Pricing Strategy

In terms of section 56, of National Water Act, Act 36 of 1998 (NWA), the Minister may, with the concurrency of the Minister of Finance, from time to time by notice in the Government Gazette, develop a pricing strategy for any water use within the framework of existing relevant government policy.

The National Pricing Strategy for Raw Water Use Charges was first developed in November 1999, and the current version was approved for implementation in 2007. The revised Pricing Strategy was gazetted for 90 days public consultation in 2015. Following the consultations and comments received, the revised pricing strategy has undergone various socio-economic, environmental and other material changes that warrants the second round of public consultation.

This pricing strategy provides the framework for the pricing of the use of water from South Africa’s water resources, i.e. the use of raw (untreated) water from the water resource and/ or supplied from government waterworks and the discharge of water into a water resource or onto land.

In terms of Section 56 (3) of the NWA, the pricing strategy may differentiate on an equitable basis, on the basis of geographic areas, and between different categories of water use, and different water users. This pricing strategy provides for six water user categories, from the previous four, to better represent the water user groups and to allow for more clearly targeted charges.

The revised pricing strategy caters for five water resource charges, namely: Water Resource Management Charge, Water Resources Infrastructure Charges, Waste Mitigation Charge, Water Research Levy and Economic Regulation Charge.

The Pricing Strategy was approved by Minister for gazetting for public consultation. The gazette was issued on Friday, 05 August 2022 on the Government Notice No. 47197 for 90 days commenting period, starting from 05 August 2022 until 03 November 2022. The planning process for public consultations is underway.

The document is accessible on the following website: www.dws.gov.za as well as the National and Provincial DWS offices.

Any enquiries in relation to the revision of the revised Pricing Strategy and written comments can be directed to Ms S Moshidi at 012 336 6614/082 803 2953, Mr L Nyabanyaba at 012 336 7615/ 060 980 8480 or Ms M Botipe at 012 336 7988/ 083 315 8670 at pricing-strategy@dws.gov.za.