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Lepelle Water Board Powerpoint Presentation

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Lepelle Water Board Powerpoint Presentation LEPELLE NORTHERN WATER PresentationPresentation toto ParliamentaryParliamentary PortfolioPortfolio CommitteeCommittee onon WaterWater AffairsAffairs andand ForestryForestry 18th OCTOBER 2006 CONTENTSCONTENTS • Area of Supply • Commentary on DWAF Annual Report •Socio Economic Development. •Free Basic Water. •Community Support •Procurement. •Job Creation. • Service Delivery. •Project Consolidate. 2 AREAAREA OFOF SUPPLYSUPPLY The Board will be expanding into all Water Service Authorities – to capture 100% market share 3 AREAAREA OFOF SUPPLYSUPPLY ContCont…… SCHEME NAME SOURCE CUSTOMER CAPACITY Phalaborwa Lepelle (Olifants) River Ba-Phalaborwa 150 ML/Day Municipality. Politsi Makgobaskloof Dam Ø Mines.Greater Letaba 7 ML/Day Municipality. Modjadji Modjadji Dam Ø Greater Letaba 3 ML/Day Municipality. Nkowankowa Letaba River Ø Tzaneen Municipality 24 ML/Day Ebenezer Ebenezer Dam Tzaneen Municipality. 48 ML/Day Polokwane Municipality Olifantspoort Lepelle (Olifants) River Polokwane Municipality. 30 ML/Day Capricorn District. Doorndraai Doorndraai Dam Ø Mokgalakwena 12 ML/Day Municipality. Flag Boshielo Flag Boshielo Dam Ø Greater Sekhukhune 8 ML/Day 4 DWAFDWAF ANNUALANNUAL REPORTREPORT –– COMMENTARYCOMMENTARY Cont...Cont... • Challenges around tabling of tariffs at Parliament – LNW has complied with the provisions of sec 42 of MFMA. • LNW’s tariff increase for the current year is below inflation at an average of 3.21%. • Water quality at all our purification plants have achieved a standard of SANS 241 and is drinkable. • The Board has successfully refinanced the Ebenezer Loan taken from DWAF @ 15.75% with a loan from DBSA @ 9.21% resulting in interest savings of R12 million over the term of the loan. 5 DWAFDWAF ANNUALANNUAL REPORTREPORT –– COMMENTARY.COMMENTARY. WATER SERVICE AUTHORITY % MARKET STATUS Capricorn District Municipality Negotiations are at an advanced 14% stage. Conclusion by January 2007. Polokwane Local Municipality Agreement of 25 years has been 10% entered into on 01 February 2005 Mopani District Municipality 22% Negotiations are at an advanced stage. Conclusion by March 2007. Greater Sekukhune District Appointment has been confirmed, 22% Municipality finalizing the term of the contract. Vhembe District Municipality Negotiations are at an advanced 25% stage. Conclusion by January 2007. Mokgalakwena Local Municipality 6% Agreement of 30 years has been entered into on 01 May 2003. 6 SOCIOSOCIO--ECONOMICECONOMIC –– FREEFREE BASICBASIC WATER.WATER. MUNICIPALITY NUMBER OF LNW CONTRIBUTION AVERAGE VILLAGES PER MONTH CONSUMTION PER HOUSEHOLD PER MONTH 1. Makhudutamaga Municipality 41 R132,493 4.3 KL 2. Marble Hall Municipality 38 R122,301 3.7 KL 3. Polokwane Municipality 47 R379,518 3.4 KL 4. Lepelle-Nkumpi Municipality 20 R154,408 5.1 KL 7 SOCIOSOCIO--ECONOMICECONOMIC –– COMMUNITYCOMMUNITY SUPPORT.SUPPORT. • Corporate Social Investment funded out of surplus – a provision of R3 million for 2006/07. • Provision of Bursaries for engineering related studies. • Promotion of wetlands in the province of Limpopo. • Internships and experiential training. • The Board was one of the sponsors for women in water awards. 8 CostCost RecoveryRecovery TrainingTraining StatisticsStatistics MALE FEMALE TOTAL z - Cashiers 20 122 142 z - Vendors 106 842 948 z - Maintenance of standpipes 10 42 52 Grand Total 136 1006 1142 9 SOCIOSOCIO--ECONOMICECONOMIC –– HDIHDI EMPOWERMENT.EMPOWERMENT. • Supplier database in place updated annually – to increase the number of beneficiaries. • Procurement for 2005/06 on HDI is reported at 59% actual on a target of 60%. Total purchases of R78 million. • Partnership between emerging contractors and established contractors to transfer skills. • The target on HDI procurement has been revised to 70% for the 2006/07 to 2008/09. 10 SOCIOSOCIO--ECONOMICECONOMIC –– JOBJOB CREATION.CREATION. PROJECT NAME PROJECT VALUE JOBS CREATED Nkadimeng RWS R7,289,547 90 Flag Boshielo West RWS R8,942,588 100 Olifantspoort South RWS R15,797,027 110 Tshifudi RWS R8,000,000 100 Sekhukhune Deep Rural RWS R12,000,000 216 11 SERVICESERVICE DELIVERYDELIVERY –– PROJECTPROJECT CONSOLIDATECONSOLIDATE • Project Consolidate highlighted capacity constraints in Local Government Sphere. ¾ The Board has availed its services as an Implementing Agent to Municipalities on capital water related projects. ¾Assistance to WSA with the implementation of Free Basic Water. ¾ The Board has started in assisting municipalities in provision of sanitation services (such as Greater Tubatse Municipality), as the Board has traditionally provided only bulk water in its area of operation. 12 SERVICESERVICE DELIVERYDELIVERY –– PROJ.PROJ. CONSOLIDATECONSOLIDATE Cont..Cont.. • The Board piloted an intervention strategy at Greater Tubatse municipality as from January 2006 to date. • Greater Tubatse municipality is one of the project consolidate municipalities under Greater Sekhukhune District municipality. • The municipality invited Lepelle Northern Water to assist in arresting the water services shortage as the infrastructure was nearing collapse. • The Board will share in brief the experiences and learning's of the pilot project in Greater Tubatse Municipality. 13 SERVICESERVICE DELIVERYDELIVERY –– PROJ.PROJ. CONSOLIDATECONSOLIDATE Cont..Cont.. • Situation on the ground: • Water shortages for two weeks in a month – unreliable water supply. • Sewage spilling into the streets – transfer stations not functional. • Old purification plant not functional and reports from consultants requiring more than R1 million to repair. • Water losses of 52% in the municipal area. • Water revenue collected only R292k per month (December 05) 14 SewageSewage SystemSystem OverflowingOverflowing 15 BlockedBlocked SewageSewage ChamberChamber 16 ProperlyProperly FunctioningFunctioning SystemSystem 17 OldOld MeterMeter 18 NewNew MeterMeter 19 ManholeManhole CompleteComplete 20 SERVICESERVICE DELIVERYDELIVERY –– PROJ.PROJ. CONSOLIDATECONSOLIDATE Cont..Cont.. • Achievements in the past six months: • Revenue collection increased from R292k to R518k per month as of June 2006. • Water losses improved by 20% and projections to be less than 10% by December 2006. • Old purification plant brought back into operation at less than R50k. • Capacity increased by a further 2ML/day to 6ML/day to meet current requirements. 21 THANK YOU 22.
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