Department of Water and Sanitation Begins Raw Water Tariff Consultations

Posted 20 July 2026 Written by Acts Online
Category Water & Sanitation

Brought to you by SAnews: In terms of section 56(1) of the National Water Act, No. 36 of 1998, the Department of Water and Sanitation has initiated public consultations to determine raw water tariffs for the 2027/28 financial year.

The annual tariff determination process is conducted in accordance with the Raw Water Pricing Strategy and the Public Finance Management Act, No. 1 of 1999 (PFMA). The consultation program, which commenced on 13 July 2026, focuses on establishing raw water charges across the Vaal-Orange Catchment Management Area (VOCMA), which spans five provinces: the Northern Cape, Free State, Eastern Cape, North West, and Gauteng.

The public engagement sessions allow sector organisations and water users to submit inputs on proposed tariff increases, budgeting, revenue collection, and billing complexities. The consultation process targets key stakeholders across multiple sectors, including:

  • Mining and industrial sectors;
  • Agricultural water users;
  • Energy generation enterprises; and
  • Domestic water users and water service authorities.

Key Tariff Components Under Review

The proposed raw water charges cover three primary regulatory areas:

  • Water Resource Management Charges: Funds allocated for water resource protection, waste discharge management, and catchment administration;
  • Water Resource Infrastructure Charges: Levies designed to support the development, operation, and maintenance of state-owned water schemes; and
  • Water Research Levy: A statutory levy used to fund water-related research through the Water Research Commission.

Following the conclusion of the provincial public consultation sessions, the final proposals for the raw water use charges will be submitted to the Minister of Water and Sanitation for formal approval and subsequent gazetting.

What this means for you, your business, or your clients

  • For yourself: No direct individual compliance obligations; however, professionals advising municipal or utility clients should monitor these sessions to anticipate retail water tariff adjustments.
  • For your business: Firms operating in water-intensive sectors within the Vaal-Orange Catchment Management Area must review the proposed tariff structures to update their operational budgets and financial forecasts for the 2027/28 period.
  • For your clients: Agricultural, mining, and industrial clients should actively participate in the ongoing provincial consultation sessions to submit formal representations regarding the proposed infrastructure and management charges before the tariffs are finalised by the Minister.

Originally published at https://www.sanews.gov.za/south-africa/department-undertakes-raw-water-tariff-consultations

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