Transparency demanded on Rand Water’s R800 million Zanzibar investment while water provision in Gauteng remains under pressure

AfriForum has submitted a formal application in terms of the Promotion of Access to Information Act (PAIA) to Rand Water, requesting detailed information on its partnership with the Zanzibar Water Authority and the associated R800 million investment. This step follows growing concern about the project in the context of Gauteng’s ongoing water infrastructure crisis, where maintaining reliable bulk water supply remains under increasing pressure.

While Rand Water is legally permitted to undertake secondary activities, it is necessary to assess whether this project is justified and appropriate at this time. The scale of the investment, its cross-border nature, and the current domestic challenges in water infrastructure require clear, evidence-based justification to ensure that Rand Water’s primary mandate to secure bulk water supply in Gauteng is not compromised.

AfriForum’s request is aimed at obtaining information to evaluate several key risks associated with the project. These include the allocation of R800 million in public resources to a foreign initiative while domestic infrastructure is under strain, as well as the absence of a disclosed business case, financial model or projected return on investment. There are also concerns about potential financial risks, including currency exposure, revenue collection uncertainty and sovereign risk. In addition, it is necessary to assess whether the project could affect Rand Water’s operational capacity, capital expenditure programme and its ability to fulfil its core mandate.

“Just because Rand Water’s foreign expansion is legally permissible does not mean it is in the best interest of the residents of Gauteng. At a time when water security is already under pressure, every major financial and operational decision must be beyond reproach and supported by clear evidence,” says Marais de Vaal, AfriForum’s Advisor for Environmental Affairs.

AfriForum trusts that Rand Water will respond to this request in a transparent and timely manner. Once the requested information has been received, it will be carefully scrutinised to determine whether further steps are necessary.