Strategic Water Partners Network (SWPN)
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Phase 1&2, 202,6 million m 3 +
Phase 3 66,0 million m 3 times the
water price of R2.13/m 3 . This is
an economic externality as irri-
gators currently pay for water by
quota and not by measured use.
Nevertheless, more water is avail-
able for alternative uses, with the
potential to charge those users.
The GDP effect of this water saving
is forecast to be R852 million per
year (in 2018 value), as measured
by the National Water Accounts.
A more accurate valuation of
water for assessing economic
benefit is the marginal value of
water, estimated at R14.93/m 3 ,
rather than the current subsidized
cost of R0.12/m3. The value of the
water at marginal costs is R4,010
million per year. The discounted
value, at 5% discount rate, of the
WAS is to 2030 is a remarkable
R36,566 billion.
Significant opportunities exist to
continuously improve the WAS
benefits on Phase 1&2 and 3
schemes through improving oper-
ations and implementing addi-
tional WAS modules. Significant
additional implementation oppor-
tunities exist on an additional
400,000 ha in South Africa.*
This concludes the series
on the Strategic Water
Partners Network.
For more information
contact swpn.secre-
[email protected].
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