South African Business 2018 edition

OVERVIEW
Water
Water infrastructure is a priority.
In 2017/18 the National Department of Water and Sanitation will
spend R12.5-billion on dams, water transfer schemes and bulk
distribution. Improving and expanding water infrastructure are
key elements to ensuring water security in a water-scarce country.
The completion of the De Hoop Dam in eastern Limpopo means
that people living in small municipalities can now expect bulk water
delivery. The Trans Caldeon Tunnel Authority (TCTA) is responsible
for seeing that bulk water supplies are laid on, but making the local
connections and physically delivering the water is up to municipalities
and water boards.
The De Hoop Dam is the centrepiece in the large Olifants River
Water Resource Development Project which is transforming the water
environment for industrial, commercial and private users. The Olifants
River System feeds the region that is South Africa’s greatest producer
of citrus and subtropical fruits, and supplies many platinum mines
with vital water.
A long drought was finally broken in most of the country in late
2016, but the Western Cape continues to experience severe shortages.
Tenders for desalination in various guises (including barges in Cape
Town harbour) have been issued.
According to Water Wheel magazine, 37% of water delivered to
the nation’s municipalities is lost, at a cost of R7-billion per year. This
presents an opportunity for companies to provide better pipes and
SECTOR INSIGHT
The De Hoop Dam has been
completed.
smart meters. Government plans
to arrest this trend include a training
programme for plumbers
and artisans.
Many small municipalities
and water boards have not been
able to properly manage their
water facilities. In response, a
new national strategy gives a
bigger role to well-resourced
water boards such as Umgeni
Water and Sedibeng Water. Rand
Water has expanded its original
footprint and now serves an area
which includes Gauteng, and
parts of Limpopo, North West,
Mpumalanga and the Free State.
SOUTH AFRICAN BUSINESS 2018
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