The South African government is accelerating reforms in the water sector, including plans to establish an independent economic regulator and a national infrastructure agency, Deputy Minister of Water and Sanitation David Mahlobo said on Tuesday.
Speaking at the Africa Water Supply and Sanitation Regulators Conference in Cape Town on Tuesday, Mahlobo said the reforms are aligned to the National Development Plan 2030, the National Infrastructure Plan 2050, Operation Vulindlela and broader State reform initiatives aimed at strengthening institutional capability and infrastructure delivery.
Among the key reforms is the establishment of an Independent Economic Regulator for the water sector, which is currently underway.
The regulator is expected to strengthen tariff oversight, improve transparency and accountability, support evidence-based benchmarking, enhance investor confidence, and promote long-term sustainability across the sector.
“The objective is not simply to regulate prices, [but] create a fair, credible and predictable regulatory environment capable of balancing affordability for consumers with the financial sustainability required to maintain and expand infrastructure,” Mahlobo said.
Mahlobo acknowledged that institutional reform is inherently complex, as it requires policy coherence, technical expertise, stakeholder alignment and continuous learning -- a significant role the Eastern and Southern Africa Water and Sanitation Regulators' Association (ESAWAS) continues to play.
He commended ESAWAS, the conference convenor, for promoting regulatory cooperation across Africa, and its investment in professional capacity-building, technical skills development and institutional learning.
The Deputy Minister noted that regulation demands specialised competencies across engineering, economics, governance, finance, law, environmental management, and public policy.
“By investing in training programmes, benchmarking systems and peer learning platforms, ESAWAS is helping to build the next generation of African regulatory professionals and strengthening the institutional architecture necessary for effective governance.
“South Africa itself has benefited meaningfully from this partnership through technical exchanges, benchmarking initiatives and knowledge-sharing engagements with fellow African countries,” the Deputy Minister said.
Another major reform underway is the establishment of the National Water Resources Infrastructure Agency, aimed at strengthening the country’s capacity to finance, develop, manage, operate, and maintain strategic national water infrastructure.
“This reform is critical because infrastructure remains the backbone of water security. Without adequate investment in bulk water infrastructure, storage capacity, treatment systems, conveyance networks and maintenance programmes, neither economic growth nor universal access can be sustainably achieved,” Mahlobo said.
He said infrastructure investment remains critical to achieving water security and expanding access, warning that without it, economic growth and universal service delivery cannot be sustained.
Mahlobo also noted legislative reforms currently being pursued through amendments to the National Water Act and the Water Services Act.
He said the amendments seek to strengthen equitable water allocation, improve governance arrangements, enhance resource protection, reinforce accountability mechanisms, and improve institutional performance across the water value chain.
“The reforms introduce operating licences for water services providers. This represents a significant regulatory shift. It ensures that institutions responsible for delivering water and sanitation services possess the technical, financial, governance and operational capabilities necessary to fulfil their mandates effectively.
“At the same time, operating licences strengthen enforcement capacity by ensuring that persistent non-compliance, maladministration and institutional failure can no longer continue without consequence,” Mahlobo said. – SAnews.gov.za
