Overview of programmes
and latest developments
21 AUGUST 2014
By: Lerato Mokoena
Contents
1. Latest Developments
1.
2.
3.
4.
5.
6.
Government Outcomes
SONA
Strategic Planning (Minister’s presentation)
NT bid
Capacity Plan
Grant Review process
2. RBIG review
3. MWIG review
4. WSOS review
5. Conclusions
1: Latest Developments;1.1 Government Outcomes
Actions
Indicators / measures
2014 targets
Outcome 6: An efficient, competitive and responsive economic infrastructure network
Sun Outcome 4: Maintenance and supply availability of our bulk water resources infrastructure
ensured: dams and inter-basin transfers, bulk water and wastewater
41 Develop comprehensive investment programme
100% capacity in place by dates
for water-resource development, bulk-water
approved
supply and wastewater management, assessing
requirements to achieve universal access, and
a new dam
on the
43 prioritise
Establish regional
water
andUmzimvubu
waste-waterRiver
utilities
Percentage of municipalities
100% of municipalities covered
to support municipalities
covered by approved functional
by approved functional
regional utilities created
regional utilities created by
2019
45
Completion of the review process of Review report by Oct 2014;
Urgent review of water and sanitation norms and water and sanitation norms and
100% implementation as per
standards together with the financial provisions to standards;
approved timelines
meet these
% Implementation of approved
recommendations
46
% completion of the Mokolo and
100% completion by
Additional water supplies for Lephalale area
Crocodile River (West)
Augmentation Project phase 1
Support programme in place
December 2015
47 Establish a dedicated national programme to
Approval by June 2015;
target completion as per
provide support to local and sectoral efforts to
plan
reduce water demand and improve water-use
efficiency in the Agricultural sector
48 Investigate and implement water re-use and
Cabinet memorandum on
Jun-15
desalination projects and continue with applied research findings
research.
Sub Outcome 6: Coordination, planning, integration and monitoring implementation of strategic
integrated projects in the National Infrastructure Plan
67 SIP 18: Water and Sanitation Infrastructure Current: Water Resources
Current: Bulk Water Regional
Master Plan
Municipalities
Schemes : Programme ongoing
Current: Water Boards Projects:
Water Boards
Programme ongoing
…Outcomes
Outc Subome Out
7
Comprehensive Rural Development
Actions
Indicators / measures
5
Increased access to quality basic
Provide access to piped water in rural areas % of rural households with
access to piped water
infrastructure and services,
particularly in education,
healthcare and public transport in
rural areas
Responsive, accountable, effective and efficient developmental local government system
1
Members of society have
sustainable and reliable access to
basic services.
5
Local public employment
5
programmes expanded through the
Community Work Programme.
9
5
10
1
2
2
100% of households
by March 2019
Support municipalities to plan, implement,
operate and maintain infrastructure projects
or implement alternative delivery mechanisms
where local municipalities and or districts lack
technical capacity.
Proactively build capacity of non-profit
implementing agencies and participants
through skills development at site level.
• Institutional support plans for
Dec-16
municipalities developed or
alternative delivery mechansims
utilized
Establish 15 new sites in identified
municipalities.
15 additional sites established
with a minimum of 1000
participants per site.
PROTECT AND ENHANCE OUR ENVIRONMENTAL ASSETS AND NATURAL RESOURCES
Sub-outcome 1: Ecosystems are
1 Implement strategies for water conservation
sustained and natural resource are
and demand management
1
Water resources protection
used efficiently
Sub-outcome 2: An effective
climate change mitigation and
adaptation response
2014 targets
Development and Implementation of sector
adaptation strategies/plans
• Capacity building strategy and New institutional
programme developed.
arrangements
• Number of participants trained implemented
to enhance ability for self-help.
15 000 new work
opportunities by
March 2015 giving a
cumulative total of
187000 participants
Percentage reduction of projected 20% by 2019
demand for 8 large water supply
Number of sites with River Health 550 river sites
Programme implemented
Number of sector adaptation
5 Sectors by 2019
strategies/plans completed
1.2: SONA
SONA requirments
1) Mining
a. Motlosana
b. Emalahleni,
c. Sekhukhune,
d. Lephalale,
e. West Rand and (Mogale City, Merafong
City, Randfontein and Westonaria)
f. Matjhabeng.
2) Clanwilliam Dam
3) Objective is to complete new projects over the
next 12 months
4) Alfred Nzo District
5) Lukhanji Local Municipality
6) OR Tambo District municipality
7) Mbashe Local Municipality ; WW and water
quality
8) Ngaka Modiri Molema
9) Moqhaka Local Municipality , bucket eradication
10) Bucket eradication plan
RBIG projects
none
2 projects
4 project
1 project
3 projects
none
2 projects
57 projects RBIG
3 projects
1 projects
2 projects
3 projects
2 projects
1 project
2 RBIG projects
Provided
significant
budget
increase
1.3: DWS Strategic Planning session (15 Aug)
(Extract of Minister’s presentation)
Scene Setting
• This approach in the delivery of service should be
people-centred and underpinned by the notion
“there is nothing about us without us.”;
• At all times communities have to be involved and
consulted, not in a peripheral manner, but in a more
inclusive and engaging approach, to ensure that
there is a shared-vision for every development we
bring.
….Minister’s presentation
• Transition Plan from the Dept of Water Affairs to Dept
of Water and sanitation:
– The Presidential Proclamation no. 43 of 2014 (dated 8 July
2014) paves way for the establishment of a new
Department of Water and Sanitation (DWS) in support of
the new ministerial portfolio;
– The Department of Water and Sanitation thus incorporates
the mandates of the Department of Water Affairs and the
sanitation function transferred from the Department of
Human Settlements (DHS).
Key Areas of The Declaration of the Summit
1. Innovative Service
Delivery Model
3. Effective use of
Knowledge &
Information
2. Water & Sanitation
10 Year Plan
(2015-2025)
4. National Water
Resource Strategy 3
Or
National Water &
Sanitation Resource
Strategy 1
8
1. Innovative Service Delivery Model
Efficient and Effective
Service Delivery Model
Implemented
Effective licensing regime
Integrated Planning and
Implementation processes for
both Infrastructure and Water
Resources
Introduction of Regulatory
Reform
Evaluation of powers and
functions of local/district
municipalities as Water Service
Authorities
7% Operations and
Maintenance Investment
Water Loss target regime
Procurement Reform
National Water Services Policy
Partnerships, participation and
stakeholder relations
SERVICE DELIVERY MODEL
…Minister’s Presentation
GAME CHANGERS
– Reconsideration of water ownership patterns and
water use rights;
– Educate and create awareness on water
conservation; preservation, innovation and
security;
– Harmonise roles and responsibilities of
institutions and all spheres of government.
10
1.4: NT Bid summary
R (X 1000)
PROG
2014/15
RBIG
RBIG New scope,
Asset Management
MWIG Schedule 5b
MWIG Schedule 6b
WSOS Schedule 5b
WSOS Schedule 6b
ACIP
TOTAL
2015 MTEF R ( X 1000)
Status
existing
proposed
increase
existing
proposed
increase
existing
proposed
increase
existing
proposed
increase
existing
proposed
increase
existing
proposed
increase
existing
proposed
increase
existing
proposed
increase
R 4 654 148
R 524 826
R 534 150
R 499 558
R 142 013
R 246 959
R 6 601 654
2015/16
R 5 313 764
R 10 647 373
R 5 333 609
R0
R 580 000
R 580 000
R 1 291 729
R 1 291 729
R0
R 1 380 205
R 1 435 413
R 55 208
R 470 238
R 470 238
R0
R 151 185
R 151 185
R0
R 246 959
R 350 000
R 103 041
R 8 854 080
R 14 925 938
R 6 071 858
2016/17
R 5 726 895
R 12 140 846
R 6 413 951
R0
R 680 000
R 680 000
R 1 511 545
R 1 511 545
R0
R 1 302 002
R 1 354 082
R 52 080
R 495 160
R 495 160
R0
R 159 199
R 159 199
R0
R 246 959
R 350 000
R 103 041
R 9 441 760
R 16 690 832
R 7 249 072
total 2015
MTEF
R 6 070 509
R 17 111 168
R 9 528 940
R 32 317 159
R 3 458 431
R 15 205 991
R0
R0
R 880 000
R 2 140 000
R 880 000
R 2 140 000
R0
R 2 803 274
R 1 602 238
R 4 405 512
R 1 602 238
R 1 602 238
R0
R 2 682 207
R 1 435 327
R 4 224 822
R 1 435 327
R 1 542 615
R 519 918
R 1 485 316
R 519 918
R 1 485 316
R0
R0
R0
R 310 384
R0
R 310 384
R0
R0
R 246 959
R 740 877
R 350 000
R 1 050 000
R 103 041
R 309 123
R 6 837 386
R 25 133 226
R 14 316 422
R 45 933 193
R 7 479 037
R 20 799 967
2017/18
Key proposals
MWIG:
1) the DWA has selected not to request for an increase in funds
for the 2015/16 & 2016/17 for project implementation until such
a time that the MWIG programme is performing satisfactory
and is fully utilising its current allocation.
2) The DWA is however requesting that the MWIG programme is
increased to a fifth year and a budget allocation is made for the
2017/18 financial year of R 1.602 billion for schedule 5b and R
1.435 billion for schedule 6b.
3) Additional funds are requested for managing the schedule 6b
programme allocations and for implementing a required
training and capacity building plan.
4) The additional funds for MWIG programme management costs
and for direct training and support are limited to a 4% of the
total budget allocation of MWIG schedule 6b, and is calculated
as R 55.2 million , for 2015/16
Key proposals
WSOS:
1. The WSOS is coming towards its end of its life span, and
therefore no additional funds are required over and above its
existing 2014 MTEF allocation for the schedule 6b. The funds
allocated under schedule 5b which are for the cost of
seconded staff will however continue.
ACIP:
1. ACIP programme drivers:
– Significant refurbishment needs of aging infrastructure.
– Significant need for WC/WDM.
– The increasing number of service delivery related “hot-spots”
2. The current budget of ACIP for the 2014/15 financial year is
R247 million. It is proposed that as from 2015/16 the budget
for ACIP is increased to R350 million p.a.
Baseline allocation
Committed
Programme
Programme Management/
Feasibility Studies
Other projects
2016/17
R000
5 726 895
2017/18
Total MTEF
R000
17 111 168
6 070 509
92 109
103 293
109 490
304 892
1 368 986
1 761 455
1 518 453
4 648 894
666 735
803 491
643 045
2 113 271
2 669 028
2 722 342
3 589 902
8 981 272
516 906
336 314
209 619
1 062 839
Total Budget allocation
committed
5 313 764
5 726 895
6 070 509
17 111 168
Net fund available (1)
0
0
0
0
Flagship
..RBIG
2015/16
R000
5 313 764
Bulk Water 27 DM
WWT
Additional funds required
Existing
Other projects
committed
Flagship
projects (projects
Bulk Water 27 DM
in construction)
2015/16
R000
2016/17
R000
2017/18
R000
Total MTEF
537 598
595 766
-45 000
1 088 364
1 146 651
622 924
0
1 769 575
1 635 855
1 997 149
593 268
4 226 272
341 297
-18 297
0
323 000
3 661 401
3 197 542
548 268
7 407 211
Projects currently Other projects & hot spots
in feasibility
Flagship
phase (1st priority)
Bulk Water 27 DM
319 183
517 815
380 000
1 216 998
0
0
0
0
239 000
627 000
735 000
1 601 000
WWT
292 725
183 500
61 235
537 460
Total
850 908
1 328 315
1 176 235
3 355 458
Other projects & hot spots
404 300
664 877
1 109 928
2 179 105
Flagship
145 000
270 000
0
415 000
Bulk Water 27 DM
240 000
919 217
600 000
1 759 217
WWT
32 000
34 000
24 000
90 000
Total
821 300
1 888 094
1 733 928
4 443 322
WWT
Total
Projects currently
in feasibility
phase (2nd
priority) or
projects identified
Total Additional
5 333 609
6 413 951 3 458 431 15 205 991
1.5 Capacity Plan for MWIG /RBIG
Letter received from NT
Overview of skills / training strategies
WATER SECTOR
CAPACITY PLAN
MINI PLAN
LOCAL
GOVERNMENT
CAPACITY PLAN
Draft DWS Mini skills transfer capacity plan
1. Initiative A: Capacity programme to implement sustainable
reticulation projects to ensure basic water services (meet the
requirements of MIG /MWIG/ACIP). – Annual Workshops
2. Initiative B: Capacity programme to implement and maintain
bulk infrastructure projects.- Annual Workshops
3. Initiative C: General capacity programme for planning and
managing water services.- Annual Workshop
4. Initiative D: Conditions, Regulations, governance and intergovernmental co-operation.
5. Initiative E: Mentorship and skills transfer programme
6. Initiative F: Institutional capacity assessment and capacity
development support
1.6 Grant Review process (DWS Proposal (draft)
Regional Bulk Infrastructure Grant
Small Water
Resource (dams)
Acid Mine
Drainage
Regional Bulk
water supply
Regional effluent
schemes
Regional
WC/WDM
schemes
Regional raw
water supply
Consolidating : part of
RBIG, AMD, part of ACIP
New scope: Regional raw
water schemes,
Land
WC/WDM
aquisition
????
(new) Municipal Water Infrastructure Grant
Internal Bulk
Refurbishment of
WWTW and WTW
Water
distribution
Water Demand
Management
O & M and Asset
27 DMs (Backlogs
Management
in rural area)
support
Rapid response /
Hot-spots
Institutional
Planning support
capacity building
Consolidating : part of
RBIG, ACIP, WSOS, MWIG,
RRU, MIG, RHIG
New scope: O & M
support, Institutional
capacity, planning
2: RBIG review
• NT has complimented DWS on the
performance of RBIG
• NT has complimented DWS fro being the only
Department to submit a capacity plan and on
the quality of the plan
2. RBIG ; 2.1Challenges
A. Budget /cost
i. Overall programme budget insufficient (2016 MTEF Bid
requests double in order to complete existing projects and
implement new priority projects)
ii. A number of municipalities cannot afford the co-funding,
which could create a significant risk to the programme. (not
adequately budgeted)
iii. Some projects cost have escalated considerably
B. Institutional capacity
(95 % of budget is on projects > R 100 million, 110 projects)
i. WSA poor capacity to implement and manage projects
ii. WSA often do not want Water Boards
iii. Often there is no adequate institution to operate /manage
infrastructure .
iv. WSA are unsustainable due to lack of financial management
… Challenges
C. Scope of Programme
i. Need to make RBIG part of holistic programme
addressing the following weaknesses:
•
•
•
•
•
WC/WDM
Asset Management
Financial Management
Institutional development
Planning
ii. Need to improve integration / alignment
•
•
•
•
MIG
Planning
Water Boards
Metros
…Challenges
D. Project implementation
i. Project /cost creep
ii. Completing initial large projects
iii. Quality of procurement
iv. Quality of planning
E. Sustainability /functionality after completion
i. Inadequate O & M
ii. Lack of institutional capacity
iii. Lack of finances
iv. Other commitments / projects not materialising
2.2 RBIG Recommendations
A. Budget /cost
i.
Budget: High level discussion and assessment of DWA bid
(consequences /risks of budget constraints need to be acknowledged) ;
Alternative funding streams must be considered.
ii. Co-funding: Establish an urgent inter-governmental review panel on
co-funding.
iii. Project cost: DWA to review all large on-going projects and implement
phases; DWA to introduce tighter controls.
….RBIG Recommendations
B. Institutional capacity
i.
ii.
RWU: Policy and the establishment of RWU should be accelerated
WSA capacity: A more dedicated/specific to WSA and integrated
capacity building programme involving all key role players
IA: Escalation & political involvement in the choice of IA / WBs.
DWA to implement more stringent controls regarding weak WSA .
Comprehensive guidelines on > R 100 projects developed
Facilitate and agree on process (through current legislation) to allow
easier intervention by National Government when WSA fail.
iii.
iv.
v.
vi.
C. Scope of Programme
i.
ii.
RBIG scope: Discuss with NT a more holistic programme
Integration:
•
DWA to develop /improve internal capacity for planning;
•
•
Improve the provincial planning committees.
Centralise the planning for the entire water supply chain
….RBIG Recommendations
D. Project implementation
i.
ii.
iii.
iv.
v.
Improve planning: governance and funding
Increase DWA capacity to project manage and M&E
Introduce more stringent financial management controls
Review scope /phasing of all large projects
Accelerate (budget permitting) completion of projects
E. Sustainability
i.
ii.
iii.
iv.
Propose to NT some O & M support for first 2 years
DWA to improve monitoring after project completion
Legislation ??!!! On Minimum O & M standards / liability.
Re-assess all IA of projects > R 100 million (60 projects)
3 MWIG
3.1 Challenges
A. Project implementation
i.
ii.
iii.
iv.
v.
vi.
vii.
viii.
ix.
x.
xi.
Lack of capacity by many WSA to manage projects and Services
Money transferred to WSA are not used to implement projects
Resistance to the use of Water Boards by some weak WSA
Significant unit cost for rural water supply particularly in KZN
Demographics: Scattered and informal settlements over vast
distances and over difficult terrain
Resistance/rejection to localised solutions, interim or intermediate
solutions and the use of Community based organisations
Unsustainable, unaffordable operating and maintenance (O & M )
costs.
Inadequate planning, inadequate BP and technical reports
Lengthy delays due to various reasons.
Lack of capacity / poor performance / long delays by Water Boards
Schedule 5 syndrome by many WSA who tend to use the money as
they like or for other projects / initiatives besides the original BP.
…. MWIG challenges
B. Programme management
i.
ii.
iii.
iv.
v.
vi.
vii.
viii.
Risk of role overs not been approved will have a significant impact on
the overall budget of the programme.
Limited internal capacity with DWA to deal with the many challenges
and requirements of this new programme
Additional priority DMs ?? 24 are now 27 DMs
Need for similar interventions outside the 24 DMs.(now 27 DMs)
Lack of revenue connection /financial management (and
governance) of financial management in WSA threatens sustainability
of interventions
Moving target, new backlogs.
Overall costs are far greater than originally anticipated (MWIG budget
R 4,3 billion, revised estimate of need is greater than R20 billion.
Lack of integration of projects between various programmes.
3.2 MWIG Recommendations
i.
ii.
iii.
iv.
v.
Urgent escalation and engagement with Water Boards to
improve their performance.
Need to urgently secure funding for DWA to improve support on
planning (technical reports and BP) and programme
management – bid proposes a PM fee of 4% of schedule 6b
Increase / improve capacity and resources within DWA allocated
to managing programmes.
Escalate if necessary to political level disputes regarding IA and
the involvement of Water Boards and resolve.
Introduce a comprehensive “term-contract” that will speed up/
improve procurement.
……MWIG Recommendations
vi. Introduce more stringent assessments of projects approved.
vii. Improve DWA systems/procedures and guidelines.
viii. Motivate for the expansion of the programme as from year 3 to
go beyond the 27 DMs and address all WSA with backlogs.
ix. Develop and implement a capacity building programme for
specific WSA in conjunction with other key role players.
x. Hold a National workshop to discuss / deliberate on interim /
intermediate and rural water supply.
4 WSOS
4.1 WSOS Challenges
1. Ensuring compliance with the conditions of the grant and in accordance
with the residual scope statement established in June 2013.
2. Under-expenditure & non-performance of certain WSAs is negatively
impacting the completion of the programme.
3. Acceleration of refurbishment required in certain WSAs to ensure
completion of the programme within the next two years. Capacity of the
WSAs to enable such acceleration is questioned.
4. The insufficient attention to O & M by WSAs, including the adequate
assignment of budget, are a serious concern to the Department and
threatens the longer term sustainability of refurbishment projects.
5. Staff retained within the Department in Limpopo due to receiving WSAs
not accepting the transfer of such staff.
6. > R100 million schemes not yet officially transferred to the books of
receiving WSA’s, however the water services function has been
transferred
4.2 WSOS Recommendations
1. Focused programme management (completion strategy) to ensure
compliance and completion of residual scope
2. Implement alternative implementing arrangements for areas with
‘high’ residual need
3. Allocations to address and align with residual scope statements
4. Finalize alternative institutional arrangements to enable transfer of
remaining staff and > R100 million schemes
5: Conclusion
1. RBIG: Although there is always room for improvement
DWA is satisfied with the progress and achievements of
RBIG.
2. MWIG: CD is very concerned with the slow progress and
the number of challenges faced with MWIG and will be
placing extra focus and resources to resolve the
problems.
3. WSOS: The programme is coming to an end and DWA is
developing /implementing an exit /completion strategy
…conclusion
4. A number of the programme challenges require industry related
solutions involving all key role players:
– Institutional arrangements / capacity
– Governance and regulations
– Integrated planning
5. The constraints of limited funding (RBIG) need to be addressed
and / or the implication fully appreciated /acknowledged.
6. DWA’s new official role on sanitation, should have a significant
impact on its infrastructure support programmes.
7. The following critical issues will require high level involvement
from all key stakeholders to resolve:
– Lack of co-funding by WSA
– Ownership / management and transfer of infrastructure for
projects > R 100 million (more than 65 projects)
– Performance of Water Boards
– Inadequate integrated planning