. Water Services Operating Subsidy Grant - increases by R8.399 million from R661.704 million to R670.103 million. This Grant subsidises water schemes owned and/or operated by the Department of Water Affairs or by other agencies on behalf of the Department and transfer these schemes to Local Government. . Municipal Drought Relief Grant - increases by R92.000 million from R228.357 million to R320.357 million. The Grant provides capital finance for basic water supply in municipal infrastructure for affected households, micro enterprises and social institutions. Schedule 7 Grant The following amendments were noted in respect of allocations-in-kind to municipalities for designated special programmes: