Berg Water Management Area

Proposal for the Establishment of the Berg Catchment Management Agency

Developed in terms of Section 77 of the National Water Act, 1998 (Act No. 36 of 1998) for submission to the Minister of Water Affairs and Forestry

Prepared by the stakeholders of the Berg WMA and facilitated by: NOSIPHO CONSULTING (Pty) Ltd BERG Catchment Management Agency

Acknowledgements

This proposal would not have been possible without the input from all the stakeholders (represented by the Catchment Management Agency Reference Group) in the Berg Water Management Area. Their dedicated support and enthusiastic participation made it possible to complete this process within two years.

The result is a fully integrated, community and stakeholder driven Proposal for the Establishment of the Berg Catchment Management Agency.

Support Team

DEPARTMENT OF WATER AFFAIRS AND FORESTRY (Western Cape) Willie Enright Bertrand van Zyl Darril Daniels Marissa Alberti

DEPARTMENT OF WATER AFFAIRS AND FORESTRY (Pretoria) Silas Mbedzi Eustathia Bofilatos Derek Weston Elmarie van Rooyen

CONSULTANT TEAM: NOSIPHO CONSULTING Doreen Februarie Bea Whittaker Faldee Abrahams Mathabo Ntumba Annedene Rass

Proposal for the Establishment of the Berg CMA ii As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

Executive Summary

The promulgation of the National Water Act (Act No. 36 of 1998) set in motion a process of fundamental change in the way in which water resources are managed in South Africa. One of the key aspects of this process is the establishment of new water management institutions that will allow water user and other interest groups to participate in the management of their water resources. The most significant of these institutions is the Catchment Management Agency (CMA).

The National Water Act makes provision for the creation of CMAs to manage the water resources within specific Water Management Areas. In the capacity as custodian of the nation’s water resources, the Minister of Water Affairs and Forestry, through the Department of Water Affairs and Forestry (DWAF), has divided South Africa into 19 Water Management Areas (WMAs), of which the Berg WMA is one. The goal is the holistic and sustainable management of South Africa’s water resources through an institutional framework of integrated water resources management.

In order to achieve integrated water resource management, a Catchment Management Agency has to be established for each WMA. This must be done in a consultative way with the stakeholders from the WMA. The first meeting to mobilise stakeholders was held in July 2005.

During the following two years the consultative process resulted in this Proposal for the establishment of the Berg Catchment Management Agency, prepared in terms of Section 77 of the National Water Act, Act No. 36 of 1998. In accordance with the requirement of the Act, the proposal includes the following:

• A proposed name and a description of the proposed water management area of the agency; • A description of the significant water resources in the proposed water management area, and information about the existing protection, use, development, conservation, management and control of those resources; • The proposed functions of the CMA, including functions to be assigned and delegated to it; • How the proposed CMA will be funded; • The feasibility of the proposed CMA in respect of technical, financial and administrative matters; and • An indication whether there has been sufficient consultation during the development of the proposal, as well as the results of the consultation.

The Proposal is structured according to a format suggested by the Department of Water Affairs and Forestry’s Western Cape Regional Office and the national Chief Directorate of Institutional Oversight. The contents of the Proposal are the result of deliberations by the Berg CMA Reference Group, assisted by a support team that were guided by DWAF: Western Cape.

In Chapter 1 of the Proposal, a summary of the participation process is given. This Section gives a detailed description of how stakeholders were mobilised and how stakeholders remained involved in the preparation of the Proposal. The capacity­building and empowerment activities undertaken in the WMA are discussed in detail. Chapter 1 also provides information on the communication activities implemented to create a better understanding of the issues related to IWRM and the reasons for the CMA establishment process.

Chapter 2 focuses on the description of the Berg WMA itself, as well as the existing urban and agricultural water use requirements. As this WMA does not have sufficient resources to fulfil the required future water needs, information from the Western Cape Reconciliation Strategy Study (being done while this Proposal was being written) informed many aspects of the chapter. The objective of the Reconciliation Study is to develop strategies to reconcile projected water demands with the supply from the Western Cape Water Supply System (WCWSS) for approximately the next 20 to 25 years. The chapter also provides an overview of the key water resource issues identified by members of the Reference Group at their meetings, as well as the capacity building workshops held as part of the process.

Proposal for the Establishment of the Berg CMA iii As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

Chapter 3 gives a detailed description of the institutions involved in water matters in the Berg WMA. The capacity and expertise already present in the WMA because of these institutions, as well as the willingness and capability of Non Governmental Organisations (NGOs), Community Based Organisations (CBOs) and Emerging Service Providers (ESPs) to become involved in water resource management, will simplify the tasks of the proposed CMA. This is the main reason why it is proposed that the CMA operates with a small core personnel structure and rather outsource as many operational functions as possible to existing and emerging institutions in the area.

Chapter 4 provide detail on the functions the proposed CMA should fulfil. The functional areas proposed for catchment management strategies were used as the point of departure for the identification of the functions.

In Chapter 5 the proposed organisational structure the CMA should take is described. The expertise and number of people required is based on the functions identified in Chapter 4. It is understood that the CMA will evolve over a period of time until it has established itself as a “responsible authority” in terms of the National Water Act (Act No. 36 of 1998). It is envisaged that the CMA will grow to approximately 60 staff members when it reaches full functionality.

Chapter 6 discusses the cost and the financial viability of the CMA – taking into account the functions it has to perform and the services it has to deliver – in comparison to the income it will generate by means of water use and the proposed wastewater discharge charges. The financial support needed at the initial phase is outlined, as are the risks associated with the establishment of a new organisation.

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Proposal for the Establishment of the Berg CMA iv As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

List of Acronyms

ACRU Agricultural Catchments Research Unit (Agro­hydrological model) CARA Conservation of Agricultural Resources Act CBO Community­based Organisation CEO Chief Executive Officer CMA Catchment Management Agency CMC Catchment Management Committee CMS Catchment Management Strategy CNC Cape Nature Conservation CSIR Council for Scientific and Industrial Research DEA&DP Department of Environmental Affairs & Development Planning DPSA Department of Public Service Administration DWAF Department of Water Affairs and Forestry EJNF Environmental Justice Networking Forum ESP Emerging Service Provider FLOSAL Flow Salinity model GAAP Generally Accepted Accounting Principles GDP Gross Domestic Product GIS Geographic Information System Ha Hectare HDI Historically Disadvantaged Individual HO Head Office IB Irrigation Board IDP Integrated Development Plan IFR Instream Flow Requirements ISP Internal Strategic Perspective IWRM Integrated Water Resource Management 03 Cubic Meter (equal to kilolitre or 1 000 litres) MAR Mean Annual Runoff Masl Meter Above Sea Level NEMA National Environmental Management Act NGO Non­Governmental Organisation NWA National Water Act NWRS National Water Resource Strategy PGDS Provincial Growth and Development Strategy PFMA Public Financial Management Act PSDF Provincial Spatial Development Framework SDF Spatial Development Framework

Proposal for the Establishment of the Berg CMA v As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

URV Unit Reference Value WARMS Water Use Authorisation and Registration Management System WCWSS Western Cape Water Supply System WCWRSS Western Cape Water Reconciliation Strategy Study WDCS Waste Discharge Charge System WfW Working for Water WMA Water Management Area WMI Water Management Institutions WRM Water Resource Management WSA Water Services Authority WSDP Water Services Development Plan WSI Water Services Institution WSP Water Services Provider WUA Water User Association WWTW Waste Water Treatment Works

Proposal for the Establishment of the Berg CMA vi As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency TABLE OF CONTENTS

1. STAKEHOLDER ENGAGEMENT ...... 1 1.1 ESTABLISHMENT OF A CMA REFERENCE GROUP ...... 1 1.1.1 Public Meetings of the Reconciliation Study...... 1 1.1.2 Invitation to participate and Newsletter...... 2 1.1.3 Establishment Meeting...... 2 1.1.4 Proposed Structure of Meetings...... 2 1.2 REFERENCE GROUP MEETINGS: ...... 3 1.2.1 Meeting 1: 21 July 2005, Stellenbosch...... 3 1.2.2 Meeting 2: 14 September 2005, Franschhoek...... 3 1.2.3 Meeting 3: 17 November 2005, Sir Lowry’s Pass Village ...... 3 1.2.4 Meeting 4: 8 February 2006, Tulbagh...... 4 1.2.5 Meeting 5: 12 April 2006, Velddrif ...... 4 1.2.6 Meeting 6: 14 June 2006, Villiersdorp...... 5 1.2.7 Meeting 7: 16 August 2006, Durbanville...... 6 1.2.8 Meeting 8: 11 October 2006, Nelson’s Creek, Wellington...... 7 1.2.9 Meeting 9: 22 November 2006, River Club, Cape Town ...... 7 1.2.10 Meeting 10: 14 February 2007: Skilpadvlei, Stellenbosch ...... 8 1.2.11 Meeting 11: 11 April 2007: Môreson, Franschhoek...... 8 1.2 NEWSLETTERS ...... 9 1.2.1 Newsletter 1: November 2005...... 9 1.2.2 Newsletter 2: January 2006 ...... 9 1.2.3 Newsletter 3: March 2006 ...... 9 1.2.4 Newsletter 4: May 2006 ...... 9 1.2.5 Newsletter 5: October 2006...... 10 1.2.6 Newsletter 6: April 2007...... 10 1.3 CAPACITY BUILDING WORKSHOPS / MEETINGS...... 10 1.3.1 Capacity Building Workshops...... 10 i) Capacity Building Workshop 1: 10 August 2006...... 10 ii) Capacity Building Workshop 2: 27 September 2006...... 11 iii) Capacity Building Workshop 3: 14 November 2006...... 11 iv) Capacity Building Workshop 4: 8 February 2007...... 11 v) Capacity Building Workshop 5: 4 April 2007...... 12 vi) Capacity Building Workshop 6: 23 May 2007...... 12 1.3.2 Interaction with other interested parties ...... 12 i) Students in IWRM...... 12 ii) Western Cape Water Reconciliation Strategy Study ...... 12 iii) Involvement in other DWAF processes...... 13 1.4 CHALLENGES IN STAKEHOLDER ENGAGEMENT...... 13 1.4.1 Local Authorities ...... 13 1.4.2 Civil Society...... 13 1.4.3 Co­ordination between Activities of various Departments...... 14 1.4.4 Communication with Stakeholders ...... 14 1.4.5 Capacity Building, Training and Education...... 14 1.4.6 Conflict Resolution ...... 14

2. EXISTING WATER RESOURCES ...... 15 2.1 OVERVIEW OF THE BERG WMA...... 15 2.1.1 Natural Characteristics...... 15 2.1.2 Development ...... 17 2.1.3 Water Management Institutions...... 18 2.1.4 Registration of water use...... 18 2.1.5 Agricultural Water Demands...... 18 2.1.6 Environmental Demands...... 19 2.1.7 Transfer schemes ...... 19 2.1.8 Progress with water conservation and water demand management ...... 20 2.1.9 Implementation of the Berg Water Project...... 20

Proposal for the Establishment of the Berg CMA vii As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

2.2 EXISTING FEATURES OF THE BERG WMA ...... 21 2.2.1 Main geological features ...... 21 2.2.2 Urban features ...... 21 2.3 FUTURE LAND USE ...... 22 2.4 PRESENT WATER USERS...... 23 2.5 DEVELOPMENT OF WATER RELATED INFRASTRUCTURE ...... 24 2.5.1 Development Schemes Implemented between 1995 and 2000...... 24 2.5.2 Current schemes being developed...... 24 2.5.3 Possible Future Schemes...... 25 2.5.4 Western Cape Water Reconciliation Strategy Study...... 25 i) The Western Cape Water Supply System (WCWSS)...... 25 ii) Balancing demand and supply...... 26 iii) The Process of evaluating future Water Demand and Supply Options...... 26 2.6 KEY WATER RESOURCE ISSUES IN THE BERG WMA...... 32 2.6.1 Aquaculture...... 33 2.6.2 Commercial farmers...... 33 i) Water assurance ...... 33 ii) Water quality...... 33 iii) Economy and employment ...... 34 iv) Other general issues raised:...... 34 2.6.3 Resource­poor Farmers ...... 34 2.6.4 Farm workers...... 35 2.6.5 Community­based Organisations (CBO)...... 35 2.6.6 Environment and Conservation ...... 36 2.6.7 Forestry ...... 38 2.6.8 Industry and Commerce ...... 38 2.6.9 Local Government ...... 38 2.6.10 Provincial and National Government...... 39 2.6.11 Research and Education ...... 40 2.6.12 Tourism and Recreation ...... 40 2.6.13 Urban Water Users...... 40 2.6.14 Water User Associations ...... 41

3. EXISTING INSTITUTIONAL AND FUNCTIONAL ARRANGEMENTS AND CAPACITY IN THE BERG WMA...... 43 3.1 GENERAL ...... 43 3.1.1 National Water Resource Strategy (NWRS)...... 43 3.1.2 Role of the Department of Water Affairs and Forestry ...... 43 3.1.3 Roles and Responsibilities of Institutions...... 44 3.2 EXISTING INSTITUTIONAL AND FUNCTIONAL ARRANGEMENTS...... 44 3.2.1 Regulators ...... 44 3.2.2 Water Service Institutions ...... 45 3.2.3 Water Management Institutions...... 45 3.3 EXISTING CAPACITY AND FUNCTIONS PERFORMED BY WATER MANAGEMENT INSTITUTIONS IN THE BERG WMA (WMA 19)...... 47 3.3.1 Department of Agriculture (Western Cape)...... 47 3.3.2 West Coast District Municipality...... 47 3.3.3 Local Authorities ...... 48 3.3.4 Water User Associations ...... 48 3.3.5 NGOs, CBOs and ESPs...... 48

4. PROPOSED FUNCTIONAL EVOLUTION OF THE BERG CMA ...... 50 4.1 FUNCTIONAL EVOLUTION OF THE BERG CMA...... 50 4.1.1 The National Picture ...... 50 4.1.2 Water Resource Management...... 51 4.1.3 Initial powers, duties and functions of a CMA ...... 51 i) Initial powers of the CMA...... 52 ii) Initial duties of the CMA...... 52 iii) Initial functions of the CMA...... 53 4.1.4 Additional powers, duties and functions ...... 53

Proposal for the Establishment of the Berg CMA viii As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

4.1.5 Governance functions ...... 54 4.1.6 Proposed functions of the Berg CMA...... 55

5. PROPOSED ORGANISATIONAL STRUCTURE OF THE BERG CMA...... 66 5.1 CONSIDERATIONS FOR THE ORGANISATIONAL STRUCTURE...... 66 5.1.1 The expertise required to implement integrated water resources management (IWRM)...... 66 5.1.2 The need for a developmental, participatory and co­operative organisation ...... 66 5.1.3 The importance of efficiency, effectiveness and service delivery...... 66 5.1.4 The need for transformation and mentoring ...... 67 5.1.5 Robustness to organisational change and evolution...... 67 5.1.6 Focus on core business...... 67 5.2 KEY FACTORS INFLUENCING THE ORGANISATIONAL STRUCTURE ...... 67 5.2.1 Characteristics of and WRM challenges in the WMA ...... 67 5.2.2 Institutional capacity...... 67 5.3 PROPOSED ORGANISATIONAL EVOLUTION OF THE CMA...... 67 5.4 LIAISON BETWEEN DWAF AND THE CMA ...... 70 5.5 LIAISON BETWEEN THE CMA AND STAKEHOLDERS ...... 70 5.6 POSSIBLE RISKS TO THE VIABILITY OF THE PROPOSED ORGANISATIONAL STRUCTURE...... 71 5.6.1 Political interference: ...... 71 5.6.2 Appointment procedures: ...... 71 5.6.3 Below­standard performance and delivery:...... 71 5.6.4 Too much delegation:...... 71 5.6.5 Duties and responsibilities of the CMA vs DWAF...... 71 5.6.6 Other general risks identified include: ...... 72

6. FINANCIAL VIABILITY OF THE BERG CMA ...... 73 6.1 COST OF WATER RESOURCE MANAGEMENT...... 73 6.1.1 Cost components:...... 73 6.1.2 Staff costs:...... 73 6.2 PROPOSED SOURCES OF FUNDING...... 74 6.2.1 Initial set­up seed funding ...... 74 6.2.2 Water use charges...... 75 6.3 FINANCIAL IMPACT OF THE PROPOSED WATER USE CHARGES ...... 76 6.4 RISKS TO FINANCIAL VIABILITY...... 77 6.4.1 Under­estimation of the salary structure ...... 77 6.4.2 Estimation of operational costs...... 77 6.4.3 Resistance to registering water use and waste discharge because of a perceived lack of “true value” – not understanding the benefit of paying...... 77 6.4.4 Inability to collect charges effectively ...... 77 6.4.5 Escalating water costs ...... 77 6.4.6 Lack of financial capacity in CMA...... 77 6.4.7 Too little funds for communication, education and capacity building ...... 77 6.4.8 Environmental risks associated with water use charges ...... 78 6.4.9 Control of outsourcing ...... 78

Proposal for the Establishment of the Berg CMA ix As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

1. STAKEHOLDER ENGAGEMENT

The stakeholder engagement process to establish a Catchment Management Agency (CMA) for the Berg Water Management Area was launched in May 2005 as part of the Western Cape Reconciliation Strategy Study. The Reconciliation Strategy Study started in April the same year, when Ninham Shand Consulting Services and UWP Consulting were appointed to develop strategies to reconcile projected water demands with the supply from the Western Cape Water Supply System (WCWSS) for approximately the next 20 to 25 years. The Reconciliation Strategy Study augments the Western Cape System Analysis Study undertaken between 1989 and 1995 as well as more recent water resource planning studies.

The concerted efforts that were made to obtain participation from as many stakeholders as possible proved to be successful. At a Reference Group meeting held on 17 November 2005, Mr Jerry Methula (Director: Stakeholder Empowerment, DWAF Head Office) complimented the Reference Group on its broad representivity. He said that public participation is the basis for stakeholder empowerment and that any public participation process must be designed with this challenge in mind. He mentioned that it is important that the collective wisdom and knowledge of as many people as possible in the field of water be harnessed so that the public can be informed about the various water resource issues in South Africa. Public participation must therefore never be viewed as being boring, regulatory or as an add­on. It should be the key driver of any process and it is for this reason that it is entrenched in South Africa’s constitution. Public participation was an integral part throughout this CMA establishment process. In Chapter 2 of the National Water Act, it clearly states that the CMA process must have appropriate community, racial and gender representation and must be agreed upon by all stakeholders and parties. One of the first functions of the CMA was to consult with all organisations involved in water matters and to promote community participation and stakeholder empowerment.

1.1 ESTABLISHMENT OF A CMA REFERENCE GROUP

1.1.1 Public Meetings of the Reconciliation Study The process to select Reference Group members was initiated at the first round of public meetings of the Western Cape Water Reconciliation Strategy Study that were held in various places in and around Cape Town on 31 May and 1 & 2 June 2005. During these meetings, those present were requested to indicate whether they would be interested to serve on the Reference Group, as well as what sector they represent. From the outset emphasis was placed on the need for the Reference Group to be geographically and sectorally representative, including the need for race and gender balance, targeting especially previously disadvantaged groups.

The role of the Reference Group was explained as follows: • The members will be responsible for drafting a proposal, which involved describing the name, stakeholder involvement, water resource issues, functions, proposed structure, funding and feasibility of the CMA. • They will assist in providing the information necessary to draft the proposal, for example information required for the protection, use, development, conservation, management and control of water resources in the Berg Water Management Area. • The process should take approximately 2 years and in early 2007, after consultation with stakeholders, the proposal should be ready for submission to DWAF for evaluation. It was explained that public participation, including adequate representation of all stakeholders and their interests, particularly those of marginalised groups, is one of the important criteria in evaluating the proposal. Once the proposal has been submitted, further public comment will be invited. After

Proposal for the Establishment of the Berg CMA 1 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

considering all feedback, the Minister of Water Affairs and Forestry will establish the CMA by proclamation in the Government Gazette.

1.1.2 Invitation to participate and Newsletter As part of the invitation to the first round of public meetings for the Reconciliation Study, a newsletter and response sheet, requesting people to indicate whether they would be interested in serving on the Reference Group, were sent to approximately 270 people obtained from various databases of persons and institutions with an interest in water issues. (Appendix 1.1) At the end of this process a total of 206 people indicated an interest in becoming involved in the CMA establishment process.

1.1.3 Establishment Meeting All 206 people who indicated their interest were invited to attend the Establishment Meeting of the Berg CMA Reference Group that took place in Stellenbosch on 21 July 2005. It was explained that number of people serving on the Reference Group would have to be reduced to a manageable size in order to work efficiently and a group of between 50 to 60 representatives was proposed. This meant approximately 3 representatives from each sector. However, it was stated that if any sector felt that it required greater representation and could motivate there for, then the issue would be discussed and a decision taken.

The meeting first identified the various sectors that would be represented on the Reference Group. It was agreed that all water­related interests could be grouped in the following sectors (in alphabetical order): • Aquaculture; • Commercial farmers; • Community Organisations; • Emerging Farmers; • Environment and Conservation • Forestry • Industry and Commerce; • Local Government; • Provincial and National Government; • Research and Education • Tourism and Recreation; • Urban Water Users; • Water User Associations.

A number of representatives from the above sectors were then elected to also participate in the Reconciliation Study so as to ensure a cross­pollination of interests, ideas and possible concerns.

Many of the sectors represented have very specific financial interests in the way in which catchment management decisions will be made. Participation by people, who have the time and are adequately compensated to do this in the detail their interest deserves, is of vital importance to the success of the process.

1.1.4 Proposed Structure of Meetings It was decided that the meetings would be structured in such a way that a strong focus is placed on stakeholder engagement and capacity building. This would entail, for example, a formal overview of the water resources in the area, after which the process will be facilitated in such a way that the stakeholders themselves identify the constraints and the key water resource issues that should be addressed by the CMA. Site visits to purification works, dam sites etc would form part of each meeting to capacitate stakeholders with regard to the diversity of water resource management issues in a WMA.

Proposal for the Establishment of the Berg CMA 2 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

It was also agreed that representatives from both the Head and Regional (Western Cape) Office of DWAF should be part of the entire process.

1.2 REFERENCE GROUP MEETINGS:

A copy of the minutes, as well as all presentations made at each meeting, form part of Appendix 1.2 to this proposal

1.2.1 Meeting 1: 21 July 2005, Stellenbosch At this establishment meeting the different sectors representing various interest groups were identified and representatives for these sectors were elected . A total of 63 members were elected.

1.2.2 Meeting 2: 14 September 2005, Franschhoek Members of the Reference Group were given background information on the existing water resources in the Berg WMA. This included an explanation of the existing and future demand on the water resources and the reason for the urgent reconciliation of these resources to determine how they will be able to meet future demands. It became quite clear that alternative resources will have to be considered, and the various options for additional water supply were discussed.

Background information documents were made available. These included: • Water Management Area 19: Berg (Extract from DWAF: National Water Resource Strategy) • DWAF: Berg Water Management Area – Internal Strategic Perspective • DWAF: Profile on Water Management in the Berg, Breede, Gouritz & Olifants­Doorn Water Management Areas – The Utilization and Availability of Water • DWAF: A Pricing Strategy for Raw Water Use Charges

Some time was also spent on the finalisation of the representation on the Reference Group – keeping in mind that the meeting will never be “closed” and that anyone who wishes to participate in future was welcome to do so. One additional sector, i.e. Organised Labour, was identified and approved during the meeting.

A request was made that any organisations requiring capacity building on matters pertaining to water resource management should get into contact with the project team. It was further decided that the venue for meetings would rotate so as to familiarise the members with the WMA and different water management aspects in the area. Meetings would be followed by a site visit to a nearby water resource management scheme as part of the capacity building programme for participants.

The meeting ended with a presentation by TCTA on the Berg River Project and a visit to the Berg River dam site. The Berg Water Project will supply mainly the City of Cape Town with a much­ needed additional 81 million m³ water per year.

1.2.3 Meeting 3: 17 November 2005, Sir Lowry’s Pass Village This was the first of many meetings where the various sectors and their representatives were given the opportunity to present the members with the concerns and key water resource issues applicable to their sector. The followings presentations were made and are available as part of Annexure 1.2): • Provincial and National Government (DWAF): State of the rivers in the Berg River System • Local Government (City of Cape Town): The demand placed by the City of Cape Town on the water resources in the Berg WMA • Emerging farmers: The need for emerging farmers to have access to water, be part of transformation processes (WUA) and participate in capacity building programmes. The role of NAFU in the process of developing emerging farmers.

Proposal for the Establishment of the Berg CMA 3 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

• Water User Associations: The role of WUAs in managing water resources to the benefit of all. This includes water quality, river management and acting as implementing agents for Working for Water. • Urban Water Users: The needs of water users in Cape Town with regard to water quantity and quality; issues water equity and redress etc. The lack of confidence in local authorities with regard to compliance to water quality and supply was also highlighted • Commercial farmers: The effect of polluted water in the Berg River on farming practices and the export of produce and the knock­on effect thereof on the economy. • Natural Environment: The degradation of the mountain catchment, rivers and wetlands due to over­abstraction from resources, pollutants in the river, invasive alien vegetation etc.

After the meeting the Reference Group paid a site visit to the Palmiet Pumped Storage Scheme. This scheme transfers 22 – 27 million m³ water per year from the Breede WMA (Palmiet River near Grabouw) to Steenbras Dam and from there into the WCWSS. It also provides Eskom with power by means hydro­electric power generation, utilising the Kogelberg Dam on the Palmiet River and the Rockview Dam in the Kogelberg mountains (from where the water gravitates to Upper Steenbras Dam.

1.2.4 Meeting 4: 8 February 2006, Tulbagh Once again representatives from the various sectors were given the opportunity to inform members of their role in water­related matters and highlight their key water resources management issues. The following presentations were made and all form part of Appendix 1.2: • Provincial and National Government (Dept of Agriculture): The economic contribution of the Agricultural sector to South Africa’s economy. The negative impact of across the board water restrictions on farmers who already utilise water at maximum efficiency. • Local Government (Saldanha Bay): The necessity of planning timeously for ever­changing circumstances such as increased housing, including the consequences thereof on services such as sanitation, waste water treatment etc. • Research and Education: The result of bad and/or ineffective waste water management on river systems in the Berg River. The health threats to human beings caused by sewerage and other effluent spills. • Community Organisations: The plight of women on farms and some background to the role the organisation Women on Farms play in enabling previously disadvantaged communities to take ownership of resources available to improve their quality if life. • Community Organisations: The role of the Environmental Justice Network Forum and the Water Caucus (which incorporates all several NGOs involved in water matters) in networking with communities to “get the message across” by creating awareness and building capacity by means of public participation. • Environment and Conservation (C.A.P.E.): The urgency of proper planning and monitoring the effect of development on biodiversity. E.g. most of the lowland fynbos has been denuded by agricultural development, which in turn increases the salinity of runoff because of the change in soil content. The need for fire management, communication between institutions, watershed management etc. • DWAF also gave an overview of the water stress in the Lower Berg River and the possible future options for improving this situation.

The Reference Group visited the Voëlvlei Dam and Swartland Waste Water Treatment Works. Voëlvlei Dam provides 105 million m 3/ year to the WCWSS, mainly to Cape Town and the West Coast District Council for distribution to towns on the West Coast.

1.2.5 Meeting 5: 12 April 2006, Velddrif All the information on the key water resource issues mentioned at meetings 1 – 4 was used to compile the first draft of the chapter in the CMA proposal that describes the key water resource issues in the Berg WMA. (The chapter will be updated as more presentations on water resource

Proposal for the Establishment of the Berg CMA 4 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

issues are made during the following meetings.) This information was then used to draft the chapter on the proposed functions of the CMA. The same process was followed to compile the first draft of the chapter on the institutional capacity in the area, giving an indication on the organisations that could assist the CMA with integrated water resource management.

Copies of these documents were sent to all members of the Reference Group before the meeting, with the request to acquaint themselves with the contents thereof and inform the project team if any information on the draft chapters on the key water resource issues and the institutional capacity needed to be changed.

During the meeting the proposed functions of the CMA were discussed in groups. The feedback will be used to update the proposed functions – for further discussion at the next meeting.

The following sectors highlighted their key water resources management issues and their presentations form part of Appendix 1.2: • Environment and Conservation (Berg River Conservation Association): The sensitivity of the Berg River estuary. An appeal was made that development upstream should be done in a responsible manner and with careful consideration of the downstream effect thereof – especially on the estuary. • Community Organisations (Sikhula Sonke): This organisation was started by a group of female farm workers who focus mainly on social issues and challenges facing farm workers. The unwillingness of municipalities to become involved in water supply issues on farms was highlighted.

As this meeting took place soon after Water Week, a poster competition was initiated at the local schools. The schools were enthusiastic about the competition and a number of excellent presentations were made. The prizes were awarded during the meeting and learners where given the opportunity to inform the Reference Group of their thoughts on water conservation and management. This initiative added significantly to capacity building of learners in the area.

The meeting concluded with a site visit to the local Saldanha Steel manufacturing plant, while some participants went on a boat trip along the Berg estuary. The extent and importance of the Berg estuary was highlighted and aspects, such as the importance of fresh water floods to reach the estuary were explained. The Saldanha Steel project is the major development on the West Coast, triggering economic growth and increased water demand. The steps to improve water use efficiency were explained in detail.

1.2.6 Meeting 6: 14 June 2006, Villiersdorp As part of the continuous process to identify the key water resources issues in the Berg WMA and use these as the point of departure in determining the functions the CMA should fulfil, presentations were made by the Recreational Sector (Western Cape Canoe Association) and the Freshwater Consulting Group, commissioned by DWAF to perform a baseline monitoring programme on the Berg River in order to determine the effect of planned releases from the Berg River Dam (under construction at the time this proposal was written) on the Berg River estuary. The key water resource issues highlighted by these presentations were: • Tourism and Recreation: The quality of the water in the river has a major effect on it being used and being suitable for recreational and tourism purposes. Consideration should also be given to making impediments (such as weirs) in the river more user­friendly by consulting with appropriate organisations and obtaining their input. • Environment and Conservation: Releases from the Berg River Dam will have to be carefully managed in order to maximise the benefit of these releases. Smaller floods are extremely important for the lower reaches as they contribute to the baseline flow. Releases will have to be done in consideration of the water level in the estuary at a specific stage (high or low tide / neap vs. spring), the baseflow in the river (time of year) and the flood peak and duration thereof.

Proposal for the Establishment of the Berg CMA 5 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

As the Reference Group will have to start formulating the functions of the CMA in order to address the key water resource issues identified, some time was spent on explaining some of these issues in the establishment of the CMA. For example the delegation of water resource management to a regional (catchment) level in such a way that it involves local communities in the decision­making process and co­ordinates the functions/input of other institutions involved in water­related matters in the WMA. This will ensure that water management capacity is built among all sectors in the WMA.

Information was provided on the functions that the CMA should fulfil and the type of expertise that will be required to implement these functions – especially with regard to its responsibility towards integrated water resource management (IWRM). The capacity that the CMA will be able access, as well as the challenges it will face during its evolution process, was also discussed. The concern was raised that many institutional bodies being created do not fulfil the expectations of the citizens and cost ratepayers and taxpayers a lot of money without the requisite return. Mr Silas Mbedzi (Chief Director: Institutional Oversight, DWAF) responded that the structure, functions and accountability of the Governing Board would not allow this to happen. The CMA is funded by water use charges on water users in the WMA, and it is one of the functions of the members of the Board to protect the interests of all the sectors and ensure that the expense of the CMA does not adversely affect the water users in the area.

The meeting ended with a visit to the Theewaterskloof Dam, the main storage dam in the Western Cape Water Supply System from which water is transferred from the Breede WMA to the Berg WMA for use mainly by the City of Cape Town. Reference Group members were taken into the dam wall itself – a revelation and novel experience for most members.

1.2.7 Meeting 7: 16 August 2006, Durbanville As the next meeting will focus on determining the organisational structure the Berg CMA, some time was set aside to discuss the principles of the structure. The structure proposed for the Inkomati CMA during its first three years of existence, was provided for stakeholders to reflect on before the next meeting. It was once again emphasised that although the CMA will evolve over time, it must never become a large bureaucracy. However, care should be taken to structure the organisation with the long­term goals in mind, rather than having to restructure the organisation as additional functions are added.

Group discussions were again held to discuss the proposed functions determined by the key water resource issues identified by the various sectors. Some additional water resource issues were identified by the two presentations from urban water users and community organisations: • Urban water users (Tulbagh Resident’s Association): The CMA should take cognisance of the role that residents and other organisations can play in assisting local authorities to fulfil their functions. The CMA should draw on the willingness and expertise nestled in such organisations and make use of this knowledge that is freely available. • Community Organisations: It is becoming increasingly clear that the CMA will need to build the capacity of civil society groups, especially if active stakeholder engagement is a prerequisite of the social viability of the CMA.

The meeting was also attended by students from the Integrated Water Resources Management Programme at the University of the Western Cape. Apart from attending the Reference Group meeting as part of their capacity building programme, the students also reminded the Reference Group of their (and the CMA’s) responsibility towards achieving the most important of the millennium development goals (MDG), namely the eradication of poverty and hunger. They urged everyone to always keep the African Water Vision 2002 in mind: “An Africa where there is equitable and sustainable use and management of water resources for poverty alleviation, socio­ economic development, regional co­operation and the environment.”

Proposal for the Establishment of the Berg CMA 6 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

In response to the numerous requests for more information on the Working for Water project in the Western Cape, a presentation on this subject – with specific reference to the projects in the Berg WMA – was made at one of the Reference Group meetings.

In preparation for the next Reference Group meeting, background was provided on the corporate governance functions the CMA should perform and how this would influence the organisational structure of the CMA. Members were reminded that the CMA will be a developmental, participatory organisation that must be accountable to its water users, but that it must also achieve Government’s objectives. With regard to the structure, members were urged to study the draft chapter 4 of the proposal (proposed functions of the CMA), identify the type of expertise required to perform the various functions as this would enable them to meaningfully debate the kinds of people the CMA would need, as well as the organisational structure, at the next meeting.

1.2.8 Meeting 8: 11 October 2006, Nelson’s Creek, Wellington This was the first of 3 meetings that focussed on the proposed composition of the Berg CMA that will enable it to fulfil the functions identified in Chapter 4 of the proposal. The following considerations were taken into account in the discussions on an organisational structure for a CMA. • Integrated Water Resources Management • Developmental, participatory and co­operative organisation • Efficiency, effectiveness and service delivery • Transformation and mentoring • Adaptable to organisational change and evolution • Focus on core business • Customer services oriented

An important part of the meeting was the feedback on the first fully­fledged capacity building workshop held on 27 September 2006. It was agreed that these workshops are vitally important as it provides those stakeholders who do not have detailed background knowledge on water issues, to have these issues explained in more “user friendly” language and for them to ask questions until concepts are internalised (refer to Item 1.5 for more information on these workshops).

One of the presentations during the meeting focussed on the Western Cape Water Reconciliation Strategy Study. The study is has the purpose of drawing up a strategy that will assist DWAF and the bulk water providers on how most effectively manage the water resources supplying water to the City of Cape Town and towns on the West Coast at adequate levels of assurance. The strategy will be a guide for decision­making options, which is guided by development and timeframes required (e.g. takes 10 years to plan for dam). The strategy itself has been categorised into 11 (eleven) chapters, the last being an implementation plan. This plan will identify key issues and actions, indicate the parties responsible for these actions, as well as when and how often these should be performed.

After the meeting, members of the Reference Group were taken on a guided tour through the vineyards and cellar of Nelson’s Creek farm as well as experiencing some wine tasting. It is one of the first empowerment projects where black farmers were given a share in the farming (vineyards and wine­making) operations. Reallocation of water entitlements will be an important task of the CMA and the achievements of case studies such as this is important to realise this water reallocation reform project.

1.2.9 Meeting 9: 22 November 2006, River Club, Cape Town This was the second meeting in which the possible organisational structure of the Berg CMA was discussed. The feedback from the capacity building workshop held on 14 November 2006, once again proved how important these workshops, held about two weeks before the Reference Group meeting, are in preparing the attendees for the Reference Group meeting. The group attending the workshops once again voiced their concern about the lack of commitment from certain local

Proposal for the Establishment of the Berg CMA 7 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

authorities to participate in the CMA process, and an official letter of concern in this regard was presented by the entire capacity building workshop group to DWAF.

The presentation by City of Cape Town highlighted the catchment management issues they have to deal with, which include water quality and storm water. The importance of benchmarks against which effective water demand management by local authorities can be gauged, was discussed. This was explained by means of a study done by the University of Stellenbosch for DWAF: Western Cape.

The Reference Group once again formed groups to discuss the proposed organisational structure as per Table 5.1 in the discussion document circulated as part of the reading material for this meeting. The possible risks to the CMA were also discussed. The groups were also requested to make proposals on how the CMA should engage with stakeholders once it has been established.

1.2.10 Meeting 10: 14 February 2007: Skilpadvlei, Stellenbosch The financial viability of the proposed CMA was the main focus of this meeting. Numerous concerns were raised with regard to the CMAs ability to stay within the projected R20,4 million annual cost of the CMA. The organisational structure was also finalised during this meeting.

The regulations pertaining to financial support for resource­poor farmers were also keenly debated. It was requested that DWAF provide a clear definition of bulk water services, as the regulations do allow for the application of bulk services to a number of farms, but not to a group of farmers on one farm. Another issue was the fact that only a legal entity can apply for aid – often a very costly exercise for resource­poor farmers who are trying to become financially viable. It was decided that the subject should be discussed in more detail during the following meeting.

The issues and concerns of commerce and industry were also discussed. Once again the importance of the correct information being provided to consumers was emphasised

The meeting ended with a visit to one of the pumping stations operated by the Wynland WUA where members were informed on how the telemetry system is used to monitor the pumping. They were also shown a typical draw­off point for farmers on the distribution system.

1.2.11 Meeting 11: 11 April 2007: Môreson, Franschhoek The Draft Proposal for the Establishment of a Catchment Management Agency for the Berg Water Management Area was distributed to the members of the Reference Group before this meeting. During the meeting itself the outline of the proposal was discussed and members were requested to carefully read the draft proposal and provide their comments to the DWAF before 21 May 2007 as the intention was to finalise the proposal at the next Reference Group meeting.

It was emphasised that members of the Reference Group should not underestimate the importance of the proposal document as it would serve as an important source of reference in future CMA deliberations. It would also serve as a tool for the Advisory Committee, the Governing Board and in drawing up the Catchment Management Strategy.

Numerous questions were asked about the financial viability of the CMA and the seed funding that would be made available by DWAF. It was suggested that DWAF retains an even larger core of specialists as those proposed and that they then be contracted to the various CMAs as and when required – especially as there is such a shortage of expertise in South Africa.

The meeting provided the opportunity for an update on the Western Cape Water Reconciliation Strategy Study that is executed parallel to the CMA process. The issue of desalination of seawater as an additional resource was once again discussed. According to the study, the desalination of seawater (at this point in time) is still more expensive than the utilisation of the vast volumes of treated waste water that is at the moment discharged into the sea or a river. It is proposed that this

Proposal for the Establishment of the Berg CMA 8 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

treated waste water can rather be desalinated and re­used for non­potable purposes (sport fields etc), rather than using expensive purified water from existing water resources for non­potable purposes.

An interesting presentation at the meeting was an evaluation of the public participation process in the Berg CMA Reference Group by the University of the Western Cape. The study focused on three issues namely: representation, participation and power relations. The study found that: • The Berg CMA Reference Group was well represented. • Although there were indications that participation was uneven at times, it got better as the process continued but there was still room for improvement. • Where sectors dominated proceedings it was unintentional; power relations between the different groups in the Berg CMA Reference Group seemed non­conflicting; the power­ distributing cleavages were decreasing.

It was further mentioned that the capacity building workshops play a vital role in empowering especially the previously disadvantaged representatives to understand the process and be part of the decision­making. Concern was expressed about the need for capacity building beyond the process of developing the proposal.

The meeting was concluded with a field trip to the Berg River Dam, where participants were taken on a guided tour of the dam and could view the progress since the last visit two years ago.

1.2 NEWSLETTERS

From the start it became clear that members of the Reference Group needed some additional information about the principles guiding the establishment of a CMA, as well as other information relevant to the process. It was agreed that this need would be addressed by means of a newsletter after each meeting. Copies of all the newsletters form part of Annexure 1.3.

1.2.1 Newsletter 1: November 2005 This newsletter explained the reasons for a CMA, the process to be followed in the establishment of the Berg CMA, and information on the concept of water resource management.

1.2.2 Newsletter 2: January 2006 Newsletter 2 gave an overview of the key water resource management issues identified by members of the Reference Group during the previous two meetings. It also provided an explanation of the difference between water resource management (National Water Act) and the provision of water services (Water Services Act).

1.2.3 Newsletter 3: March 2006 Newsletter 3 explained the components that comprise the Proposal for the Establishment of the Berg CMA and which follows the guidelines proposed by DWAF. It also informed the readers that all information obtained and shared at the Reference Group meetings is used to write the proposal that will determine the roles and functions that the Berg CMA should have. An explanation was given about the acronyms frequently used in discussion and written documentation, and the four important principles on the National Water Act, namely equity, efficiency, sustainability and stakeholder participation, was discussed.

1.2.4 Newsletter 4: May 2006 As the topics of climate change, water conservation and the clearing of invasive alien vegetation were often mentioned during Reference Group meetings, newsletter 4 was dedicated to these topics.

Proposal for the Establishment of the Berg CMA 9 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

1.2.5 Newsletter 5: October 2006 Newsletter 5 gave an overview of the CMA process up to the September 2006 meeting where the proposed functions of the CMA were finalised. It also explained the vital role of the capacity buildings workshops in the CMA process and how this will assist those who do not have an in­depth knowledge of water matters to keep abreast of the discussions at the Reference Group meetings. The following topics were also discussed: • Training course for municipal councillors • Western Cape Reconciliation Strategy Study • Announcement of the waste discharge charge workshops

1.2.6 Newsletter 6: April 2007 Newsletter 6 was a four­page full colour newsletter that provided an overview of the work done by the Berg CMA Reference Group since the first meeting in July 2005. It reiterated the importance of public participation (via the sectoral representation on the Reference Group) in the process as only those people living in the area know the issues and concerns that the CMA should address. In this regard the newsletter provided a summary of some of the most important key resource issues identified by the Reference Group. It further provided a summary of the main functional areas which the proposed CMA will address in order to deal with these key water resource issues. Further aspects of the proposed organisation structure and financial implications were highlighted. This newsletter was very well received and also distributed to other regions and institutions interested in the process of establishment of the CMAs.

1.3 CAPACITY BUILDING WORKSHOPS / MEETINGS

Apart from the specific capacity building workshops held (see item 1.5.1 below) each sector within the Reference Group was, over a period of time, given the opportunity to make a presentation on the value they can add to the CMA, the constraints they experience and the key water resource issues applicable to their sector. Group discussions during each meeting resulted in active stakeholder engagement and the site visits to various water schemes after the meeting also proved to be a very valuable capacity building tool. In addition, each meeting of the Reference Group was held in a different area of the WMA, exposing stakeholders to, and giving them the opportunity to familiarise themselves with, the Berg WMA.

1.3.1 Capacity Building Workshops During the course of the process it became clear that capacity building workshops will be the key to the successful establishment of any CMA. Reference Group meetings, by the shear volume of work that has to completed, can be extremely intimidating to civil society and community focus groups that have no background knowledge on water issues. At the workshops, these individuals could speak freely and ask questions that were answered by the facilitators. In addition, participants engaged in the language of their choice, thus ensuring that everyone understood what was said. These workshops therefore enabled these participants to make much more meaningful contributions to the CMA establishment process.

A capacity building meeting was held with emerging farmers on 6 July 2006 in Bellville.

i) Capacity Building Workshop 1: 10 August 2006 The need for capacity building workshops prior to Reference Group meetings was particularly highlighted at the meeting in Villiersdorp in July 2006 and the first of such meetings was subsequently held on 10 August 2006 (the Reference Group meeting was to be held on 16 August 2006). This was the first fully­fledged capacity building workshop that included representatives from all those community organisations and sectors that showed their interest in becoming more informed. During the meeting, the following topics for capacity building where identified:

Proposal for the Establishment of the Berg CMA 10 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

• National Water Act • Ability to participate in IDPs, WSDPs, SDFs and other local government policies • Emerging farmers: licensing etc • WUAs • Pollution, sanitation & health • WDM & WCM • Biodiversity (balance between development & natural environment) • Importance of water quality on ecosystems

ii) Capacity Building Workshop 2: 27 September 2006 The second capacity building meeting was held on 27 September 2006. The following topics were discussed: • Summary of the CMA process • The intent of the NWA and the difference between the NWA and the Water Services Act and their various institutions • Acronyms • How the Key Water Resource issues, identified by the stakeholders, were translated into the proposed functions the CMA should have; and how these functions will determine the type of skilled staff the CMA should employ as well as the organisational structure of, the CMA – to be discussed at the following Reference Group meeting (11 October 2006).

iii) Capacity Building Workshop 3: 14 November 2006 At this workshop held on 14 November 2006, the functions of the various staff members proposed by the 5 break­away groups at the Reference Group meeting held on 11 October 2006 (and summarised in the first draft of Chapter 5 of the proposal) were discussed in detail.

The issue of the lack of commitment from some local authorities in the CMA process was once again highlighted by the group. They are of the opinion that Reference Group meeting also serves as a forum where local authorities have the opportunity to hear the domestic water issues and concerns raised by community groups who have an actual interest in water matters. The result was a formal letter from the members attending the capacity building workshop to DWAF (and presented to DWAF at the Reference Group meeting on 22 November 2006), urging DWAF to ensure the total commitment of all local authorities to the process.

As a number of members of the group were concerned about water allocations to emerging farmers and the issues around their involvement in Water User Associations, some time was set aside to clarify these issues. . iv) Capacity Building Workshop 4: 8 February 2007 The discussion document on the financial viability of the Berg CMA, distributed to all members of the Reference Group, was discussed in detail at the workshop. Special effort was made to have participants understand the concepts of financial viability and how the cost of running the CMA was calculated.

A presentation by City of Cape Town on the roles and responsibilities of the City towards municipal water users was warmly welcomed. It assisted the attendees to once again understand the difference between municipal functions and that of the proposed CMA. It was decided that the next capacity building workshop would give an overview of the entire process to date, explaining how the topics discussed at the various meetings of the Reference Group fit into the bigger picture and to show that all the issues and concerns raised at the meetings have been incorporated into the proposal document.

Proposal for the Establishment of the Berg CMA 11 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

v) Capacity Building Workshop 5: 4 April 2007 The compilation of the Proposal for the Establishment of the Berg CMA was discussed in detail so as to enable representatives to provide meaningful comment on the draft proposal, which was provided to each person at the meeting. (The draft was also posted to every member of the Reference Group for discussion at the next Reference Group meeting.)

Information on how a person / a group / an organisation can become a legal entity so as to be eligible for grants and subsidies, as well as to register as a service provider, was also discussed at the workshop. The legal framework within which co­operatives, non­profit and for­profit entities operate, was explained in detail – as was all the Acts applicable to these legal entities.

vi) Capacity Building Workshop 6: 23 May 2007 The draft Proposal for the Establishment of the Berg CMA was discussed and it was agreed that the document is a true reflection of the process and the participation in the process. A request was made that, for clarity purposes, the next capacity building workshop should be dedicated to a detailed explanation on the functions, structure and financial viability of the CMA, as set out in the proposal.

Presentations by the Departments of Land Affairs and of Agriculture on land reform, farming subsidies and grants, were greatly appreciated by those present at the workshop. A presentation on the roles and functions of a Water User Association was given. It was highlighted that WUAs are also responsible for capacity building and the empowerment of HDIs. Representatives were urged to take the initiative and establish contact with their closest WUA or Irrigation Board, rather than wait for the relevant WUA or Irrigation Board to do so. A list with contact details of all the WUAs and Irrigation Boards was distributed.

Members felt that the capacity building workshops should continue even after the proposal was submitted to the Minster. Such workshops would enable them to discuss the proposal (and the future functioning of the CMA) in smaller, more digestible, sections.

1.3.2 Interaction with other interested parties i) Students in IWRM Both pre­ and post­graduate students from the Integrated Water Resources Management Programme at the University of the Western Cape (UWC) attended the meeting of the Reference Group in August 2006. Apart from being informed about the CMA process, they were also given the opportunity to share their views on integrated water resource management with the Reference Group.

ii) Western Cape Water Reconciliation Strategy Study The progress made in the Western Cape Water Reconciliation Strategy Study (WCWRSS) was discussed at a number of Reference Group meetings. This interaction was regarded as being invaluable to the entire process, as it allowed members of the Reference Group to keep abreast of DWAF’s latest thoughts on how to address the increasing water demand in the Berg WMA.

In another effort to keep as many stakeholders in water matters informed about the key water resource issues in the Berg WMA area, the newsletters of the WCRSS were distributed to all members of the Reference Group. In return the newsletters on the CMA process and other related IWRM issues were also distributed to all the stakeholders involved in the WCRSS process.

It was requested that any implementation of infrastructure development actions flowing from the said Reconciliation Study should be informed by new information contained in such documents as the National State of the Environment Report (embargoed until June 2007) and reflected in initiatives like the DEA&T Marine and Coastal Management’s National Programme of Action (NPA) for the Protection of the Marine Environment from Land­Based Activities.

Proposal for the Establishment of the Berg CMA 12 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

iii) Involvement in other DWAF processes Members of the Reference Group were invited to attend the workshops and road shows held by DWAF, such as those related to the Guidelines for Catchment Management Strategies and the Waste Discharge Charge System.

1.4 CHALLENGES IN STAKEHOLDER ENGAGEMENT

1.4.1 Local Authorities Although the public participation process included all sectors associated with water issues, it was a great challenge to engage some of the local authorities in the process. Municipalities were frequently contacted and urged to participate in events such as the municipal councillor induction workshops which were used to promote knowledge transfer and active engagement. The CMA will have to actively pursue the continued commitment from the local authorities.

Members of the Reference Group continuously expressed their dissatisfaction with the lack of involvement of some municipalities in the process, as they were of the opinion that the Reference Group meetings could have provided municipalities with better insight into problems on the ground. Attending the Reference Group meetings would also enable municipalities to build relationships with community organisations that could assist them in improved service delivery. This situation did improve with time – and especially the more regular attendance by representatives from the City of Cape Town was greatly appreciated.

However, the issue of lack of local authority commitment remains worrying considering the significant role they are set to play in decision­making at catchment level. As one of the main drivers in land­use decisions leading to new developments that inevitably require water, it is crucial that they take up their role responsibly from the beginning. Once established, this should be addressed by the CMA as a matter of urgency. In the interim, DWAF should take on this responsibility.

1.4.2 Civil Society By means of the presentations made to the Reference Group and the resultant discussion at every meeting, it became clear that the CMA will be able to draw on a wealth of knowledge from organisations and individuals in the WMA who have established extensive networking systems and are all extremely willing to assist the CMA in addressing some of the key public participation issues mentioned in Chapter 4 of this proposal.

The Environmental Justice Network Forum (EJNF) is one such an example. It was established to service the common interests of participating SA non­governmental and community­based organisations on matters concerning environmental justice and sustainable development and provides a network for such organisations in order to improve their strategic information and communication functions. Unfortunately the network collapsed due to funding problems and differences with the national body. One of their groups, the Water Caucus (a gathering of Water Services Sectors in the Western Cape) which was started in 1999 does however still exist. The aims of the caucus are to share information and resources regarding water and related issues; undertake joint actions and campaigns regarding water and build capacity of organisations and communities involved to effectively engage with water issues.

Other organisations that regularly attended meetings and could be of invaluable assistance in achieving integrated water resource management at grassroots level included Ilitha Lomso, Langa Coceko Campaign, Women on Farms and Sikhula Sonke.

Proposal for the Establishment of the Berg CMA 13 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

1.4.3 Co­ordination between Activities of various Departments As the Berg CMA will function within an environment with great institutional capacity, one of the most important challenges will be to continuously liaise with the various department and institutions in the WMA. The meetings of the Reference Group and the capacity building workshops fulfilled this need during the process to establish the CMA. The liaison proved to be invaluable in resolving many of the issues that were mentioned at the various meetings. This type of liaison should continue – whether by means of the catchment management committees or a separate meeting between the CMA and the various institutions every 3 – 6 months.

1.4.4 Communication with Stakeholders Complete, timeous and honest communication with stakeholders was identified as one of the most crucial aspects of stakeholder engagement. As the success thereof is unquantifiable in terms of figures and numbers, there is great concern that this most important function will be sidelined when budgets are allocated. The CMA should realise that good communication results in less time and money wasted on corrective measures and crisis management.

1.4.5 Capacity Building, Training and Education Capacity building, training and education must be regarded as one of the most important functions of the CMA. Integrated water resource management can only be accomplished if everyone – from grassroots to corporate level – understands the fundamental principles thereof. Without such knowledge and the public commitment to our scarce water resources, it is impossible to achieve integrated water resource management – even with the best strategies and policies in place. A substantial amount of the CMA’s budget must therefore be allocated for these purposes.

1.4.6 Conflict Resolution Due to the diverse interests of stakeholders in a democratised environment (as envisioned in the CMA), serious and emotive conflicts of interests could occur. The CMA should make a concerted effort to resolve any disputes within the WMA and which should include the preferred option of the use of outsourced services such as the Centre for Conflict Resolution, based in Cape Town. Mediation and arbitration should be sought to resolve any disputes prior to any threat of possible litigation. • ════════ ════════

Proposal for the Establishment of the Berg CMA 14 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

2. EXISTING WATER RESOURCES

2.1 OVERVIEW OF THE BERG WMA

2.1.1 Natural Characteristics

The Berg Water Management Area (WMA) lies in the Western Cape Province and includes the Berg River and the Steenbras River catchments as well as the catchments of the smaller rivers draining into Table Bay and False Bay. Refer to Table 2.1 below.

Table 2.1: Catchment Areas within the Berg WMA

LOCATION OF KEY POINT SECONDARY QUATERNARY DESCRIPTION NO. DESCRIPTION NO. RIVER G1 Berg River G10A to G10F Berg River upstream Upper Berg River from Catchment of Voëlvlei Dam G10A to G10F (Voëlvlei Dam) G10G to G10M Berg River Berg River between G10F and the downstream of river mouth in Catchment G10M Voëlvlei Dam G2 Diep River and G21A to G21B Combined West Coast Small coastal catchments between West Coastal rivers the Berg and Diep River catchments belt G21C to G21F Diep River Diep River catchment G22E to G22K Combined Catchments draining to the eastern Kuils/Eerste/ Lourens half of False Bay /Sir Lowry Rivers G22A to G22D Combined Cape Cape Peninsula catchments Peninsula rivers (including the Black River) G4 Steenbras River G40A Steenbras The Steenbras River catchment

The upper region of the Berg River basin is surrounded by high mountain ranges (1 500 masl) to the east, south and west. The river basin is fairly narrow in the upper reaches of the river. The Steenbras River basin is located west of the Kogelberg Mountains and is bounded by the Hottentots Holland Mountains to the north and the west. The south­eastern portion of Cape Town Basin is separated from the Steenbras Basin by the Hottentots Holland Mountain range and from the Berg River basin by the Jonkershoek Mountain range. The Diep River has its source in the central area of the WMA, i.e. in the Riebeeck Kasteel Mountains, and flows in a south­westerly direction through Malmesbury and the wheat producing areas of the Swartland.

The entire Berg WMA is a winter rainfall region with the rainfall varying from 3 200 mm in the high­lying areas of the Hottentots Holland Mountains in the east to less than 300 mm at the estuary. Annual evaporation varies between 1 300 mm in the south and 1 700 mm in the north. A more detailed analysis of the rainfall and evaporation characteristics is provided in Figure 2.1.

Proposal for the Establishment of the Berg CMA 15 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

FIGURE 2.1: Rainfall and Evaporation patterns in the Berg WMA

WMA 19: Berg ­ Rainfall and Evaporation

Drainage regions in the WMA have been grouped in accordance to the classifications used in the Water Research Commission’s Report: The Surface Water Resources of South Africa, 1990. The Berg WMA consists of secondary drainage region G1 and G2, as well as the quaternary G30A in the north and G40A in the south. See Figure 2.2.

FIGURE 2.2: Map of the Berg Water Management Area (WMA 19)

The WMA has been split into three so­called “areas of interest”, namely the Greater Cape Town area, Stellenbosch, the Upper Berg area and the Lower Berg area (refer to Figure 2.3). The Greater

Proposal for the Establishment of the Berg CMA 16 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

Cape Town area includes the Cape Metropolitan Area and towns such as Somerset­West in the south to Atlantis in the north. The Upper Berg area includes the towns of Franschhoek, Paarl, Wellington, Hermon, Riebeeck West and Riebeeck­Kasteel. The Lower Berg River area includes the towns of Tulbagh, Saron, Moorreesburg, Piketberg, Saldanha, Vredenburg, Velddrift and Hopefield.

FIGURE 2.3: Base Map of the Berg WMA (WMA 19)

WMA 19: Berg ­ Base Map

About 50 conservation areas and heritage sites are found in the water management area, including the Lourens River and the Cape Peninsula National Park and sites at the Langebaan lagoon, which have been designated Ramsar status. Of specific relevance to water resource management is the Berg River Estuary, which is of major conservation importance from an avifaunal (birdlife) perspective.

2.1.2 Development

Agriculture is a major consumer of water in the WMA, representing about 54% of the total water requirement. The other major consumer is City of Cape Town (CCT). The foothills of the mountains and the valleys in the southern part of the WMA are intensely cultivated with high value irrigated fruit, orchards and vineyards. The central area is mainly cultivated for dryland wheat, with vineyards in the higher and wetter hilly areas. Refer to Figure 2.4 for information on the sectoral water requirements.

A large nuclear power station is located at Koeberg on the West Coast, which draws cooling water from the Atlantic Ocean and is not dependent on inland freshwater resources. Peaking Power is generated at the Steenbras and Palmiet pumped storage schemes. Apart from the two cement factories at PPC (Pretoria Portland Cement) Piketberg and Riebeek West, no large mining activity occurs in the Berg WMA.

Natural vegetation comprises large areas of Fynbos. Alien vegetation, in total in excess of 155 000 ha, is scattered throughout many of the mountainous areas and on the banks of many streams and main rivers. The WMA forms part of the Cape Floral Kingdom – one of six floral kingdoms of the world. Biodiversity conservation is thus of great importance in this WMA.

Most schemes for water supply use surface water. Groundwater is used to a limited extent, mainly for the towns of Atlantis, Yzerfontein, Porterville and Hopefield, which rely entirely on this source.

Proposal for the Establishment of the Berg CMA 17 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

FIGURE 2.4: Sectoral Water Requirements in the Berg WMA (2000)

WMA 19: Berg ­ Sectoral Water Requirements (2000)

2.1.3 Water Management Institutions

Of the nineteen Irrigation Boards that originally existed in the WMA, 3 have been transformed and one new WUA has been established. The rest are in the process of being transformed to Water User Associations. Some of the Boards have been amalgamated into one Water User Association with a bigger operational area, so as to include entire catchments under one Association (such as the Wynland Water User Association).

2.1.4 Registration of water use

A substantial part of the water used for agriculture in the WMA, is used within the operational area of WUAs / Irrigation Boards. The scheduled water use entitlements within these institutions (water providers) have been declared as existing water uses by the Minister. A strategy was worked out to speed up the progress with the registration of water users in the Berg WMA. Several information session/workshops were held in the WMA, and organisations such as farmer’s associations were used to contact individual water users. At the moment 765 million cubic meters (m 3) of water has been registered for abstraction in the Berg WMA. Of this amount, 376 million m 3 of water is registered for domestic and industrial use, 346 million m 3 for agriculture and the rest is used for forestry.

2.1.5 Agricultural Water Demands

The present agricultural water demand growth rate of 2% per annum (from 130 million m 3/a in 1999) includes some WC&DM measures.

Irrigated agriculture produces high value table grapes, fruit and wines, which are exported and make a substantial contribution to the economy of the Western Cape. The export market is severely disrupted because of competition from other countries, and took a big knock in 2001 because of the exchange rate. These factors, together with the water restrictions imposed, did result in a reasonably static water demand. Trading of water use entitlements with urban users might result in a decline in

Proposal for the Establishment of the Berg CMA 18 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

agriculture demands, although this seems unlikely to be significant volumes. The land use in the Berg WMA is depicted in Figure 2.5 below.

FIGURE 2.5: Land Use in the Berg WMA

WMA 19: Berg ­ Land Use

2.1.6 Environmental Demands

No environmental releases are made from the Steenbras (G40M) and Wemmershoek (G10B) Dams supplying the City of Cape Town, or from the numerous farm dams in mainly the Berg (G10A – M) and Eerste River (G22F – H) valleys. Limited compensation releases are made from the Voëlvlei Dam (G10F), an off­channel dam, and from Misverstand Dam (G10M) in the Lower Berg River. No environmental releases are currently made from the Theewaterskloof Dam transfer scheme.

The Palmiet Transfer Scheme is the only scheme where environmental considerations are taken into account and transfers can only take place once instream flow requirements have been met. Should the required Reserve releases from the aforementioned dams become obligatory, this could have a significant impact on the yields available for urban and agricultural usage. This will be taken into account in the Western Cape Water Reconciliation Strategy for future water supply options.

2.1.7 Transfer schemes

There are a number of transfer schemes within the Berg WMA, as well as a number of schemes that transfer water from other WMAs into the Berg WMA. The Wemmershoek and Steenbras Dams supply water to Cape Town. The Riviersonderend/Berg River Government Water Scheme transfers water from the Theewaterskloof Dam (H60B) by means of a tunnel system to the Kleinplaas Dam. From Kleinplaas Dam water is supplied to urban consumers in Cape Town and Stellenbosch, as well as agricultural users. The West Coast District Municipality abstracts water from Voëlvlei Dam and supplies Hermon, Moorreesburg, Saldanha, Velddrift, Yzerfontein, Darling, Vredenburg, Malmesbury, Hopefield, Langebaan, St Helena Bay, Paternoster, Jacobs Bay and some rural areas with domestic water. Water is transferred from the Palmiet River (G40C) to the Upper Steenbras

Proposal for the Establishment of the Berg CMA 19 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

Dam by means of the hydro­electrical Palmiet Pumped Storage Scheme. Refer to Figure 2.6 below for a graphic explanation of the transfer schemes into the Berg WMA.

FIGURE 2.6: Transfer Scheme into the Berg WMA

Velddrif

Piketberg Misverstand Weir The WCWSS Saldanha Porterville supplies 480 million cubic metres per year Langebaan Moorreesburg Saron Voëlvlei Dam Legend Yzerfontein Tulbagh Riebeek­Kasteel Serves 3.1 WMA .. Boundary Darling million people Dams Towns Rivers Worcester Canal Wellington Pipeline Wemmershoek Dam Tunnel Plattekloof Reservoir Paarl

Molteno Reservoir Berg Water Project Stellenbosch

Cape Town

Newlands Reservoir Theewaterskloof Dam Faure Reservoir Blackheath Reservoir Rockview Dam

Steenbras Dams Kogelberg Dam

2.1.8 Progress with water conservation and water demand management

The Minister has in the past set the implementation of a water demand management strategy as a prerequisite before further supply side development to augment supplies to the Greater Cape Town area could take place. Such pressure had the positive effect of delaying the implementation date of the Berg River Water Project by a considerable margin. As far back as 2000, the CCT adopted a goal of achieving a 10% reduction in the projected metropolitan water demand by the year 2010. Measures that were implemented actually reached a 20% reduction.

2.1.9 Implementation of the Berg Water Project

Hydrological studies done by the Department of Water Affairs and Forestry in the late 1990s indicated that, even with a successful water conservation and demand program, the City of Cape Town would face an unacceptably high risk of shortfalls in water supply from 2000 until such time that the supply to this area could be augmented. Such shortfalls in supply would have a significant negative impact on the local economy.

The Berg Water Project (comprising the Berg River Dam and Supplement Scheme) was then identified as the most economically attractive of the 12 augmentation options investigated by the Department.

The bulk of the additional water requirement from the Berg Water Project will be for urban use. The CCT is by far the largest urban user from the Western Cape System. There are, however, some other smaller users such as the West Coast District Council (Swartland and Saldanha), Paarl, Wellington and Stellenbosch.

In the original White Paper for the Riviersonderend / Berg River Government Water Scheme, 93 million m 3/ year was allocated for use by irrigators. During the early 90’s this water was temporarily

Proposal for the Establishment of the Berg CMA 20 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

allocated for urban use by Cape Town, with the understanding that water would be made available for irrigation as their demand grew. The early growth in irrigation never materialised, and the urban sector has to date used the water. This transfer of use between sectors had the benefit of delaying the next augmentation scheme. The expected growth potential in irrigation water use is also not expected to exceed existing entitlements. The requirement for the Berg Water Project can therefore be mainly ascribed to growth in urban water use.

2.2 EXISTING FEATURES OF THE BERG WMA

2.2.1 Main geological features

The boundaries of the Berg WMA are shown in Figure 2.1 above. The main geological features of the area, with the quaternary areas in which they are located are listed below:

• To the east, the area is bounded by mountains formed by Table Mountain Sandstone on which high rainfalls occur. The mountainous areas are part of the Cape Floral Kingdom (the smallest floral kingdom in the world) and comprising mainly of fynbos species. The Berg (G10A­M), Eerste (G22F­H), Lourens (G22J) and Sir Lowry’s (G22K) Rivers and their tributaries rise in these mountains. The foothills and valleys are intensively cultivated with high value irrigated fruit orchards and vineyards. • The Steenbras River (G40A) rises in these mountains, but flows directly into the sea. • The Cape Peninsula (G22A­D) mountain chain also comprises of Table Mountain Sandstone, which is partially underlain by granite. There is a further sandstone outcrop at Kasteelberg to the west of the town Riebeeck West (G10F, G21C). • Sand dune areas mainly underlain by Malmesbury shales extend across the Cape Flats (G21E, G22C – E and G22H) and up the West Coast between Blaauwberg and the Berg River estuary (G10M and G21A, B & F). Rainfall varies between 300mm and 500mm and the natural vegetation comprises coastal fynbos of which parts are heavily infested with invasive alien vegetation. These areas are all characterised by sandy aquifers, which are utilised at Philippi (G22D) and Joostenberg Vlakte (G21E) on the Cape Flats to irrigate vegetables and at Atlantis for urban water supply. High water tables result in seasonal wetlands and the few rivers are poorly defined and seasonal of nature. The only exception is the Kuils River (G22E), which is fed by treated effluent. • The central areas drain to the Berg River (G10A – M) in the north­east, and to the Diep River (G21C – F) in the west. They comprise rolling hills that mainly underlain by Malmesbury shales of marine origin. The waters of the Lower Berg and Diep Rivers are both characterised by high salinity levels. There are a few massive granite outcrops, of which the Paarl Mountain (G10C) is the largest. These rolling hills are mainly cultivated as dryland wheat lands, with vineyards in the higher and wetter hilly areas. Rainfall in these areas varies between 400mm and 600mm per annum.

2.2.2 Urban features

The main urban areas are the following:

• The urbanised portions of the City of Cape Town extend around the foothills of the Peninsula Mountain chain (G22A – D) across the Cape Flats (G22C – E, H) to the Hottentots Holland Mountains (G22K) in the east, the Tygerberg Hills in the north (G21E & F, G22C & E), Blaauwberg (G21F) in the west and to Atlantis (G21B), which is still isolated, in the north­west. • The main towns are Stellenbosch (G22F & G) and Paarl/Wellington (G10C & D) in the east, and Malmesbury (G21D), Moorreesburg (G10J), Piketberg (G10H) and the Saldanha Bay municipal area (G10M) in the north­west. Smaller towns include Pniel (G10C), Franschhoek (G10A),

Proposal for the Establishment of the Berg CMA 21 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

Riebeeck West, Riebeeck Kasteel (G10F), Gouda (G10J), Saron (G10J), Porterville (G10H), Eendekuil (G10H) and Darling (G10L).

2.3 FUTURE LAND USE

The following changes in land­use are likely to occur:

• Limited increases in irrigated areas along the Berg River (G10A – K) will probably take place, perhaps growing at between 1% and 2% per annum. On the other hand, should the current decline in the fruit and wine export markets continue, the areas under irrigation could remain static or perhaps even decline, particularly if trading in water rights between the urban and irrigation sectors takes place. • The vegetable producing Philippi (G22D) agricultural area on the Cape Flats is surrounded by urban areas and farming is likely to become increasingly problematic. This could result in the area becoming urbanised with the vegetable growing activities being taken up by irrigators along the Berg River (G10A – K), resulting in a possible short duration higher than average growth in irrigation. Similarly, the Joostenberg Vlaktes (G21E) might, in time, become urbanised. • The urban population of the City of Cape Town (G21B, E & F, G22A ­ E, H, J & K) is growing at between 1% and 1,5% per annum, resulting in densification of existing areas and urbanisation of the undeveloped areas to the west and north­west. In the longer term, the urbanisation will continue beyond the existing city boundaries – refer to Figure 2.7 below.

FIGURE 2.7: Population Scenarios for the Berg WMA

WMA 19: Berg ­ Population scenarios

• Paarl/Wellington (G10C, D), Stellenbosch (G22F, G) and Malmesbury (G21C, D) are also expanding at a similar rate than the city area, as is the Saldanha/Vredenburg (G10M) area due to the establishment of industries and the growth in the property market.

Proposal for the Establishment of the Berg CMA 22 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

• The afforested areas will probably be retained, other than possibly within the catchment areas of Wemmershoek Dam (G10B) and the proposed Berg River Dam (G10A). • The Working for Water Program and the legislation concerning the removal of invasive alien vegetation by landowners is likely to curtail further spreading of this vegetation.

2.4 PRESENT WATER USERS

In 2005, the water used by the urban and agricultural sectors the Riviersonderend, Palmiet, Berg River (G10A, C, G22F, and H60C) and Voëlvlei (G10F) Government Water Schemes is approximately as follows:

TABLE 2.2: Cape Town’s water allocations

Riviersonderend/Berg River System Adopted 2002/2003 Sectoral Allocations for Water Pricing Purposes (Million m 3 per annum) Domestic/ Irrigation Berg River (Voëlvlei & Misverstand Dams) Industrial Current Capped Cape Town 70,4 Swartland 4,2 WCDC 18,6 PPC 0,8 Piketberg 0,7 LBR IB 18,1 18,1 Totals 94,7 18,1 18,1 RSE / BR (Theewaterskloof Dam) Overberg Water 4,0 Zonderend IB 30,8 31,5 Vyeboom 13,2 13,2 Pump from TWK Dam 1,5 1,5 Totals: Riviersonderend Supply Area 4,0 45,5 46,2 Cape Town (Fixed) 90,0 Stellenbosch 3,0 Upper Berg IB 48,6 58,6 Banhoek IB 1,8 1,8 Stellenbosch IB 9,7 12,0 Helderberg IB 7,8 12,1 Lower Eerste River 2,8 3,1 Totals: Berg­Eerste Supply Area 93,0 70,7 87,6 Grand Totals 97,0 116,2 133,8 1:50 YIELD 241,2 Irrigation surplus 28,0 10,4 Cape Town (Temporary) 28,0 Palmiet River (Rockview and Kogelberg Dams) Cape Town 22,5 Totals 22,5

Proposal for the Establishment of the Berg CMA 23 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

2.5 DEVELOPMENT OF WATER RELATED INFRASTRUCTURE

2.5.1 Development Schemes Implemented between 1995 and 2000

The bulk water supply infrastructure serving the CCT was augmented as follows:

• In March 1994 the Faure water treatment works (G22H) and supply pipeline from the Stellenboschberg tunnel outlet (G22H) was completed. The Faure works was constructed to deliver 500Ml/day and designed to be duplicated. The pipeline also provides water to the Helderberg and Stellenboschberg Irrigation Boards (G22H) in the Eerste River Valley and beyond. • In 1998 the component of the Palmiet Pumped Storage Scheme (G40C), which transfers water from the Palmiet River (in the Breede River Water Management Area) to the Upper Steenbras Dam (G40A), was completed. The scheme could transfer about 50 million m 3/a nnum, but environmental requirements will limit transfers to about 38 million m 3/a nnum.

A number of farm dams were constructed in the catchment area of the Berg (G10A – K) and Eerste (G22F – H) Rivers. Some of these are filled by pumping from the Berg River during the winter months. The total capacity of these dams is about 13 million m 3.

2.5.2 Current schemes being developed

Man­made effects have made their mark. Return flows from the treatment works at Paarl and Wellington impact on water quality as do the return flows from the increasing areas of irrigation. Changes in land use, particularly on the Malmesbury shale soils in the Swartland that are extensively cultivated for dryland wheat production, have undoubtedly contributed to changes in water quality in the Lower Berg River.

The Berg Water Project will supply the Upper Berg River irrigators by means of a multi­level release structure and the proposed Supplement Scheme pipeline. The flow in the river below the dam will then be reduced as far as possible to comply with the Environmental Instream Flow Requirements. The volume released during summer will replace the current releases at the Berg River siphon (currently 48,6 million m 3/a ) and will include an allowance of about 16,5 million m 3/a for the natural flow in the river that would otherwise be impounded by the dam.

The Berg River Supplement Scheme will operate in the winter months and will pump water into the Berg River Dam whenever there is sufficient flow in the river in excess of the Reserve requirements, unless the Berg River Dam is likely to spill.

The Lower Berg River stakeholders have raised concerns about water quality and particularly the effect of the Supplement Scheme on water quality. The impacts on water quality at the Misverstand Weir of abstractions by the Berg River Dam have been investigated both in the Western Cape System Analysis and in the Skuifraam (now Berg River) Dam Feasibility Study. The FLOSAL model, a predictive flow salinity water quality model producing monthly average salinities, was utilized. A scenario approach was adopted. However, this model is not suitable for assessing management options. It must be noted that a daily model to model water quality in the Berg River is under development (ACRU model – originally developed by the Agriculture Catchments Research Unit of University of KZN) for the Water Research Commission, which would greatly assist in modelling the impacts. The extra monitoring points are being put in place. This will help to put a salinity management plan in place.

Another study being undertaken at present is the Berg River Baseline Monitoring Study. The overall objective of this study is to describe those chemical, physical and biological characteristics of the river and hydraulically linked systems that are most likely to be affected by the changes imposed

Proposal for the Establishment of the Berg CMA 24 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

after the construction of the Berg River Dam. Also recently commenced is the West Coast Pre­ feasibility Study. This is investigating the future supply options for the West Coast region.

2.5.3 Possible Future Schemes

Looking at the water available and the demand for water (see Figure 2.8 below), DWAF initiated a Western Cape Water Reconciliation Strategy Study in 2004. This study was done at the same time as the development of this proposal for the establishment of the Berg CMA. Members of the CMA Reference Group served on the committee of I&APs participating in the Reconciliation Study. This ensured that issues and concerns raised at both processes were cross­referenced. It further enabled both processes to focus on the best possible solutions for additional water supply to the Berg WMA – be it the transfer of water from neighbouring WMAs, more effective water conservation measures within the WMA or the development of alternative water resources such as desalination.

FIGURE 2.8: Berg WMA – Future Water Reconciliation

WMA 19: Berg ­ Water Reconciliation (future)

2.5.4 Western Cape Water Reconciliation Strategy Study

The objective of the Reconciliation Strategy Study is to develop strategies to reconcile projected water demands with the supply from the Western Cape Water Supply System (WCWSS) for approximately the next 20 to 25 years. The Reconciliation Study builds upon the Western Cape System Analysis study undertaken between 1989 and 1995 and other more recent water resource planning studies. This study has been designed to facilitate public input into the selection and screening of options. The Reconciliation Study was used to launch the process to establish a Catchment Management Agency (CMA) for the Berg Water Management Area (WMA). The objective of the Berg CMA will be to manage water resources within the Berg WMA and to involve stakeholders in the protection and utilisation of water resources.

i) The Western Cape Water Supply System (WCWSS)

The WCWSS provides water to the communities of Greater Cape Town, Stellenbosch, Paarl and Wellington as well as towns on the West Coast and in the Swartland region. Irrigators along the Berg and Eerste River and irrigators and urban users in the Riviersonderend and Palmiet

Proposal for the Establishment of the Berg CMA 25 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

catchment (in the Breede WMA) also receive water from the system. The system includes five large dams, namely the Upper and Lower Steenbras and the Wemmershoek dams owned by the City of Cape Town, and the Voëlvlei and Theewaterskloof dams owned by the Department of Water Affairs and Forestry. In addition, there are a number of smaller dams and weirs including the Kogelberg, Rockview, Kleinplaas and Misverstand dams. The Berg Water Project, comprising the Berg River Dam and Supplement Scheme, is under construction and will be integrated into the system by 2007. All these schemes are situated in the Berg WMA, except Theewaterskloof, Kogelberg and Rockview Dams, which are situated in the Breede WMA.

ii) Balancing demand and supply

Currently, agriculture supplied from the System utilises some 30% of the water, while the urban demand accounts for the remainder. All sectors have implemented water conservation and demand management, and during periods of below average rainfall, are subject to restrictions.

The City of Cape Town is the largest urban water consumer and has implemented a number of the water conservation and demand management initiatives that were recommended in its Integrated Water Resource Planning Study. However, even with these initiatives it is anticipated that the total urban water demand will increase at approximately 2% per annum. Current projections indicate that existing supplies, including the Berg Water Project, will not be able to meet projected total agricultural and urban demands beyond 2012 – Refer to Figure 2.9.

FIGURE 2.9: Historical and projected water demand and supply for the Western Cape Water Supply System (WCWSS)

) r a

e 700 y

r e

p 650 Projected Demand

s e r

t 600 e m

i Historical Demand l

l 550 i m Average Supply c

i 500

b (non drought years) u c

( 450

d n

a 400 m

e Berg Water Project comes on line d

l 350 a u

n 300 n

A 1995 2000 2005 2010 2015 2020 Year

iii) The Process of evaluating future Water Demand and Supply Options

During 2005 – 2007, a multi­disciplinary team of scientists, economists, biologists, social scientists and engineers reviewed and investigated a wide range of demand management and supply options. The Department of Water Affairs and Forestry appointed an Association of Ninham Shand Consulting Services and UWP Consulting to lead the study.

Drawing from past studies, the Association developed an initial list of possible options to consider in the study (see Table 2.4 and Figure 2.10). The initial list of possible options, together with any others proposed by stakeholders, was evaluated at an Initial Screening Workshop during August 2005. The following criteria were used to evaluate the list of options for detailed study: • Financial cost,

Proposal for the Establishment of the Berg CMA 26 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

• Yield (quantity of water supplied to the system on an assured basis or saved by demand management), • Environmental consequences, and • Socio­economic influences.

TABLE 2.3: Initial list of Water Demand Management and Water Supply Options considered in the Western Cape Reconciliation Study

Numbers refer to map locations in Figure 2.10. WS ­ Wide Spread implementation of options across the system area. OMA ­ Outside Map Area Water Supply Options Water Demand Management Options

SURFACE WATER SCHEMES AGRICULTURAL WATER DEMAND MANAGEMENT Dams: River Release Management: 1 Twenty­Four Rivers 23 Riviersonderend 2 Waterval River 24 Berg River 3 Lower Wit River 25 Voëlvlei/Misverstand 4 Upper Wit River Irrigation Practices: 5 Upper Campanula Scheme WS Canal and Farm Dam Losses Diversions: WS Crop­Deficit Irrigation 6 Lourens River WS Drip/Microjet /Sprinkler irrigation 7 Eerste River 8 Olifants River (Keerom) TRADING OF EXISTING ALLOCATIONS 9 Upper Wit River 26 Eikenhof Dam 10 Upper Molenaars River 27 Lower Berg River 11 Michell's Pass 28 Greater Ceres Dam (Koekedouw Scheme) 12 Voëlvlei Augmentation Phase 1 Dam Raisings: REMOVAL OF INVASIVE ALIEN PLANTS 13 Misverstand WS Within catchments 14 Lower Steenbras WS Riparian Zones 15 Theewaterskloof 16 Voëlvlei Augmentation Phases URBAN WATER­DEMAND MANAGEMENT 2 and 3 Transfers: WS Leak detection and repair 17 Brandvlei to Theewaterskloof WS Pressure management Transfer WS Use of water­efficient fittings GROUNDWATER SCHEMES WS Metering and plumbing repairs in low income areas 18 Table Mountain Group Aquifer WS Use of grey water 19 Cape Flats Aquifer WS Use of well points and boreholes 20 West Coast Aquifers including WS Metering recharge 21 Newlands Aquifer WS Tariffs and surcharges / credit control WS Wellpoints and boreholes in WS Water User education urban areas

DESALINATION WATER RE­USE 22 Desalination alone/with co­ WS Exchange reclaimed wastewater for commercial generation of energy irrigation WS Industrial re­use OTHER SCHEMES WS Rainwater tanks WS Reclamation to potable water standards OMA Congo River Options WS Urban irrigation OMA Tanker /Inflatable bladders WS New housing (dual reticulation) OMA Orange River (Sea/Surface WS Aquifer recharge Pipeline) OMA Towing of Icebergs

Proposal for the Establishment of the Berg CMA 27 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

FIGURE 2.10: Location of initial Water Demand Management and Water Supply Options considered in the Western Cape Reconciliation Study

The Preliminary Screening Workshop, held on 4 August 2005, determined the options and/or schemes that needed to be taken into account by the Study Team, as well as those options that did not be considered further as part of this study. The objectives of the Preliminary Screening Workshop were to: • Identify schemes that require no further evaluation in this study;

Proposal for the Establishment of the Berg CMA 28 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

• Utilise existing information to assess the acceptability of the various options identified in previous studies in terms of technical, financial, environmental and social criteria; • Ascertain which intervention or development options or combinations thereof warrant further investigations at reconnaissance or pre­feasibility level and which should be considered in the reconciliation process; • Augment the existing information with specialist inputs from key stakeholders.

The final list of potential development options were screened according to the following criteria and are listed in Table 2.5: • Potential scheme yields, inclusive of the impact of the Reserve (i.e. the amount of water necessary to maintain the ecological functioning of the river systems and meet basic human needs); • Updated financial cost estimates and unit reference values (URVs); • Socio­economic implications; and • Ecological implications.

TABLE 2.4: Description of Augmentation Options that were deemed suitable for Further Consideration or Investigation by the Screening Workshop participants

OPTION DESCRIPTION

A: Agricultural Water Conservation and Demand Management Releases from dams for uptake by irrigation users could be more efficiently timed and managed. Examples include the releases from Voëlvlei Dam to Misverstand Dam, from A1.1 ­ River Theewaterskloof and Greater Brandvlei dams and from the future Berg River Dam. Release Freshening releases (notably 22 Mm 3 /a from Greater Brandvlei Dam) for salinity Management management in the middle and lower Breede River could be reduced through the use of interceptor drains to trap highly saline return flows. Decision support systems should be considered to assist water control officers and dam operators. No significant water conservation and demand management (WC/DM) measures have been applied to conveyance systems, river losses and canals. Concrete lined irrigation canals in A1.3 ­ Irrigation the Breede WMA are extensive. Some are as old as 100 years and losses from weakened Canal Losses canals are high. Refurbishment is expensive and may not be affordable by the irrigators. A possible option is for the urban sector to refurbish the canals, in return for a portion of the water traded out of irrigation. Over 40% of the total irrigation demand in the Berg WMA is from farmers’ own sources. The A1.4 ­ Farm Dam lining of farm dams could offer water savings of about 6%. However, this is likely to be Losses prohibitively expensive for farmers. Very limited metering of irrigation usage currently takes place. Metering from source to point of abstraction and then to field application is necessary to properly understand the extent of A1.7 – Metering utilization and losses. This would help to define the potential benefits of WC/DM, to control abstractions and usage by irrigators, and to bill for water actually used. B: Water Trading During the periods investigated, less than 60% of the allocated water from the system was Theewaterskloof being used by the Zonderend and Upper Berg River Irrigation Boards. This equated to some and Upper Berg 57 Mm 3 /a not being utilised by irrigators. Approximately 4,5 Mm 3 /a is allocated but unutilised from Eikenhof Dam. This volume of Eikenhof Dam water could potentially be integrated into the Western Cape Water Supply System (WCWSS) via the existing Palmiet Pumped Storage Scheme. Approximately 3 Mm 3 /a is allocated but unutilised from the Ceres­Koekedouw Dam. This Koekedouw Dam volume of water could potentially be integrated into the WCWSS via the potential Michell's Pass Diversion Scheme. C: Changes in Land Use In the Berg WMA, an area of approximately 137 000 ha of dense invasive alien plant C1 ­ Removal of infestation occurs. Most of this is in the Lower Berg catchment. High concentrations occur in Invasive Alien the riparian zones and result in a reduction in surface water runoff of some 87 Mm 3 /a. Plants Clearing efforts are currently focused on a 30 m strip on either side of the river channel and on light infestations in high mountain areas (reduction in seed spread).

Proposal for the Establishment of the Berg CMA 29 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

OPTION DESCRIPTION

Mountain­to­Ocean (25% SAFCOL and 75% Cape Timber Resources) is currently phasing out operations in the Western Cape. In the Berg WMA, 11 900 ha of forestry reduces C2 ­ Removal of surface water runoff by about 26 Mm 3 /a. In the Upper Breede and Riviersonderend Commercial catchments, about 3 600 ha of forestry occurs, reducing surface water runoff by some Forestry 8 Mm 3 /a. In the Upper Palmiet and Kogelberg catchments some 5 400 ha of forestry exists, with roughly 3 100 ha being phased out. The current reduction of surface water runoff is calculated at 11 Mm 3 /a. D: Re­use of Treated Effluent Entails the treatment of wastewater for the irrigation of public open spaces and sports fields D1 ­ Treated for and also for agricultural and industrial purposes. The scheme entails reticulation via a Local Irrigation (and separate treated wastewater distribution network from 13 Wastewater Treatment Works Industrial) Use (WWTW). Treatment for this option assumes further filtration only. D2 ­ Treated for Entails the exchange of treated domestic effluent with untreated fresh water (currently Commercial supplied to farmers). The untreated fresh water would then be treated to potable standards. Irrigation (Exchange There is potential to supply the Eerste River irrigators from the Zandvliet and Macassar for Irrigation WWTW during summer. A 45 km pipeline and 0,5 Mm 3 balancing dam near Allocations) Stellenboschberg Tunnel Outlet would be required. Entails the use of wastewater treated to potable standards for year­round use. Further D3 ­ Treated for treatment than conventional would be undertaken with a 1:4 blending ratio (4 parts treated Potable Use fresh water to one part treated wastewater). Cape Flats, Mitchell's Plain, Zandvliet and Macassar WWTW are proposed with treatment/blending at Faure Water Treatment Works. Entails conveyance of treated effluent via a separate network to domestic users for D4 ­ Dual gardening and toilet flushing purposes. This option must be considered conjunctively with Reticulation other WC/DM initiatives which target the same users (private boreholes, grey water, rain Networks tanks, etc.). E: Urban Water Conservation and Demand Management This scheme is based on the assumption that unaccounted­for water cannot economically be E2 ­ Leakage reduced to below 15% of the average annual daily demand. The target is therefore the Detection and difference between the unaccounted­for water and 15% of average annual daily demand. Repair 3 CCT investigations indicate a potential saving of 15,6 Mm /a. E3 ­ Domestic Leakage Repair Repair of domestic plumbing leaks (toilets, taps, etc.). The target area is lower income (Low Income households, unable to afford regular maintenance and repair. Households) During periods of low demand (typically at night), reticulation systems experience high E4 ­ Pressure pressure. This increases the rate of leakage and pipe bursts. By reducing the pressure Management during low demand periods, the volume of water wasted through leakage can be reduced. This option involves the use of water efficient fittings for toilets, showers and hand basin E5 ­ Use of Water taps/mixers. Opportunity exists amongst commercial, municipal and industrial users, both for Efficient Fittings new developments and retro­fitting of existing developments. Entails the replacement of automatic flush urinals with user­activated or waterless urinals. E6 ­ Elimination of Opportunity within public office buildings, railway stations, schools, private hotels, bars and Automatic Flush restaurants. Malfunctioning automatic flush urinals use substantially more water than Urinals functioning AFUs. E7 ­ Adjustment of This option makes use of adjustment of tariffs, improved metering and more effective credit Water Tariffs, control. The overall impact is one of awareness of the cost of water with an assumed 30% Metering and Credit tariff increase providing potential savings of up to 6%. Control Focuses on making consumers aware of their responsibility to use water more efficiently. E8 ­ User Education Initiatives include inter alia informative billing, media marketing, water user forums and outreach programmes. Interception of water from baths, showers and basins for gardening purposes. Kitchen sinks E9 ­ Promotion of and washing machines are excluded due to solids content and chemical concentrations in Grey Water Use the wastewater. E11 ­ Promotion of This is an augmentation option involving the installation of private wellpoints (up to 8m deep) Private Boreholes or boreholes (deeper than 8m). Wellpoints have lower yields but are cheaper to install. and Wellpoints F: Groundwater Development Options F1 ­ TMG Aquifer. Pilot phase development of 13 production boreholes and several monitoring boreholes,

Proposal for the Establishment of the Berg CMA 30 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

OPTION DESCRIPTION

TSA W7 – located 3 km northwest of the Wemmershoek Dam wall. Abstracted water would be piped Wemmershoek under gravity to the Wemmershoek Dam. F2 ­ TMG Aquifer. Pilot phase development of 13 production boreholes and several monitoring boreholes, TSA H8 – located approximately 3 km south east of the Upper Steenbras Dam wall. Abstracted water Steenbras would be piped under gravity to the Upper Steenbras Dam. F3 ­ TMG Aquifer. Pilot phase development of 13 production boreholes and several monitoring boreholes, TSA T4 – located approximately 6 km west of Vyeboom. Abstracted water would be piped under Theewaterskloof gravity to the Theewaterskloof Dam. Establishment of production and monitoring boreholes, a lime­dosing facility and a 25 Mℓ F4 ­ Cape Flats buffer reservoir. Boreholes would be sited within public open spaces, parks and school Aquifer grounds in Mitchell's Plain, sufficiently far away from existing WWTW and solid waste sites. Adamboerskraal Aquifer, adjacent to Berg River estuary. Langebaan Road Aquifer, between Berg River, Langebaan, Darling and Hopefield. Elandsfontein Aquifer, between Berg River, F5 ­ West Coast Langebaan, Darling and Hopefield, and Grootwater Aquifer, between Yzerfontein and the Aquifers Modder River to the south. The Atlantis Aquifer, between Atlantis and Mamre is fully allocated. F6 ­ Newlands Potential to install boreholes and abstract additional groundwater up to a safe yield of about Aquifer 3,5 Mm3 /a. The scheme involves injecting surplus surface water into aquifers in winter, for use in F7 ­ Conjunctive summer. Also involves pumping groundwater into surface water storage facilities, to Use supplement surface water supplies during periods of shortfall. Opportunity exists primarily in the West Coast Aquifers and in the Breede River Valley alluvium. G: Surface Water Development Options 24 m raising of the Lower Steenbras Dam to the same full supply level (FSL) as the Upper G1 ­ Raising Lower Steenbras Dam. The scheme includes existing and potential transfers from the Palmiet Streenbras Dam River and runoff from within Steenbras Dam's catchment. Alternative 1 – Construction of a 50 Mm 3 dam on the lower Palmiet River, and a pipeline and G2a ­ Upper canal to the existing Kogelberg Dam. Water transferred to a raised Lower Steenbras Dam Campanula Dam via the existing Palmiet Pumped Storage Scheme. Alternative 2 ­ As for option G2a above but with a weir 1 km upstream of the Palmiet Estuary. G2b ­ Upper Water transfer from the weir via a tunnel into Upper Campanula Dam, then into a raised Campanula Dam Lower Steenbras Dam. G3 ­ Lourens River The scheme involves the construction of a weir on the Lourens River diverting winter water Diversion directly into the Steenbras – Faure pipeline. The scheme involves the construction of 4 m high (35 000 m 3 capacity) weir on the Eerste G4 ­ Eerste River River, with pumping into a new off­channel balancing dam and on to the Faure WTW. A Diversion bypass pipeline would be required from Stellenbosch due to water quality concerns. The scheme requires a 1 m high weir and intake on the Berg River near Spes Bona. Winter G5 ­ Voëlvlei water (3 m 3 /s) would be pumped over 5 km to the Voëlvlei WTW. Treatment would be for Augmentation : direct delivery to Cape Town or alternatively, pre­treatment for storing water in Voëlvlei Dam. Phase 1 The scheme would optimise spare capacity in the existing WTW and in the pipeline to Cape Town (total 20 million m 3 /a). Balance to supply other users reliant on Voëlvlei Dam. This option takes the Berg River Project into account. Phase 2 involves a 9 m raising of G6 ­ Voëlvlei Voëlvlei Dam. Phase 3 involves a 7,5 m high (4 Mm 3 capacity) weir on the Berg River and a Augmentation : 3 rising main to the Voëlvlei Dam, with a diversion capacity of 20 m /s. A 1,5 m dia. steel Phases 2 and 3 pipeline to Cape Town would also be required. This option involves the construction of a 27 m high dam (280 Mm 3 capacity) on the Berg G7 ­ A new dam at River in close proximity to the existing weir. The option could be used to satisfy West Coast Misverstand demands or be integrated with the Voëlvlei Dam by pumping water to the Twenty­four Rivers canal, which feeds the Voëlvlei Dam. This scheme involves the construction of a 21 m high rockfill dam at the existing diversion G8 ­ Twenty­four weir site on the Twenty­four Rivers. The potential dam would act as a balancing dam to Rivers Dam improve the efficiency of diversions into Voëlvlei Dam. G9 ­ Watervals The dam would be located in the catchment adjacent to Voëlvlei Dam. A 14 m high rockfill River Dam dam (12 Mm 3 capacity) would feed water via a tunnel into the Voëlvlei Dam. Involves the construction of a pumping sump in the Molenaars River. Winter flows would be G10 ­ Upper pumped at 5 m 3 /s through the Huguenot Tunnel (existing 1,2 m dia. pipe), before being Molenaars gravity fed to either the Berg River Dam or the Wemmershoek Dam via 26 km of new Diversion pipeline.

Proposal for the Establishment of the Berg CMA 31 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

OPTION DESCRIPTION

G11 ­ Muldersvlei This is a cost saving initiative by the CCT. The scheme involves a new 500 Mℓ/d WTW at Optimisation Muldersvlei to treat Berg River Dam and Supplement Scheme water (± 81 Mm 3 /a) to potable Scheme standards, rather than Theewaterskloof Dam water, which is of a lower quality. G12 ­ This option would connect the Wemmershoek Dam to the Berg River Dam. Surplus water Wemmershoek from Wemmershoek Dam catchment could be transferred to the Berg River Dam, either by Dam and Pipeline flow reversal in the Wemmershoek pipeline or via a new pipeline. This option entails the construction of a 10 m high weir on the Dwars River diverting winter G13 ­ Michell's Pass water via a 9 km canal into the Klein Berg River, and then to the Voëlvlei Dam. Diversion Diversion capacities of 4, 8 and 12 m 3 /s have been investigated. G14 ­ Brandvlei to This option entails the augmentation of the Greater Brandvlei Dam by increased Papenkuils Theewaterskloof abstraction with direct pumping into the Greater Brandvlei Dam. Water would then be Transfer transferred by pipeline, canal and tunnel to the Theewaterskloof Dam. G15 ­ Raising This option only has a benefit if developed in conjunction with scheme G14. There is little Theewaterskloof yield benefit from runoff from its own catchment and high evaporation is an issue. Dam This scheme entails the construction of a 28 m high (24 Mm 3 capacity) rockfill dam at the G16 ­ Lower Wit bottom of Bain's Kloof on the Lower Wit River. Winter water (1,2 m 3 /s) would be pumped River Dam across the catchment divide, then gravity fed to the Klein Berg River and into the Voëlvlei Dam. Entails a diversion weir on the Wit River and a tunnel under Bain's Kloof Pass into the Kromme River catchment. A new dam on the Kromme River (Doolhof Farm) would be G18 ­ Upper Wit constructed. The water would be treated and pumped to Wellington and back to Paarl River Diversion (reverse use of Paarl­Wellington pipeline). Water could also be reversed into the Wemmershoek­Cape Town pipeline. H: Desalination This option utilises water from the outlet structure at the Koeberg Nuclear Power Station to provide seawater to a reverse osmosis desalination plant. Therefore, no inlet or outlet H1 ­ Koeberg Site structures are required. There are cost­saving benefits in using this heated seawater, as well as operating benefits associated with using water of a relatively constant temperature. A 60 Ml/d plant has been assumed. At this site, seawater for the reverse osmosis desalination plant would be drawn directly from H2­ Melkbos Site the sea, and therefore would require an inlet and outlet works.

2.6 KEY WATER RESOURCE ISSUES IN THE BERG WMA

The key water resource issues in the Berg WMA are set out per sector (in alphabetical order), in accordance with the way in which these issues were presented by each sector at the various meetings of the Reference Group. It would be of benefit to the CMA to take note of the fact that the public participation elicited as part of the CMA establishment process was held in very high esteem by all sectors. It was often said that this was the first time an independent platform was created where the private and public sector could enter into dialogue with each other and voice their various concerns and issues in a non­confrontational manner.

However, it is becoming more and more obvious that water professionals, policy makers or water ministries alone can no longer resolve the water problems of a country or river basin. The problems are too complex, interconnected and multidimensional to be handled by any one institution or one group of professionals. In the future, water problems will continue to grow, affecting other development sectors like agriculture, energy, industry, environment and health.

This was one of the reasons why the water resource issues identified should be incorporated into the Spatial Development Framework (SDF) for the Western Cape. The CMA should study the provincial SDF and make sure that they participate in any discussions on the SDF at provincial level, especially with regard to the impact of developments on water resources and biodiversity.

Proposal for the Establishment of the Berg CMA 32 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

2.6.1 Aquaculture As is the case with the high density of plant species in the Western Cape, the waters in the Berg WMA also boast a high density of endemic aquatic life. However, the ecosystems that support these species are under severe threat from the continuous pollution of rivers – due to bad and/or lack of management with regard to municipal sewerage plants, agricultural fertilizing practices, lack of sanitation etc. The CMA should therefore form alliances with the initiatives such as the C.A.P.E. (Cape Action Plan for People and the Environment) project, which has access to global funds for the conservation of the environment.

The planned releases from the Berg River Dam will also have an effect on the biophysical processes in the estuary. Careful consideration should be given on how these releases could change habitats and biota in the estuary, which has an effect on plankton and invertebrates that are an important part of the food chain for the fish, birds etc. The estuary requirements (especially the need for and timing of freshwater flows) should be taken into consideration before planned releases are made. The CMA should also make sure that environmental flow releases are made from all dams and weirs. It is imperative that the Reserve determination be done as soon as possible, and that the rivers are classified to determine the Instream Flow Requirements (IFRs).

2.6.2 Commercial farmers The various key water resource issues of the commercial agricultural sector can be grouped into the 3 categories listed below

i) Water assurance Two­thirds of the water in the Western Cape Water Supply System is supplied for domestic and industrial use to the City of Cape Town and the Stellenbosch and Drakenstein municipalities. The remaining one­third is shared between the West Coast (urban consumers) and agriculture in the Berg WMA. The agricultural sector operates on a 91% assurance of supply (compared to the 97% of the urban sector). This means that there should be sufficient water every 7 in 10 years, and that during 3 of the 10 years they will be subject to up to 30% restrictions. Farmers have so far managed this effectively, taken into account that they also supplement and/or rely on their own water resources.

Most farmers have introduced effective water conservation measures to obtain the maximum yield from a scarce resource in extremely competitive market circumstances. Water restrictions should therefore be properly researched before being applied to the agricultural sector in line with urban consumers. Rather encourage farmers to implement water conservation measures and identify those who do not manage their water resources effectively. There is a need for differential water management within the commercial agricultural sector. A 20% water restriction placed on a farmer who is already irrigating on maximum efficiency will, for example, have a much more detrimental effect than the same restriction on a farmer who does not adhere to water­wise farming practices.

Most farmers can sort out their own resources by means of farm dams, but these are also influenced by weather patterns – just like the large dams in the system.

ii) Water quality The quality of the water in Berg WMA is of legitimate concern to the commercial agriculture sector. Produce from the area is exported mainly to the United Kingdom and Europe – countries that are extremely sensitive to water quality issues. During the 2004/05 season, for example, the export market was under severe threat when retailers and importers became aware of the many pollution spills into the river and seriously considered cancelling imports from the region. Although emergency steps were taken to provide a short­term solution, the existing and long­term wastewater disposal problem in the Berg River system needs urgent attention. Should these countries stop imports, it could mean a loss of between R128 – R385 million/a. The multiplier effect of this on the economy could be devastating.

Proposal for the Establishment of the Berg CMA 33 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

The salinity in the water of the Berg River is caused by salt releases from soils. The change in land­use from endemic Rhenosterveld indigenous vegetation to dry­land crop production results in salts being broken down into the soil. This is then released by rain and eventually leaches into the upper Berg River.

iii) Economy and employment Approximately 22 000 ha of farmland (more or less 600 farming units) relies on the Berg River for water. The existing (2006) water use entitlements equal 128 million m 3/a nnum. Exports from these farm generate in the region of R462 million/annum, and on average 14 000 permanent and 16 500 seasonal workers are employed by the sector. Permanent employees in the agricultural sector represent 13% of the Western Cape’s formal employment sector. On average the agricultural sector adds a factor of 10.9 to every R1 of farming produce sold.

Poverty alleviation and food security is one of the millennium development goals (MDG). Integrated Water Resources Management (IWRM) is defined by the Global Water Partnership as “a process, which promotes the co­ordinated development and management of water, land and related resources in order to maximise the resultant economic and social welfare in a equitable manner without compromising the sustainability of vital ecosystem”. Integrated water resource management is therefore about achieving this MDG.

Irrigated crops are one of the largest generators of GDP in the area, yet there is constant competition between the urban and agricultural sector for water from the Berg River system. The economic multiplier effect of the agricultural sector in Berg WMA should not be under­ estimated. A blanket 20% water restriction could, for example, lead to a 5% loss of employment because of a loss in crop income. This has a multiplier effect on the already stressed urban consumption patterns, as these people and their families move to the towns and cities in the hope of obtaining employment. The result could be more stringent water restrictions and the start of a vicious circle where nobody wins.

There has been, and always will be, a progressive competition between municipalities and agriculture for water. The CMA should therefore look at integrated solutions to manage the water resources to the benefit of all. It is extremely important that there should be a sectoral approach to water management and that economic and social implications should be taken into account during the decision­making process (e.g.: should the same water restrictions be imposed on urban and agricultural users?). Rather than using “natural” water for urban consumption, alternative solutions, such as the desalination of seawater and reverse osmosis wastewater treatment plants, should be implemented to free up water for agricultural use.

iv) Other general issues raised: • A drop in the agricultural economy will have a negative effect on the transformation process, as resource­poor farmers need to enter an economically stable environment to become viable and sustainable farmers. Already the entry into the formal agricultural sector is becoming more and more difficult and expensive. • There is a need to simplify and/or expedite and/or standardise the requirements for building farm dams. • The outflow of people from the agricultural sector (because of economic reasons) has a direct influence on the influx of people to the urban areas – placing greater demand on urban water resources. • Commercial agriculture uses water efficiently. Their allocation was cut back by 92 million m 3 in 1992 and is still used by the domestic and industrial sector. • Agriculture assists in neutralising the greenhouse (global warming) effect.

2.6.3 Resource­poor Farmers

Proposal for the Establishment of the Berg CMA 34 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

There is a need for resource­poor farmers to have access to water, be part of transformation processes (such as in WUAs) and participate in capacity building programmes. Various organisations such as NAFU and the Ubuntu Farmers Association could assist the CMA with the above. The following capacity building needs were identified: • Assist resource­poor farmers in obtaining access to water. • Inform resource­poor farmers about their water use entitlements and explain how they can obtain and register these entitlements. • Build capacity in the efficient use of water and best farming practices. • Explain the importance of biodiversity and the need for maintaining a balance between development and the natural environment. • Provide information on what is meant with “sustainable development”.

This could be done by: • Using existing structures to communicate with resource­poor farmers. • Building partnerships with commercial agriculture. • Assisting DWAF with the transformation of Irrigation Boards into Water User Associations.

Resource­poor farmers should be made aware of the fact that they can apply for a special water tariff if they obtain water from a government water scheme. The regulations regarding resource­poor farmers to be registered as a legal entity before being eligible for financial aid for bulk water supply need to be addressed as the costs of a legal entity may far outstrip the benefits thereof. The issue of a group of farmers on one property not being able to qualify for subsidies and grants (2007) also needs to be discussed with the DWAF.

2.6.4 Farm workers

Although new legislation protecting the rights of farm workers has been promulgated, the livelihood of many farm workers has not improved. It seems that local authorities are reluctant to acknowledge their responsibility to ensure that farm workers have access to sufficient potable water. At the moment any requests by farm workers to most municipalities are met with the reply that the municipality cannot interfere as the water problems are experienced is on private property. The CMA will have to make an assertive effort to inform local authorities of their responsibility and to make sure they become involved in the management committees of WUAs, where most of these issues can be negotiated and resolved because all parties concerned serve on these management committees.

There is a specific need to empower women on farms and explain their rights to water. The CMA should form alliance with organisations, such as Women on Farms, to enable previously disadvantaged communities in taking ownership of available resources, play a larger role in water management (e.g. being involved in ward committees and the management committees of WUAs) and thereby improve their family’s quality if life.

The CMA should take cognisance of the excellent work done by the Sikhula Sonke Trade Union, which was established by a group of women farm workers. Sikhula Sonke differs from other trade unions in that it is a social movement trade union that not only focuses on labour issues but mainly on the social issues and challenges facing farm workers. These include farm evictions, job losses, unfair labour practice, unfair treatment of women farm workers, violence against women and exposure to pesticides. The CMA should assist such organisations by providing capacity building workshops on issues such as the handling of empty pesticide containers, and continuously liaise with the relevant organisations to determine the needs for capacity building.

2.6.5 Community­based Organisations (CBO)

The Berg CMA is fortunate to have in its midst many active CBOs dedicated to environmental and water­related issues. One of these is the Water Caucus: a gathering of Water Services Sectors in

Proposal for the Establishment of the Berg CMA 35 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

South Africa in the Western Cape, which was started in 1999. The Caucus has identified the following as the main water­related community issues: • Access to water and sanitation are human rights. All people should have secure access to sufficient, potable water to meet their basic human needs including water for productive use to sustain livelihoods. • Communities must be held accountable for and implement water demand management. • Local government must liaise with communities to determine the infrastructure required. • The integrity of ecosystems is the basis for all life­both human and nature and river ecosystem and groundwater resources must be maintained, rejuvenated and enhanced. • Large dams are destructive to humans. • Invading of wetlands is matter of concern. • Water pollution should be curtailed. • There is an aversion to pre­paid meters. • DWAF’s Masibambane rural development project is an excellent project and should be expanded.

However, all CBOs play a vital role in the management of water resources. The best watchdogs are those that actively take an interest in local water issues. These include ratepayer associations, conservation bodies, catchment forums etc. CBOs should become much more directly engaged in sharing and contributing their expertise to the CMA. Catchment management committees could be used as the vehicle to ensure this future involvement.

2.6.6 Environment and Conservation

The Cape Floristic Kingdom in one of only six floral kingdoms in the world – and the smallest. With 8 200 plant species (of which 5 682 are endemic and 1 406 are threatened) occurring in this small area, it is a global conservation hotspot.

Rivers and catchments in the Western Cape are under severe stress because most of the natural vegetation in the middle and lower reaches has been lost to agriculture (which increases the salinity of runoff because of the change in soil content) and invasive alien vegetation (which consumes much more water than natural vegetation). Over­abstraction from rivers is another problem, as the numbers of rivers (especially in the metropolitan area) have become nothing more than wastewater channels. The unacceptable degree of pollution in the WMA also has a severe negative impact on critical augmentation options such as desalination and diversions. The feasibility of sea water as a future source of potable water will be jeopardised if the level of pollution at the coast is too high, caused by the levels of pollution the Berg WMA 'flushes' into the sea. River diversion options might also not be feasible due to the unacceptably high level of pollutants in these rivers. Any lack of urgency to curtail the levels of pollution will not only impact on the health of water users, but will also place the future assurance of supply at risk.

The importance of the environment as the underlying element of sustainable development cannot be emphasised enough. All planning proposals should take the environment into consideration – not only those that are legally bound to undertake an Environmental Impact Assessment (EIA). One such as example is the Lourens River, which is a classified Protected Natural Environment and is subject to monitoring and supervision by a statutory body consisting of experienced persons (to be instated).

All planning must therefore take cognisance of Millennium Development Goal No. 7: ensure sustainable development.

The following eight key issues were identified as being absolutely necessary in order to optimise water quantity and quality:

• Conserve Mountain Catchments

Proposal for the Establishment of the Berg CMA 36 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

The highest and best quality water comes from pristine fynbos catchments. The reserves managed by CapeNature, for example, provide at least 35% of the run­off into the Berg River. Mountain catchment areas should therefore be free of invasive alien plants and should receive priority in clearing projects.

• Cumulative impact of smaller farm dams Each and every smaller farm dam should be entered into a database and monitored. The cumulative impact of smaller farm dams on existing ecological processes, is of grave concern as releases from these dams are important to maintain instream flow requirements and to ensure that flooding events still occur. The latter two aspects should also be carefully considered when evaluating applications for new dams.

• Protect riparian zones Riparian zones protect the river against flooding and intercept nutrients from adjacent lands and should therefore not be disturbed or cleared. In addition, these zones should be kept free of alien plants (e.g. wattles, gums, pines) and, where possible, damaged riparian zones should be rehabilitated. The same applies to wetlands.

• Determine and implement the Ecological Reserve The ecological reserve is one of only two basic water rights (the other being water for basic human needs) and it is vitally important to support the ecological functioning of the aquatic environment. As the ecological reserve is dependant on the ecological class of river, the classification of rivers in the Berg River WMA should receive priority attention. However, equally important is the implementation of the instream flow requirements (IFR) that have to be adhered to in order to retain the river according to its classification.

• Control pollution Pollution is the single biggest threat to the river systems in the Berg WMA. Sewerage treatment plants need to be properly managed and maintained and no informal housing settlements should be allowed on riverbanks. At the moment rivers and wetlands are used to dump waste materials and excess fertilisers are flushed into rivers. The real problem is that there is too little flow left in rivers to dilute these pollutants and that a damaged river ecology can no longer clean pollutants effectively. The CMA should strive to have the agricultural sector and sewerage treatment plants comply with international best practices.

• Monitor river health Although the rivers in the Berg WMA are not in a healthy condition at all (refer to the heading State of the Berg River under the section Provincial and National Government below), DWAF’s regional office in the Western Cape implements a well­capacitated and active River Health Monitoring Programme. The CMA must ensure that this monitoring programme is maintained in its existing effective format, as the information gained acts as an important indicator of water quality issues that need to be addressed as a matter of urgency. However, estuaries and wetlands should be included in this or an additional monitoring programme. Information obtained on the Working for Water and Working for Wetlands programmes, should all form part of the monitoring programme.

• Adequate capacities to manage the catchment There must be adequate capacities to implement the above.

• Education It is extremely important that every person living in the Berg WMA has a good understanding of the principles of protecting and conserving catchment areas and the relationship this has on water quality and quantity. In its endeavour to succeed in managing the resources in the Berg WMA in an integrated manner, environmental education must be one of its key performance areas.

Proposal for the Establishment of the Berg CMA 37 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

There is a need for integrated planning in the Western Cape. Fortunately the provincial (and local) Spatial Development Frameworks (SDF) will help to address the lack of communication between departments and institutions. There is, for example, a dire need for fire management, watershed management etc. The CMA should ensure that it maintains the dialogue between interested and affected parties that was initiated by the process to establish the Berg CMA.

The importance of estuaries and the threat to these sensitive ecosystems, mainly because of various types of developments in and alongside river reaches, have also been identified as key water resource issues. Although there are numerous community­based organisations that can assist the CMA with the monitoring of developments, the CMA should actively participate in SDF processes in order to guide development in such a way that it does not detrimentally affect sensitive water systems. The information obtained from the hydraulic modelling of the Berg River estuary (baseline monitoring programme) done by the Freshwater Consulting Group, MUST be used to this effect.

2.6.7 Forestry

The forestry sector should advocate the planting of sterile trees as wood lots. The sector should also assist their secondary industry sector – the manufacturing of wood products – in finding alternative ways to manufacture certain products. E.g. chipboard could be made from invasive black wattle rather than planting pine plantations for the manufacturing of chipboard.

2.6.8 Industry and Commerce

Contrary to the message sent out to the public, only 12% of South Africa’s water is used by industry, mining etc. In the Western Cape, industry uses only 10% from the Berg Water Management Area. As industry and commerce plays an extremely important role in the economics of the Western Cape, it is important to keep this sector informed about the existing and future water situation.

2.6.9 Local Government

There is one metro, two district and six local authorities in the Berg WMA. More than half of the water in the Berg WMA is used for urban (domestic and industrial) consumption (the shortfall being imported from the Breede WMA). Water Services Authority issues, such as those identified below will therefore have a great impact on the catchment management strategy. • The Western Cape System Model of the major water supply components must be updated regularly. • The Berg River Reserve must be modelled to determine its impact on the availability of water. • Develop water quality management strategies for the middle and lower Berg River. • Licenses for new irrigation expansion in the Berg WMA must be continuously considered with preference given to water trading. • Re­use of treated wastewater remains an important future source for the Cape Metropolitan Area.

Other issues that need attention include: • IWRM (Development of new surface water supply schemes or groundwater resources). • Water conservation / water demand management strategies. • Re­use of effluent. • Re­allocation of water. • Clearing of invasive alien plants. • Desalination of seawater. • Water quality sampling programme (potable water & treated effluent). • Compliance with specific wastewater standards as issued by DWAF. • Monitoring of water losses. • Quicker response to pipe bursts, leaks etc. • Water balances per town (scheme), with future projections.

Proposal for the Establishment of the Berg CMA 38 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

• Institutional set­up and capacity of Water Services Authorities.

The necessity of planning timeously for ever­changing circumstances places a severe burden on local authorities. The SDF will assist the planning process, but the unknown and unpredictable influx of homeless people to the urban areas is an area of great concern. Local government has a difficult task in trying to determine the population growth into urban areas. This because there are so many factors influencing the influx, such as a money­driven economy, industrial expansion in urban areas, farm labourers migrating to urban areas etc.

An example is the increasing pressure on the West Coast for both residential and resort development. The effect on these developments (especially in coastal towns such as St Helena Bay, Laaiplek, Velddrif and the Saldanha Bay area) on water demand and existing services and infrastructure, must be planned for timeously.

Other water resource issues mentioned: • Local authorities should not only look at the increased tax basis when approving development. Of key importance are existing resources and infrastructure capacity. The SDF should play a larger role in future decisions. • Previously disadvantaged communities utilising communal land for food gardens should know that they could apply to local their local authority for a special water tariff structure.

2.6.10 Provincial and National Government

State of the Berg and Greater Cape Town Rivers DWAF Western Cape implements an excellent monitoring system in partnership with CapeNature, City of Cape Town, the CSIR and other institutions. The river health monitoring programme assesses instream & riparian habitat, geomorphology, riparian vegetation, macro­invertebrates, fish and water quality. Most of the rivers in the catchment area are in an ecologically “fair” (but undesirable) condition and the following management interventions are required: • Clear invasive alien vegetation and re­introduce indigenous riparian vegetation. • Maintain a buffer area of at least 10m next to the river. • Construct a weir above Berg River Dam to prevent migration of alien fish species. • Stock farm dams with indigenous fish rather than alien species. • Ensure environmental flow releases from all dams and diversion weirs. • Improve monitoring & management of agricultural and urban runoff. • Improve farming practices to reduce sedimentation and water quality problems. • Improve management and monitoring of storm water quality in urban areas.

The worst impacts are caused by: • Wastewater discharges and runoff o Urban storm water and litter in the Lotus, Diep, Bokramspruit and Eerste Rivers o Wastewater discharges and spills in the Kuils and Black Rivers • River modification o Canalisation in the Black, Elsieskraal, Keysers and Lotus Rivers • Invasion by alien species o Alien fish in nearly all lower reaches o Aquatic weeds in the Black, Lotus, Sand, and Eerste/Kuils Rivers o Indigenous riparian plants of lower reaches have been removed and replaced by alien plants • Flow modification o Reduction of summer flows in the Sand, Sir Lowry’s Pass & Silverstroom Rivers and tributaries of the Eerste River. Increased summer flows in the Kuils and Eerste Rivers.

The ecological degradation of the rivers has an even worse impact on the health of those humans who come in contact with the river. Of the 34 river systems in the Berg WMA, 44% pose a high risk

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for recreational use and 18% a medium risk. In effect this means that 62% of the rivers in the Berg WMA are unsuitable for recreational use.

2.6.11 Research and Education

The result of bad and/or ineffective wastewater management on river systems in the Berg River should be made public. The health threats to human beings caused by sewerage and other effluent spills are of a serious nature and do not receive the required attention from either the local, provincial or national authorities. The CMA should address this as a matter of urgency.

As water is a scarce commodity, it should not be used to transport waste / sewerage. The CMA should research the advantages of dry composting as an alternative to water­borne sewerage and then advocate this alternative in the provincial SDF and enter into negotiations with all local authorities to also consider this alternative as part of the planning processes.

There is a dire need for educational material explaining the importance of water resources and the protection thereof. Much more attention should be given to environment­related issues at school level, as is the not the case at the moment. The CMA must budget for the necessary resources (both materials and manpower) to ensure that education and training receive top priority in the day­to­day management of the Berg CMA.

2.6.12 Tourism and Recreation

Recreational user groups, such as canoeists, regularly traverse the river and are concerned about aspects such as water quality and planned releases. Other issues include: • Alien vegetation on river banks encroaching into the river. • Trees, branches and debris in the river (mainly because of alien clearing not being done professionally). • User­ unfriendly weirs • Lack of information on when releases are made • Not sure of access rights along river • Pollution – especially in the Milnerton Lagoon and the section of the Berg River between Wellington and Paarl

The CMA should use canoeists to be the eyes, ears, nose and friend of the CMA. They should be consulted when weirs are built so as to ensure that they are both effective and user­friendly.

2.6.13 Urban Water Users

One of the main challenges facing the urban water user sector is the severe lack of confidence that the stakeholders have in the authorities (mainly with regard to quality and supply). The answer lies in active engagement, authentic communication (no spin) and leading by example.

Water provision is constantly trying to play catch­up to National and Local Government strategies (and is losing). Forward planning in terms of Local Urban Planning is outdated and uninformed i.t.o. the spatial growth pattern (inadequate guidance), planning for engineering services, densification etc. Urban planning needs to be co­ordinated and regulated with the ability for water resource provision playing a key role in any developmental decisions.

Urban water use is identified as a major growth area. It is also the one water user sector that can readily respond to better water demand practices and use of alternatives such as recycled water and rain harvesting. Development approvals should be regulated and approved on condition of viable water re­use and waste water reduction technologies being applied. Leakage detection and repair is very important. Setting the scene for more augmentation schemes is not supported by many of the environmental organisations within the Berg WMA.

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Institutional leverage is placing society and future water resources at risk due to pollution. There is a lack of governance in applying the rule of law to protect these resources. The principle that “the polluter must pay and clean up” must be enforced vigorously. The Minister of Water Affairs and Forestry’s comment (15 May 2007) that DWAF will not crack down on municipalities that fail to prevent water pollution if the local authority lacks capacity, was not favourably received. There was a great concern that the CMA will be subject to the same decision and therefore not be able to take legal action against polluting municipalities. Scientific data indicates that the levels of pollution are high enough to have a significant negative effect on human health. Recent research findings of the South African Medical Research Council, for example, placed unsafe water in the top ten (7th) causes of disease in the country.

A lack of requisite skills at local government level, could, due to institutional bias, influence water resource provision. Reportedly 8% of people in key jobs at the local authority level of government have the requisite skills to do the jobs they hold, according to a recent government survey. For this reason the use of specialists within DWAF, together with those from universities and suitably qualified individuals, should be imperative.

The City of Cape Town presently uses water charges as a source of revenue. Adding the CMA charges to this will make water very expensive. The solution lies in the principle that the City should only utilise this revenue stream for the purpose of: • Recovering water related costs; • Securing much­needed future sustainable water resources; and • Competently protecting existing and future resources.

In this way the water user will see value in the costs without the benefit being diluted across other unrelated expenditures.

As a consequence to concern for sustainable water resources, abstraction of groundwater is becoming increasingly prevalent. There is conflicting opinion on the consequences (if any) to the exploitation of this resource. Conclusive specialist input (area specific) is therefore required

Other key issues the urban water user sector has identified include: • Pro­active education to users promoting good water demand management. • Promotion of responsible (environmentally sustainable) recycling of water. • Water supply must be coupled to appropriate and affordable sanitation. • Information on water wise food production and gardening. • Reduce water wastage through leaks to a minimum. • The occupants must address domestic water leaks. • Put mechanisms in place to address leaks that occur in indigent and urban poor communities. • The bulk water supply system must be forced to reduce loses. • Urban development and its cumulative effects should be managed in a manner that does not negatively impact on urban rivers. • Adequate urban watercourse management must be done to preclude flooding. • In accordance with integrated sustainable human settlement, no housing development should be allowed in inappropriate places (i.e. in floodplains, below the 1:50 year flood line, where the provision of adequate sanitation is not possible, etc). • Reconsider water­borne sewerage as a general service and research alternative acceptable methods that use less/no water • There must be an indication of true value in the pricing strategy to consumers.

2.6.14 Water User Associations

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With the transformation of Irrigation Boards to Water User Associations, the boundaries of many WUAs are extended to represent logical catchment boundaries. In this way WUAs can effective carry out many functions on behalf of the CMA, as is the intent with the National Water Act.

WUAs will include all water users and uses in their area of operation. Membership on a WUA Management Committee will therefore include farm labourers, resource­poor farmers, commerce and industry and municipalities. Depending on the delegated functions, WUAs will control surface and groundwater use in their area – one of the reasons why it is extremely important that all water users be represented on the Management Committee.

The following key water resource issues have been identified: • Capacity building within Management Committees • Buy­in from municipalities to participate in WUAs • Improve water efficiency in bulk distribution • Improve river management and bulk water distribution • Compliance with Reserve requirements • Water reallocation to resource­poor farmers • Capacity building for new farmers

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Proposal for the Establishment of the Berg CMA 42 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

3. EXISTING INSTITUTIONAL AND FUNCTIONAL ARRANGEMENTS AND CAPACITY IN THE BERG WMA

3.1 General

The Berg CMA will function within an environment with a huge amount of institutional capacity. These include the various offices of the Western Cape Provincial Government, some regional offices of national departments and competent local authorities. There are also a number of WUAs and to­ be­transformed Irrigation Boards. In addition, the universities in the Berg WMA all offer excellent water and environmental related courses and have built up excellent research information on water­ related matters, as well as integrated water resource management. The numerous NGO’s and CBOs and competent members thereof, contribute further to the knowledge base within the WMA.

The result is that the Berg CMA will be able to draw on a lot of existing expertise in the WMA. The Governing Board and CEO should therefore be very careful to not duplicate functions by trying to do them internally instead of outsourcing them to these institutions that have the resources to execute the functions effectively.

3.1.1 National Water Resource Strategy (NWRS)

The Preamble to the National Water Act recognises “The need for the integrated management of all aspects of water resources and, where appropriate, the delegation of management functions to a regional or catchment level so as to enable everyone to participate”.

This means that, over a period of time, DWAF will have to progressively delegate as many of its water resource management functions as possible to an authority, in this case the CMA. The CMA will be responsible for the sustainable and equitable utilisation of the water resources within its Water Management Area (WMA). As the CMA will be established in an environment where various institutions such as district and local governments, water user associations and NGO’s already exist and/or operate, the CMA will have to recognise and build relationships with these institutions. Such strong relationships will ensure co­operative governance with regard to the integrated management of the water resources in the area and ensure the legitimacy and credibility of the CMA.

3.1.2 Role of the Department of Water Affairs and Forestry

The Department of Water Affairs and Forestry (DWAF), through the National Water Resource Strategy, is the custodian of South Africa’s water resources. It must make sure that water resources are not exploited and that water is shared on an equitable basis, is used efficiently and is managed in such a way that the resource remains sustainable for future use.

DWAF thus has the task to execute water resource management at the national level, while CMAs operate at the catchment (Water Management Area) level. To enable these two levels of management to perform their functions, the National Water Act makes provision for the following: • Classification of all river reaches according to the protection level that each river reach requires for the conservation of its ecosystem. • Setting aside a “Reserve” (a specific volume of water of acceptable quality), which will always be available for ecological and basic human needs. This Reserve may not be allocated for other uses. The ecological part of the Reserve depends on the class of that particular river reach.

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• Determination of the long­term water quality values that management should aim to achieve in all river reaches, known as the Resource Quality Objectives. • Declaration of WMAs that define the boundaries of each CMA’s responsibility. • Water resource management institutions at catchment level, such as CMAs (and their Committees) and WUAs.

3.1.3 Roles and Responsibilities of Institutions

There are a number of organisations in the Berg WMA that, in one way or another, are involved in the supply and management of water. Two Acts determine their roles and functions relating to water management, i.e. the National Water Act (Act No. 36 of 1998) and the Water Services Act (Act No. 108 of 1997).

The National Water Act provides the rules and regulations for the management of water resources, while the Water Services Act states how water must be supplied from the resource (managed under the National Water Act) to the consumer. All structures under the National Water Act are therefore known as water management institutions, and all of those structures that fall under the Water Services Act are known as water service institutions.

3.2 Existing Institutional and Functional Arrangements

As noted before, the Berg CMA will be established in an environment where various institutions already exist. For the CMA to obtain legitimacy, the CMA should recognise these institutions and obtain a good understanding of their role and function in the area. Depending on the capacity of these institutions, several of the CMA’s functions could be delegated to them – thus fostering and furthering the spirit of co­operative governance.

3.2.1 Regulators

There are a number of organs of State, referred to as Regulators, who have a mandate that relates to, or includes, certain elements of water management. These Regulators can be grouped into four categories and all have a presence in the Berg WMA.

• Those which monitor and regulate activities that might impact on water resources o The Department of Water Affairs and Forestry, Western Cape o Department of Environmental Affairs and Development Planning, Western Cape o The Berg CMA (when established) o Water User Associations, with delegated functions o Local Government

• Those which monitor and regulate activities that generate waste and may affect water resources: o Department of Water Affairs and Forestry, Western Cape o Department of Agriculture, Western Cape o Department of Environmental Affairs and Development Planning, Western Cape o CapeNature o Local Government

• Those which monitor and regulate land use that may affect water resources: o Department of Land Affairs o Western Cape Provincial Administrations o Department of Agriculture o Department of Environmental Affairs and Development Planning

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o Local Government

• Those which develop, implement and improve the necessary frameworks that relate to the provision of water services: o The Department of Water Affairs and Forestry, Western Cape o Department of Agriculture, Western Cape o Department of Provincial and Local Government

In addition there are numerous NGOs, CBOs, business and other organisations that operate within the Berg WMA.

3.2.2 Water Service Institutions

There are seven water service authorities in the Berg WMA that are responsible for supplying potable water. They are the: • City of Cape Town • Bergrivier Municipality • Drakenstein Municipality • Saldanha Bay Municipality • Stellenbosch Municipality • Swartland Municipality • Witzenberg Municipality

Most of the above (excluding City of Cape Town and the Drakenstein and Stellenbosch Municipalities) receive the majority of their water from the West Coast District Municipality, who acts as a water services provider.

The Cape Winelands District Municipality has limited water service authority functions.

Institutional arrangements under the National Water Act and the Water Services Act are listed in Table 3.1 on the next page.

3.2.3 Water Management Institutions

Water Management Institutions are organs of State with a mandate to monitor and regulate those activities of water users that may affect the quantity, quality, aquatic biota and riparian habitat of the water resources. The Department of Water Affairs and Forestry (DWAF), catchment management agencies and water user associations are all classified as water management institutions.

There are a number of water user associations in the Berg WMA. As the catchment is geographically situated in a winter rainfall region, the storage of water for distribution during the summer months is vital to the sustainability of this economic source. A number of water user associations have been established to supply water for its members.

At the time of this proposal being presented, there were two (2) established WUAs, 18 Irrigation Boards in the process of being transformed into WUAs and one (2) proposed WUA in the Berg WMA. These are:

• New WUAs o Spruitrivier Water User Association

• Irrigation boards extended and already transformed to WUAs: o Wynland Water User Association

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Table 3.1: Institutional arrangements under the National Water Act and the Water Services Act NATIONAL WATER ACT WATER SERVICES ACT Act No. 36 of 1998 Act No. 108 of 1997

The National Water Act legislates the way in which The Water Services Act legislates the municipal all of South Africa’s surface and groundwater function of supplying water from a water resource resources are protected, used, developed, conserved, (managed and protected under the National Water managed and controlled. Act) to the consumer.

Objective: To ensure that there is enough water of Objective: To provide the framework within which good quality available for distribution to water service institutions have to supply water to municipalities, water boards, water user associations their consumers. and other water service institutions.

WATER MANAGEMENT INSTITUTIONS WATER SERVICE INSTITUTIONS Catchment Management Agency (CMA) Water Services Authority o A CMA’s function is to investigate and advise on o Only municipalities are water services the protection, use, development, conservation, authorities for their respective areas of and management of the water resources in its jurisdiction, whether they are category water management area (WMA). A: Metropolitan; or o Some of these functions may be delegated to a B: Local WUA. o Municipalities are responsible for supplying o There are 19 water management areas in South water (and sanitation services) to their Africa – each will have its own CMA. consumers. This is the reason why o CMAs are required to compile a catchment municipalities have to draw up a water services management strategy for their area. This strategy development plan (WSDP) for each area within has to take into account the water services its jurisdiction. development plan of every municipality within its boundary. Water User Association (WUA) Water Services Provider o A water user association (WUA) is a group of o These institutions physically supply the water to individual water users who have agreed to belong consumers. District municipalities often provide to one co­operative body that will supply them this function. with water and/or monitor the amount of water o Municipalities may also contract private or abstracted from a resource. public institutions to distribute the water on their o The most important function of a WUA is to behalf. Because they only assist with the provide water from a specific resource to its provision of water, they are called water members, as well as to maintain the infrastructure services providers – the authority over the water related to this water supply. remains with the municipality to whom they are o WUAs are usually found in rural areas where contracted. they mainly supply water for agricultural o No institution may act as a water services purposes. provider without the approval of the water services authority. Catchment Management Committees Water Boards A catchment management committee can be A water board is a water services institution because established to represent stakeholders in a specific it obtains its water from one or more national geographical or sub­catchment area or to contribute resources (usually dams) from where it distributes to specific function such as water quality the water to multiple water services authorities management. Such stakeholders can include (municipalities). communities, NGOs, municipalities, farmer associations, government departments etc. These committees can contribute extensively to decisions on water resource management issues. They are the ‘eyes’ and the ‘ears’ of a CMA. Proposal for the Establishment of the Berg CMA 46 As approved by the Minister of Water Affairs and Forestry on 18 October 2007 BERG Catchment Management Agency

• Irrigation boards to be transformed to WUAs: o Banhoek Irrigation Board o Benede­Bergrivier Irrigation Board o Bergrivier Irrigation Board o Bo­Bergrivier Irrigation Board o Daljosafat Irrigation Board o Kleinberg Irrigation Board (to be named Tulbagh WUA) o Krommerivier Irrigation Board o La Motte Irrigation Board o Noord Agter­Paarl Irrigation Board o Palmietrivier Irrigation Board o Perdeberg Irrigation Board o Riebeeck­Kasteel Irrigation Board o Riebeeck­Wes Irrigation Board (Area 1 and 2) o Simonsberg Irrigation Board o Suid Agter­Paarl Irrigation Board o Vier­en­Twintigriviere Irrigation Board o Simondium Irrigation Board o Groenberg irrigation Board (to be established) (Area 1 and 2)

• Proposed new WUAs: o Durbanville WUA o Malmesbury WUA

3.3 Existing capacity and functions performed by water management institutions in the Berg WMA (WMA 19)

3.3.1 Department of Agriculture (Western Cape)

The Western Cape Department of Agriculture is, inter alia, responsible for the following functions with relation to water: • Evaluation of existing irrigation systems. • Review of irrigation system design prior to implementation. • Design of water supply and irrigation systems for resource­poor farmers. • Technology transfer. • Support of SABI (South African Irrigation Institute) training courses for irrigators.

Management functions that could be made available by the Western Cape Department of Agriculture to the CMA are: • Ongoing input regarding the effective use of water. • Inputs on effective use of water with respect to the evaluation / application of licences. • Provide input with respect to planning of irrigation schemes. • Design systems for new farmers. • Funding of infrastructure for new farmers – depending on the availability of funds. • Training and after­care to projects to ensure sustainability – depending on funding and availability of staff.

3.3.2 West Coast District Municipality

Municipal functions, particularly with regard to water and sewerage, had for many years been divided between B and C municipalities. The West Coast District Municipality (WCDM) provided water to a number of the smaller municipalities (especially those towards the western coastline) in

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the Berg WMA. On 6 January 2003, the Minister of Local Government decided that only B Municipalities will become Water Service Authorities responsible for water and sanitation services.

In order to retain its water provision function, the WCDM entered into agreements with these municipalities, allowing it to be their water services provider in terms of the National Water Services Act (refer to table 3.1 above).

Management functions that the WCDM could make available to the CMA are: • Laboratory services: testing of water and sewerage effluent • Secretarial services • Working for Water (possibly as an implementing agent) • Water Awareness Campaigns • Will manage urban and industrial water demand • Infrastructure planning and implementation (especially outlying rural areas)

3.3.3 Local Authorities

Management functions that could be made available to the CMA by local authorities are: • Needs assessments • Access to water • Use of municipal land (commonage) for resource­poor farmers • Water Awareness Campaigns • Education • Management of water demand (monitoring water use) • Administrative support to catchment forums • Part of management committees of WUAs

3.3.4 Water User Associations

There are two types of WUAs (some still Irrigation Boards) in the Berg WMA; i.e. those receiving their water from government schemes or works and those operating alongside small rivers/ streams. The first group are found mainly in the Berg River valley. Most of them receive their water from the Theewaterskloof Dam, while the Lower Berg River Irrigation Board (IB) obtains its water from Voëlvlei Dam. Once the Berg River Dam has been completed, a large volume of water will be obtained from this government scheme.

The total amount of water allocated to WUAs / IBs via the Western Cape Integrated Water Supply System is 120million m 3/a nnum. This represents about 24% of the total consumption of 506million m 3/a nnum.

Management Services that could be made available to the CMA by Water User Associations: • Water use registrations and the collection of water use charges. • Control of licence conditions and law enforcement. • Agricultural water demand management. • Infrastructure planning and implementation. • Managerial, technical and administrative support. • Establishment and support to emerging farmers. • Reallocation of water to historically disadvantaged groups. • Implementation of water restrictions. • Water use management functions.

3.3.5 NGOs, CBOs and ESPs

There are a large number of associations, forums, NGOs and CBOs that run highly effective initiatives and whose management expertise on water and environmental aspects could be of

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immense value to the CMA. Examples include the Wildlife and Environment Society of SA (WESSA), ratepayer’s associations, conservation forums such as the Helderberg Conservation Forum, community liaison forums such as the Water Caucus, Ilitha Lomso etc.

The Cape Action for People and the Environment Programme (C.A.P.E) includes a large number of Government and non­governmental organisations with the objective to globally secure significant biodiversity. This is driven by the opportunity offered by the rich resources of the region (and includes the Berg WMA) for social and economic development. Several projects are undertaken with funding from the Global Environmental Facility (GEF) to enhance biodiversity conservation. Water­related projects include support to Ecological Reserve determination; control of invasive alien species; the protection of estuaries and wetlands; institutional support for CMA catchment management strategies etc.

Social commitment helps to bring about empowerment. Close co­operation and ownership by the community is also a prerequisite for the success of all projects, as is accountability and transparency.

Where NGOs (non­government organisations) and CBOs (community­based organisations) run an office in rural areas, these premises could be used to fulfil certain CMA functions, such as pay points for water use charges, enquiries regarding the supply of water, identification of community needs etc. This will also facilitate the process of establishing and/or capacitating ESPs (emerging service providers) in rural areas.

Management Services that could be made available to the CMA by these organisations: • Environmental education programmes. • Conflict resolution. • Local expertise. • Specialised expertise (such as agricultural, geological, climatographical or GIS services). • Assistance to resource­poor farmers. • Water Conservation and Awareness campaigns. • Capacity building. • Networking • Empowerment of disadvantaged communities. • Collection of water use charges. • Environmental conservation and planning. • Inputs into local government policies such as IDPs, SDFs and WSDPs.

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4. PROPOSED FUNCTIONAL EVOLUTION OF THE BERG CMA

The discussion on the functional evolution of the Berg CMA was discussed during successive meetings of the Berg CMA Reference Group. The issues raised at the meetings by means of presentations done by different sector representatives, as well as discussion groups, were captured and categorised as per Table 4.1.

The national perspective and the place of the CMA in the institutional arrangements for the management of water resources were dealt with. It provided the necessary background to enable the Reference Group to align and understand the proposed functions of the CMA. The initial powers, duties and functions were discussed, and additional functions followed from discussions on those issues that the CMA should deal with. These functions were then categorised according to the proposed format for Catchment Management Strategies.

4.1 Functional evolution of the Berg CMA

The delegation of functions to a new CMA, as outlined in the National Water Act, is clearly an evolutionary process and should take place in more or less the following sequence: • Initial functions. • The powers and duties set out in Schedule 3 of the Act. • The powers and duties of a “responsible authority”. • “Other powers and duties”.

To gain some understanding of where the Berg CMA would fit into the national approach to water resources management in South Africa, it is necessary to first look at the bigger, national picture and then to explore what that approach means at the scale of the Berg WMA and its sub­catchments.

4.1.1 The National Picture

The Preamble to the National Water Act recognises “The need for the integrated management of all aspects of water resources and, where appropriate, the delegation of management functions to a regional or catchment level so as to enable everyone to participate”.

For such “integrated water resources management on a catchment basis” the Act requires the formulation of management strategies at two levels: • A National Water Resources Strategy, the development of which is the responsibility of the Department of Water Affairs and Forestry (DWAF). This large­scale strategy must ensure that plans are in place to prevent any region in the country from suffering water shortfalls or poor water quality, while ecological water requirements and the needs of our international neighbours are also satisfied. • Catchment Management Strategies in 19 declared Water Management Areas (WMA), the development and implementation of which is the responsibility of Catchment Management Agencies (CMAs). These catchment­based strategies must ensure that available water is allocated fairly to users, that allocated water is used productively and without wastage, that the good quality of the water is preserved and that water­based ecosystems are protected.

DWAF thus has the task to execute water resources management at the national level, while CMAs operate at the catchment (WMA) level. To enable these two levels of management to be performed, the Act makes provision for the following set of measures and institutions: • Classification of all river reaches according to the protection level that each river reach requires for ecosystem conservation.

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• Setting aside a water Reserve for ecological and basic human needs. This Reserve may not be allocated for other uses. The ecological part of the Reserve depends on the class of that particular river reach, but no river stretch should be compromised in lieu of erosion of the reserve. • Determination of long­term water quality values that management should aim to achieve in all river reaches (known as Resource Quality Objectives). • Declaration of WMAs that define the boundaries of each CMA’s responsibility. • Water resource management institutions at catchment level, i.e. CMAs (and their Committees) and Water User Associations (WUAs).

4.1.2 Water Resource Management

Each CMA is a unique legal entity. It must be representative of stakeholders (water user groups, other water­interest groups and various local and national government organs) in its particular WMA. It may have a wide range of potential duties, powers and functions relating to the “protection, use, development, conservation, management and control of water resources” (Section 9, National Water Act), but is based on two important concepts:

• Water resources management needs to be an integrative process. This means that both the quantity of surface water and groundwater available in the various sub­catchments of the Berg WMA, and the quality of that water, need to be managed. This also means that all the different ways that land use and water use in the various sub­catchments of the Berg WMA that might affect either the quantity, or the quality, of the available water need to be considered in the management process. Furthermore, the interests of all the water user groups in the Berg WMA should be balanced against each other, and, more importantly, against that of the water­based ecosystems in the various river reaches of the Berg WMA. Lastly, it means that management of water must not only focus on water supply to users, but also on measures to save and conserve water, to motivate people not to waste water and to stop water losses in the water supply systems.

• People who live in the Berg WMA, or who have direct interests in its water resources may share the responsibility for such integrated water resources management. This means that representatives of all water user groups and other water­interest groups in the Berg WMA are actually challenged (or obliged) to be involved in all the processes that lead up to the establishment of their CMA, as well as in their CMA’s subsequent functioning. It also means that both DWAF and the participants must ensure that, in their ranks, they have the potential abilities to meet the demands of sharing in integrated water resources management, as described above. In this process, DWAF and the participants must also ensure that the make­up of the Governing Board of the CMA (which is described later) and its catchment management committees is representative of the Berg WMA population in respect of population groups and gender.

4.1.3 Initial powers, duties and functions of a CMA

A CMA gets its authority to undertake water resources management from powers, duties and functions provided for in the National Water Act. When it begins operating, a CMA automatically has certain inherent powers and certain initial functions, which the Act gives to it. All other powers, duties and functions of a CMA are transferred to it by the Minister, to whom these elements are originally given by the Act. • Powers (Afrikaans:”Bevoegdhede”) These are jurisdictions and competencies that may be exercised by the CMA and which are based on the National Water Act. Examples are the CMA’s power to delegate functions to other bodies such as WUAs; to allow use of a water resource by a particular user group; to limit such authorised water use; to expropriate property or access rights under certain conditions; etc. • Duties (Afrikaans: “Pligte”) These are responsibilities which are prescribed by the Act, and that must be performed; for instance, a CMA must formulate and publish a catchment management strategy and must execute it in the exercising of its powers, etc.

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• Functions (Afrikaans: “Werksaamhede”) These are the official tasks, activities and actions that are required to exercise the powers or to perform the duties described above. One could say that “functions” represent all the operational undertakings of the CMA.

Powers and functions can either be ‘delegated’ (Afrikaans: “delegeer”), or ‘assigned’ (Afrikaans: “opdra”) by the CMA to another body, such as a WUA. Such a WUA would exercise the delegated power on behalf of the CMA, but the CMA can take the power back quite easily. On the other hand, an assigned power has been fully transferred from the CMA to another body, such as a WUA, and now resides with that WUA. It makes sense to expect that the transfer of powers and functions from the Minister to the CMA would initially be delegated and, later, assigned.

i) Initial powers of the CMA To enable it to perform these initial functions, inherent powers are given to the CMA at the time of its establishment as follows: o The powers of a natural person of full capacity, i.e. it is able to raise money, have bank accounts, own property, employ people, enter into contracts, etc. o A range of powers needed to do the routine administrative and organisational business of the CMA o Power to make and recover charges to cover the CMA’s costs in executing the “initial functions” described below.

The Act states that specific powers and duties that have to do with authorisation, licensing, regulation and control of water use, and with ensuring that licence conditions are not contravened, may only be exercised by a so­called “responsible authority”. A CMA may only act as a responsible authority, if such specific powers and duties have been assigned to the CMA by the Minister (who is the original responsible authority under the Act.)

The following is a summary of the primary powers, which allows a responsible authority to: o Issue general authorisations and licences in relation to any aspect of water use and extend the licence period under certain conditions (Sections 27, 28, 39) o May attach conditions to general authorisations or licences, according to nine distinct categories of conditions (Section 29) o Waive the need for a licence if the relevant water use is covered by an authorisation under any other law (Section 22). o Promote arrangements with other organs of state to combine their respective licence requirements into a single licence requirement (Section 22). o Require an applicant for a licence to supply security in respect of any obligation arising from the licence (Section 30). o Require the registration of an existing lawful water use (Section 34). o Require any existing water user to apply for a verification of that use, in order to verify its lawfulness or extent (Section 35). o Require a wide range of procedures to be followed by an applicant during an individual application for a licence (Sections 40, 41). o Undertake compulsory licensing of any aspect of water use in respect of one or more water resources within a specific geographic area that is, or is soon likely to be, under “water stress” (Sections 43 to 48). o Review a licence at periods stipulated in the licence, make amendments to its conditions or renew it (Sections 49 to 52). o Enforce licence conditions in situations of contraventions, including suspension or withdrawal of the licence, or taking remedial action itself and recouping costs from the licence holder (Sections 53 to 55).

ii) Initial duties of the CMA The general duties of a CMA are as follows:

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o A CMA has the primary duty to establish a catchment management strategy for the protection, use, development, conservation, management and control of water resources within its WMA. o A CMA must comply with both the national water resource strategy and its own catchment management strategy. o In the process of establishing its catchment management strategy, a CMA must consult widely with interested parties on the contents of that strategy. o A CMA must protect the Reserve when exercising its powers and performing its duties. o In generally executing its functions, a CMA has a duty to be mindful of attending to past discrimination and fairness, to strive for co­operation and consensus in water resource management and to act prudently in financial matters. o A CMA must also carry out any directive (Afrikaans: “lasgewing”) given to it by the Minister regarding its powers and duties. o Once a CMA becomes a “responsible authority”, it must comply with the determination, under the national water resource strategy, of the quantity of water that it might allocate to users. o When issuing a general authorisation or licence (i.e., when acting as a “responsible authority”), a CMA must heed at least eleven different categories of factors. o When undertaking compulsory licensing in an area with water shortfalls, a CMA (acting as a “responsible authority”) must prepare, publicise, consult on and Gazette an allocation schedule for the affected water resources.

iii) Initial functions of the CMA Following establishment, the CMA is expected to execute certain initial functions. These are as follows: o To investigate, and advise interested persons on, the protection, use, development, conservation, management and control of the water resources in its WMA. o To develop a catchment management strategy. o To promote community participation in its functions. o To co­ordinate the activities of water users and of the WUAs, forums and other water­ related committees within its WMA. o To co­ordinate the implementation of its catchment management strategy with the implementation of any development plans in terms of the Water Services Act.

The first three functions will require immediate attention after CMA establishment, while the other two functions would evolve with the passage of time.

4.1.4 Additional powers, duties and functions

Apart from the inherent starting powers and functions described above, the general powers and functions that may be assigned or delegated to a CMA are as follows: • To establish committees and consultative bodies (such as forums) to perform any of its functions or to advise it. • To manage, monitor, conserve and protect water resources and to implement catchment management strategies. • To make rules to regulate water use. • To require establishment of management systems by water users. • To require alterations to waterworks to effect compliance with the National Water Act. • To apply water restrictions during periods of water shortage. • Powers relating to water use charges and related financial provisions. • The powers of a “responsible authority” (see Appendix A). • To give directives to a person responsible for pollution of a water resource to prevent the pollution and remedy the situation, failing which the CMA may itself do whatever is necessary and recover its costs from the responsible person. • To execute any of its functions outside its WMA, as long as this does not detrimentally affect it’s own, or another CMAs’, functioning.

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• To expropriate any property for public interest purposes under the Act, when authorised by the Minister in writing.

A range of management activities is required by the general duties, powers and functions of the CMA. These are presented in Table 4.1 in accordance with the guidelines for a catchment management strategy that are now generally used to describe the main components of water resources management. In reality, not all of these functions and management activities would be performed in the early part of a CMA’s existence, but would rather be progressively delegated as outlined in the Table. Similarly, certain functions and activities are likely to be performed by other bodies, either under delegation to them, say, to a WUA, or under contract, say, to a consultant.

4.1.5 Governance functions

The CMA must embrace the intent and spirit of corporate governance in all of its operations. This requires the adoption of the seven characteristics of good corporate governance, namely: • discipline, • transparency, • independence, • accountability, • responsibility, • fairness and • social responsibility

At the same time it must focus on the triple­bottom­line embracing the economic, environmental and social aspects of the CMA’s activities. Furthermore, the corporate governance for public entities requires that the CMA must contribute to government’s strategic objectives – as well as the transformation of the public sector – in service delivery, employment equity and preferential procurement.

In executing these functions, the CMA Governing Board must take special cognisance of good corporate governance guidelines as outlined in the King II report. These include the following: • Financial management (PFMA; GAAP); • Business risk management (operations; revenue) • Corporate compliance (business; labour); • Social and environmental obligations (best practice)

In addition to these, the CMA must also adhere to the National Treasury / DPSA Governance Framework that includes good corporate governance, Government’s social and economic objectives and Public Service Transformation (delivery / employment equity).

Some of the imperatives that the CMA must adhere to include: • Contribute to social and economic development: • The eradication of poverty in South Africa • Equity, sustainability and efficiency in: • Access and use of water resources • Activities of the institutions • Transformation of the public service: • Institutional, organisational and cultural transformation • Paradigm shift to an approach based on: • Integrated water resources management (IWRM), • Stakeholder involvement/participation in decision­making • Co­operative governance • Service delivery orientation (Batho Pele) • “Business” orientation

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4.1.6 Proposed functions of the Berg CMA

During the first two years the focus should be placed on the initial functions of a CMA, which revolve around water resource strategies, institutional co­ordination, co­operative governance, stakeholder communication and administrative activities. The Department of Water Affairs and Forestry (DWAF) will play an important supporting role during these years – especially with regard to financial and technical assistance.

Depending on the progress of the national WARMS, the CMA could also take over the responsibility for invoicing and the recovery of water use charges by means of utilising the central system, as well as the continuous registration of water users and the updating of a water user registry/ database. It is, however, envisaged that full financial control over water use charges will only be delegated to the CMA during years 3 to 5.

The responsibility for monitoring and the administration of information systems will most probably be delegated to the CMA during years 3 – 5. This will require the CMA to have obtained the necessary technical water resource management skills, information technology related capabilities and the organisational and financial skills needed for auditing water management institutions.

The CMA will only become a fully Responsible Authority after 5 years when the CMA will have obtained the legal­technical competency, supported by the technical, financial, organisational development and administrative achievements of the other phases, to enable it to manage the authorisation (licensing, etc) of water use.

Table 4.1 Proposed functions in accordance with water issues of the WMA

Functional Area Functions and ISSUES Management Activities 1. Reconciliation Long­term strategic q Water resources in the WMA should be developed and of water planning for the CMA managed to benefit everyone in the WMA availability and q Gradually incorporate successful best practice requirements catchment management and water quality improvement strategies in smaller catchments into the macro Berg CMA strategy q Access to water and sanitation are human rights and must be taken into consideration at all times q Develop water quality management strategies for the Berg River, as well as the entire WMA (including all minor catchments, urban rivers etc) q Update the Western Cape System Model for the major water supply components annually q The CMA must receive mandatory reports on the water balances per town (scheme), which must also include future projections at least twice a year q Annually evaluate demographic and economic changes that will influence water demand q Continuously research the use of groundwater, sea water and the re­use of wastewater as additional water resources

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Functional Area Functions and ISSUES Management Activities Reconcile water q Participate in the Provincial Growth and Development availability and Strategy (PGDS), Provincial Spatial Development requirements (within the Framework (PSDF) to co­ordinate water needs WMA) (development) with water availability, well as other processes such as IDPs, WSDPs etc q Solve all unaccounted for water (minimise) q Make provision for change in weather patterns (global warming) q Find integrated solutions to minimise competition between agricultural and urban sector for access to water q Include estuaries and the coastal marine environment requirements in reconciliation q Address the lack of suitable water that limits the development of resource­poor farmers 2. Resource Reserve determination q Undertake groundwater reserve determinations – not Protection & for catchments, wetlands only surface water reserve determinations Sustainability and estuaries q Classification of rivers in the Berg WMA should receive priority attention q Ascertain environmental flow requirements and strictly adhere to instream flow requirements (IFRs) q Ensure sufficient environmental flow releases from dams and diversion weirs to cater for all the necessary environmental requirements q Assess fresh water requirements for estuarine and coastal environment and species q Provide sufficient freshwater flows for the river and estuary to cater for this important nursery area for marine and estuarine fish q Smaller farm dams must also make releases to maintain IFRs and ensure that flooding events occur. These should be conditions when compulsory licensing is done. q Monitor estuary requirements before planned releases are made (from Berg River Dam) Water assurance q Enforce effective irrigation principles (water conservation) for agricultural sector q Pressurise municipalities to reduce losses in bulk water supply systems; obtain monthly unaccounted water loss figures q Assist municipalities in achieving better water management results Aquatic life q Minimise pollution in rivers q Protect river and estuarine ecosystems and provide sufficient freshwater flows to estuaries (nursery area for marine and estuarine fish) q Consider constructing a weir above Berg River Dam to prevent migration of alien fish species q Try to increase flow of “fresh” water in rivers to reach estuary (and do not let the estuary become too saline)

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Functional Area Functions and ISSUES Management Activities Water Quality q Improve water quality to minimise negative influence on agricultural export potential (financial impact)

q Agricultural sector and sewerage treatment plants must comply with international best practices q Control discharge of pesticides and chemicals by training employees, farm workers etc. (Includes handling of empty containers) q Change in land­use from natural veldt to farmland influences salinity in river (leaching of salts) q Promote organic farming practices q Budget for the continuation of the River Health Monitoring Programme (and include estuaries)

q Improve water quality to make it safer for human (including recreational) use q Inform industries of the dangers of bad industrial effluent practises q Monitor effluent discharges and enforce the principle of “the polluter must pay” Development q Limit large dams (look at alternatives) q Assist local and provincial authorities to implement sound development and land use practices q Set up a database of small (non­registered) farm dams q Provide input on sustainable development and be part of planning initiatives such as provincial and local SDFs, IDPs etc q Suggest alternatives for developments in flood plains q Negotiate alternatives for informal housing settlements on river banks q Limit destruction of natural vegetation on river and estuary banks q Stop invasion of wetlands q Rehabilitate wetlands and riparian zones q Research and promote alternatives to water­borne sewerage Natural environment q Conserve mountain catchment (natural vegetation) and to declare some areas as protected areas. q Protect riparian zones and keep them free of invasive alien vegetation (maintain minimum 10 m buffer area on river banks) q Ensure compliance with biodiversity conservation methods when licenses are issued q Promote the establishment of catchment forums for land owners and conservationists. Provide guidelines for forums and facilitate regular liaison between CMA and forums (catchment management committees) Invasive alien vegetation q Stay abreast of National Acts (such as CARA and NEMA) and amendments thereto which may impact of the CMA’s functions q Maintain and support Working for Water programme q Support private initiatives and assist where possible

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Functional Area Functions and ISSUES Management Activities q Research possibility for secondary industries utilising invasive woods – especially black wattle q Find marketing opportunities for larger biomass to reduce cost of clearing q Maintain and support Working for Aquatic Weeds programme q Introduce biological control agents for aquatic weeds (especially canalised river systems in Cape Town) and provide support to private initiatives that want to introduce biological control measures q Remove large trees from river banks, as well as in river Research q Promote the research on geographic areas, meteorological phenomenon, rehabilitation methods, climate change etc q Liaise with research institutions to gain access to applicable research projects (past and present) and baseline studies Tourism and recreation q Liaise with the relevant organisations and authorities to explain the sustainable utilisation of water resources for the said industry Education q Do not under­estimate the importance of education, training and capacity building in achieving long­term strategic objectives q Provide / facilitate training for municipal employees responsible for water­related operational functions Formal Conservation q Plan for all or part of the Berg River estuary to be declared as a RAMSAR site and/or a Provincial Protected Area (in terms of the Protected Areas Act) Poverty Alleviation q Take cognisance of the Millennium Development Goal (MDG) to alleviate poverty and hunger q Initiate food security projects 3. Water Use Register water use q Expand registration to all 11 categories of water use Management q Fast­track compulsory licensing to ensure full compliance with the National Water Act q Delegate the verification and updating of water use registrations to WUAs. q Run awareness campaign re importance of water use registrations & information workshops on NWA; Schedule 1 water use; permissible water use under General Authorisation q Provide incentives to farmers who comply with regulations, show minimal water losses, meter consumption etc q Liaise with WUAs to obtain information on the numerous small dams as the cumulative effect thereof is not known and could be detrimental to the ecology Water conservation q Research existing efficiency in water use and implement differentiated restrictions for domestic and agricultural use q Ensure effective water conservation methods (domestic and agricultural) to obtain maximum yield

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Functional Area Functions and ISSUES Management Activities q Instil an awareness towards water conservation in every South African citizen q Allocate sufficient funds for capacity building, training, awareness campaigns, educational material etc q Promote re­use of water (grey water systems) Authorise water use q Licenses for new irrigation expansion in the Berg (licensing, etc.) WMA must continuously be considered, with preference given to water trading q Manage water allocation to resource­poor farmers Assess needs and q Actively participate in the Western Cape Water available resources Reconciliation Strategy Study (WCWRSS) q Obtain input from local authorities and their Water Services Development Plans (WSDP) for resource management q Investigate the re­use of treated wastewater as a future source for the Cape Metropolitan Area q Investigate re­allocation of water (sympathetic to all sectors) q Investigate the desalination of seawater as a matter of urgency q Promote responsible (environmentally sustainable) recycling of water q Balance water supply with appropriate and affordable sanitation Manage Water Quality q Wastewater disposal into Berg River system needs urgent attention q Ensure compliance with specific wastewater standards as issued by DWAF q Ensure compliance of wastewater treatment and discharge responsibility by local authorities; implement wastewater discharge charge as a matter of urgency q Assist local authorities in planning for WWTW as part of their IDPs and SDFs – developers must contribute more than just bulk services levy q Ensure that sanitation systems are monitored to reduce/prevent unnecessary pollution q Obtain information on the microbiological state of surface water (priority) and groundwater; implement management procedures to curtail this type of pollution q Improve farming practices to reduce sedimentation and water quality problems q Monitor and manage the use and effect of agri­ chemicals such as fertilisers, pesticides and herbicides. This should be done in alignment with other initiatives in the fruit export and wine industry. q Make research information available to users (CMCs, website etc) q Give incentives if water quality standards are met q Ensure that WSDPs address communal toilet systems

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Functional Area Functions and ISSUES Management Activities Set water use charges, q There should be a fair pricing structure in the CMA send out bills and collect establishment process. Costs should be allocated to payments where it is incurred. No cross­subsidisation should be allowed. Monitor authorisation q Water abstraction must be monitored and managed requirements where needed. Ensure compliance q Take corrective action against non­compliance. (including enforcement) 4. Information & Monitor water resources q Monitor water losses in bulk water systems, industrial, monitoring (collect, source and domestic and agricultural use capture data) q Monitor groundwater abstraction to prevent abstraction exceeding recharge q Improve monitoring and management of agricultural and urban run­off q Improve monitoring and management of stormwater quality in urban areas q Monitor storm water drains – make sure they do not become channels for effluent and other waste discharge q Monitor pollution and silt in run­off from all sources

q Determine and monitor capacity of wastewater systems q Monitor the microbiological content of rivers and stormwater channels q Include sanitation systems as part of water management as they are interlinked Develop and maintain q Data must be managed – CMA must become databases (including “warehouse” for in­time data quality control) q Databases must be accessible, user­friendly, trustworthy and available for sharing information q Compile and continuously update database of all roleplayers and stakeholders in WMA Communicate with q The dissemination of information to all role players stakeholders and collect should be improved anecdotal information q Establish CMCs as a matter of urgency and meet at least every second month q Make use of industry, WUAs, CBOs, NGOs etc to disseminate information q Set up interactive website for water users to provide information on irregularities, illegal and natural obstructions etc, as well as obtain information on planned releases, pollution spills etc q Assist the Departments of Health and of Education to provide informative material to learners q Get the message in Huisgenoot and You – not only “greenie” magazines q Use a variety of media to “get the message across” q Don’t just run an awareness / communication campaign. Communities/ sectors/ the public must be provided with a continuous stream of information

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Functional Area Functions and ISSUES Management Activities q Encourage the involvement of community­based organisations (such as ratepayers) to provide information on local water resource issues q Provide civil society with the resources to assist in communicating the importance of water q Provide a call centre/number/e­mail address for public enquiries q Set up website with user­friendly information (informative, inter­active etc) q Make provision for education and training on the budget and don’t underestimate the cost thereof Capacity building q Extend and intensify capacity building workshops q Provide resources for environmental education at school level – young minds are susceptible to great ideas q Provide information on the reasons for water conservation, water demand management, water resource management etc. (Refer to chapter 2 for list of capacity building needs identified.) Lead by example q The CMA should lead by example, and so should local authorities (do not water public parks in heat of day / when water restrictions are applicable 5. Financial and Financial and business q Cost­effective and sound financial administration is other corporate planning for the CMA required, ensuring financial viability management q Develop business plan and update annually functions q Restrict practices that negatively influence agricultural sector (decrease in GDP and CMA income) q Determine financial impact of agricultural sector on GDP (gross domestic product) q Research special water tariffs for small farmers entering the agricultural sector q Employ specialists to bridge the gap between existing capacity and outputs required by all institutions. q Politics must not play a role in the CMA q Budget for the costs of civil society mandated to engage with the CMA Financial assistance to q Make subsidies available to small­scale and resource­ water users poor farmers. q Assist resource­poor farmers in registering as legal entities, which gives them access to grants and subsidies q Subsidies to emerging farmers should be sensibly awarded and should be guided by achieving the best use of the water allocated Perform financial and q Appraise business plans of WUAs organisational audits of Water Management Institutions Perform functional q Establish a Performance Management Control performance audits Committee to monitor the performance of the CMA and intervene if performance is poor and time tables are not met

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Functional Area Functions and ISSUES Management Activities q Ensure that functions delegated to Water Management Institutions be performance based Provide secretarial q Proper secretarial support to the Governing Board is support to the Governing required Board Provide administrative q Efficient administrative support to all the functional support to all functional areas is required areas Manage human q Efficient and representative staff required resources Provide legal support to q Professional legal support important all the functional areas 6. Co­operative Pursue partnerships q Obtain and maintain local government co­operation, governance as they have shown very little interest in the CMA process q Co­ordinate the planning strategies of institutions responsible for land use management (and other related resources) with the catchment management strategy to ensure sustainable development q Co­operate with DEAT and the Western Cape Provincial Coastal Committee with regard to Coastal Management q Form alliances with initiatives/projects that have access to global funds, which could be accessed if partnerships are formed st q Form alliances with local research institutions (1 option – thereafter look towards overseas partners) q Liaise with local research institutions to obtain information on studies that could be of benefit to the CMA q Make use of NGOs and CBOs that can assist the CMA in networking with communities Water User Associations q Maintain close relationships with WUAs as they can assist with numerous functions of the CMA q Assist in the transformation of Irrigation Boards to Water User Associations q Encourage WUAs to assist resource­poor farmers in their application for subsidies and the allocation of water q Assist WUAs in obtaining buy­in and co­operation from municipalities q Ensure full representation (race & gender) of all water users and uses on WUA management committee Identify water resource q Resource­poor farmers should have better user­related stakeholders representation on decision­making forums q Stakeholders must be empowered to ensure their continued participation in the process. The use of NGOs, CBOs and developmental officers in the regions (similar to Dept. of Agriculture) is proposed to capacitate and inform stakeholders Co­ordinate the activities q Support interaction through forums and other and relationships of structures

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Functional Area Functions and ISSUES Management Activities Water Management q Maintain dialogue by regular meetings (such as the Institutions in the WMA Reference Group) q Embark on an extensive media campaign to inform everyone (stakeholders included) on water management issues and thus obtain buy­in Promote co­operative q Available land and water resources must be identified. governance between (This would require co­operation between the government institutions departments of Land Affairs and of Water Affairs and Forestry by means of the Land & Water Reform Act) q Urgently obtain co­operation from local, provincial and national authorities to act upon serious issues such as sewerage and other effluent spills q Monitor the performance of municipalities and provide input into their WSDPs q Promote the “polluter must pay” principle to all government institutions q Ensure that the “polluter must pay’ principle is enforced q Fire and watershed management… Foster co­operative q Farmers should be encouraged to join “Kleinboere governance and create Verenigings” and vice versa partnerships with civil q Maintain good relationships with NGOs and CBOs society and the private such as NAFU, the Water Caucus etc sector q Assist municipalities to come to terms with their responsibility to facilitate water supply to rural areas (including farm workers) Support and advise on q Help should be given to developing and existing water resource planning resource­poor farmers. and management q Information should be provided to all water users on a activities continuous basis q Promote the advantages of desalination as an additional water resource 7. Stakeholder Involve existing q Identify new stakeholders and engage them in CMA engagement organisations processes q Cement relationships with local authorities and keep them informed of all development within the CMA q Build strong relationships with CBOs and NGOs that can assist with networking and capacity building q Budget for services by civil society groups that are mandated to engage with the CMA in the same way as budgets are set aside for contractor and emerging service providers q Determine community needs for infrastructure q Use existing structures to communicate with emerging farmers and civil society (NAFU, Ubuntu Farmers Association etc) q Build partnerships between across and within all sectors on on­going basis q Network with all three spheres of government q Assist with the process of re­building of confidence between urban and rural consumers and local authorities

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Functional Area Functions and ISSUES Management Activities q Make sure all relevant stakeholders are invited to meetings Develop ownership of q Define powers, roles and functions of stakeholders so resources they can take responsibility for their actions q Promote an ethics of care to ensure improved water quality and delivery of services q Ensure and maintain transparency – information available at all times q Liaise with existing organisations such as Women on Farms and Emerging Farmer Associations in terms of the responsibility attached to “rights” in having access to water q Involve emerging farmers and women in transformation processes (irrigation boards, access to water etc). Stakeholder q Hold workshops (at least 4 per year) and make use of empowerment all possible methods to build capacity on water resource management issues q Budget for capacity building, which includes travelling expenses for people attending workshops q Liaise with community organisations and request the opportunity to discuss basic water resource and management issues at their meetings (e.g. AGM) q Create mutual respect for the needs of all water users q Make sufficient funds available for workshops, capacity building, education, dissemination of information etc. (Create water­awareness amongst stakeholders) q All communication and information made available must be subject to accountability and transparency q Liaise with like­minded organisations (Cape Nature, Dept of Agriculture etc) to pool resources for capacity building projects q Create awareness on water use entitlements and how to obtain and register these entitlements q Build capacity and create awareness of importance of water conservation. q The various government departments should assist the CMA in informing people with regard to water issues (pollution, importance of water) q Promote water demand management amongst urban consumers q Explain importance of biodiversity and a balance between development and natural environment Community awareness q Publicise ecological degradation of rivers to create awareness q Source and/or develop educational material explaining importance of water resources and protection thereof q Provide information on water wise food production and gardening Education and training q Budget for resources and material.

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Functional Area Functions and ISSUES Management Activities q Make use of CBOs and other bodies to develop environmental education programmes, as well as to distribute information, hold workshops, roadshows, campaigns etc. Access to water q Assist emerging farmers in obtaining access to water, serve on WUA management boards etc q Take cognisance of the link between land use and integrated water resource management

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5. PROPOSED ORGANISATIONAL STRUCTURE OF THE BERG CMA

Once the extent of the functions of the various proposed functions had been determined (refer to Chapter 4), the CMA Reference Group was able to propose the type of organisational structure that would support the delegated and assigned functions. A Discussion Document and presentation were used as the points of departure for the discussion on the proposed structure at the CMA Reference Group meeting, held on 11 October 2006. The capacity building workshop held with HDI groups two weeks before this meeting played a vital role in the meaningful Reference Group discussions. The proposed structure was again discussed at the following two meetings. The CMA Reference Group took cognisance of the fact that the structure of an organisation will determine the processes that co­ordinate and control the tasks of the organisation. For this reason they carefully compared the functions to be implemented by the CMA with the management abilities of the existing water management structures in the Berg WMA, the present DWAF staff complement assigned to the WMA and the managerial, technical and administrative expertise available locally.

Consideration was also given to the fact that the CMA will undergo a considerable amount of change during the first few years of its existence – as it gradually takes on additional functions and responsibilities. This is the reason why the initial structure proposed by the CMA Reference Group makes provision for change and growth. This includes the possible transfer of DWAF staff (with their existing functions), as well as the need to gradually build core CMA units that will function in an integrated manner. However, the CMA Reference Group made it very clear that the transition to a fully functional CMA has to be supported by appropriate capacity, training and/or skills transfer programmes. It was further emphasised that feedback to communities and organisations is of paramount importance to ensure buy­in from the public and determine the credibility of the process and the future CMA structure.

5.1 Considerations for the organisational structure

The following considerations were kept in mind during the discussion on the proposed evolution of the CMA organisational structure:

5.1.1 The expertise required to implement integrated water resources management (IWRM) As CMAs must facilitate IWRM at catchment level, the organisation must be structured to ensure the integration of the various components and disciplines of water resource management. The structure must address the WRM challenges in the WMA and must therefore maintain a critical mass of expertise in order to fulfil its functions.

5.1.2 The need for a developmental, participatory and co­operative organisation The CMA must support government’s social and economic objectives and enable and empower stakeholders and communities in the WMA to become involved in WRM decision­making processes. It must also foster co­operative governance. The CMA must therefore be outwardly focussed and have enough capacity in social sciences and other associated disciplines.

5.1.3 The importance of efficiency, effectiveness and service delivery To ensure the effective delivery of WRM services, the CMA should have adequate human resources, an appropriate structure and functional systems. The CMA structure should take on a flat organisational structure that makes provision for multi­disciplinary teams, keeping in mind that it must minimise its costs without impairing on its ability to perform these services.

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5.1.4 The need for transformation and mentoring In order to achieve the demographic representivity, the CMA should acknowledge the capacity limitations in the water sector and build mentoring opportunities into its organisational structure.

5.1.5 Robustness to organisational change and evolution The structure must be flexible enough to cope with the considerable change the CMA will undergo during the first few years of its existence, as it takes on more and more functions and responsibilities. The initial structure must therefore make provision for growth and expansion, rather than having to revert to demoralising restructuring processes.

5.1.6 Focus on core business It is the CMA’s responsibility to manage the water resources within its WMA, regulate water use and to implement the catchment management strategy. Implementation functions should be outsourced if and where possible, enabling the CMA to co­ordinate the activities of institutions and stakeholders rather than perform the functions in­house.

5.2 Key factors influencing the organisational structure

5.2.1 Characteristics of and WRM challenges in the WMA The character of the WMA, which includes the existing water resources (refer to Chapter 2), as well as the management intensity required to address the related WRM problems, was the driving force in deciding upon the organisational size and structure of the Berg CMA.

During the discussions the CMA Reference Group made it clear that numerous institutional objectives should be maintained. These include the CMA’s responsibility to achieve social and economic objectives whilst implementing IWRM. It should address the inequities of the past, such as race, gender, poverty and the lack of access to water. By adhering to these principles, the CMA will be able to achieve the transformation objectives of DWAF and the national government.

5.2.2 Institutional capacity The members of the CMA Reference Group discussed four generic approaches to institutional arrangements, as depicted in Figure 5.1 on the next page. It was decided to follow the “outsourcing” approach and it was agreed that as many functions as possible should initially be outsourced to capacitated institutions in the CMA, existing and emerging service providers, existing NGOs and CBOs, WUAs, the District and Local Municipalities and consultants. This will enable the CMA to consist of a small, but qualified staff complement. The CMA could then rather concentrate on the strategic and managerial functions related to IWRM than the operational side thereof.

The extent of the existing institutional capacity in the area (Chapter 3) gives a clear indication of why the CMA will be able to outsource many of its delegated functions and rather focus on managerial matters than being an operational agency.

5.3 Proposed organisational evolution of the CMA

The functions required of the CMA are outlined in Chapter 4. However, in order for the CMA to: (i) Carry out its functions as mandated in terms of the National Water Act; (ii) Be a credible organisation in the eyes of stakeholders and those who will pay for the organisation by means of water use charges; and (iii) Be viable, effective and efficient; it requires the following: • That the CMA recruits appropriately qualified staff; • That it pro­actively engages in co­operative governance; • That it makes provision for mentorship and capacity building;

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• That it actively assesses how it will best make use of the existing institutional strengths in the WMA; and • That it be organisationally and geographically positioned to make the best possible contribution to the protection and development of the water resources under its auspices.

Figure 5.1: Institutional approaches to performing of CMA functions

Internal operations

IN­HOUSE STATUTORY • CMA makes decisions COMMITTEE • CMA implements • CMA facilitates • Stakeholders/forum consulted • Committee makes decisions • Committee implements • Stakeholders represented

Centralised/consultative Decentralised/participative decision­making decision­making

OUTSOURCE NETWORK • CMA manages • CMA coordinates/manages • CMA makes decisions • CMA/forum makes decisions • External body implements • Stakeholder forum implements • Stakeholders/forum consulted

External operations

The Berg WMA encompasses a relatively small geographical area. However, it does represent the economic hub of the Western Cape with high levels of agricultural, industrial and domestic water use. In addition to the IWRM functions, the Berg CMA will focus on the availability of water for use in the Western Cape Water Supply System managed by DWAF and the use of water for agricultural purposes. The latter includes the re­allocation of water use entitlements, especially with regard to resource­poor farmers and subsistence farming ventures.

A vast amount of expertise is vested in the City of Cape Town (CCT), some local authorities and the transformed and new water user associations (WUAs). In addition, the Berg CMA will have to purposefully continue with the investment already made in stakeholder participation and institutional development. By developing and capacitating core units in water use, water resource management and information management functions, these units can significantly assist in addressing most of the important IWRM challenges.

The CMA should foster partnerships with the capable organisations in its WMA, such as local government, sectoral representative bodies and community organisations. The CMA will also have to rely on formal catchment management committees as well as the more informal catchment forums to facilitate stakeholder participation and to implement certain water resource management activities. The establishment of appropriate forums and reactivation of forums must receive a high priority.

In essence, the CMA Reference Group therefore agreed with the generic institutional­organisational structure illustrated in Figure 5.2. It is acknowledged that this is indicative and that the final job evaluation and number of personnel will be an important role of the CMA. The CMA Reference Group made use of the Functional Areas identified in Chapter 4 as the basis for determining the number of staff required to effectively execute each of the functions listed. It was requested that the CMA and the Governing Board adhere to the government’s affirmative action policy when appointments are made. Table 5.1 provides a summary of the discussions held.

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Table 5.1: Possible Organisational Structure for the Berg CMA, as per pre­identified Functional Areas

Functional Area Expertise required No of personnel CEO Technical background, knowledge of finances and law. 10+ 1 year’s managerial experience PA Excellent administrative skills + knowledge of water 1 industry. 10+ year’s experience Reconciliation of water Manager with engineering expertise 1 availability & Engineers 2 requirements Scientists 2 (Outsource most Economist 1 functions) Resource protection & Manager 1 sustainability Coastal & estuarine management 1 Hydrologists 1 Social ecologists/ Environmental health 2 Monitoring staff 3 Water quality control officer (outsource as well) 1 Water quality control (chemistry) 1 Water quality control (micro­biology) 1 Environmental management & research (Catchment ecology) 2 Disaster management (engineer) 1 Water use Manager (legal and/or hydrology specialist) 1 management Environmental legislation/ Law enforcement officers 8 Environmental health / Scientists 3 Administrative (billing etc mostly outsourced) 2 Engineering 2 Information & GIS / IT skills (outsource additional work) 2 monitoring Database management 2 Financial & other Manager with at least 5­ 10 year’s experience 1 corporate management Auditing (but could be outsourced) 1 functions Human resources (expert in labour relations) 1 Legal 1 Planning/ strategist 1 Administrative 2 Co­operative Share manager with Stakeholder engagement 0.5 governance Networking 2 Stakeholder Share manager with co­operative governance 0.5 engagement Awareness / education / public relations 6 Administrative 2 TOTAL 60

The possibility exists that some of the initial staff would be transferred and/or seconded from DWAF’s Regional Office in Bellville. At the time of this Proposal being written, eight (8) staff members were assigned to the Berg WMA. No specific recommendation was made about how many of the staff from DWAF could be transferred to the CMA or when this should take place during the phasing in of functions. The Governing Board will pursue this option once the CMA is established.

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Figure 5.2: Generic Institutional­Organisational Structure for CMA Operation

5.4 Liaison between DWAF and the CMA

It is envisaged that the Governing Board, as well as the CEO of the CMA, would primarily play an advocacy role in setting the vision for the organisation and in terms of ensuring stakeholder buy in. Senior management should carry out the executive functions, while most of the operational functions should be outsourced to existing water management institutions in the WMA, or alternatively to specialized consultancy firms. The CEO, as chief executive of the CMA, would report to the Governing Board.

Line management functionaries would assist the CEO in carrying out the mandate of the CMA. A number of these functionaries may be seconded and/or transferred from DWAF.

5.5 Liaison between the CMA and Stakeholders

The Reference Group emphasised the importance of localised representation and was of the opinion that this should be manifested on formal forums and/or catchment management committees. They felt that municipalities could take the organising role in these committees, which must include WUAs, community organisations, industries and environmental institutions, as this might ensure their future involvement in the CMA.

It was felt that there should be 3 – 4 catchment management committees and that these should represent geographical areas rather than similar interests. The reasoning for this view is the fact that people are interested in their immediate surrounds and the impact that any event/development may have on their immediate water resource(s). If the impact is caused by some activity in another geographical area, it is easy to enter into discussions with a group of stakeholders who also have their local interests at heart. This approach is preferred above grouping stakeholders with similar interests, such as surface water and groundwater, in different catchment management committees.

Geographical representation also underpins the principle of integrated water demand management. However, although the geographical principle will be the guiding tool, all effort must be made to ensure that one group / sector does not dominate the committee. Representation must be equitable, with even

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urban and rural representation, and involvement from all spheres and sectors of the communities within that geographical area.

5.6 Possible risks to the viability of the proposed organisational structure

With regard to the organisational structure of the CMA, the Reference Group identified the following risks that could undermine the viability of the Berg CMA:

5.6.1 Political interference: People should be appointed because of their knowledge, expertise and experience. The lean and mean organisation proposed cannot afford political appointments that do not have the capacity to fulfil their mandates. Job descriptions must therefore be clearly defined and include as much information on the type of experience required for the specific position. Although great emphasis will be put on capacity building, this should be applicable to junior posts and not senior management.

Scare commodities (water) cannot be managed in a popular way and no political interference should also be allowed when a sector (such as a municipality or certain industry) is taken to task for polluting a river or underground water resource. The entire management process must be open, transparent and accountable. An external performance management control committee should therefore be established to monitor performance

5.6.2 Appointment procedures: The appointment (and promotion) procedures should not be as cumbersome as the existing government procedures, to prevent the CMA losing many excellent candidates to the private sector and non­statutory organisations. A “lean and mean” organisational structure will only be possible if employment procedures are more in line with the private sector. The transfer of staff from DWAF to the CMA should also be done in a transparent way and with full stakeholder support for the people involved.

5.6.3 Below­standard performance and delivery: This is linked to the paragraph above and reiterates the importance of employing skilled people where specialist skills are required. A large organisational structure with more emphasis on capacity building than service delivery could result in non­payment of charges by water users. Due to the current shortage of skills in South Africa (DWAF Western Cape is a typical example), the Governing Board and CEO will have to carefully consider race and gender representivity in conjunction with available skills. It is suggested that as many functions as possible (and if financially viable) are initially outsourced, but that it forms part of a mentorship and succession planning programme for CMA appointed staff. There is also concern that the efficiency of a more decentralised CMA will not be faster or more efficient than the existing institutions.

5.6.4 Too much delegation: The CMA should not delegate too many of its functions, as this could result in a lack of confidence in the ability of the CMA to fulfil its mandate. The CMA should keep a careful balance between core functions that it cannot delegate and those functions already performed by institutions such as WUAs and local authorities. It must, however, not duplicate functions already executed by DWAF, other government departments, parastatal organisations, local authorities, WUAs etc.

5.6.5 Duties and responsibilities of the CMA vs DWAF The dividing line between the duties and responsibilities of the Department of Water Affairs and Forestry and the Berg CMA should be clearly defined to ensure that CMA staff will be able to fulfil their tasks effectively. This is especially applicable to the monitoring and control of water resources and the ability to take action against polluters and those who do not adhere to the minimum standards for waste discharge as set out in the National Water Act. The present lack of capacity in

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local authorities to administer water­related services makes this clear division between the mandates of the two said institutions, as well as Water User Associations, even more important. Compliance monitoring and law enforcement is the one area that specifically needs urgent attention.

5.6.6 Other general risks identified include: • Lack of transparency: All process should be open, accessible to the general public and available for scrutiny. Annual reports, which include audited financial reports, must be made available for public scrutiny. • Bad communication: This could lead to misinterpretation, misinformation and rumours which can cause irreparable damage to the credibility of the CMA. Correct, true, honest and trust­ worthy communication is the cornerstone of a successful CMA. The importance thereof should never be negated or debated • Poor inter­governmental relations: Integrated water resource management is only possible if all government departments work together in achieving sustainable development. As no development can take place without water, the CMA should foster excellent relationships with all government departments – not only those serving on the Governing Board. The same applies to relationships with WUAs in the Berg WMA. • Relationships with existing conservation bodies: There are numerous conservation bodies that monitor and protect rivers stretches, smaller catchments etc. The work done by these bodies should be acknowledged and the CMA should foster good relationships with these bodies. • Lack of sufficient funds: The CMA should be financially viable and be managed on a sound financial footing. It should not impose price hikes on water consumers to make up for possible shortfalls incurred by bad financial management. • Catchment management committees: These committees should be well­managed to ensure continuous interest in the functions of the CMA. The advantage is that these committees could be excellent capacity building vehicles, but the cost thereof must be budgeted for. It is paramount that municipalities, as well as representatives of the relevant local communities / forum(s) – both urban and/or agricultural users – serve on these CMCs. The CMCs must also be empowered to evaluate performance delivery and inform the Governing Board of bad practices, such as delaying tactics and non­delivery, at an early stage.

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6. FINANCIAL VIABILITY OF THE BERG CMA

6.1 Cost of water resource management

6.1.1 Cost components: The cost (or proposed expenditure) of a CMA consists of the following:

• Capital and operating costs: Capital costs represent occasional expenditure by the CMA on buildings, equipment and machinery, while operating costs are the ongoing expenses necessary to support the functioning of the CMA.

• Establishment and ongoing costs: There may be once­off costs associated with the establishment of the CMA, while the recurring capital and operating costs associated with performing its functions are ongoing.

• Fixed and variable costs: Fixed costs are those costs that are constant every year, irrespective of the amount of water used, while variable costs relate to the quantity of water used. By their nature, the CMA costs have a negligible variable component, although costs generally increase during periods of drought.

The above­mentioned costs can be broken down into the following categories:

Staff (personnel) costs: Representing the total cost of employing CMA personnel Outsourcing: To other organisations or contracted services Overheads: Incurred by the CMA Capital: Expenditure or repayments of loans, etc

6.1.2 Staff costs: Staff costs will represent the greatest portion of the CMA’s operating costs. The estimates provided in Table 6.1 include salary, pension and medical aid. These figures are only indicative for budget purposes and the actual remuneration for personnel should be established by proper investigation and job analysis by the CMA.

The total staff costs for the Berg CMA, based on the proposal by the CMA Reference Group that about 60 people are to be employed eventually will be approximately as follows: (Present­day values [2007] are used for comparative purposes.)

Table 6.1: Total Staff Costs for the Berg CMA

Number of Category of personnel Total Remuneration TOTAL (R) Fully personnel functional 1 CEO R 500 000 500 000 4 Manager R 400 000 1 600 000 16 Senior R 275 000 4 400 000 30 Junior R 170 000 5 100 000 10 Administration R 80 000 800 000 12 400 000 Goods and services 8 000 000 20 400 000

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The actual number of staff, as well as the actual increase in budget, will be determined by the functions the CMA will perform, the time­frame when these will be delegated and the organisational evolution of the CMA.

According to the pricing strategy, charges must be based on total cost, divided by the total volume of water registered according to the pricing strategy. A strategy will be implemented to improve the willingness to pay and to ensure payment of charges. Legal costs for non­payment will be recovered from debtors.

6.2 Proposed sources of funding

6.2.1 Initial set­up seed funding

Chapter 5 of the National Water Act and the Pricing Strategy for Raw Water Charges provides the financial framework within which each CMA will operate. The National Water Act empowers the Minister, in consultation with the Minister of Finance and after consultation with the public, to establish a pricing strategy for any water use. These water use charges will be used to: • Fund water resource management; • Fund water resource development and the operation thereof; and • Achieve equitable and efficient allocation of water.

It is the intention that the Berg CMA will not own, operate or construct water resource infrastructure schemes, but rather concentrate on the management of the water resources and on control of water usage that has an impact on the water resources.

Apart from the income generated from water use charges, the CMA will also obtain (and will be largely dependent on obtaining) set­up or seed funding from DWAF during the establishment phase of the CMA. In order for the CMA to make a healthy and vigorous start it is proposed that the seed funding should cover not only initial capital cost, but also some initial operational costs.

Table 6.2 indicates the expected support by DWAF to the CMA for establishment and commissioning activities as calculated according to the existing generic guidelines.

Table 6.2: Possible DWAF Financial Support for CMA Establishment, as well as Post­ Establishment Commissioning (R000)

Functions Annual funding DWAF establishment support to the CMA R 3 000 Extending participation R 1 000 Governing Board R 500 Set­up activities R1 500 DWAF commissioning support to the CMA R 1 000 CMS development R 1 000 DWAF operating support to CMA R 1 000 Total establishment support to the CMA R 5 000

It is not envisaged that a special building for offices will be built or bought and that office space will rather be rented. Rental of office space is anticipated and will form part of the ongoing cost of the CMA. Where staff is transferred to the CMA, office equipment and other resources, such as computers, vehicles etc. can be transferred to the CMA.

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The following functions will still be done by DWAF in order to ensure that new implementation functions in terms of the National Water Act be performed before the CMA takes over all the full functions delegated to it as a responsible authority: • Integrated water resource planning studies • WRM studies in support of the CMS • Information system development • Initial verification of existing lawful use • Reserve determinations for main river sections • Compulsory licensing

From the start, a crucial area of activity is the development of a catchment management strategy. This should be regarded as a process rather than a once­off event and should be the first task of the Governing Board and the CEO, once the latter has been appointed. Limited support staff will initially be available to assist with this process and seconded personnel from DWAF can be utilised for this purpose. Extensive use will be made of existing DWAF studies, such as the various situation assessments and the Internal Strategic Perspective (ISP) developed by DWAF. The development of the first catchment management strategy will be funded by DWAF.

The CMA will also require the necessary information systems to be able to operate effectively. These include basic management support systems such as Internet access, e­mail, billing, debtors, asset management, databases, etc. Due to the great diversity of information, which is relevant to a CMA’s operation, and the geographic nature of its distribution, the CMA will require a sophisticated GIS (Geographical Information System). The initial development and implementation of such a system will have to be provided by DWAF.

Another basic source of information required for successful IWRM by the CMA, is the reserve determinations for the key rivers, and for the groundwater component.

The CMA will require significant set­up and initial funding from DWAF. This entails setting the CMA up as an independent and fully­fledged office with furniture, equipment, information systems that are fully operational and connected, stationary, vehicles etc. Certain human resource costs, such as the transfer of skills and capacity building, will also have to be borne by DWAF as part of its seed funding.

6.2.2 Water use charges

There are several sources of continuous funding applicable in this WMA. These are charges for taking water, the storage of water, afforestation charges and waste discharge charges. At present these charges are all payable to DWAF. The responsibility for setting charges, billing and collection (by means of the centralised control system) could be delegated to the CMA at an early stage after its establishment, depending on the capacity within the CMA.

The present billing and collection system is based on the national Water Use Authorisation and Registration Management System (WARMS), which contains all the necessary water use information according to the category of use. As the CMA for the Berg WMA has not yet been established, the existing water charges (as billed from April 2002) are payable to DWAF.

Cognisance must be taken of the fact that charges for waste discharge are not reflected in the CMA budget. Until the Waste Discharge Charge System (WDCS) is in place (which was being workshopped at the time this proposal was developed), DWAF will perform those functions relevant to waste discharge control without any charge to the CMA. Water resource management charges based on discharge quantities will be implemented in the near future for the discharge related costs. In the Berg WMA this can be estimated as at least R7 million.

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The charges being billed by DWAF for water resource management based on the abstraction water use within the Berg WMA for 2002/2003, 2003/2004, 2004/2005 and 2005/2006 are illustrated in Table 6.3 below. The charges are based on the following agreements: • The forestry charge will be capped at R10/hectare + the PPI rate; with 2002/03 as the base year. The unit cost for 2006/07 is therefore 0,54c/m3 . • With regard to irrigation, an agreement was reached with AgriSA that this will not be more than 1,5c/m3 + PPI; with 2006/07 as the base year. At the moment (2006/07) this unit cost = 0,84c/m 3. It was also agreed that the WRM charges for emerging farmers will be phased in over 5 years. • The domestic and industrial charge for 2006/07 equals 3,24c/m3 . • The waste discharge charge has not yet been determined, but will be influenced by the salinity and phosphorus content in the waste water.

Table 6.3: Water Use Charges in the Berg WMA

Water use 2002/2003 2003/2004 2004/2005 2005/2006 2006/2007 cents/m 3 cents/m 3 cents/m 3 cents/m 3 cents/m 3 (1m 3 = 1 kl) Domestic/ 1,67 1,77 1,16 3,24 3,24 Industrial: Agricultural: 0,54 0,65 0,70 0,76 0,84 Forestry: 0,41 0,51 0,64 0,54 0,54 Waste Not yet Not yet Not yet Not yet Not yet discharge: determined determined determined determined determined

The water use charges for the taking of water are based on the total volume of water registered in the WMA – namely 376,0 million m 3 for domestic and industrial use, 347 million m 3 for agricultural use and 8,3 million m 3 for forestry. It is expected that the domestic and industrial use will increase to 475 million m 3 over the next 10 years.

The total direct cost for a fully functional CMA (in real value terms) has been calculated as being R20,4 million and the contribution to Working for Water as being R4 million per year. DWAF may consider to provide seed funding for some of these costs during the initial years, say R2 million, whilst R7 million can be recovered through discharge­related water resource management charges – mainly by industries and municipalities. The recovery of the balance of approximately R11,4 million will result in a WRM charge of less than 1,6 cents per cubic meter for agricultural use. This is in line with the guiding figure proposed in the Pricing strategy.

6.3 Financial impact of the proposed water use charges

The greatest concern regarding water charges is that it will become too expensive for the agricultural community – the backbone of the economy in this WMA. The 1,6 cents per m 3 water per year (at present value) for a fully functional Berg CMA amounts to approximately R100 per hectare irrigated per year – this represents a very small percentage of the input cost for irrigation farming, and is generally acceptable. Should there be a shortfall in revenue for reasons such as an inefficient billing or collection system or poor cash­flow management, these could be rectified by short­term loans, which will be repaid as outstanding charges are collected.

At the moment resource­poor farmers who obtain their water from Government Water Schemes, are being subsidised to the extent that the total charge will be phased in over a period of five (5) years. The problem is that this subsidy is not available to resource­poor farmers who are not part of such schemes. Subsidies can also be paid to emerging farmers for the charges payable for the operation and maintenance cost of water user associations.

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The Reference Group identified various factors that could be of risk to the financial viability of the CMA. Apart from the greatest challenge to not exceed the allocatable water in the WMA, the following risks are of great concern:

6.4.1 Under­estimation of the salary structure Although a few members of the Reference Group felt that the salaries proposed could be excessive, there was more concern that these (total package) salaries for a fully functional CMA may already be too low in comparison to the present salaries (year 2007) of managerial staff. This could lead to the existing trend where most of the highly qualified personnel leave the government service for better salaries in the private sector. These figures are only indicative for budget purposes and the actual remuneration for personnel should be established by proper investigation and job analysis by the CMA.

6.4.2 Estimation of operational costs There is a concern that, without a clear division of the roles and functions of DWAF, the CMA and WUAs, activities could be duplicated – thus fruitlessly incurring expenditure that could have been put to better effect. Proper analysis of functions and appropriate budgeting must be made to ensure that adequate provision is made for all the essential functions to be performed on a sustainable basis.

6.4.3 Resistance to registering water use and waste discharge because of a perceived lack of “true value” – not understanding the benefit of paying Capacity building is not only applicable to HDIs. Farmers, industrialists etc need to be informed about the reasons for water use and discharge charges and of the value (assured water supply of an acceptable quality) they get if water resources are managed correctly to the benefit of everyone. Again this will take time (human resources) that need to be budgeted for as unwillingness to register and/or to pay could have dire financial consequences.

6.4.4 Inability to collect charges effectively The WARMS and billing system does not run as effectively as intended and the verification of the data on the system is of paramount importance for the financial viability of the CMA. The CMA should therefore not just simply take over this information and bill charges accordingly. The information needs to be verified. Although WUAs in the area could be requested to undertake this verification, the cost factor involved in this process can be high. The CMA should ensure that this type of expenditure forms part of DWAF’s seed funding as the effective recovery of charges is of paramount importance to the financial viability of the CMA.

6.4.5 Escalating water costs There is a fear – especially from the agricultural sector – that water costs will escalate to pay the salaries of employees rather than ensuring adequate water resource management. Their fear stems from the fact that salaries represent the greatest portion of the CMA’s operating costs.

6.4.6 Lack of financial capacity in CMA As in any enterprise, strict financial control, budgeting and forward planning is of the utmost importance. This function cannot be entrusted to a person(s) who does not have the expertise and skills to manage this important task. Financial skills and personnel requirements for these functions must receive the same attention as for the professional and technical staff.

6.4.7 Too little funds for communication, education and capacity building Concern was expressed whether the CMA would incur enough funding to afford the education, training, capacity building, communication and skills transfer needs identified by the Reference Group in additional to the technical functions. These functions must be seen as a vital part of water resource management.

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6.4.8 Environmental risks associated with water use charges All water use and discharge charges are related to environmentally destructive practices – from the taking of water (less water in rivers etc) to the discharging of wastewater (pollution and degradation of water quality). These charges are the CMA’s main sources of income. The situation could arise whereby the CMA may try to “sell” more water to boost its income, often to the detriment of the environment. The other side of the coin is that climate change (and the decrease in water availability) could reduce the financial income to the CMA or lead to excessive high charges and should be closely monitored.

6.4.9 Control of outsourcing Outsourcing functions is the preferred option for a small but effective CMA. However, outsourcing must be governed by extremely strict and ethical rules to avoid corruption and to ensure that funds are spent effectively and to the benefit of all the water users in the WMA.

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