South Africa’s President Cyril Ramaphosa has recently enacted legislation to establish a new state-owned entity tasked with managing and enhancing South Africa's bulk water infrastructure.
The new law, known as the South African National Water Resources Infrastructure Agency SOC Ltd Bill, will create an agency responsible for overseeing the development and management of the country's national water infrastructure. This agency will also seek to attract private investment by mobilizing funding for new projects through innovative financing models.
The legislation aims to address the existing 'fragmentation' in water resource management by integrating efforts from the Department of Water and Sanitation, the Trans-Caledon Tunnel Authority, and the Water Trading Entity.
This new law is part of broader reforms in the water sector, designed to boost investment in the maintenance and construction of water infrastructure and enhance water quality across the country.
This initiative is a key component of Operation Vulindlela, a collaborative effort between the presidency and National Treasury focused on implementing structural reforms and supporting economic recovery. The presidency highlighted that Operation Vulindlela seeks to modernize and transform essential network industries, including electricity, water, transport, and digital communications.
The presidency further noted that the new legislation stems from a Department of Water and Sanitation project aimed at restructuring the national water resources infrastructure. There is a growing recognition, the presidency stated, of the need for a more robust public sector role in infrastructure development, effective maintenance, and management to support social and economic progress. The establishment of the National Water Resources Infrastructure Agency SOC Limited is intended to fulfill these objectives.