Water, Sewage & Effluent January February 2019 | Page 17
Figure 3: Sinkhole in Jean Avenue,
Centurion.
1
3.1. Calculation of funding
The NWIF 2017 provided a detailed
breakdown of the capital replacement
costs of its assets. It can therefore be
inferred that the annual capital budget
would be spent in proportion to the
capital replacement costs as shown in
Table 5.
It is noted that the water supply and
sewer reticulation equate to 12% of
the total capital replacement cost. By
considering the total budget allocated
for both municipal water infrastructure
and sanitation infrastructure as given in
Table 5 and then apportioning 12% of the
budget for both components, the budget
estimate in Table 6 is derived.
27.8 3.34 17.1 2.05
19.5 2.34 13.2 1.58
3.2. Water pipeline infrastructure
spending
3.2.1. Redistributing current funding
A 12% allocation of the funding equates
to R2.05 billion, which can be spent on
municipal water infrastructure. By utilising
historical cost data and applying the
R2.05 billion budget to both conventional
and trenchless pipeline projects, the
impact this has on the total pipeline
length that can be installed as well as the
employment opportunities this creates, is
significant. A growing trenchless sector
also provides a platform for new entrants
into the construction market space.
When using the 2017 funding estimates
calculation, it is possible to install an
additional 774km of water reticulation
pipelines if 60% of the pipe installed/
replaced is done by trenchless methods,
when compared to the present estimate,
where only 10% of pipeline work is done
by trenchless methods. Additionally,
the increase in the use of trenchless
National Water Infrastructure Funding, 2017
www.waterafrica.co.za
(R bil)
Municipal
water
infrastructure
Sanitation
infrastructure
Despite
this
awareness,
the
implementation of this plan has not yet
taken full effect as evidenced by the
increase in service delivery protests,
unemployment and the decline in
business confidence along with the
stagnant GDP growth.
More alarming is the direct
consequence of failing pipeline
infrastructure where the occurrence
of sinkholes along with sewerage
overflowing into streets and stormwater
systems have become commonplace.
In the Centurion area, according
to the information in the available
sinkhole database, 40% of sinkholes or
subsidences resulted from leaking water-
bearing services and 29% as a result of
poor surface/stormwater management
(AC Oosthuizen; J L van Rooy). The total
cost of repairing the various sinkholes in
Centurion is estimated at R50 million per
annum. A sinkhole in this area under a
busy intersection is shown in Figure 3.
SUMMARY OF ANNUAL INVESTMENT
BUDGET TABLE
Water Sewage & Effluent January/February 2019
17
innovations
c. install new infrastructure to keep
pace with growing human settlements
and new economic nodes.
Municipal water
27.8 17.1
infrastructure
Regional bulk (potable)
10.1
7.4
infrastructure
Regional bulk (non-
7.0
4.0
potable) infrastructure
Water resources
25.5 14.9
infrastructure
Total water
70.4 43.3
infrastructure
Sanitation infrastructure 19.5 13.2
Total water services
89.9 56.5
infrastructure
Funding shortfall (2017)
33.3 37%
A new approach is required, which is
both swift and cost-effective, in response
to the funding deficits and rapidly
deteriorating infrastructure. In contrast
to the current approach of using open
excavations, if the emphasis is placed on
trenchless techniques, viable solutions
are available, which may well stay within
the existing budget constraints.
Table 6: Calculated budget allocation for
water and sewer reticulation
b. provide upgrades to meet service
delivery requirements;
(R bil)
ageing
renew
WATER SERVICES
ELEMENT
a. refurbish and
infrastructure;
Table 4: National water infrastructure
funding (NWIF) requirements 2017 1
According to the Department of
Water and Sanitation (National Water
Investment Framework, 2017), water is a
critical requirement for development, as
highlighted in the National Development
Plan. It projects a 10-year capital
expenditure budget of R89.9 billion per
annum, which is needed to:
2.4. The need for pipe replacement
CAPITAL REPLACEMENT COSTS FOR
INFRASTRUCTURE ACROSS
SOUTH AFRICA
Replacement
Asset
%
cost (R bil)
Dams
502 031 067 244 51
Municipal
21 910 364 926 2
boreholes
Bulk pipelines
131 633 460 511 13
Canals
59 768 314 839 6
Water treatment
66 244 812 301 7
works
Bulk pump
43 713 011 456 4
stations
Reservoirs
39 783 801 189 4
Reticulation
117 020 069 057 12
TOTAL
982 104 901 523 100
Co-opted board member of Southern African
Society for Trenchless Technology (SASTT),
independent construction project manager.
The annual budget allocated for all
water and sanitation infrastructure in
South Africa in 2017 was R56.6 billion
(NWIF, 2017), whereas the required
funding needed to address these
infrastructure needs was actually R89.9
billion per annum. The resultant funding
shortfall of R33.3 billion, as shown
in Table 4, is also indicative of South
Africa’s inability to attract investment
and the corresponding decline in its
economic strength.
Neil van Rooyen
Table 5: Infrastructure replacement
cost 2017
3. Business case for trenchless
technology
Part 2
UNLOCKING ECONOMIC
GROWTH IN SOUTH AFRICA
USING TRENCHLESS
TECHNOLOGY