South Africa is planning to initiate bid rounds for crucial water projects like desalination plants and water-reuse ventures to attract private investment, according to the head of the new Water Partnership Office, Johann Lubbe.
Taking inspiration from the successful Independent Power Producers Office, which drew over $10.5 billion into renewable energy projects, the Water Partnership Office aims to replicate similar successes in the water sector. Given the nation’s water scarcity, exacerbated by climate change and inadequate maintenance, this move seeks to address urgent water provision challenges.
South Africa is ranked among the world’s 30 driest nations, with an average annual rainfall of less than 500 millimeters. President Cyril Ramaphosa’s government has been striving to involve private companies in various sectors, such as energy and housing, to improve public services and bolster voter support.
Under the Department of Water and Sanitation, the Water Partnership Office, in collaboration with the Development Bank of Southern Africa, will support municipalities in preparing projects for private investment.
The office has secured funding from the National Treasury and the Green Climate Fund, with $235 million earmarked for a Water Reuse Programme valued at almost $1.5 billion. Additionally, it has received financial support from the Bill & Melinda Gates Foundation for non-sewer sanitation initiatives and is in discussions with other agencies for further funding.
A national water plan from 2019 highlighted the need for 900 billion rand to be invested in water-supply and storage infrastructure by 2030. This new approach, breaking away from past reliance on state-funded initiatives, aims to rejuvenate water infrastructure and alleviate the pressure caused by water scarcity and inadequate management.
Source: https://www.bloomberg.com/
Image courtesy: Greenpeace
