1. Department: Water Affairs and Forestry Water Research Commission Towards a WDCS PRESENTERS: Pieter Viljoen (DWAF) Dr. Judex Oberholzer (Urban-Econ) Assisted by: Robyn Arnold (Communication) Martin Grosskopf (Modeling) TOWARDS A WASTE DISCHARGE CHARGE SYSTEM for SOUTH AFRICA 1

2. Department: Water Affairs and Forestry Water Research Commission Organisation ORGANISATION OF THE WORKSHOP Programme Handout & supporting document Questions on cards Information posters 2

3. Department: Water Affairs and Forestry Water Research Commission Aims of the workshop AIMS OF THE WORKSHOP Present proposed Waste Discharge Charge System Obtain feedback from stakeholders: possible adjustments Identify limitations 3

4. Department: Water Affairs and Forestry Water Research Commission CONTENTS CONTENTS OF PRESENTATION Section 1Background information Section 2The research process Section 3Conceptual framework Section 4Elements of proposed system Section 5Economic and financial implications Section 6Implementation schedule 4

5. Department: Water Affairs and Forestry Water Research Commission Why address water quality? Seine river in Paris: one fish species (1961) WHY ADDRESS WATER QUALITY ? Introduce system (1964): 30 fish species Some rivers in RSA same condition 5

6. Department: Water Affairs and Forestry Water Research Commission What is the WDCS WHAT IS THE WDCS ? The WDCS is a framework for charging for the discharge of waste into water resources. It aims to use economic instruments to encourage impactors to: Internalise the social, economic and ecological costs of discharges Reduce the amount of waste discharged into water resources Note: Not a pollution charge 6

7. Department: Water Affairs and Forestry Water Research Commission Water problems in RSA WATER PROBLEMS IN RSA Factors that influence the supply of water in South Africa 1.Country is semi-arid 2.Rainfall patterns erratic 3.Regions of high runoff away from areas of maximum demand 4.Groundwater limited and poor quality 5.Catchments infested by invader vegetation (Working for Water) 6.Water quality deterioration impact on availability Assimilative capacity of the water resource is reduced Opportunity to use resource diminished 7

8. Department: Water Affairs and Forestry Water Research Commission Demand on water resources DEMAND ON WATER RESOURCES IS GROWING 1. The high population growth rate 2. Rapid urbanisation 3. Economic development 4. Demands for higher levels of service 5. Aquatic eco-system is negatively impacted and requires rehabilitation 8

9. Department: Water Affairs and Forestry Water Research Commission Extent of water resource pollution EXTENT OF WASTE CONSTITUENTS IN WATER RESOURCES TDS 650 000 TP 19 000 NH 3 /NH 4 3 400 NO 2 /NO 3 9 700 Suspended solids 26 000 Main pollutants (national approximation) tons per year 9

10. Department: Water Affairs and Forestry Water Research Commission Catchment System CATCHMENT SYSTEM: CORE MESSAGE “EVERYBODY LIVES DOWNSTREAM”  11 Water uses  5 Water users 13

11. Department: Water Affairs and Forestry Water Research Commission Users & Uses Agriculture Industry Recreation Domestic Aquatic ecosystem S21(a) Taking water from a resource S21(b) Storing water S21(f) Discharging waste or water containing waste into a water resource S21(d) Engaging in a streamflow reduction activity S21(e) Engaging in a controlled activity S21(g) Disposing of waste in a manner which may detrimentally impact on a water resource S21(i) Altering the bed, banks course or characteristics of a watercourse S21(h) Disposing in any manner of water which contains waste from, or heated in, any power generation process S21(k) Using water for recreational purposes S21(j) Removing, discharging or disposing of water found underground S21(c) Impending or diverting the flow of water in a watercourse 14 USERS Dictating the water quality requirements USES Potentially impacting on water resource Refer to Poster on DWAF website

12. Department: Water Affairs and Forestry Water Research Commission 21(e) 21 (e) / S37(1a) Engaging in a controlled activity Irrigation industrial/ mining Oxidation pond overflow Sewerage sludge 15

13. Department: Water Affairs and Forestry Water Research Commission 21 (f) S 21 (f) Discharging waste or water containing waste into a water resource Domestic waste Industrial waste Mining waste Stormwater Irrigation return-flow channels 16

14. Department: Water Affairs and Forestry Water Research Commission 21 (g) 21 (g) Disposing of waste in a manner which may detrimentally impact on a water source. Oxidation ponds Slimes dams (industrial/ mining) Evaporation dams (industrial/ mining) Stormwater 17

15. Department: Water Affairs and Forestry Water Research Commission National Water Act NATIONAL WATER ACT (NWA) The Minister may, with the concurrence of the Ministry of Finance, from time to time by notice in the Gazette, establish a pricing strategy for charges for any water use within the framework of existing relevant government policy. 1.For funding water resource management 2.For funding water resource development and use of waterworks 3.For achieving the equitable and efficient allocation of water Section 56 of the NWA instructs the Minister to establish a Pricing Strategy: 18

16. Department: Water Affairs and Forestry Water Research Commission Elements of Pricing Strategy ELEMENTS OF PRICING STRATEGY 1.Only applied to water management areas or schemes where annual water use has been registered or licensed. 2.End user for which unit sectoral charges will be calculated are:  water services authorities  industrial, mining and energy  irrigation  stream-flow reduction activities 3.Funding Water Resource Management: regulate, manage and maintain the water resource / catchment. 4.The budget allocated to the following:  Functional support (from regional offices)  Planning and implementation of catchment management strategies  Dam safety control  Water quality management  Water utilisation  Water conservation (including the Working for Water programme). 19

17. Department: Water Affairs and Forestry Water Research Commission Point sourc e disch arges Notes  Point sources  Diffuse sources Evaporation Pond Section 21(g) POINT SOURCE DISCHARGES Controlled activity (Irrigation) Section 21(e) Groundwater S21(e) S 21(f) River Water use sectors 20

18. Department: Water Affairs and Forestry Water Research Commission Overview of charges Waste Water Treatment Treatment Plant OVERVIEW OF CHARGES (NWA) AND WATER SERVICES ACT TARIFFS Resource: Dam Resource: River Mining Domestic users 1 2 3 4 6 6 6 5 3 2 Industry Recreation charge (NWA) Abstraction charge (NWA) Water supply tariff (WSA) Trade effluent tariff (WSA) Sewerage tariff (WSA) Waste discharge charge (NWA) 2 1 3 4 5 6 2 21

19. Department: Water Affairs and Forestry Water Research Commission Marine outfall Estuary Domestic Pump station Water use sectors Ocean River Note: Legal mandate Resource definition (exclude marine environment) Water containing waste Water is used to transport waste MARINE OUTFALL: DWAF RESPONSIBILITY Fresh water resource Section 21(f) Section 21(h) 22

20. Department: Water Affairs and Forestry Water Research Commission WDCS and the Policy Environment Important conclusion…. The WDCS will become a subcomponent of the Pricing Strategy. This research process is to determine how to incorporate a Waste Discharge Charge System into the Pricing Strategy WDCS and the Policy Environment 23