benefit. By addressing these challenges head-on and cultivating a shared vision and culture of collaboration, companies and charitable organizations can maximize their impact and drive meaningful change in the communities they serve.

Quote image: "While challenges to collaboration will inevitably exist, the ultimate goal of partnership at the intersection of social impact and climate change is to achieve systemic change, leading to more resilient communities and a healthier planet."

Collaboration leads to long-term, positive outcomes

While challenges to collaboration will inevitably exist, the ultimate goal of partnership at the intersection of social impact and climate change is to achieve systemic change, leading to more resilient communities and a healthier planet. By pooling resources, knowledge, and networks, collaborative initiatives can influence policies, shift societal norms, and drive significant, lasting impacts. Measuring the outcomes of these efforts can provide valuable insights into the effectiveness of collective action and guide future initiatives.

In the case of d.light, Karl Skare, d.light’s Managing Director of Global Partnerships and Strategy, estimates that through their partnership with Kiva, they have been able to expand into 11 new countries, reaching 350,000 more people with solar solutions. Through Kiva loans, d.light has been able to provide distributors with the flexible funding they need, essentially democratizing access to solar energy in what were previously considered unviable markets. The end result is hundreds of thousands of families, previously without sustainable energy options, who now have access to safe, solar energy – powering their day-to-day lives with new potential. 

A solution to the climate crisis

The success stories of initiatives like d.light and Kiva, and holistic approaches like SLR’s Just Transition service, not only showcase the potential for scalable impact but also highlight the critical need for sustained and enhanced collaboration across sectors. As climate issues intensify, the imperative for aligning efforts among businesses, nonprofits, governments, and communities grows stronger. These partnerships, when effectively managed and continuously nurtured, have the power to transform individual lives and whole communities by providing access to necessary resources, fostering economic independence, and promoting environmental sustainability. 

Complex, global problems such as climate change will not be solved by a singular approach. It is only through collaboration, and the sharing of knowledge, resources, and solutions that comes along with it, that we will be able to continue addressing one of the most pressing challenges of our generation. Together, SLR Consulting and Kiva call upon organizations, communities, and individuals to engage in more collaborative initiatives, for it is together that we can forge a sustainable and equitable future for all.

Quote image: "Complex, global problems such as climate change will not be solved by a singular approach. It is only through collaboration, and the sharing of knowledge, resources, and solutions that comes along with it, that we will be able to continue addressing one of the most pressing challenges of our generation."

About Kiva

Kiva is a global nonprofit, founded in 2005, with a mission to expand financial access and help underserved communities thrive. Kiva unlocks capital for borrowers through crowdfunded loans supported by individuals around the world. With as little as $25, you can support entrepreneurs and small business owners in the U.S. and across the globe with critical access to funding. Over two million people have invested $2 billion in real dreams and real opportunity, spanning more than 90 countries and 4.7 million borrowers.

About SLR 

SLR is a global leader in sustainability solutions, with a team of 3,000+ talented professionals operating from a network of offices in Europe, the Americas, Asia-Pacific and Africa.

With the purpose of ‘Making Sustainability Happen’, SLR’s ‘One Team’ of environmental and business consultants, engineers and scientists partner with clients throughout their project life-cycle, from strategy and design, through compliance and operations, to end-of-life and remediation.

Working on diverse and challenging projects, SLR specializes in the built environment, finance, industry, infrastructure, mining & minerals, and power & renewables sectors. Operating across more than 45 technical disciplines, SLR staff help a growing base of business, regulatory and government clients navigate the ever-shifting context of sustainable business.