Call to make most of the water crisis

4 ‘There’s money to be made…’

LOCALS should cash-in on the water crisis as it has given rise to a multibillion-rand industry, provincial minister of economic opportunities Alan Winde said yesterday.

“Now is the time for businesses and residents to invest in their own water resilience to ensure we continue to grow the economy, secure the jobs we already have, and create more going forward,” said Winde.

Since the start of this year, the water crisis – a result of the drought in the Western Cape and delayed water augmentation plans – has seen locals spend more money on bottled water.

Water-related product sales have also soared as locals feared the arrival of Day Zero, an estimated date the City of Cape Town touted as the day when the city’s municipal taps would run dry.

Day Zero has since been pushed back to next year and its City-led champions have been criticised for using the term to spread fear and panic.

However, uncertainty remains about the city’s long- term water security. City officials have contracted companies to provide water desalination services – but for only two years.

Winde said GreenCape’s 2018 Water Market Intelligence Report (MIR) published this week “shows us the value of those (water-related) opportunities”.

GreenCape is a “non-profit organisation that drives the widespread adoption of economically viable green economy solutions from the Western Cape”.

“We work with businesses, investors, academics and government to help unlock the investment and employment potential of green technologies and services, and to support a transition to a resilient green economy,” it claims.

GreenCape’s report listed various money-making opportunities in the manufacturing and supply of water-related technologies and services, including:

Rowing private sector demand for smart water metering systems as a tool for improved water management.

New residential and commercial property developments in the province are a key market for water efficient devices and grey water reuse systems, presenting a potential market of R900 million a year.

Municipalities are increasingly interested in potable water reuse of their municipal waste water. In Cape Town there is a potential market of almost R2 billion.

There are a number of opportunities relating to groundwater and rainwater systems across all private sector markets. The potential residential market in the Western Cape could be worth R5.8bn.

Large-scale seawater desalination is an emerging market that presents a number of opportunities for investors. The potential market in the City of Cape Town is around R3bn.

The potential market for Water Consumption and Water Demand Management (WCWDM) projects that reduce non-revenue water in South African metros is estimated at R2bn a year, of which R500m is unfunded.

Water reuse in the industrial sector presents opportunities for both technology and service providers. The total gross value added (GVA) for moderate and highly water intense users in the WC in 2016, excluding agriculture, was R155bn in 2017.

Winde’s department also said there has been a “significant growth in demand for boreholes, well points and water treatment systems in the Western Cape”.

“Rainwater systems have also been in huge demand, with Western Cape-based tank manufacturers reporting that they are booked up in advance, with supply being sought from elsewhere in the country.”

GreenCape also states in its report that South Africa would need to invest up to R70.4bn a year in water infrastructure investment for the next decade to ensure water security nationwide.