Progress report on establishment of Water Management Institutions PRESENTATION TO THE PORTFOLIO COMMITTEE 06 SEPTEMBER 2006 Eustathia Bofilatos Director: WMIG

Contents Transformation of Irrigation Boards into Water User Associations Establishment of Catchment Management Agencies

Transformation of IBs to WUAs Transformation of irrigation boards (IB) into WUAs is a statutory requirement in terms of section 67 of the NWA (Act 36 of ‘98) Due date of transformation of IB to WUA was 6 months after promulgation of the NWA Due date was postponed to 2000 Process not concluded to date

Legal framework Irrigation boards operate in terms of the 1956 Act WUA operate in terms of chapter 8 of NWA (Act 36 of ‘98) Voluntary membership promoted by the NWA (Act 36 of ‘98) WUAs do not have to comply with the PFMA unless they have government loans

Vision for WUAs To promote self-determination in local water management, to stimulate economic development, especially among the poor and to utilise existing water management capacity to the benefit of the population Inclusive membership organisations that provide quality services to the benefit of all its members, especially for productive water uses that are dependent on collective operation and maintenance of water supply infrastructure Public awareness to maximise the ability of water user groups to use the WUA tool to their advantage, especially among historically disadvantaged individuals.

Statistics on water user associations 279 Initial number of irrigation boards 68 Transformed irrigation boards 38 WUAs from transformed IBs 211 Irrigation boards to be transformed 23 New WUAs established

Internal challenges Insufficient capacity in Regional Offices to prioritise transformation of IB and new establishments of WUA Policies not in place by the time the due date of transformation completed Interpretation of policies by both Head Office and Regional Offices not aligned Establishment of WMI not done in coherent manner Water allocation (entitlements) to HDI not in place as Water Allocation Reform has yet to take place.

External challenges Policy implementation Policy required extension of former IBs boundaries - required extensive consultation Irrigation boards felt that it was not their mandate to consult outside their boundaries Initially Government did not provide support for this process- (financially / technically)

External challenges Cooperative government Successes of WUAs depends on the business of agriculture (Department of Agriculture) All water users need land in order to use water (Department of Land Affairs) Water is just one input to local economic development (Local government) Local government to sign off on establishment of WUA Co-operation with Local Government has proved difficult in some areas

External challenges Viability Farmers are reluctant to establish due to challenges facing the future of the institutions, e.g. Absence of financial support and after care to WUAs Drought impacts upon viability Agricultural issues can impact upon viability (market, increasing costs. etc,)

External challenges Redress HDIs do not have access to water and do not see benefits of joining WUA if they do not have water Time is needed to promote equal understanding of IWRM Capacity building requires time and money Some irrigation boards see transformation as part of a political agenda of disempowering commercial water users Government responsibility for consultation and public participation

Fast tracking establishment DWAF is assisting irrigation boards to transform (consultation/ public participation ) and is investigating seed funding possibilities Focused pilot projects in KZN and Mpumalanga - aligned with CMA establishment DWAF is reviewing the chapter on WUA in the NWA To allow for smaller WUAs to be members of a larger WUA Improved policies on WUAs need to be developed and implemented Alignment in interpretation of policies between HO and regional staff is being addressed

CMAs Role Manage water resources in a defined Water Management Area (WMA) Co-ordinate the functions of other institutions involved in water related matters Involve local communities in water resource management

Progress of CMA establishment CMAS GAZETTED FOR ESTABLISHMENT AC PROCESS INITIATED AC PROCESS FIN BOARD APPOINTED INKOMATI 19 March 2004 March 2004 October 2004 July 2005 BREEDE September 2004 September 2005 September 2006 CROC WEST 17 August 2005. Jan 2006 October 2006 MVOTI 20 May 2005. October 2006 USUTU TUKELA OLIFANTSDOORN GOURITS July 2006 Dec 2006

Developmental Imperatives pro-poor, developmental WMI represent interests of all stakeholders, especially poor/ marginalised More poor women and men using more water more productively - farming, livestock, fisheries, forestry (Re-) allocation of water Better sharing in benefits of water-based large-scale enterprises - farming, mining, forestry, tourism Flood protection Water is a social and economic good; water use by the poor for multiple purposes is priority ‘beneficial use’ Community-based integrated water management for livelihoods is corner stone of the WMI

Time Frames - CMAs 2006 2007 2008 2009 2010 2011 Inkomati Mvoti Breede Croc West Thukela Usuthu Gouritz Olifnts/Doorn Olifants Upper Vaal Berg Middle Vaal Levuvhu Limpopo Fish Upper Orange Lower Orange Lower Vaal Mzimvubu

The Establishment Process THE PROPOSAL DEVELOPMENT (1-2 years) THE PROPOSAL EVALUATION (8 months) MINISTER’S APPROVAL (4 weeks) PROPOSAL GAZETTING FOR COMMENTS (60 days) AND REQUEST FOR NOMINATIONS TO ADVISORY COMMITTEE (1 month) ANNOUNCEMENT OF ESTABLISHMENT (2 weeks) ESTABLISHMENT OF ADVISORY COMMITTEE AND NOMINATIONS FOR GOVERNING BOARD MEMBERS (3-4 months) GOVERNING BOARD TRAINING (2weeks) GB FIRST MEETING AVERAGE 3 YEARS

Restructuring resource implications Transfer of staff - 200 people Funding for CMAs - R170 million over next 8 years Fully functional CMA - 5 yrs WRM tariff - less than 4% of the total water charge

Thank you