The imperative of transparency in raw water charges

Water is a fundamental resource, essential for life and indispensable for agriculture. Raw water tariffs are determined annually in accordance with the Department of Water and Sanitation’s (DWS) Raw Water Tariff Strategy. As the DWS prepares to update its Raw Water Tariff Strategy—an initiative last refreshed in 2007—the time is ripe to address a critical issue which is transparency in raw water charges.

The complexity of raw water tariffs lies in their composition. They encompass various costs namely a combination of catchment management area costs, infrastructure costs, waste discharge costs and water research commission costs, and differ from sub-catchment area to sub-catchment area. Certain allowances are provided for, such as allowances for drought-affected areas and for resource poor farmers.

AgriSA acknowledges that expensive water infrastructure needs to be paid for fairly by those using or benefitting from it but stresses the importance of food security as well as the multiple economic and social benefits created by commercial farming, particularly in rural areas. The tariffs should reflect a balanced approach that supports both sustainable water management and the economic contributions of commercial farming.

As emphasised during recent consultations with the DWS, sensible engagement on raw water tariff increases requires full transparency on the sources and utilisation of raw water tariffs, budgeting procedures, outstanding debt, allocation of grants and treatment of new and existing assets and infrastructure. Through embracing transparency, we pave the way for a more informed and equitable water management strategy that benefits all stakeholders and reinforces the essential role of agriculture in our economy and society.