Hon House Chair, hon chairperson of the portfolio committee, my Deputy Minister, hon Members of Parliament, chairpersons of boards and CEOs of water entities, distinguished guests, and ladies and gentlemen, let me take this opportunity to thank you and the people of South Africa for once more affording us this time to reflect on the strides we have made towards the fulfilment of our mandate, which is the delivery of water to the people of South Africa.
We are meeting here at a time in our country's chequered history when freedom and democracy for all South Africans have been translated into tangible and meaningful results.
Hon Minister, just a moment. Can I give you an option? Other Ministers like to use the podium. If you want to, you can too.
What do we do regarding the issue of time? [Laughter.]
They will deal with time here.
You are at the back, so I can't see which clock you are looking at. I'm sorry. Thank you very much, hon House Chair.
We are meeting at a time when the ANC, the great movement of the people, celebrates its first centenary. I'm saying "first" because many more are still coming. This is an achievement of no minor proportion. The achievement signifies 100 years of relentless struggle and commitment to freedom and democracy for our people in South Africa.
Today marks 18 memorable years since we made the fervent commitment to provide 100% access to basic water and adequate sanitation to all our people. Such provision is a constitutional imperative.
Bagaetsho, a ke tseye t?hono eno go le gopotsa ka Mme Matsheko Pine yo o ileng a nna segatlhamela masisi mo go itsiseng Presidente ka mathata a metsi kwa Ngobi. Matsheko bagaetsho, o nnile sekai se sentle go Maafrika Borwa ka go nna karolo ya puso mo go iseng ditirelo kwa bathong, go na le go tlhagisa maikutlo a gagwe ka go thiba ditsela, le go fisa dikago, ka gonne seo se tsenya matshelo a Maafrika Borwa a mangwe mo kotsing. (Translation of Setswana paragraph follows.)
[Let me take this opportunity to remind you of Ms Matsheko Pine, who informed the President about water problems at Ngobi. Matsheko is a great example to South Africans by being part of government in delivering service to our people; she did not express her frustration by blocking roads and burning buildings, because it puts people's lives in danger.]
Ladies and gentlemen, you will recall that in 1994 only 59% of our people had access to clean and safe drinking water. Eighteen years later we have progressed to a national average of 94,7% access to basic water services for all South Africans. This is an increase of 35,7%. The backlog now stands at 5,3%, or some 710 000 households, compared to 3,9 million households in 1994. This trend illustrates the fact that government's performance is on an upward trend.
Despite all this, there are still many rural areas and informal settlements close to our urban areas and cities that are without water. Even more worrying is the fact that there are areas where post-1994 infrastructural deficiencies are still characterised by taps that run dry due to poor maintenance or operational problems. Such an unacceptable state of affairs dictates that functional water infrastructure and quality services to the remaining 5,3% of the population should be a task to be undertaken with a sense of urgency.
It is critical that our water policies should support and act in unison with the goals of a democratic developmental state. We are conducting a policy review during this financial year, in parallel with a review of the three pieces of legislation that fall under our jurisdiction, namely the National Water Act, Act 36 of 1998, the Water Services Act, Act 108 of 1997, and the Water Research Act, Act 34 of 1971. The streamlining of these three pieces of legislation will ensure that they, too, effectively serve the purposes of the developmental state and enable us to meet the needs of our people in relation to water services, economic growth and development.
Flowing from this review, the effective involvement of all stakeholders, particularly the poor and the marginalised, in decision-making processes is one of the indispensable and critical components that will ensure that we manage our water in a way that supports the purposes of a developmental state. To this end, we are finding innovative ways to incorporate inclusive, consultative and participatory mechanisms in the law. For that reason I reiterate the clarion call to all the Matshekos out there to speak out about their needs, expectations and challenges. Together, we owe it to future generations of our country to find viable ways of ensuring water security.
Water remains a critical resource for life and prosperity. This principle is especially true and applicable when responding to and addressing the overarching national growth and development strategies of South Africa.
What must be well understood is the fact that South Africa's fresh water resource is at its limit in many areas and it needs to be responded to very urgently. Therefore, we will require a dramatic change in the approach towards water governance. This new approach is reflected in our National Water Resource Strategy. We are revising it and it will be released for public comment, input and involvement in July this year.
Furthermore, a significant consultation and listening process will be put in place for public participation on how we should manage this important resource.
Our department has identified the need to support and enhance the capacity of local government in the water delivery chain. We are required to provide more effective leadership in the entire water sector. It is in this context that we recognise that a lot of work still needs to be done to strengthen our capacity.
In June last year we brought together 13 professionals to form a Business Process Re-engineering Committee, BPRC. This team has experience and a variety of skills in a range of fields, including law, finance, policy, organisational design, information and communication technology and human resource management. Their mandate is to investigate the challenges we face in the department in their respective professional fields.
Since its inception, the BPRC has been working closely with the management team of the department and implementing strategic changes where they are required. I will highlight a few of those interventions, which are based on the challenges and solutions that have been identified.
Highly significant progress has already been made in re-engineering the financial management systems and addressing the issues that were raised by the Auditor-General. Among other things, the mandate of the BPRC is to deal with the following: human resources; information technology; governance; outsourcing arrangements; review of the mandate of the strategy; policy and legislative review; institutional realignment; asset and infrastructure re- evaluation; and audit preparations.
We are well on our way to achieving a clean audit in 2014 and not 2013. In pursuit of the 2014 clean audit target, and together with management, remedial action plans were compiled. These plans critically analysed the Auditor-General's findings, to determine and address the root causes. Progress is being registered and the implementation of remedial action plans is being monitored on a monthly basis. Other interventions include procurement, governance, and capacity enhancement to ensure that we meet the growing demands of my department.
In the previous financial year our department spent 91% of its allocated R9,028 billion budget. The current budget allocation is R8,8 billion, of which R2,5 billion is earmarked for the Regional Bulk Infrastructure Programme and R2,2 billion for water resources infrastructure development and rehabilitation projects.
Although the overall spending was low - which we acknowledge and regret - the expenditure per programme was positive in the core areas of the department's mandate. The Water Infrastructure Management Programme spent 100% of its R2,4 billion allocation, as did the RBI programme, with its R1,8 billion allocation. This will ensure a reliable supply of bulk water. However, in areas of weak performance - we have identified them - we are improving financial spending and financial management in the department.
We are also pleased with the sterling work being done regarding the thorny issue of water use authorisations. To address the backlog, during the past financial year alone we finalised 1 049 applications by means of our backlog eradication project. We are confident that strategic industries will no longer be held back on the grounds of their noncompletion of licence applications. Currently the department prioritises applications from historically disadvantaged individuals and is finalising compulsory licensing projects in pilot areas like Tosca, Jan Dissel and uMhlathuze.
Together with Environmental Affairs we are looking at an integrated authorisation process, which we reported on here when we were dealing with the Environmental Affairs Budget Vote. That process will cover water use licences, environmental impact assessment authorisations and waste licences. This is being done with a view to later integrating further permits to streamline the regulatory process.
As the custodian of water resources, the department has to ensure water security for the citizens of this country. We have to ensure that water is placed at the heart of all planning decisions taken in the country. We must also ensure that any decision that relies on the steady supply of water, both in quantitative and qualitative terms, adequately factors in water availability. We are currently increasing the exploitation of our groundwater resources and intensifying projects on water recycling and desalination, particularly in the coastal areas.
I now wish to turn to the very important issue of skills in the water sector. While there is an enormous challenge in this area, especially with regard to the scarcity of artisanal, engineering and technical skills, as well as the misalignment of skills, our department is making sure that the gap is reduced significantly.
I am pleased to announce that we have partnered with the Department of Public Works to tap into their database of retired engineers. As I speak, four of these retired engineers are mentors and coaches for young, prospective engineers in our department. Additionally, our graduate recruitment programme has played its part. Since its inception it has recruited a total of 240 graduate trainees, 35 of whom have been placed as candidates in various engineering positions. The Deputy Minister will elaborate on this issue, because she is dealing with those areas.
While we recognise the need to expand our national infrastructure, I must stress that water conservation and demand management have been identified as the most critical steps to be implemented in order to give effect to our reconciliation strategies. Therefore all users and sectors, including local government, have to implement the necessary measures. Funds have been allocated for this activity and there have been some good examples of success.
The department is supporting certain municipalities, with a target of 10 municipalities this year and a targeted saving of 720 million cubic metres of water. We are engaging local government to also allocate additional resources to this activity. We have been working with several municipalities on water conservation programmes in order to minimise water losses. The Deputy Minister will elaborate on these programmes. We are currently also working closely with the agriculture, industry and mining sectors to set targets for water-use efficiency for their sectors.
The department is very mindful of negative water use behaviour, which impacts on the resource both quantitatively and qualitatively. We are currently exploring a potential mix of mechanisms to change this behaviour. These will include regulatory frameworks, market-based instruments, self- regulation, and water awareness and education. These will be matched by appropriate mechanisms to mitigate offenders' behaviour.
One of the issues that I can see very clearly is that the challenges in the water sector are such that if we do not work together across the public and private sectors, we will not achieve our goals. Therefore the following three areas have been highlighted as areas of collaboration.
The first one is the private sector partnership. We have entered into a partnership arrangement with the World Economic Forum - a well-known fact by now - and established an SA Strategic Water Partners Network, focusing on water efficiency in the supply chain, with a focus on agriculture and water quality.
We firstly have to bring in the private sector as a partner in the planning, management and implementation processes. There is much that the private sector can contribute to our water delivery agenda, whether it is the financing of infrastructure, the design and construction of infrastructure, or supporting the improved management of sustainable service delivery.
During this financial year we will investigate how best to structure the process of economic regulation, not only for the delivery of water services but water resources as well. The correct pricing of water is an important element, recognising the real cost of delivering water in a water-scarce country. This year we will also be revising the raw water pricing strategy and I assure you that we will consult broadly with all the stakeholders.
We have conducted a review of the institutional arrangements in the water sector to see how public institutions are best configured to deliver on our mandate. This is the second area that we are addressing in the partnership. As a result, I have decided that we will forge ahead with the establishment of nine catchment management agencies, as opposed to the 19 that was declared in the, National Water Resource Strategy, NWRS.
I am also investigating the restructuring of the water boards to ensure that they are able to fund and develop the necessary bulk water service infrastructure and also to support municipalities, particularly those that require immediate intervention. One aspect of the expanded footprint of the restructured water boards is that they should make possible the cross- subsidisation of service delivery in poor rural areas in particular.
Our department has reviewed the status of asset management in the water trading entity. This is to ensure not only compliance with the Government Infrastructure Asset Management Act, but also the identification of critical areas where improved management will enhance the efficiency, reliability and sustainability of the infrastructure.
In support of our New Growth Path and Industrial Policy Action Plan 2, Ipap 2, and in partnership with the sector partners and the Department of Science and Technology, we are developing a robust water research strategy to find technological innovations for the water sector to improve our production capabilities. These will address the current research challenges and gaps, including technology needs that will contribute to a cleaner technology approach.
One of the greatest challenges we face in the water sector is the delivery by municipalities of water services and sanitation to all our people. It is for this reason that the department is strategically positioning itself to ensure that the whole value chain of water, from source-to-tap and waste-to- source, functions effectively. The key principle guiding this approach is that we are one government and the success or failure of municipalities is the success or failure of this government. We have to be on the ground and get our hands dirty for optimum service delivery.
We are pleased to announce that for the current financial year the regional bulk programme has been allocated R2,6 billion. This increase illustrates the infrastructure need, as well as the ability and capacity of my department and our entities to spend and deliver on these projects. In the previous financial year, 173 625 people benefited from completed projects. In this current year we expect about 550 000 people to benefit. This will go a long way in addressing the 2014 water targets.
Furthermore, skills development will continue to be an integral part of this programme, focusing on the training of plant operators to ensure efficient operation and maintenance of the infrastructure when it is completed.
While we have surpassed our Millennium Development Goals in water and sanitation, we are continuously working hard to provide good quality water.
We are concerned about the decaying state of the current water and sanitation infrastructure in certain areas and this is proving to be a threat to the gains we have made since 1994. If left unattended, dysfunctional infrastructure will lead to the creation of new backlogs.
In response to this challenge we are implementing a National Water Sector Transfers Programme, which is meant to refurbish and provide funds for operations and maintenance to support municipalities in administering and managing our transferred water and waste water services schemes. Under this programme R542,4 million was transferred in the previous financial year. A total of R714 million has been made available in the current financial year, of which R370 million will be for refurbishment, R147 million for operations and maintenance, and R187 million for human resources.
As a caring government, we cannot ignore the pleas of communities who are faced with unreliable water service provision, nor can we ignore those communities in rural areas that do not have any form of infrastructure at all. In some cases, those rural communities still share water sources with their animals. To those communities who often suffer in silence - unlike Matsheko - democracy and freedom have no meaning. We will implement innovative ways to serve those communities through the provision of interim infrastructure while we are waiting for more funds. Such interim infrastructure might be below our current standards.
We are sourcing technical support in the private sector. Cuba has also expressed a willingness to make these specialists available to our country. The memorandum of understanding between South Africa and Cuba in the field of water resources is at the final stage and ready for signing. We will extend the Accelerated Community Infrastructure Programme, ACIP, as part of funding these interventions. Among other sources, we will use the Municipal Infrastructure Grant, MIG, and our Regional Bulk Infrastructure Grant, RBIG, to fund this innovation. An amount of R221 million was allocated in the previous financial year and a further R225 million is allocated for the current financial year.
Through the ACIP, 69 waste water treatment plant refurbishment projects were implemented in the previous financial year. This demonstrates that a small capital injection can have a major impact on bringing a plant back to working order and on serving communities to the same standard as that of a new plant at four to 10 times the cost.
To enhance operations at municipal level and prevent a reoccurrence of service failures, we have developed a specialised unit called the Rapid Response Unit. This unit comprises a team of water experts ready and available to be deployed to any municipality to support and intervene when there is a crisis. Given the success of the rapid response approach, the department has decided to decentralise this unit to each of our nine provincial offices.
We have also increased our efforts to assist all municipalities with poor Blue Drop and Green Drop results, particularly those with scores below 30%, and the results have improved. Our fourth Blue Drop certification audit cycle has just been completed and we are still on the incline of improvement regarding the management of drinking water quality. The department assessed 931 water supply systems and we can announce that 98 systems qualified for the Blue Drop. I thought you would applaud us! This is an improvement from the 66 certified systems of the previous cycle. The National Blue Drop Water Quality Assessment Report, which was released on 7 May 2012, indicates good performance by various municipalities and water boards, but also makes our challenge very clear.
The number of systems where water safety planning is under way has increased from 154 last year to 579 this year. Of these risk management processes, 269 compare well with the expectations of the World Health Organisation. Water safety planning is a means of ensuring that municipalities are geared for all risks posed to drinking water quality. It ensures that protocols are in place for operations and to deal with any incident that could be a threat to public health.
We once again applaud those municipal and water board officials who are so dedicated to the cause and responded warmly to the clarion call of the Blue Drop programme to adhere to the stringent criteria set. Our department has commenced support to those municipalities where water is not safe to drink - there are such municipalities - through the deployment of our Rapid Response Unit teams. They have already been in action in Kou-Kamma and Ikwezi Municipalities, which are the weakest municipalities.
The department was honoured to receive international recognition for environmental engineering excellence from the American Academy of Environmental Engineers for the Blue Drop and Green Drop Certification Programmes. [Applause.] This academy is affiliated to the International Water Association. The award was confirmation that our quest for excellence is known, not only domestically but also internationally.
The infrastructure plan announced by hon President Zuma sets out a number of Strategic Integrated Projects, Sips. Water infrastructure is critical for these Sips and also for developing industrial sectors as identified in the New Growth Path and Ipap. The following are just some of the Sips that our department will be supporting.
The area around Lephalale in the Waterberg District is richly endowed with coal reserves, providing opportunities for coal power stations to provide national security for our electricity supply, such as the existing Matimba and Medupi power stations, which are currently under construction. This is clean technology.
I am pleased to report that the construction of the first phase of the Mokolo-Crocodile River Water Augmentation project, at an estimated capital cost of R2,1 billion, has commenced. Its purpose is to provide a portion of the water required for these developments. A further augmentation is planned as a scheme to transfer surplus return flows available from the Crocodile West River to the Lephalale environment at a cost provisionally estimated at R10,5 billion. Optimisation of the transfer scheme is subject to further investigation.
The construction of the De Hoop Dam and its associated distribution systems to deliver water for domestic and mining use in the Greater Sekhukhune, Waterberg and Capricorn District Municipalities remains a focus. Over the past three years government has invested approximately R2,7 billion in the construction of the De Hoop Dam and its reticulation programme. R374 million will be spent in the current financial year. Impoundment of water in the De Hoop Dam is starting in August this year - "impoundment" means the storing of water. A total of 2,3 million people in the domestic sector will benefit from this project. The construction of a bulk water distribution system will follow and we support that whole programme.
We are also focusing on the South Eastern node and corridor development in the Eastern Cape and KwaZulu-Natal. We will be focusing on Umzimvubu in the Eastern Cape and the Tugela River in KwaZulu-Natal. In the same area, the Mooi-Mgeni Transfer Scheme is also on course. There has been mention of shortages experienced by consumers and we are looking at the raising of the Hazelmere Dam in KwaZulu-Natal. I spoke about the Umzimvubu Dam - the plan will be starting seriously this year - and the Zalu Dam in Lusikisiki. That is the node the President spoke about.
The Foxwood Dam in Adelaide and the Nooitgedagt Scheme in Nelson Mandela Bay Municipality are in place. All these dams and water bulk storage systems go together and are supported by the RBIG and their concomitant reticulation processes. [Time expired.] [Applause.]
Hon Chairperson, hon Minister and Deputy Minister, hon members, the water sector family, and ladies and gentlemen, on behalf of the portfolio committee I extend to all of you a warm welcome to this annual debate on the Budget Vote of our department. On this occasion I rise on behalf of the ANC and, hopefully, the portfolio committee in support of this Budget Vote allocation to the department.
Last year, the portfolio committee reported that we were dealing with a department that was not operating properly and was in deep trouble. It was facing a myriad of major challenges, each of which could be crippling to any kind of recovery, but collectively seemed almost intractable.
We were facing, firstly, a serious leadership crisis at senior management level. Most of the top leadership of the department had been suspended, pending a disciplinary hearing. This included the director-general, chief financial officer, director-general of corporate services and chief information officer, as well as all the members of the bid committee. They were under investigation and removed from performing certain tasks because of alleged acts of dishonesty, mainly during procurement processes.
Secondly, the financial management system of the department was either nonexistent or seriously dysfunctional. The Main Account had received a qualified audit report for a few years, while the Water Trading Entity had received a disqualification on its audit reports for many years in a row.
Thirdly, many aspects of the department's core functions were being crisis- managed and some were reeling on the brink of collapse or serious dysfunctionality.
It was in this context that the portfolio committee noted last year that the Minister, who had been appointed as the political head of the department towards the end of 2010, had not only inherited this leadership crisis, a collapsing financial management system and the dysfunctionality of certain core functions, but had also until recently worked with a senior management echelon of people who were mainly acting in their positions.
Despite the magnitude of the legacy inherited, the Minister has acted swiftly and decisively to bring this unacceptable state of affairs to finality by embarking on a major turnaround intervention through the BPRC, which I will deal with in detail later.
It is therefore understandable that the portfolio committee approached this year's hearings on the Budget Vote with some trepidation, not knowing what to expect. I can happily report that our engagement with the Minister and the department has been robust, honest, open and transparent. The department has been forthcoming in engaging on its weaknesses, challenges and even mistakes. In fact, this year I found the hearings to be more useful, productive and encouraging, as we were able in addition to extensively engage with the work of the BPRC. It is in this context that the portfolio committee further acknowledges that it has discerned a definite and positive upward trend in the work and activities of the department. It pledges to remain in partnership with the department and to progressively and decisively move towards its operating at its optimal level in order to serve the nation and our people by creating an efficient, effective and sustainable water sector that delivers on the developmental needs of the country.
In July 2011 the Minister appointed a committee of experts with varying fields of expertise in organisational turnaround processes, known as the BPRC. It was appointed for an initial one-year period, with the task of defining the challenges facing the water sector and providing clear recommendations on how to support the changes that are needed in the sector and the department, and how to promote growth, infrastructure development, job creation and equity in the sector.
The BPRC embarked on a business process re-engineering intervention to determine and address a number of debilitating issues within the department that are preventing it from becoming an efficient and functional entity. The BPRC has completed its inception report and it is now in the process of implementing some of its key recommendations and findings. This is a dynamic process in that the interventions are being implemented while the department is at work. The Minister refers to this approach as "fixing the aeroplane while it is in flight", which I think is apt.
After extensive engagement with the BPRC, the Minister has approved a new policy and strategic objective directions in respect of which work plans are being developed for some 40 projects or deliverables. These are now being implemented in the following seven key focus areas.
The first focus area is that of the leadership crisis, which has bedevilled the department for a year and a half and created huge instability and uncertainty. For all intents and purposes this is something of the past, with a few last issues that require wrapping up.
This has meant that the department has been able to appoint the following senior management during this year: a new director-general, an acting chief financial officer for the Water Trading Entity, a chief financial officer for the Main Account, a chief director for Policy and Regulation and a chief director for Legal Services. The chief information officer has been reinstated. The new Director-General, Mr Maxwell Sirenya, commenced duty in January 2012. The portfolio committee congratulates and extends a very warm welcome to him and looks forward to a co-operative partnership with him, which will be characterised by openness, trust, honesty and professionalism. Obviously, due regard will be paid to our respective responsibilities.
The second focus area is financial mismanagement. The Minister has set a firm target for the department, to achieve a clean audit for both the Main and the Water Trading accounts in the 2014 financial year. Therefore the first and most important task has been to address the Auditor-General's report of 2011, including the recommendations made by Scopa, with respect to both accounts, with a view to formulating detailed turnaround plans, indicating a recommended corrective action and addressing queries and findings raised by the Auditor-General and Scopa.
The following are proposed interventions. A major project is under way for the reorganisation of the Finance Branch, focusing also on the capacity and capabilities required to provide ideal support to the department's mandate. Considerable progress has been reported in the area of improving financial management in order to achieve a clean audit by 2014. Chief financial officers have been appointed for both the Main and the Water Trading Accounts to improve financial controls and management of the Main and Water Trading Accounts respectively. The turning around of the Water Trading Entity is being treated as an urgent strategic project by the BPRC and the efficiency drive and funding model of the Water Trading Entity is under review to address the huge operating losses, which may in turn involve changes to the structure of the Water Trading Entity.
The third focus area is the regulatory framework in which the department operates, formulates policy and drafts legislation. To understand the regulatory framework in which the department operates and to determine how best to promote a rational, coherent and just water system based on equity across the national, provincial and local spheres of government, it is necessary to consider the adequacy of the present statutory relationship existing between the various spheres and among the existing institutions and to benchmark it against international best practice.
When reviewing optimal water policies and laws it is necessary to assess the extent to which they support and enable water development, equitable water allocation, efficient and prudent water use and sustainable water services provision. In our country a further vital prerequisite needs to be factored in, namely that in recognising that the legal empowerment of the poor experiencing difficulties in accessing quality water and sanitation is key to redressing historical imbalances and enhancing integrated economic development, careful consideration needs to be given to the development of a national redress and equity-based water strategy.
The apparent lack of equity, or a more equitable model for the allocation and use of water resources, almost two decades after the attainment of democracy in our country is not only indicative of the legacy of apartheid, but also of the fact that democracy has not enabled government to attain the optimum model yet. To address this constitutional imperative, the department has embarked on a massive project to review and re-engineer all business processes in the water sector.
The framework for meeting the water needs of the poor is being stretched to cover the increasing demands of the expanding urban settlements, industrial sectors and commercial agriculture. However, the BPRC regards the current National Water Act, Act 36 of 1998, as not being adequate in catering for the attainment of such an equity model. If so, there may not be an explicit mandate to address this glaring problem. We need to change this unacceptable scenario with all haste.
The department is aiming for effective water management that will ensure water security, water quality and equitable water access for all, focusing on redress in areas that have experienced ineffective service delivery. There is a need to urgently intervene in order to resolve the skewed water allocation ratios and the configuration of source-to-tap and waste-to- source. In this regard, the aim is to address the negative consequences emanating from historically skewed water allocation. The department is currently developing realistic plans to tangibly meet the challenge of meeting basic human needs, while at the same time protecting environmental imperatives. The water user licence backlog, which could hamper economic development, is being addressed through a complete process re-engineering.
We face serious challenges in regard to both raw water quality and drinking water quality. Two of the most significant sources of pollution are municipal wastewater treatment works and mines. The pollution of raw water has a knock-on effect on the quality of drinking water, with increasing treatment costs for water boards, municipalities and consumers.
The Minister and the department must be commended for the sterling work that is being done with the Blue Drop and Green Drop regulatory frameworks. Despite the fact that South Africa is one of the few countries in the world whose tap water is safe to drink - based on the recently released results of the fourth Blue Drop certification audit cycle - we must be very concerned about the 14 municipalities in seven provinces where the water is partially unsafe for human consumption. This cannot be right and those municipalities should be placed on special intervention programmes to ensure that their systems are brought up to acceptable operating standards and the quality of drinking water is improved.
Regarding acid mine drainage, AMD, the portfolio committee has been actively monitoring progress on the immediate and short-term solutions currently being implemented and is pleased to note that the first stage of the immediate solution in the Western Basin has been commissioned. There is an urgent need to conclude the work on the long-term solution, to ensure that we adequately mitigate the risk of any contamination of our groundwater. The use of treated AMD also presents an opportunity for the augmentation of our water supply in the Vaal River system.
These are the proposed interventions. The department has reviewed the White Paper on water in the light of lessons learnt from policy implementation over the last 18 years and has adopted a new framework of policy principles, which will inform the legislative review process, the development of a new National Water Resource Strategy and a national water services plan, all of which are being undertaken at present. The department's legislative review of its three principal Acts is in the process of assessing whether changes to the entire water management value chain can be effected, to the maximum benefit of water service delivery, with a view to improving water management and attaining equity going forward.
The fourth focus area is infrastructure and asset management improvement. South Africa is facing a number of challenges regarding most aspects of water provision. Water demand is fast outstripping present water sources; new infrastructure is needed in many parts of the country; some waste water treatment works are dysfunctional and ageing; and deteriorating infrastructure is a major contributor to the problem. It is estimated that the national water resources infrastructure maintenance backlog is in the order of R15 billion. There have also been problems and audit findings with the valuation, inventory and depreciation of the department's infrastructure assets. The only way to deal sustainably with these infrastructure issues is through improved asset management that is robust, both from a financial and engineering perspective.
These are the proposed interventions. While a substantial portion of the 2012 and future budget for the department is set aside for the development of infrastructure, this is certainly not adequate to meet the medium to long-term infrastructure development needs.
The Minister must be commended for her initiative of developing a 10-year Integrated Water Sector Investment Framework for the entire water value chain. The initial projection is a requirement of approximately R573 billion. Given that available funding from the various systems indicates that approximately 44% of the funds could already be in place, there is a very significant gap that has to be closed. A long-term infrastructure investment plan is being developed with the assistance of the Development Bank of Southern Africa to establish adequate financial plans to secure funding to provide for and manage the provision of water into the future.
Part of this will require the effective management of costs across all water institutions. The existing water pricing strategy is under review and will be assessed to ascertain its suitability to the various groups of consumers and in providing sufficient funding to maintain their infrastructure and mechanisms of supply.
One of the greatest challenges facing water provision in South Africa is its ageing water resource infrastructure. Initiatives to address the backlog on the rehabilitation of infrastructure are being developed through effective long-term financial planning.
A rigorous infrastructure asset management system, enabled by information technology, will also be implemented, to ensure that asset monitoring and conditioning are properly conducted in future.
A further challenge is the linking of the bulk infrastructure provided by our department to reticulated water infrastructure that is provided by local government water service authorities. This requires a new approach to water provisioning through integrated and aligned service delivery arrangements, with a concomitant, functional infrastructure from source-to- tap and waste-to-source. This requires joint planning and execution between the spheres of government and strong co-operative governance frameworks to impact the redress of the underserved areas of our population. This is further exacerbated by the dual management of sanitation, particularly in the rural areas, where the department is responsible for regulation while the Department of Human Settlements is responsible for implementation. Although the portfolio committee fully supports this initiative, we caution that it can only work if National Treasury fundamentally changes its present funding model of the water sector, especially as it relates to local government.
The fifth focus area is institutional arrangements. The present governance model of institutions and the water sector, although well intentioned, seems highly inappropriate in many instances. It often operates in a seemingly haphazard manner and is often not properly or adequately integrated with the source of policy development in the department, and more often than not that leads to institutional fragmentation or to the overlap of functions.
Added to this inappropriate, fragmented institutional model is the fact that the water sector is often characterised by a lack of leadership and management skills, administrative complexities due to multilevel governance, elitist and undemocratic advisory and consultation processes, inappropriate decision-making processes and inadequate water-literacy and water-education programmes. All of these factors lead to relatively poor institutional performance across the entire water value chain.
These are the proposed interventions. A consideration of the various options led to the preferred institutional arrangement for the financing, development and management of national water resources infrastructure being through an agency ring-fenced within the department. A differentiated establishment of regional water utilities is under consideration. The intention is to reduce the number of water boards by merging some of them and extending their footprints and, through this, to build fewer, stronger and more financially viable institutions, with a strong focus on supporting local government and their primary function as bulk service providers.
Further institutional reform and realignment will undertake a reconfiguration of the catchment management agencies and the transforming of irrigation boards and water user associations. The establishment of nine reconfigured catchment management agencies, with strong stakeholder involvement, is envisioned.
I will not deal with the sixth and seventh focus areas today because of time constraints, but they deal with organisational design, human resource development and information and communication technology.
May I conclude by saying that I have deliberately and extensively dealt with the recommendations of the BPRC and the work plans flowing from it in detail, because the portfolio committee and I realise that these unfolding turnaround processes have dominated the attention and time of the department during the last year and will continue to do so in the next year or two. We are also mindful of the fact that we have engaged only once with these unfolding processes and that there will be a continuous need to engage the department in the course of this year, in order to remain in the loop with what must be regarded as work in progress.
For now, the portfolio committee acknowledges this important intervention by the Minister, notes the ongoing work of the BPRC and is appreciative of the fact that a systematic and thorough approach is being used to highlight the challenges found in the systems and structures of the department, relating to the seven focus areas that I have just dealt with.
The committee welcomes the number of interventions identified for each of the above challenges and particularly noted that the BPRC is not only identifying challenges and possible solutions but also working with the Minister and the department's officials to immediately implement some of the recommendations. Although my first assessment of such a huge undertaking may be somewhat superficial, it appears that the greatest progress has been made in re-engineering the financial management systems, human resources, information technology, governance issues and outsourcing arrangements, while many of the new policy initiatives await implementation.
The portfolio committee also noted with interest that, to add extra momentum to the delivery of the BPRC's recommendations, the Minister has decided to establish a departmental mechanism to monitor and report on its progress. This is a vital additional innovation. The committee needs to be kept informed of the work in progress and requires the next briefing once the task team concludes its work in July 2012.
Finally, this of course does not mean that we have all agreed with one another on every aspect of the work of the department or on the proposals of the BPRC, but it has meant that we have been able to undertake our oversight responsibilities and duties towards one another in an atmosphere of openness, respect and intellectual honesty.
It would be remiss of me not to mention the fact that this constructive and positive approach of the committee - while it deals with its oversight responsibilities robustly and with intellectual honesty - would not be possible if I, as chairperson, did not enjoy the support of every member and party in the portfolio committee in steering it in the manner that I have.
It would further be remiss of me not to mention that, during all these processes, the portfolio committee has enjoyed the full support and assistance of the Minister, the Deputy Minister, the acting director- general, the new director-general and all the staff, as well as the BPRC. [Applause.]
Chairperson, hon Minister and Deputy Minister, and hon members, I rise on behalf of the DA on the occasion of the debate on the Water Affairs Budget Vote. Water is life. Water is economic growth. Water is the basis of our food security. Many of us take it for granted, but it is literally the lifeblood of South Africa. Water is also a source of conflict. It is not in abundance, particularly not in Southern Africa. This evening, I want to reflect on where we are as a country with regard to water provision, the leadership that is being offered in the sector and the pitfalls along the way.
Water, or the lack thereof, poses a security risk to South Africa. This has been recognised by the Department of State Security, which has now established a dedicated intelligence unit that will focus on water, food and environmental issues. The impacts of climate change, industrial expansion and large-scale pollution, particularly acid mine drainage and failing waste water treatment plants, all pose risks to our collective security and wellbeing.
It is thus incumbent on the Minister and the Departments of Water and Environmental Affairs to provide the leadership and far-sighted planning required to secure our water future. Until quite recently, leadership in the department has been an issue of serious concern. But there is evidence that the ship is being turned around. Finally, with the position having been vacant for 30 months, a new director-general was appointed in January 2012. I welcome Mr Maxwell Sirenya to this important position and wish him the best of luck.
Vacancies at senior management level are of serious concern. As of early March there was a 32% vacancy rate in posts at levels 13 to 16. There has been a recent period of shortlisting and interviews, so hopefully most of those posts will be filled by next month.
Vacancies can be debilitating to a department, particularly a department like this, which is desperately trying to turn around a recent run of qualified audit opinions. Fortunately, relatively soon after being appointed to this position, the Minister set up a Business Process Re- engineering Committee. At the top of the list of challenges that this committee is engaging with is addressing the Auditor-General's report and management letter for 2011 with regard to the Water Trading Entity and the Main Account. Corrective action is well under way. While it is too soon to expect an unqualified audit opinion from the department this year or next year, I hope it will be achieved in 2014.
It is important to take stock annually of access to water. Great strides have been made since 1994 with regard to the provision of water, but we should not rest on our laurels. Between April and December 2011, 450 000 South Africans were served with a basic water supply for the first time. This was below the goal for the period, but was not necessarily the fault of the department, as a common problem is that some municipalities do not correctly target their spending towards water infrastructure.
The challenge of water provision is far from over. According to Statistics SA figures, adjusted on the basis of reports from the Department of Co- operative Governance and Traditional Affairs, about 2,5 million South Africans are without access to a basic supply of potable water. This equates to 5,3% of the population. This means there has been an impressive 87% reduction in the backlog since 1994. Currently, the provinces worst affected are KwaZulu-Natal and Limpopo, with about 1,31 million and 0,54 million people without access to a basic supply.
The government needs to be commended on already having achieved the 2015 Millennium Development Goal with regard to water provision. However, according to Outcome 9 in the Presidency, South Africa's own target is 100% provision and that still needs to be achieved.
It is not clear whether the water provision figures are absolutely reliable. We know that there are South Africans who have access to infrastructure but cannot enjoy the full benefits of reliable, safe water provision because the infrastructure is unreliable or failing. About 25% of people have access to a tap but without an acceptable level of service. For this reason we need no further motivation to make the rejuvenation of dilapidated infrastructure an absolute priority. Special surveys in the department have indicated a national picture of 74% functionality of water delivery across the country.
This is good reason to have a global vision of water provision in South Africa. While the Departments of Water Affairs and Forestry and Environmental Affairs has a number of responsibilities, including the regulation of water services, supporting water service authorities, establishing and overseeing institutions and collecting revenues, it is the water service authorities, mostly our municipalities, that deliver water to our people. Notwithstanding some governance issues that are being sorted out in the national department, the key areas of concern in water provision are at the local government level. Lack of skills and capacity, a shortage of revenues and the misuse of grant funding contribute to failing infrastructure at this level. For example, in the Free State 9 million kl of water is lost by municipalities each month.
Funding for infrastructure, whether building new or maintaining old infrastructure, is always a challenge in a country with so many competing needs. At the moment, bulk projects under way or nearing completion and funded through the department include the Olifants River Project, the Mokolo-Crocodile Rivers Project, the Mdloti River Project, the Olifants- Doorn Rivers Project and the Greater Letaba River project. Off-budget projects, mainly funded by the Trans-Caledon Tunnel Authority, include Phase 2 of the Lesotho Highlands Water Project and the Mooi-Mgeni Transfer Scheme. There are also various regional bulk infrastructure projects being implemented by the department. So, there is certainly a lot of infrastructure development going on. As noted in my reply to the President's state of the nation address in February this year, while it is laudable and necessary that there are a number of new bulk water infrastructure projects under way, what are we doing about existing infrastructure? It is estimated by the department that the maintenance backlog for national water infrastructure, including dams and major conveyance systems, is Rl5 billion. This does not include the backlogs at local government level, which are substantial.
It is at the local government level that funding is most challenging. The Minister's recent comments about the possibility of including the private sector in the managing and operation of infrastructure like waste water treatment plants are most welcome. The state has shown that it cannot manage the problem alone. Unique arrangements with the private sector could help bring skills and capacity to the local government level where they are sorely lacking. The Minister's recent comment at the World Water Forum, that the government hopes to attract R25 billion from foreign investors to help finance infrastructure maintenance and overcome backlogs, is also warmly welcomed.
The department is also being very thoughtful at the moment about future water governance systems. There is a legislative and institutional review under way. Among other things, it has already been announced that the number of catchment management agencies, CMAs, will be reduced to nine, a sensible suggestion that will allow for the capturing of economies of scale and more effective funding of operations. Currently, only two CMAs are operational. The lessons learnt from these two CMAs will be crucial for optimising the roll-out and functioning of the remaining CMAs.
The National Water Resources Strategy, NWRS, is currently being reviewed. We know that in certain areas the sustainable amount of usable, quality drinking water is exceeded by the demand for water, which poses a significant risk to these areas. I look forward to the release of this strategy. In anticipation of its release, I trust that it will guide what water allocations are feasibly possible for the future, rather than attempting to justify the use of water for certain sectors where it is clearly not feasible. In this regard, the NWRS should not necessarily be taking its lead from other government policies like the IRP2010 and the New Growth Path, but should rather be doing a harsh critique of whether those policies and their priorities are feasible under future scenarios. For example, with available water resources, how much can we responsibly mine and where should that mining occur?
The Departments of Water and Environmental Affairs needs to lead water planning. Our future economic growth, particularly if it does reach a level of 8%, is going to require the smart and efficient use of water resources. It is worth pointing out at this stage that the draft National Development Plan is sadly very short on highlighting water governance and water scenarios leading up to 2030. This is surely an area the drafters need to revisit, but perhaps the NWRS can inform those deliberations.
A thorough water licensing process is key to a fair and defendable water allocation process. It is a common cause that there is not much more water in South Africa available for allocation, and so the licensing process requires credibility. Project Letsema has made admirable progress on processing water use licensing applications. However, a number of stakeholders in South Africa remain concerned about the process of consultation around licence applications with interested and affected parties. From the department's point of view, there does appear to be discretionary public participation when it comes to water use licences. In a recent reply to a parliamentary question, the Minister noted that:
There is a prescribed process to deal with inputs of interested and affected parties that applicants must follow if and as directed to by the responsible authority.
This is a significant weakness in the National Water Act, Act 36 of 1998. Water is treated as a side issue in environmental impact assessments under the National Environmental Management Act, Act 107 of 1998, and the Mineral and Petroleum Resources Development Act, Act 28 of 2002. Water is often shifted to the considerably weaker participation process under the National Water Act, Act 36 of 1998. The need for integrated permitting is stronger than ever before and I hope this is something the Minister will deliver upon as soon as possible.
The mining sector in general is an area that needs improved monitoring from the department. The recent case of infiltration of suspected acid mine drainage into the Boesmanspruit Dam, which is an abstraction point for drinking water, affected the quality of water in Carolina. While the Minister and the department responded quickly, the initial pollution should never have happened.
In Delmas, there is significant concern among the farming community about operations at the Leeuwpan Coal Mine, where the department itself has issued a notice against the mine for unlicensed action in terms of the National Water Act, Act 36 of 1998. I urge the Minister to accompany the Blue Scorpions on some enforcement visits to see whether mines are operating according to the terms of their licences and to take strong action where transgressions are discovered. I ask the Minister to visit the Leeuwpan Coal Mine in particular and engage with the affected stakeholder and mine management about the concerns.
In conclusion, in debating this budget we are debating the future of South Africa. The investments we make today will have far-reaching consequences for South Africa.
It is true there are many problems in the water sector, but there is also very credible work being done to deal with these problems. I commend the Minister for her leadership so far in this department. Significant progress has been made over the last year. Let me pay tribute to the many good men and women of the department, who have had to work under difficult circumstances to keep the department afloat.
I thank the chairperson of the portfolio committee and my colleagues in the committee for the constructive environment in which we work.
We can celebrate some successes, as long as we know that the tasks ahead in securing our collective water future are immense. Collective leadership and political will are the key components to ensuring that our development goals are achieved. [Applause.]
Chairperson, may I welcome the new director-general on behalf of Cope and wish him all the best in his new job? South Africa is certainly in need of a good Director-General of Water Affairs.
Today I want to talk about the major rivers in the Kruger National Park. There are six big ones, namely the Luvuvhu, Shingwedzi, Letaba, Sabie, Olifants and Crocodile Rivers. All these, except the Shingwedzi, were reported in former game ranger records as being perennial - before man interfered. Today, only two are perennial rivers, namely the Olifants, which is under threat, and the Sabie.
We all know that neither of these two rivers originate in the Kruger National Park. Their catchment origin is outside the park, and they are dependent on the run-off that comes far from the Kruger. That is the challenge. These rivers are longitudinal ecosystems and therefore what happens outside the borders of the park will determine the quality of the river within the park.
So the question is: How healthy and effective is the department's management strategy in maintaining these ecosystems? For many years this has been a battle between development, agriculture and those who want to protect the rivers. It is sad to say that the rivers are losing this battle big time.
In 1992, before democracy, the writing was already on the wall for the Olifants River, one of the two remaining perennial rivers. This river picks up pollutants along its course and then, suddenly, with a small influent tributary, the water becomes toxic to most species. In 1992, the former Transvaal Chief Directorate of Nature and Environmental Conservation wrote the following about the Olifants River in a publication: "This river has been broken down long enough and the time for its rebuilding has come."
In 1992, they asked the question of how one tackled such a multifaceted, complicated problem. How do you stop the recurring problems? How do you bring about the rehabilitation required? In 2012, which is 20 years later, the problem is more severe but exactly the same. The Olifants River is one of many of our majestic natural systems that has been on its knees over many years of relentless and insensitive exploitation of the catchment area. Do we, especially the department, have the will and the guts to do what was attempted in 1992 and should happen now in 2012?
We need a new vision for this challenge. On the one hand there is a desperate effort to create jobs - and we need them. The President is on record as saying that South Africa must become a massive construction site. There is nothing wrong with that, but only if that is done in total balance with the environment. South Africa's natural assets are our wealth and I wonder whether we are adequately weighing up the economic advantages and making sure that we protect our water from pollution. Mining and agriculture are the big culprits, but they are also the big job creators.
So, the time for balance has arrived. What is that balance? It would include dedicated Departments of Water Affairs, Forestry and Environmental Affairs that would utilise all the powers vested in it to protect our resources. If we save the quality of our water, we save our rivers, the fish in them, the crocodiles roaming them and the birdlife dependent on a clean environment. The natural beauty of this country is a huge asset and has itself contributed to job opportunities. Therefore, our environment is also part of this new massive construction site for jobs. Without that balance, the sustainability of a long-term healthy South Africa is not possible. I came across this powerful quote on the website www.africaourafrica.com:
One lovely day, towards dawn, I paused to take a look at the sky, which covered our blessed continent. The clouds kept swelling as they seemed to be encircling Africa in honour of the cradle of mankind, the mother of civilisation, the continent that is lush with green and full of cultural heritage - Africa, the birthplace of warriors. I saw the vigour of the Zulus, the pride of the Masai, the gold in Ashanti and the wisdom in Timbuktu. Then I realised that we are a unique breed with a rich ancestry, unique values, a spectacular history, a wounded past, a progressing present and an uplifting, restoring future. We are the spice of the planet.
Let us today celebrate our incredible animal kingdom and cherish it by looking after our rivers. Let us remember that the Kgalagadi is larger than France and that the Blyde River Canyon is the largest green canyon in the world. Kwame Nkrumah wrote, "I am an African, not because I was born in Africa but because Africa is born in me." Let us therefore protect our environment, not only for ourselves but for all those who will come to visit us for the first time. Richard Mullin wrote, "The only man I envy is the man who has not yet been to Africa - for he has so much to look forward to." If we fail our water resources and our remaining perennial rivers in the Kruger, then we have failed our continent, the world and our people. With the sincerity of a man asking for the hand of his wife-to-be, may I also go on my knees and ask: Will you, hon Edna Molewa, do your best to save the rivers of the Kruger? [Applause.]
Hon Chairperson, we are currently facing a national water crisis, which is of our own making. Poor maintenance and upkeep of our water infrastructure and the lack of visible commitment in embracing alternative ideas, such as rainwater harvesting on a national scale and not just in some rural areas, have not helped to alleviate this crisis. Because of this, we are faced with great challenges and dire consequences if we fail.
We continue to rely on dams as the preferred source of water provision. This makes the population completely dependent on this department for its already overtaxed water supply. Places such as Lillydale in Bushbuckridge could have avoided their current water crisis if alternative measurers, innovations, had been in place as part of the water provision strategy. Then residents would not have been subjected to getting water only from rivers that are not only a great distance away, but also unhygienic.
Driving along one of Khayelitsha's busiest roads, Mew Way, one finds people pouring their used water onto the very street that the cars drive on. There is no drainage system for them to use. Also, with children running barefoot in the same area, exposure to water-borne diseases such as cholera becomes a stark reality. One can only wonder how acceptable the quality of the drinking water is, if sanitation services are so poor.
As a country, we pride ourselves on the export of mining resources, yet it seems government has been dragging its feet when it comes to addressing the by-products of mining. Acid mine drainage is affecting our already scarce water supply and causing the deterioration of the quality of our drinking water. No one is taking responsibility for the environmental impact that abandoned mines have. Instead of dealing with problems as they become aware of them, the department allocates large portions of the budget to dealing with crises that could have been avoided in the first place. This takes funds away from communities that truly need them. The polluter should pay for cleaning up the land, not the people of this country.
Unlike with electricity, educating the public on water usage does not seem to be a priority. The 49 Million campaign is more prominent in our minds than tips on how to save water. Government needs to take an even bigger initiative to help our people change their habits in the way they use water. Also, to avoid protests over the lack of delivery, the department needs to show the communities that it is investing in improving their lives and not just in improving their own pockets.
In conclusion, the supply of clean, fresh, drinkable water, as well as the supply of water for agricultural usage, remains one of the greatest challenges that we as a nation face today. We must be proactive in facing these challenges, as a slow or lethargic outlook will spell only disaster. We trust this will not be the case and that the Minister and the department will not let us down. The IFP supports the Budget Vote.
Mhlonishwa ngibongile futhi sizwile ususibekele okuningi uMnyango ozokwenza ukuze konke lokhu engikushoyo kuqhele, kungabibikho. Sibonge kakhulu ntombazana. Sengathi kungaba njalo ngiyabonga. [Ihlombe.] [Thank you, hon Minister. We have listened to your report regarding what the department is going to do to eradicate what I talked about. Thank you very much, madam. May it be like that, thank you. [Applause.]]
Xivongo xa mina ndzi Manganye, ku nga ri Manganya. Muchaviseki Mutshamaxitulu, Holobye, Xandla xa Holobye na swirho swa Yindlu leyo hlonipheka xikan'we na vuyeni bya hina, ndza mi xeweta.
Mbulavulo wu hi mayelana na nhluvukiso wa matirhiselo ya mati lowu nga hetaka nkarhi wo leha ni ku hlayisela rixaka lera ha taka ra Afrika-Dzonga. Nhluvukiso lowu i wa mayelana ni ku tiyisisa leswaku vanhu va eneriseka eka swilaveko swa vona etikweni hinkwaro ku karhi ku tekeriwa enhlokweni leswaku rixaka ra mundzuku na rona ri kuma swilaveko swa nkoka evuton'wini. Nhluvukiso lowu wu tekela enhlokweni ntirhisano exikarhi ka tiphuphu tinharhu ku nga ikhonomi, vaaki na mbangu. Mfumo wa Afrika-Dzonga wu simekile matshalatshala ku veka tiko leri eka gondzo ro tiya na nhlayiseko lowu tiyeke lowu nga ta teka nkarhi wo leha. Ku kula ka ikhonomi ya tiko hi xihatla ku tshembela eka nsirhelelo ni ku kurisa switirhisiwa swa mbangu leswi seketelaka na ku tekela enhlokweni swilaveko swa vaaki.
Tanihi xiphemu xa mfumo xo tinyiketela ku kurisa rihanyu lerinene, hi fanele hi sungula ku pima ku humelela ka hina tanihi tiko ku nga ri hi ndlela leyi ikhonomi ya hina yi kulaka hakona, kambe hi ndlela leyi vutomi bya hina byi antswisiwaka ha kona. Hi nga langutisi leswaku rihanyu ra hina ra ikhonomi ri njhani kambe hi tilangutisa hi ku ya hi leswaku mati ma fikelela vanhu va ngani emisaveni.
Mphikizano wa switirhisiwa leswi nga kona swa mati eka matiko yo tala lama ya ha hluvukaka swi le ku kuleni hi xihatla hikwalaho ka ku kula hi xihatla na nkwetlembetana wa ku laveka ka mati eka swa vurimi, vumaki, ku nyika madoroba mati no nyika vamaki, ku nga lava va endlaka tinjhini. Ku kula loku ku nyanyisiwa hi swivangelo swo fana ni ku andza ka nhlayo ya vanhu, ku kula ka madoroba, ku cinca ka maxelo ni ku kula ka matirhiselo leswi fambisanaka na ku kula ka ikhonomi na swa vumaki. Ku cinca ka maxelo na swona swi languteriwa ku engetela swilo leswi endlaka ku pfumaleka ka mati. (Translation of Xitsonga paragraphs follows.)
[Ms J MANGANYE: My surname is Manganye, and not Manganya. Hon Chairperson, Minister, Deputy Minister and members of this august House, as well as our guests, I salute you.
The debate is about the development of sustainable water usage and conservation for future generations in South Africa. This development relates to ensuring that the people's needs are satisfied in the entire country, while taking into account the fact that future generations should also have their basic needs met in life.
This development takes into account the co-operation between three important cornerstones, namely the economy, society and the environment. The South African government has made efforts to put this country on the road to sustainable security. The rapid growth of the economy depends on security and development of environmental resources, which support and take into account the needs of society.
As part of the government's commitment to developing good health, we have to begin to measure our prosperity as a country, not by the way our economy grows, but by the way the lives of our people are improved. We should not look at how healthy our economy is, but we should evaluate ourselves on the basis of how many people access water in our country.
Competition for available water resources in many developing countries is increasing rapidly due to rapid development and the conflicting needs for water in agriculture, in manufacturing, and in supplying water to cities and manufacturers who are the manufacturers of engines. This growth is aggravated by factors such as population growth, urban expansion, climate change and the increase in usage which is related to economic growth and manufacturing. Climate change is also perceived to increase the chances of water shortage.]
The traditional fragmented approach is no longer viable and a more holistic and co-ordinated approach to water management is essential. This is the rationale for the integrated water resources management approach that has been accepted internationally as the way forward for efficient, equitable and sustainable development and management of the world's limited water resources.
The emergence of climate change as a major new threat that has primarily manifested itself through the hydrological cycle underscores the importance of incorporating climate change adaptation in the water sector.
Measuring water use within the paradigm of sustainable development in South Africa is a major challenge, because we need to balance huge economic development pressures and social upliftment challenges in a chronically water-stressed country. Water availability is one of the most decisive factors that will affect the economic, social and environmental wellbeing of South Africa over the next decade, and its supply is already precariously limited.
Mutshamaxitulu, xivono xa Afrika-Dzonga xa 2025, ku nga xiviko lexi tsariweke hi Hofisi ya Presidente hi Nhlangula 2008, xi xaxameta nkombo wa misusumeto leyi letelaka vumundzuku bya tiko, ku nga ku cincacinca eka matimba ni ka ikhonomi ya misava, eka matimba ya swa tipolitiki ta misava, nkayivelo eka switirhisiwa swa mati, ku kula ka ikhonomi, nkayivelo wa switirhisiwa, mafumelo na thekinoloji hi swona nsusumeto lowukulu wa ku cinca eka xiyenge lexa mati.
Misusumeto hinkwayo leyi boxiweke laha henhla ku katsa na yin'wana swi na ntshikelelo lowukulu lowu tlhandlekelaka eka xiyenge lexa mati. Misusumeto yin'wana ku fana na ku cinca ka matshamelo; ku cinca ka maxelo; ku onheka ka mbangu; ku kula ka ikhonomi; mahlayiselo ya swakudya; ku hluvuka ka swa thekinoloji; na vuswikoti bya mphakelo wa switirhisiwa swa mati hi vuswikoti na nhlayiseko swi karhata mahlayiselo ya switirhisiwa swa mati. (Translation of Xitsonga paragraphs follows.)
[Chairperson, the South African Vision 2025, which is a report that was written by the Office of the Presidency in October 2008, enumerates seven key proposals which guide the future of our country; they are in respect of changes in power and the world economy, world political powers, lack of water resources, economic growth, lack of resources, governance, and technology, which are key drivers of change in the water sector.
All the challenges that are mentioned above, and others, have a significant impact on the water sector. Other challenges, such as spatial settlement trends, climate change, environmental degradation, economic growth, food security, technological development, the ability to distribute water resources, and security impact the conservation of water resources.]
It is now widely recognised that a paradigm shift from the traditional supply-oriented mind-set towards one of water conservation and demand management is essential for the sustainability of water resources and the environment, as well as economic efficiency and social development. However, the move towards this integrated approach takes a great deal of time, effort and commitment on the part of key players at many levels in the institutional and political sphere.
The policy, legislation and strategy environment of South Africa's water sector is lauded as being among the best in the world. This environment has indeed created ample space for the development of multisectoral, integrated and inclusive approaches in order to ensure the sustainable management of water resources and delivery of water services. In South Africa the national Water Conservation and Demand Management Strategy for South Africa is one outcome of two pieces of legislation, namely, the Water Services Act, Act 108 of 1997, for treated water, and the National Water Act, Act 36 of 1998, which addresses water governance and water resources management.
The new democratic South Africa is a developing country that is water- scarce and water-stressed. In contrast to the traditional approach of only developing new supplies, the implementation of a paradigm shift to water conservation/water demand management is seen as essential for the sustainability of water resources and the environment, as well as economic efficiency and social development.
However, the problems and challenges of implementing many of the water sector's strategies still prevail - I have highlighted some of them. Currently, notable implementation challenges include ensuring integrated water resource management; developing critical skills; establishing collaborative approaches; and creating economies of scale in the sector.
Another area of concern for me, though, is that South Africa is currently investing heavily in water infrastructure, but does this necessarily translate ... [Time expired.]
ANC yi seketela mpimanyeto lowu. [The ANC supports this Budget Vote.] [Time expired.] [Applause.]
Chairperson, hon Minister and Deputy Minister, and hon members, the UDM supports Budget Vote 38. [Applause.] Hon Minister, I hope Minister Chabane will take note of the praise hon members have been showering on you and your department.
Bayakuncoma, ngoko ke sele sikunike amanqaku akufaneleyo thina. [They are commending you. Therefore, we have already given you all the marks that you deserve.]
Hon Minister, I agree with you that the challenges confronting the department responsible for Water Affairs do not just revolve around the water crisis South Africa faces today. They also have to do with the poor state of the water infrastructure in the country. Water leaks and burst water and sewerage pipes at the sides of our roads are responsible for most of the potholes that are increasingly becoming the defining feature of our roads.
In some areas, as you correctly said, water is yet to run from taps, although the water supply infrastructure was put in place some time ago. We suggest that the department should consider setting up a call centre that would allow it to receive early warnings and help it to address general water delivery challenges.
Compounding the delivery challenges is migration. As more people migrate to urban areas from small towns, the existing water supply and water infrastructure are put under tremendous pressure. There is therefore a need to better co-ordinate the delivery of water resources with that of human settlements infrastructure.
While we noted the announcement made by President Zuma during his state of the nation address about government's plans to build dams in some provinces, the department should ensure that the ongoing roll-out of clean water to rural communities remains intact. Expecting our people to wait for the completion of a long-term dam-building project before they can access clean water would be unjust.
When we engage with members of the public on this matter, they ask us to explain the process the department follows in approving applications for water, because they claim that the department gives special preference to certain communities. The department should develop a national register for all water applications. The aim of this register would be to ensure transparency and fairness in the delivery of water. Fairness in the water delivery process would ensure that water delivery occurred on a first come, first served basis. The opaqueness of the current water delivery system opens it up to political abuse in terms of which the politically connected and the powerful jump the queue willy-nilly.
Finally, I know of many villagers around the country who submitted their applications for water as far back as 1994, and those applications have not been finalised to this day. Some community members claim they are told that they will never get water if they do not vote for the ruling party. [Interjections.] To help resolve the situation, I would gladly arrange ...
Batsho; akutsho mna. [Kwahlekwa.] [They say so, not me. [Laughter.]]
I would gladly arrange for your department to conduct an inspection in loco in the affected areas.
Kutsho bona; akutsho mna, madoda. Ndisisithunywa. [They say so; I am not the one who says so, gentlemen. I am a messenger.] [Applause.]
Chairperson, hon Minister, hon members and the chair of the portfolio committee, chairpersons and chief executive officers of water entities and NGOs, chiefs who are here with us today and distinguished guests, all living organisms need water to survive. It is also the bloodstream of the green economy. That is why it is important that we share and use it wisely to benefit both people and the environment. Let me take this opportunity to present the key programmes we have implemented during the past fiscal year and give you a snapshot of our plans for the current financial year.
We are working with local government to ensure access to water. Water delivery is everybody's business. As the Minister mentioned, the establishment of the rapid response teams in each province, which work in collaboration with mayors and chiefs, has yielded good results and has made a difference.
We received several requests for interventions and support from mayors and chiefs. We fixed boreholes in Mukula village in Limpopo as a short-term intervention, while constructing a reservoir to be completed by October this year.
Our intervention in KwaZulu-Natal, in partnership with the MEC for Local Government and Traditional Affairs and Mhlathuze Water Board, provided water to the hospitals and communities in uMkhanyakude District Municipality. In Mhlahlane village in the Eastern Cape we drilled three new boreholes and repaired one existing borehole, in partnership with Amathole District Municipality. We are exploring options to reticulate water so that it will be closer to the communities.
I appreciate the co-operation and commitment of the mayors of Vhembe, Amathole and uMkhanyakude. The leadership and commitment of Chief Takalani, Chief Dumalisile, Chieftainess Mgwebi, Prince Sigcawu and the chairperson of Mhlathuze Water Board, who are present here today, is highly appreciated. They are seated here. Where are you? [Interjections.] No, I can't tell the chiefs to stand up! [Applause.]
We will provide hands-on support to the 23 district municipalities identified by the Cabinet lekgotla last year.
Regarding women's empowerment and development, I want to refer to the UN Secretary-General, Ban Ki-moon, who said that empowering rural women is one of the smartest investments any country can make towards its development. We believe that sustainable water resource management is achieved by the full participation of women. It is for that reason that we have the following projects.
The Adopt-a-River project addresses the concerns raised by the hon Koornhof. This project aims to protect our rivers from the pollution that threatens river health. We have created 1 008 jobs for women and trained them in basic accredited environmental management courses. This year we aim to train 90 young women, who will be twinned with our officials responsible for river health, on basic water quality testing. This initiative will encourage these women to register for advanced courses in water quality management. We will give them bursaries. They will have this story to tell: "I started as a river cleaner and now I am a scientist." [Applause.]
With regard to the Women in Water Awards, this project strengthens the active participation of rural women in water resource management. Women identify water-related challenges in their communities and conceptualise ideas for implementing solutions to those challenges. They are registered for the Women in Water Awards. The national winners receive cash prizes, which are used for further project development and implementation. The number of households that have benefited from this project is 309. Twenty women-headed households, which include child-headed households from Mbangwane village in the Mpumalanga province, were provided with rainwater harvesting tanks. Gardens were also started, specifically for the child- headed families. Malibongwe! [Praise!] [Applause.]
Regarding youth development, we are implementing the following youth development projects, which address the challenge of scarce skills, which is exacerbated by the ageing workforce, and also enable youth participation in the economy.
The War on Leaks project is aimed at reducing the amount of water that is unaccounted for because of leaks, while creating jobs and developing skills. It is aligned with the goal of reducing water loss by half by the year 2014. This project saved 6 393 kl in Mogale City in the Gauteng province. Forty young people were trained in how to fix leaks, toilets and lagging, as well as control-valve operation and maintenance. This project covered 200 households and 21 schools. The project was implemented by 29 unemployed young people recruited by Lesedi Local Municipality. The number of houses that were audited for leaks last year was 1 230, and there were six schools. The number of households that were retrofitted was 495. This year we will extend the project to the Limpopo, North West and Eastern Cape provinces, targeting 300 young people. We also have the Sebenza Nathi project, which is a partnership project with Rand Water aimed at training unemployed graduates to address the scarce skills challenge in the water sector. Through this project we trained 17 unemployed graduates as technicians, and they were placed in Lesedi, Merafong, Emfuleni, Midvaal and Randfontein municipalities.
Through our Water Affairs Learning Academy we have awarded 494 bursaries over the past five years and 82 graduate trainees have been appointed in the department.
Regarding public awareness and education, these are implemented through schools-based and community-outreach programmes. We have 2020 Vision, which continues to educate learners from Grade R to Grade 12 about integrated water resource management. This year we have added climate change and the environment, including water-related careers.
Our young people participate annually in the Stockholm Junior Water Prize competition during Stockholm World Water Week. In partnership with the Water Research Commission and the Department of Science and Technology, we are determined to do the patenting and piloting of these projects.
A total of 700 computers sponsored by MTN have been provided to schools that were the national winners of the Baswa le Meetse Award. Every year we host the Youth Water Summit, where learners present their action projects, go for excursions to Rand Water and the Roodeplaat Dam, do public speaking and debate on selected topics. They also participate in national competitions. During the Stockholm World Water Week, the African Ministers of water affairs resolved that the schools programme would be extended to all African youth. This would give them the opportunity to participate in our annual Youth Water Summit. This year the youth from Southern African Development Community, SADC, countries will present their programmes and also develop a SADC draft youth water strategy.
Through our Blue Bus road shows, with the theme, "Be water wise", we are able to zigzag across the country, reaching many communities. The bus travels all over the country, targeting municipalities that have a high rate of water leaks and educating them about water conservation through pamphlets, engagements with communities and industrial theatre. We acknowledge and thank our celebrities who have pledged to be water ambassadors. Water conservation awards are also presented to municipalities, industries, mining operations, water boards and individuals, recognising their efforts towards water conservation and demand management.
Through our rural development programme, 3 100 farmers were issued with water licences, rehabilitated and upgraded infrastructure, operation and maintenance subsidies, and rainwater tanks, as well as bulk pipeline infrastructure. As part of our water harvesting programme, 4 768 rainwater harvesting tanks were provided.
Our Compliance Monitoring and Enforcement Unit, the Blue Scorpions, managed to reduce the unlawful use of water, and the dumping along rivers of agricultural and industrial waste and sewage, as well as abattoir waste, to mention a few. The physical volume of all this waste has really been reduced. A total of 86 mines were audited, 6 mining operations were stopped for operating without water licences and five criminal charges were laid.
In collaboration with the Department of Defence and Military Veterans, we are implementing military veterans' projects. These include rehabilitating canals, clearing invasive alien species, creating secondary industries and developing skills. Through these projects with military veterans 750 jobs will be created.
We are also unlocking development potential in the North West. This municipal infrastructure Sip will support Taung and the Taung Dam, Greater Mamusa, Schweizer-Reneke and Madibeng and will see the construction of 55 bulk water supply infrastructure systems. In addition, 12 wastewater bulk infrastructure ... Thank you. I just wanted to add what still remained. [Time expired.] [Applause.]
Chairperson, hon Minister, hon Deputy Minister and hon members, I am honoured and deeply humbled by this opportunity to address the House and support the Budget Vote of the Department of Water and Environmental Affairs.
Since 1994, water has been included in discussion and policy documents, laws, regulations and programmes to meet the realities of the South African landscape. This process has entailed the instantaneous addressing of inequities for long-term outcomes and the setting up of water regulatory governance mechanisms.
Prior to 1994, an estimated 30% to 40% of South Africa's population was without adequate water supply services and some 21 million people were without adequate sanitation. Furthermore, in rural areas that had access to the supply of drinking water, the quality was often poor and that water could not be considered safe.
The water services sector has received significant government attention. The introduction of a new municipal system, new water policies and legislation, and a new financial framework have resulted in landmark changes in the approach to water service delivery in South Africa.
The institutional framework for the provision of water and sanitation services in South Africa involves many different players. These include the Department of Water and Environmental Affairs, catchment management agencies, water service authorities, water service providers and water boards. The key players in this diversity of institutions - considering both the scale of provision and the type of service provider - are the water boards.
Although water boards play a critical role in the water sector, they are somewhat of an anomaly within the institutional framework. Tensions arise from this dual accountability and these need to be addressed. I say this because the dissonance that emerges is in the law. A review of the legislation is critical in respect of any contradiction between the Water Services Act, Act 108 of 1997 and section 78 of the Local Government: Municipal Structures Act, Act 117 of 1998. This needs further interrogation.
The functions of the water boards involve operating dams and providing bulk water supply, infrastructure, some retail infrastructure and some waste water systems. Some also provide technical assistance to municipalities.
The portfolio committee's engagement with water boards from 2005 to date reflects a number of major recurrent challenges, namely the critical issue of operations, maintenance and infrastructure development; water quality issues; the need for updated technology due to the treatment required for the purification of water of increasingly poor quality; the failure of debt collection in weaker water boards, which affects viability; poor municipalities using their equitable share for other purposes, even after water services are provided; staff retention and skills shortages; the poor relationship between water boards and municipalities; and the outstanding debt owed to water boards by some municipalities. However, the municipalities, an important client of the water boards, face the challenge of ensuring the sustainability and achievement of the water boards. This has an impact on the workings of the water boards.
Some of the underlying causes of incompetent service delivery in municipalities can be identified as the following. Many municipalities are not served by any water board and many do not have the means or skills to increase their sources of supply. This limits the municipalities' ability to respond to demand for additional water and improved service levels. There are significant skills gaps in many municipalities. The poor state of wastewater treatment in many municipalities poses severe risks to the health of people downstream and to the natural environment.
According to the Departments of Water Affairs and Environmental Affairs as well as Forestry, the 2012 scorecard for the water boards' performance is generally satisfactory and their level of compliance is improving. However, underspending in the last financial year and debt owed by municipalities pose problems. Nevertheless, the department has created a new database to record performance, and it has drafted norms and standards.
I applaud the department for working through these issues, but for water boards to provide efficient water services and play a critical role in the water supply chain, the following require attention. The department must clarify the roles and responsibilities of the water boards in respect of governance and oversight. The performance contracts of the chief executive officers and chief financial officers of the water boards should be reviewed on an annual basis to address gaps and weaknesses in their operations. The department should also prioritise assistance to the ailing water boards and municipalities so that service level agreements can be drafted.
There is a marked absence of any formal economic regulation of water tariffs throughout the water cost chain. Self-regulation is evident in a number of instances but no formal economic regulatory function exists in any part of the water sector.
Regarding water tariffs, the department, together with the water boards, need to do the following. They need to take responsibility for debt resolution. The tariffs of water boards need to be structured in a way that makes it possible to recover operations and maintenance costs. They must ensure that assets are maintained and rehabilitated. Financing for capital expansion is critical for water boards that are operating "on the margins". Lastly, and most importantly, the sector needs leadership from the Department of Water and Environmental Affairs, particularly on the pricing strategy review, institutional realignment and reform, and legislative review.
It is important to highlight the challenges, but also to highlight the concomitant opportunities in the water sector to create synergy, balance and improved institutions to ensure service delivery to citizens in this country.
Some of the current challenges that confront the water sector in South Africa are the following. Improved water demand management is no longer considered a possible option, but rather a necessity that must be implemented as a matter of urgency. The municipal sector is the fastest- growing area of demand and it is becoming imperative that leaks, losses, inefficient use and poor revenue management are addressed. [Applause.] It should be noted that Salga outlined six recommendations for the water boards in its recent presentation to our portfolio committee.
In conclusion, I wish to urge that we as a country should place emphasis on the need for institutional capacity building in the form of water boards, their relationship with municipalities and, critically, the need to rebuild institutions such as water boards and municipalities rather than beginning a process of restructuring. As part of its approach to addressing the water sector challenges at all levels, the department established a business re- engineering committee, which is engaging on these issues. I wish the department well in this process. The ANC supports the Budget Vote. [Applause.]
Chairperson, hon Minister and Deputy Minister, and hon members, while the Departments of Water Affairs and Environmental Affairs as well as Forestry are responsible for the provision of bulk water supply, the municipalities and water boards of South Africa are critically involved in the delivery of clean water to the end users. For the provision of water to operate optimally, we need the whole chain to be working simultaneously. Regrettably, there are mixed results when it comes to water provision at the local level. It is an area that the national department needs to keep a close watch on.
The 2012 Blue Drop Report was released last week. An impressive 153 municipalities and 931 water systems were audited, and more than 1 900 water samples were taken, which is more than ever before. The good news is that the national Blue Drop score rose from 72,9% in 2011-12 to 87,6% in 2012-13. This means that overall, on average, the management of water systems has improved. This is in no small measure due to the actual Blue Drop mechanisms, which guide water service authorities on how to achieve compliance and make public the results at the end of each year for all to see. Particular praise must go to the Gauteng and Western Cape provinces, which obtained scores of 98,1% and 94,2% respectively.
Unfortunately, there are huge concerns with regard to unsafe tap water in 58 towns under the management of 14 different municipalities. The Minister has issued a warning that the water in these towns is not fit for human consumption unless it has been either boiled first or treated with a disinfectant. This situation is an indictment of the management of these municipalities. Water provision is a core function of municipal governance. It appears evident that these municipalities do not have the level of competency to perform the basic functions of municipal governance.
Four of the worst performing municipalities in the latest Blue Drop Report are from the Eastern Cape. Kou-Kamma Local Municipality has deteriorated from a weak 14,36% in 2011 to 5,6% in 2012; Ikwezi has dropped from 26,55% to 7,91%; O R Tambo District Municipality has dropped from 43,69% to 22,70% and Sunday's River Valley Local Municipality has dropped from 35,55% to 25,37%. There are similar situations in certain other provinces, including the Free State, Limpopo, Mpumalanga and the Northern Cape.
The Blue Drop Report has now alerted the Department of Water and Environmental Affairs to where the main problems are in municipalities. The department and the relevant provincial departments dealing with co- operative governance need to ensure that corrective action plans are implemented, timelines are in place and regular monitoring occurs. Moreover, if the worst performing municipalities cannot comply with norms and standards for whatever reason, then they should sign agreements with other entities, particularly water boards, for them to become the implementing agents for the management of water quality.
While the new Green Drop Report has not been released since mid-2011, I hope that the worst performing municipalities are being kept by the department to their corrective action plans.
Understanding the importance of the role that municipalities play in the provision of water to our people, I have, over the last few months, taken the time to see for myself, at first hand, the situation on the ground. When I visited Marquard, I found that it had been without water since the beginning of the year. Limited supplies of about two hours per day were available and water tankers had to bring in water from Clocolan on a daily basis. A private company has, at its own expense, installed water pipes and donated five pumps to assist this community. The situation could have been avoided if timeous repairs had been made to the dam wall. Human dignity is at stake in these towns and urgent intervention is required. In Ventersdorp sewage is running down a street from the wastewater treatment works and there is no evidence of urgency in the municipality to fix the problem. Marquard and Ventersdorp are just two examples of towns with water problems.
In Hoedspruit the town has suffered an intermittent water supply since the floods earlier this year damaged the treatment plant. In Carolina, for a period this year, tap water was compromised due to pollution from mine water.
Ailing infrastructure and transmission leakages are common across South African municipalities. Just the fixing of leaks in infrastructure would be a material intervention in increasing the water supply in South Africa.
Many municipalities are also compromising the performance of water boards through the nonpayment of debt. As at the end of 2011, R1,2 billion in debt arrears was owed to water boards. The water boards worst affected are Sedibeng Water, Lepelle Northern Water and Bushbuckridge Water. In each case, individual municipalities hold these water boards to ransom through nonpayment.
While there has been some improvement following dispute resolution processes, the problems are severe. These situations affect the ability of water boards to make capital expenditure investment and hamper their ability to make repairs to infrastructure. The Departments of Water Affairs and of Environmental Affairs as well as Forestry need to show greater leadership in settling disputes between municipalities and water boards. Where necessary, contractual arrangements between water boards and municipalities need to be tightened.
But there is also an issue of policy that needs to be considered by the Treasury. Many municipalities, as I have noted today, are not adequately performing their roles when it comes to water provision. Treasury needs to seriously consider making portions of the equitable share paid to weaker municipalities conditional on their being used exclusively for water provision.
It must be noted that the water boards are reporting an increase in the cost of purification, mainly due to the decreasing quality of bulk water as a result of pollution. This is a good reason why compliance and enforcement by the national department or the catchment management agencies have to improve, as pollution is resulting in an externalising of costs to the consumer.
An institutional review of water boards is currently under way. The DA is supportive of a rationalisation of the water boards, from the current 12 down to a more viable 8 or 9. Larger water boards, benefiting from economies of scale, could impact positively on water provision in a greater area of the country. The performance of municipalities with regard to water provision is mixed.
In conclusion, although the department's ability to identify problems at municipal level has improved, the ability urgently to assist with localised water crises needs improvement. South Africa has made so many significant gains in water provision since 1994. We must not allow it to be undermined by weak governance at local level. [Applause.]
Hon Chairperson, hon Minister Edna Molewa, Deputy Minister Mabudafhasi, hon members and distinguished guests, water is indispensable for life. It is also indispensable for economic activity. However, the water supply in South Africa is limited, unevenly distributed and negatively impacted upon, both by changes in climate and the prevalence and spread of invasive alien plant species.
Although water availability is one of the key challenges to South Africa's development, we have made significant progress in the development of the policy and legal framework dealing with water resources since 1994, and a range of management tools have been developed.
The percentage of households with access to water infrastructure above and equal to the standard set by the Reconstruction and Development Programme increased by March 2010. Although the rate of increase in the percentage of households with access to water is gradually slowing down, South Africa is likely to achieve the 2014 Millennium Development Goal of universal access to potable water.
Despite the scarcity and the challenges facing the distribution and allocation of water, we must continue to work tirelessly and with ever greater urgency to fast-track water infrastructure development. South Africa's installed base of water infrastructure is in need of attention, with dams for water abstraction and storage needing repair, water distribution pipelines requiring leak detection, and wastewater treatment facilities needing to be maintained, upgraded or, in some cases, completely rebuilt. Without swift infrastructure action, areas in South Africa may become water stressed.
As far as unlocking the economic opportunities of the North West province is concerned, Taung, including the surrounding villages in the Greater Taung and Naledi Local Municipalities, is experiencing water supply shortages. That is why we commenced with the implementation of the Oakman strategy in regard to bulk water supply, mostly for domestic water use. The Taung Dam is being used to address the bulk water supply and a total of approximately 186 000 households will be served with water. The project started during the 2009-10 financial year and several phases have already been completed. The budget allocation over the Medium-Term Expenditure Framework, MTEF, period is R358 million.
The Greater Mamusa project will focus on the upgrading of the bulk water supply to the Greater Mamusa area, including Schweizer-Reneke, Amalia, Glaudina and Migdol. This project consists of the development of groundwater sources, supplemented by surface water abstracted from the Bloemhof Dam. Construction will start during this financial year, using the department's construction unit. A budget of R435 million has been allocated over the MTEF period.
Still in the North West, in Madibeng there is a high demand for additional water to serve the numerous new developments that are currently being planned. These include greenfield developments and the densification of existing developed areas. The Madibeng project to upgrade the water treatment works is now in the design phase and construction will start during the current financial year. A budget of R75 million has been allocated over the MTEF period.
With regard to integrated municipal infrastructure projects in addressing the water supply and sanitation backlogs and the sustainability of the water supply, the Minister announced that for the current financial year the Regional Bulk Infrastructure Programme would continue to construct 55 bulk water supply projects and 12 wastewater bulk infrastructure projects. These projects would address the water supply needs of communities in 35 district municipalities.
One of the highlights of this financial year will be the completion of the Dwarsloop-Acornhoek steel pipeline for the provision of water to all nine rural communities, with a total estimated population of 265 000, in the Bushbuckridge Local Municipality by December 2012. As the pipeline completion progresses, each community is being connected with two communities already connected and receiving water. The total cost of the project is R130 million.
In addition, the Nandoni Bulk Distribution System, including steel pipelines, is being constructed and is expected to be completed by 2013 at an estimated cost of R750 million. You will remember that the Minister reported the failure of the glass-fibre reinforced plastic pipes and the two projects mentioned above will address the completion of the bulk distribution systems.
In the area of agro-logistics and rural infrastructure, we are making progress with the raising of the Clanwilliam Dam in the Western Cape. The design is under way and construction will start in 2013. This will include raising the dam by 13 m and will increase the water supply by 69,5 million m3 per annum. Rural areas that include Clanwilliam, Vredendal and Klawer will benefit from the increased supply. The total budget for this project is estimated at R1,8 billion.
Ladies and gentlemen, the department is working on a large project in Limpopo, namely the Greater Letaba River Water Augmentation Project. This includes the raising of the Tzaneen Dam and the construction of the Nwamitwa Dam and associated works. The Mopani District Municipality will be the beneficiary of this project. Phase 1 has already commenced and we have prioritised the urgent upgrading of the existing infrastructure, which will supply much needed water to domestic users. The total estimated cost for all phases will amount to R2,1 billion.
Another of the Sips is regional integration for African co-operation and development. On 11 August 2011, the Minister signed an agreement with her counterpart in Lesotho on the implementation of Phase 2 of the Lesotho Highlands Water Project. This project comprises the construction of the Polihali Dam and the transfer tunnel to the Katse Dam. Phase 2 will increase the supply of water to the Vaal River system, which will increase those already stretched water resources. The agreement allows for Lesotho to construct a hydropower generation system. This project is one of the flagships of economic integration and positions water at the core of regional development. The Minister has directed the Trans-Caledon Tunnel Authority, through the Lesotho Highlands Water Commission, to drive the implementation of this project. Water delivery is expected by 2020.
With regard to the dam safety rehabilitation project, the department has also set aside approximately R370 million to address dam safety rehabilitation. This programme deals with the rehabilitation of departmental infrastructure all over the country.
Regarding jobs and job opportunities, all our programmes put together have created 4 588 jobs, including those for youth and women, and a further 4 800 will be created during the 2012-13 financial year.
In conclusion, the ANC-led government has made great progress in the past 18 years in the provision of water to millions of homes. The ANC has always stood for basic democratic principles, including a Constitution that guarantees human rights for all, and the right to a minimum standard of life, including the right to access health, education, social security, food and water. The ANC-led government will continue forging a much stronger link between land and agrarian reform programmes and water resource allocation to ensure that the best quality water is available for economic development and for people's health and wellbeing. The ANC supports the Budget Vote. [Applause.]
Chairperson, let me take this opportunity to welcome our able director-general, which I did not do earlier. He is here with us now, having just arrived from Egypt, where he attended the African Ministers' Council on Water meeting. [Applause.] Thank you very much to the team leadership of the department. Thank you to all the hon members who have participated in this debate.
I was asked why we have such a lively debate on the environment and water, yet we don't differ greatly. My response is that we share an understanding of collectivism and collective leadership in the work we do. We articulated this very well today. That is really the reason we don't differ. That does not mean there are no instances where we disagree. We disagree with dignity and vision but in the final analysis we strive to find a good answer that takes our country forward. That is the big difference. [Applause.]
Having said that, I would like to remark on some issues raised by hon members. To the chair of this committee I would like to say, we really appreciate the role that you play as the chair. You can see the committee is well led.
You raised matters regarding the continuous need for oversight and mentioned the actual work that we are doing in the attempt to get our department back on its feet and deliver a good service to the people of South Africa. These comments are appreciated. Yes, we undertake today, in front of everybody here, to respond to the need and to continue briefing the committee and receiving constructive criticism, which builds us up, on a continuous basis. Thank you very much.
You, hon chairperson, and the member of the opposition in the committee, Mr Morgan, raised issues regarding infrastructure maintenance. Many other colleagues raised these issues too. The hon Holomisa raised them very sharply as well. We acknowledge the issues. By the way, we are not looking only at the municipalities. We believe there is a need to pay greater attention to this. That is why I articulated this in my presentation as well. We will follow the National Water Resource Strategy, which will be released in July this year, and we will definitely consult people.
Hon Morgan, you raised the fact that there was a need for a vigorous look at the allocation of water - the leader, which is Water Affairs, should be followed. We can make that difference collectively, and it is an imperative that we do so. That is why we are saying that whenever a development is being planned, the question that must be asked is this: "Is there water available?" That is the starting point. Then we can take that forward.
On the issue of towns like Carolina, Delmas and many others, where we have experienced certain challenges, which Mrs Wenger alluded to, we take cognisance of those areas and will definitely attend to them. This was alluded to in our Blue Drop Report this year. The good thing about the Blue Drop and Green Drop reports is that we do them for the purpose of looking at ourselves in the mirror and asking, "What do we need to correct?" They are reports that are intended to help us correct the work we do and the weaknesses we have experienced.
Regarding sustainable development, there is a poem about this good thing, which I like. I think I must recite it! Let me just say that I have a passion for sustainable development. As a matter of fact, we are going to Rio in a few weeks from now. Water is at the heart of sustainable development. Rio+20, the Adopt a River project and the Working for Water programme are all on the agenda and we are really doing that work well.
Mama Zikalala, we are honestly not lethargic. All the other programmes that you mentioned are on our work programme - desalination, boreholes, harvesting and so on. All those alternative methods are being considered. We acknowledge that we need to expand our education programme.
Man Manganye, ha swi twisisa loko mi ku vanhu va fanele va va na mati yo tirhisa emakaya hambi ku ri na nhluvukiso wa ikhonomi kumbe yin'wana. Hi pfumelelana na n'wina naswona hi ta endla tano. [Ms Manganye, we understand when you say that people are supposed to have water for domestic use, even when there is economic development or any other development. We agree with you and we will do so.]
Hon Holomisa spoke about a call centre and the need for a national register. These are possibilities we will definitely consider. At the heart of all this is the involvement of the people. I highlighted that in my speech. This is one of the few areas where people have not been included, at the heart of participation and lawmaking. Even in regard to planning, people have to be included and they have to be at the heart of it.
Hon Huang, we take note of all the issues you raised about the water boards, water tariffs and so on. We do take note and thank you very much. We will continue to report to you on the issue of debts owed by municipalities and we will work on that.
With regard to Green Drop, we will release a report. We are updating the report this year and next year we will definitely release the report. We do this kind of work every other year.
Regarding policy shifts needed, let us engage on that topic with government and with each other as well. We believe there is merit in ensuring that funds are set aside for the work we want to do.
I want to take this moment to thank you very heartily on behalf of the entire team in the water sector. All our boards are here. Nkosi Sigcawu, re re, re a leboga. [Chief Sigcawu, we are saying that, we thank you.] Thank you all very much for being here. Thank you to the team and thank you, Chair, for the lively debate. [Applause.]
Debate concluded.