The purpose of the Water Services Operating Subsidy Grant is to subsidise water schemes owned and/or operated by the Department of Water Affairs or by other agencies on behalf of the Department. Net additional allocations to the Water Services Operating Subsidy Grant amount to R22.1 million in the 2010/11 financial year and is comprised as follows: R8.4 million is added to the Schedule 6 Grant and R13.7 million is added to the Schedule 7: Grant-in-kind.