Residential Estate Industry Journal REIJ 7 ARC Journal 2021 REIJ Vol 7 | Page 20

INDUSTRY OVERVIEW
never be considered , simply because of the absence of accountability , the non-viability of the project and the absence of skilled management . This is shifting the needle on the dial towards a form of publicprivate partnership ( PPP ). Treasury has bought into this notion , and the Presidency is starting to support this via Operation Vulindlela . Details of each PPP model remain confidential , given the sensitivity of the matter , most notably the expected backlash from trade unions , but their numbers are declining as jobs are lost in a shrinking economy . Trade unions only have power when the majority of the population enjoys the luxury of actual employment .
On the skills side , all versions of the PPP model focus on the appointment of technically competent people to manage the programme . This is a direct attack against the cadre deployment policy of the ruling ANC , so it is being contested . But , as with trade union contestation , the reality of a shrinking economy , growing poverty , and a clear failure of government at local level , their grass roots support is also shrinking . Ideology does not put food on the table , but a viable economy , enabled by competent managers , developing viable projects adequately funded by a blend of private capital and Treasury guarantees , is a real game changer .
Regarding replicability , the pilot projects on which the emerging PPP model will be tested can all be replicated elsewhere . This is like a cookie cutter ; once defined and working , rapid replication across a wide spectrum of cases should be possible at national level .
WHAT IT MEANS FOR RESIDENTIAL ESTATES This new trend is still invisible , given the sensitivities alluded to , but the progress is becoming irreversible . Soon we are likely to see different initiatives at municipal level , specifically around the management of water , waste and energy . This will improve service delivery to residential estates . In addition to this , we are also likely to see calls for proposals for a range of projects related to the creation of New Water . This is engineered or processed water recovered from contaminated ( Old Water ) or saline ( mine effluent or sea water ) sources . These are likely to include the revamping and recapitalisation of specific wastewater treatment works , especially where industrial users are prepared to sign offtake agreements to buy the processed water that will be available in abundance , and at a cost below that of potable water . This was pioneered in KZN at the Durban South sewerage works . Another new trend is likely to be the announcement of utility-scale desalination plants , either in areas impacted by acidic mine water , or in coastal cities where future industrial growth is limited by the non-availability of fresh water .
This has been pioneered at Emalahleni and also at Trekopje in Namibia . Gqeberha and East London , both facing Day Zero crises , and being industrialised , are likely to lead the way , with desalination plants of about 120 megalitres ( million litres ) per day capacity .
The prognosis for the success of these projects is good , but all will be contested by the current beneficiaries of the politics of patronage . But , now that the benefits of patronage have dried up , the timing is right for a more efficient approach to service delivery . Green shoots are starting to appear in a dry and dusty landscape sculpted by service delivery failure .
estate-living . co . za
20