(1) Honourable Member, I am informed that initially, uThukela District Municipality intended to implement the project itself. Upon realising that it could not afford to cover costs related to economic component of the project, as the Regional Bulk Infrastructure Grant (RBIG) does not fund such costs, the municipality decided to approach the Umgeni Water Board for assistance. The Uthukela District Municipality proposed that Umgeni Water should become the bulk water provider for the municipality. Both parties agreed that Umgeni Water would implement the Spioenkop-Ladysmith Bulk Water Supply Scheme. When Umgeni Water took over the scheme, a fatal flaw analysis was conducted and it was discovered that one of the key considerations relating to the water resource availability for the new infrastructure had not been effectively investigated by the municipality.
A hydrological study revealed that the scheme in the proposed form would not be possible as the water resource identified initially would not have been able to supply the proposed bulk water scheme. This meant that another feasibility study needed to be carried out and another alternative option to supply the area would have to be identified.
(2) Following the discontinuation of the initial proposal for the scheme, an entirely different concept needed to be adopted to ensure sustainable water supply to the areas concerned. A new feasibility study which would include a comprehensive options analysis to determine a reliable resource and the configuration of a scheme was needed. The scheme can then be connected to this resource and supply the needs of the regional area. The Umgeni Water Board is in the process of procuring a consultant to undertake the feasibility study and options analysis for the scheme. It is anticipated that the feasibility study will be completed by the end of 2021 and thereafter the project would move into a detailed design phase and construction.