The Water Sector – GreenCape Market Intelligence Report 2015

The 2015 GreenCape Market Intelligence Report on the Water Sector provides an analysis of water resource management in South Africa, with a specific focus on the Western Cape. It details the governance framework, current infrastructure projects, and identifies seven key opportunity areas for private sector investment to address water scarcity and security challenges.

• South Africa is a water-stressed nation with an average annual rainfall of 450mm, which is significantly lower than the global average of 860mm. Climate models suggest the Western Cape will become hotter and drier, with more intense rainfall events and floods, potentially constraining economic development.
• Agriculture is the primary driver of water demand in South Africa, accounting for 66% of total water use, specifically for irrigation. In the Western Cape, irrigation is the major water use across four designated water management areas, though the Berg WMA also has significant consumption from the Cape Town metropolitan area.
• The South African government identifies seven major opportunity areas for the private sector within the water value chain: clearing invasive alien plants (IAP), rainwater harvesting (RWH), reducing municipal leaks (RML), agricultural treatment and reuse (ATR), industrial treatment and reuse (ITR), domestic treatment and reuse (DTR), and decentralised wastewater treatment works (DWWTW).
• Significant infrastructure investment is required over the next decade, estimated at R670 billion for new water and sanitation infrastructure and refurbishment. Only 45% of this total is currently provisionally budgeted, indicating a need for public-private partnerships to bridge the funding gap.
• The Western Cape is implementing several supply-side interventions, including the raising of the Clanwilliam Dam (estimated cost R2.5 billion, completion March 2017) and the raising of the Volevlei Dam. Desalination is also being pursued, with plants already commissioned in Mossel Bay and Lamberts Bay, and a feasibility study underway for a 150-450 Ml/day plant for Cape Town.
• The water sector faces critical barriers, most notably a chronic shortage of skills. Municipalities experience high management turnover, with one in six managers leaving within a year and 25% of posts remaining vacant for more than three months.
• Invasive alien plants (IAP) cover up to 10% of South Africa and over 170,000 hectares in the Western Cape, primarily in riparian zones. The estimated annual cost of water losses caused by these plants in the province is R1.29 billion, with the Breede-Gouritz water management area being the most affected.

APA

GreenCape (2015). The Water Sector – GreenCape Market Intelligence Report 2015. https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Market-Intelligence-Reports-Water-7.pdf

Chicago

GreenCape. The Water Sector – GreenCape Market Intelligence Report 2015. 2015. https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Market-Intelligence-Reports-Water-7.pdf.

Wikipedia

{{cite report |author=GreenCape |title=The Water Sector – GreenCape Market Intelligence Report 2015 |date=2015 |url=https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Market-Intelligence-Reports-Water-7.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{greencape2015water, author = {{GreenCape}}, title = {{The Water Sector – GreenCape Market Intelligence Report 2015}}, institution = {GreenCape}, year = {2015}, url = {https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Market-Intelligence-Reports-Water-7.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }