ActionSA has raised concerns about the recent R17 billion loan granted to South Africa by the New Development Bank, founded by BRICS countries, to fund water and sanitation projects. The party warned that without a significant overhaul of current management systems, the funds could be wasted, failing to address the country’s ongoing water crisis.
The loan, which falls under the municipal infrastructure grant, aims to tackle infrastructure backlogs and improve water provision across municipalities. However, ActionSA argues that merely injecting funds into the sector will not resolve the deep-rooted inefficiencies that have plagued water and sanitation management for years.
Concerns Over Management and Accountability
Malebo Kobe, ActionSA’s representative in the parliamentary portfolio committee on water and sanitation, voiced concerns that the investment alone would not address the systemic issues within the department. “As ActionSA, we will monitor the projects expected to emerge from the New Development Bank loans to ensure they are executed as efficiently and effectively, fostering long-term improvement in our water resource management,” said Kobe.
Kobe stressed the importance of accountability and the need for a comprehensive reform of management practices within the water and sanitation sector. She highlighted that past investments have often failed to produce tangible results due to mismanagement, corruption, and lack of proper oversight.
Addressing Water Inefficiencies in South Africa
The R17 billion loan comes at a crucial time for South Africa, where water scarcity and failing infrastructure continue to affect millions of citizens. The New Development Bank’s funding is intended to alleviate some of these challenges by supporting infrastructure projects that aim to improve water supply, reduce wastage, and address sanitation backlogs.
However, ActionSA’s warning underscores a critical point: without addressing the operational inefficiencies and governance failures that have historically hindered the sector, there is a risk that the funds will be misused or misallocated.
ActionSA’s Commitment to Oversight
ActionSA has committed to closely monitoring the execution of the funded projects, holding the relevant authorities accountable for ensuring that the loan is utilized effectively. The party aims to prevent a repeat of past failures, where significant investments did not translate into improved service delivery or sustainable water management solutions.
The party’s vigilance comes as a necessary check on the government’s handling of the loan, advocating for transparency and rigorous oversight to ensure that South Africa’s water crisis is meaningfully addressed through these funded initiatives.