WSDP: MODULE 3
TOPIC 11: INSTITUTIONAL ARRANGEMENTS
11. INSTITUTIONAL ARRANGEMENTS
11.1 GENERAL FUNCTIONS
The City of Cape Town and the metro structure is made up of 8 Districts Although Water and
Sanitation Services was planned to operate along district lines, In practice they operate in a
mix of old and new boundaries covering the metro across 6 operational areas. The tree
structure below outlines the organizational structures and services covering the metro.
Table 1: Water Service institutional arrangements
Department of Water
Affairs (Regulator)
City Manager
Utility Services
Directorate
Consitutional responsibility for
water services provision
By-laws
City of Cape Town
Operational responsibility
for water services provision
Bulk Water
Water and Sanitation
Service Authority
Service delivery agreement
Water and Sanitation
Service Provider
Waste Water Treatment
Reticulation
By-laws
Water
Water Demand
Management &
Strategy
Sewerage
Engineering & Asset
Management
Scientific Services
Financial &
Commercial
Support Services
Consumer contracts
Consumer Charter
Consumer
Source: Water Demand Management Strategy;
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The CoCT is the WSA and the metro services are delivered as per the primary legislation
governing WSA’s. There has been discussion on how the contradiction between
operational areas and the district could be eliminated. This may result in the number of
districts being reduced to 6.
The primary legislation for WSA’s are as follows:

The Constitution of the Republic of South Africa Act 108 of 1996

The Water Services Act 108 of 1987

The Local Government: Municipal Structures Act 117 of 1998

The Local Government: Municipal Systems Act 32 0f 2000 (the Systems Act)

The Local Government: Municipal Finance Management Act 56 0f 2003 (MFMA)
As well as the following legislation impact on the WSA:

The National Water Act 36 of 1998

Division of Revenue Act (DORA)

National Health Act 61of 2003

The Disaster Management Act 57 of 2002

11.1.1 Policy Development
There are a number of policies in place that determine the level of service being
delivered and which also impact on the tariff setting.
These policies are namely:

Indigent Policy (updated annually)

Free basic water policy (including equitable share)

Free basic sanitation policy

Procurement Policy

Credit Control and debt Collection Policy (updated annually)

Supply Chain Management Policy

Tariff Policy (service tariffs are set annually)
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11.1.2 Regulation and Tariffs
The Water Services Act 21 requires Municipalities to make water services by-laws. These
laws are aimed at ensuring the sustainability of the municipality. The CoCT has bylaws with
regards to water supply, sanitation services, industrial effluent, Effluent reuse and Tariff
setting. The metro has experienced challenges in consistently monitoring industry in terms of
effluent discharge. In the isolated case this could be detrimental to WWTW. There may be a
need to boost institutional capacity deal with offenders. Tariffs are adjusted and approved
annually as part of a budgeting process.
11.1.3 Infrastructure Development Projects
The CoCT largely uses external Professional Consultants to design and supervise water and
sanitation and Projects. These projects are project managed by project managers who have
been made aware of the need to ensure a good quality design so to minimise the O&M costs
to the city. On the completion projects the as build information is captured on the GIS system
at district level and is migrated periodically to a global GIS database to consolidate all water
and sanitation information on a metro wide scale.
11.1.4 Water Conservation and water Demand Management
The strategies and measures implemented are discussed in detail in Topic 8 of Module 2
and 3.
11.1.5 Performance Management and Monitoring
The CoCT has a performance management in place as well as an SDBIP which is
completed regularly and acts a public document on the performance of the city on the
identified key performance areas. Politicians, councillors, and city administrative officials
have an opportunity to monitor performance of water and sanitation.
11.1.6 WSDP
The CoCT is committed to producing a WSDP every 5 years and to update it annually. There
is a concerted effort to coordinate the requirements for the IDP and WSDP to ensure that
there is strategic alignment that translates to responsive sustainable basic service delivery.
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11.2 Bulk and Retail Functions
The bulk water branch is responsible for:

Bulk Storage Dams and in some cases are responsible for dams owned the DWA in
terms of maintenance and safety checks.

Bulk Water treatment Plants

Bulk reservoirs

Bulk Water Mains

The metering of all bulk supply schemes and transfer schemes and pressure zones

Supplying external bulk consumers
The reticulation branch is responsible for:

The distribution network

Metering and of the individual consumers

Remote monitoring of the network and meter reading

Local Tanks and reservoirs
The WDM&S branch is responsible for:

The installation WDM devices and the simultaneous write off of areas.

The installation of treated effluent network and metering.
The CoCT responsible the following:

The provision 6kl per month free water per household.

The implementation of the indigent policy that translates into R30 to additional free
water. In informal settlements the target is to ensure access at 20 households per
tap.

The implementation of free sanitation to indigent households and informal
settlements. For informal settlements the target is 5 households per toilet.

The recent introduction of the backyarder policy will introduce a metered backyard
connection and prefabricated toilet. This is at pilot stage but likely to be rolled out
firstly to all public rental stock.
11.2.1 Water Service Provider (Retail Water)
The CoCT will be WSP for retail water
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11.2.2 Water Service provider (Sanitation)
The CoCT will be the service provide for sanitation services
11.2.3 Water Service Provider (Bulk Water)
The CoCT provides water to a number small municipalities via a service level agreement
that requires revision from time to time.
11.2.4 Water Service provider (Bulk Sanitation)
The CoCT provides sanitation via 23 waste water treatment plants which and 3 sea outfalls.
Four WWTW have reached its capacity with two currently under expansion.
There is currently consideration to allow specific developments to do on site treatment, this
is being done in one case where there is capacity problems with the green-point outfall.
To improve proactive maintenance there is a focus on asset management, condition
assessment, improved asset register development, skills development and management
training to improve operations at various works.
11.2.5 Support Services Agents
Not applicable
11.2.6 Support services Contracts
The CoCT does a large proportion of infrastructure maintenance but cases were specialist
work needs to be done contractors will used. The city makes use of a number contractors
that range from management of treatment works, cleaning of reticulation lines, pipe
assessments. The Zandvliet WWTW is being run under contract with regular monitoring of
the management and testing of quality the treated effluent. The city also makes use of meter
reading contractors in certain areas.
11.2.7 Water Services Institutions
Not applicable
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11.2.8 WSP Training Programme
The work place skills plan aims to achieve the following:

Enhanced service delivery

Succession planning

Talent management

Career path for employees

Focussed attention on scarce & critical skills

Improved literacy & numeracy skills

Creation of a culture of learning within the organisation
11.3. Water Service Provider
11.3.1 Water
The CoCT will remain the WSP for water services provision and will focus on continuously
improving maintenance, reducing losses, demand management, improved revenue
collection and planning ahead. The City has invested in understanding options for growth
and at the same time how increased density could help improve efficiency of its
infrastructure. There will be a need to ensure that all new infrastructure be informed by the
City Master Plan.
11.3.2 Sanitation
The CoCT will remain the WSP for sanitation services provision and will focus on
continuously improving maintenance. The City has invested in understanding options for
growth and at the same time how increased density could help improve efficiency of its
infrastructure. There will be a need to ensure that all new infrastructure be informed by the
City Master Plan.
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