Water Services Act

19 December 1997 No. 1662.

19 Desember 1997 It is hereby notified that the President has assented to the following Act which is hereby published for general infcxmatiow.— Hierby word bekend gemaak dat die President sy goedkeuring geheg het aan die onderstaande Wet wat hierby ter algemene inligting gepubliseer word:— No, 108 of 1997: Water Services Act, 1997. No. 108 van 1997: Wet op Waterdienste, 1997. 2 No. 18522 Act No. 108, 1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 ACT To provide for the rights of access to basic water supply and basic sanitation; to provide for the setting of national standards and of norms and standards for tariffs; to provide for water services development plans; to provide a regulatory framework for water services institutions and water services intermediaries; to provide for the establishment and disestablishment of water boards and water services committees and their powers and duties; to provide for the monitoring of water services and intervention by the Minister or by the relevant Province; to provide for financial assistance to water services institutions; to provide for certain general powers of the Minister; to provide for the gathering of information in a national information system and the distribution of that information; to repeal certain laws; and to provide for matters connected therewith. PREAMBLE RECOGNIZING the rights of access to basic water supply and basic sanitation necessary to ensure sufficient water and an environment not harmful to health or well-being; ACKNOWLEDGING that there is a duty on all spheres of Government to ensure that water supply services and sanitation services are provided in a manner which is efficient, equitable and sustainable; ACKNOWLEDGING that all spheres of Government must strive to provide water supply services and sanitation services sufficient for subsistence and sustainable economic activity; RECOGNIZING that in striving to provide water supply services and sanitation services, all spheres of Government must observe and adhere to the principles of co-operative government; ACKNOWLEDGING that although municipalities have authority to administer water supply services and sanitation services, all spheres of Government have a duty, within the limits of physical and financial feasibility, to work towards this object; RECOGNIZING that the provision of water supply services and sanitation services, although an activity distinct from the overall management of water resources, must be undertaken in a manner consistent with the broader goals of water resource management; RECOGNIZING that water supply services and sanitation services are often provided in monopolistic or near monopolistic circumstances and that the interests of consumers and the broader goals of public policy must be promoted; and CONFIRMING the National Government’s role as custodian of the nation’s water resources; (English text signed by the President.) (Assented to 27 November 1997.) 4 No. 18522 Act No. 108.1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 B E IT ENACTED by the Parliament of the Republic of South Africa as follows:— ARRANGEMENT OF SECTIONS CHAPTER I Introductory provisions Section

2. Main objects of Act

3. Right of access to basic water supply and basic sanitation

4. Conditions for provision of water services

5. Provision of basic water supply and basic sanitation to have preference

6. Access to water services through nominated water services provider

7. Industrial use of water

8. Approvals and appeal CHAPTER II Standards and tariffs

1. In this Act. unless the context shows that another meaning is intended— 10 15 (i) (ii) (iii) (iv) (v) (vi) (vii) [viii) (ix) 35 “approve” means approve in writing. and “approv:l” has a corresponding 30 meaning: (iii) “basic sanitation” means the prescribed minimum standard of services necessary for the safe, hygienic and adequate collection. removal, disposal or purification of human excreta. domestic waste-water and sewage from households, including informal households; (i) “basic water supply” means the prescribed minimum standard of water supply services necessary for the reliable supply of a sufficient quantity and quality of water to households, including informal households, to support life and personal hygiene: (ii) “consumer” means any end user who receives water services from a water 40 services institution, including an end user in an informal settlement; (xiv) “consumer installation” means a pipeline, fitting or apparatus installed or used by a consumer to gain access to water services and includes a meter attached to such pipeline, fitting or apparatus; (xv) “development plan” means a water services development plan adopted in 45 terms of this Act; (viii) “disposal of industrial effluent” means the collection, removal, disposal or treatment of effluent emanating from industrial use of water; (xxv) “emergency situation” means any situation declared as such in terms of a law and which is likely to cause injury or loss of life; (vi) “industrial use” means the use of water for mining, manufacturing. 50 I () No. 1852? Act NO. 108.1997 GOVERNMENT GAZE’tTE, 19 DECEMBER 1997 W’ATER SERVICES ACT. 1997 generating electricity. land-based transport. construction or any related purpose: (iii) (x)” “Minister” means the Minister of Water Affairs and Forestry: (v) (xi) “organisation representing municipalities” means an organisation recognised under a law contemplated in section 163 of the Constitution as representing municipalities, or in the absence of such a law, any organisation or organisations considered by the Minister after consulta- tion with the Minister for Provincial Affairs and Constitutional Devel- opment as representing municipalities. and includes an organisation representing district or rural councils as defined in the Local Government Transition Act, 1993 (Act No. 209 of 1993): (ix) “person” includes a water services institution; (x) “prescribe” means prescribe by regulation; (xvi) “Province’” means the Member of the Executive Council responsible for local government in the Province concerned; (xi) “regulation” means a regulation made under this Act; (xii) “sanitation services”’ means the collection. removal, disposal or purifi- cation of human excreta. domestic waste-water. sewage and effluent resulting from the use of water for commercial purposes; (xiii) “this .Ac[” includes the regulations: (iv) “Water board” means an organ of state established or regarded as having been established in terms of this Act to perform. as its primar) activit>’. a public function: (xxiii) “ualer services” means Water supply ser~’ices and sanitation services: (xvii) “vatel- services authorit)” means any municipality, including a distric[ or rural council as defined in the Local Government Transition Act, 1993 (Act No. 209 of 1993). responsible for ensuring access to water senices: (xix) “water services institution” means a water services authority. a water services provider. a water board and a water services committee: (xviii) “uater services intermediary” means an! person who is obliged [o provide water services to another in temls of a contract where the obligation to provide water services is incidental to the main object of that contract: (xx) “water services provider” means any person who provides water services to consumers or to another water services institution. but does not include a water senrices intermediary: (xxi) “water services work” means a reservoir. dam. well, pumphouse. borehole. pumping installation. purification work. sewage treatment plant. access road. electricity) transmission line. pipeline. meter, fitting or apparatus built. installed or used by a water services institution— (xii) (xiii) (xiv) (xv) (xvi) (x\’ii) (xviii) (xix) (xx) (xxi) (xxii) (xxIll) (xxiv) (i) to provide water services: (ii) to provide water for industrial use; or (iii) to dispose of industrial effluent: (xxii) “water suppl} services” means the abstraction. conveyance, treatment and distribution of potable water. water intended to be converted to potable water or water for commercial use but not water for industrial use, (xxiv) (xxv) Main objects of Act

2. The main objects of this Act are to provide for— (a) the right of access to basic water supply and the right to basic sanitation necessary to secure sufficient water and an environment not harmful to human health or well-being; (b) the setting of national standards and norms and standards for tariffs in respect of water services: (c) the preparation and adoption of water services development plans by water services authorities; 5 10 15 Z() 25 30 35 40 45 50 55 12 No, 18522 Act NO. 108, 1997 CiOVERNMETiT ciAzET”rE. 19 DECEMBER I 997 WATER SERVICES ACT, 1997 (d) a regulatory framework for water services institutions and water services intermediaries; (e) the establishment and disestablishment of water boards and water services committees and their duties and powers; (f) the monitoring of water services and intervention by the Minister or by the 5 relevant Province; (g) financial assistmce to water services institutions; (h) the gathering of information in a national information system and the distribution of that information; (i) the accountability of water services providers: and (~) the promotion of effective water resource management and conservation. Right of access to basic water supply and basic sanitation 3. ( 1 ) Everyone has a right of access to basic water supply and basic sanitation. (2) Every water services institution must take reasonable measures to realise these rights. (3) Every water services authority must, in its water services development plan. provide for measures to realise these rights. (4) The rights mentioned in this section are subject to the limitations contained in this Act. Conditions for provision of water services 10 15 Z() 4. ( 1 ) Water services must be provided in terms of conditions set by the water services provider. (2) These conditions must— (u) be accessible to the public; (b) accord with conditions for the provision of water services contained in bylaws 25 made by the water services authority having jurisdiction in the area in question; and (c) provide for— (i) the technical conditions of existing or proposed extensions of supply: (ii ) the determination and structure of tariffs: (iii ) the conditions for payment; (iv) the circumstances under which ~ater services may be limited or 30 discontinued; (v) procedures for limiting or discontinuing water services: and (vi) measures to promote water conservation and demand management. 35 (3) Procedures for the limitation or discontinuation of water services must— (a) be fair and equitable; (b) provide for reasonable notice of intention to limit or discontinue water services and for an opportunity to make representations. unless— (i) other consumers would be prejudiced: (ii) there is an emergency situation; or (iii ) the consumer has interfered with a limited or discontinued service; and (c) not result in a person being denied access to basic water services for non-payment, where that person proves, to the satisfaction of the relevant water services authority. that he or she is unable to pay for basic services, 40 45 (4) Every person who uses water services provided by a water services provider does so subject to any duplicable condition set by that water services provider. (5) Where one water services institution provides water services to another water services institution, it may not limit or discontinue those services for reasons of non-payment, unless it has given at least 30 days’ notice in writing of its intention to 50 limit water services or 60 days’ notice in writing of its intention to discontinue those water services to— (a) the other water services institution; (b) the relevant Province: and (c) the Minister. 55 14 Nc). 18522 ,Act No. 108.1997 GOVERNMENT GAZETTE. 19 DECEMBER 19Y7 \\ ’tiTER SERVICES ,ACT. 1997 Provision of basic water supply and basic sanitation to have preference

5. If the water services provided by a water services institution are unable to meet the requirements of all its existity consumers. it must give preference to the provision of basic water supply and basic sanitation to them. Access to water services through nominated water services provider 6. ( I ) Subject to subsection (2). no person may use water services from a source other than a water services provider nominated by the water services authority having jurisdiction in the area in question. withotr[ the approval of that water services authority. (2) A person who. at the commencement of this Act. was using waler services from a source other [hm one nominated b! the relevant water services authority. may continue to do so- for a period of 60 days after the relevant water services authority has requested the person to apply for approval; and if the person complies with a request in terms of paragraph (a) within the 60 da! period. until— ( i ) the application for approval is granted. after which the conditions of the ~pproval mill apply: or ( ii) the expir! of a reasonable period determined b} the water services mtthorit). if the application for approval is refused. Industrial use of water 7. ( 1 ) Subjec[ [(l subsection ( 3). n(> pmson ma! oblain w’ater for industrial use from an} source other than the distribution s! ’stem of a water ser!>ices provider nominated b! the !i ater seriices authorit! hating jurisdiction in the area in question. without the ~pproval of that waler services authorit). ( 2 ) Subject 10 subsection (3). no person ma>’ dispose of industrial effluent in an}’ manner othcl- than that approved b! the water services provider nominated by the water wi-iices au[horit) ha\ing jurisdiction in the area in question. ( 3 ) A person who. at the commencement of this Act. obtains water for industrial usc o] chsposes of industrial effluent from a source or in a manner requiring the approval of :1 u a[er ser!’ices authorit! under subsection ( 1 ) or (2). ma!’ continue to do so— ((i) for a period of 60 days af[cr the relevant uater services authority has requested the person to appl> for appro~ral: and //,/ if Ihe person complies v. ith a request in terms of paragraph (a) within the 60 5 10 15 20 25 30 da} period. until— t i ) the application for approval is granted. after which the conditions of 35 the approval will appl}: or (ii ) the expir> of a reasonable period determined by the water services authorit~.. if the application for approval is refused. (4) No approval given by a water services authorit! under this section relieves an>one from conlplying vith an! othel- lav rel~ting to- ~~{) the use and conservation of \+ater and water resources: or fb) the disposal of effluent. Approvals and appeal 8. ( I ) A vatel- seriiccs authorit> ~~hose approval is required in terms of section 6 or l— (a) may not unreasonable! \vithhold the approval; and (b) ma) give the approval subject to reasonable conditions. ( 2 ) A water services authority may require a person seeking approval to provide water services to others on reasonable terms. including terms relating to— (a) pa) ’merit for the services: and 40 50 16 No. 1 S522 Act No. 108, 1997 GO\JERNMEh’T GAZETTE. 19 DECEMBER 1997 L\ ’,.lTER SERVICES .ACT. 1997 (b) compensation for the cost of reticulation and any other costs incurred in providing the water ser\ice. (3) In detem~ining what is reasonable under subsections ( I )(a). ( 1 )(b) and (2), a water services authority— (a) must consider the following factors, to the extent that the water services 5 authority considers them to be releirant: (i) The cost of providin~: (ii ) the practicability of pro!iding: (iii J the quality of; (i\’) the reliability ofl (v) the financial. technological and managerial advisability of providing: (vi ) [he economic and financial efficiency of: and (vii ) the socio-economic and conservation benefits that ma) be achieved by providin:. the water services in question: and (b) ma} consider any other relevant factor. 10 15 (4) A person who has made an application in terms of section 6 or 7 may appeal to the Minister against an> decision. inc]uding an} condition imposed. b~ that water services authorit~ in respect of the application. (5) An appellant. under subsection (4). must note an appeal by lodging a v.ritten 20 notice of appeal with— (a) the Minister: and (b) the perion against whose decision the appeal is made. within 21 days of the appellant beconling avare of the decision. (6) A person who has made an application in terms of section 6 or 7 ma> appeal to the 25 Minister if the k; ater services authorit! in question fails to take a decision on the application within a reasonable time. (7) An appeal under subsection (6)— (a) must he conducted as if the application had been refused: and (b) must he noted b~ lodging a vritten notice of appeal with the Minister and the 30 water services authoritj in question. (8) A relevan[ Province ma~ intervene as a part) in an appeal under subsection (4) oI- (6). (9) The Miniswr ma> on appeal confirm. var! or o\Jerturn an} decision of the water services authorit! concerned, ( 10) The Minister ma> prescribe the procedure for conducting an appeal under this section. Standards CHAPTER II Standards and tariffs 9. ( 1 ) The Minister may. from time to time. prescribe compulsory national standards relating to— (a) the provision of water services: (b) the qualit> of water taken from or discharged into any water services or water resource system; 35 40 45 (c) the effective and sustainable use of water resources for water services: . (d) the nature. operation. sustainability. operational efficiency and economic viabilit~ of water services: (e) requirements for persons who install and operate water services works: and (f) the construction and functioning of water services works and consumer 50 installations. (2) The standards prescribed under subsection ( 1 ) may differentiate between- (a) different users of water services: and (b) different geographic areas. taking into account. among other factors. the socio-economic and physical attributes of each area, 55 (3) In prescribing standards under subsection (1). the Minister must consider— (a) the need for everyone to have a reasonable quality of life; (b) the need for equitable access to water services; 18 No. 1 8 5 22 Act No. 108, 1997 GOVERNMENT GAZE’(TE. 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (c) the operational efficiency and economic viability of water services: (d) any norms and standards for applicable tariffs for water services; (e) any other laws or any standards set by other governmental authorities; V) any guidelines recommended by official standard-setting institutions; (g) any impact which the water services might have on the environment; and 5 (h) the obligations of the National Government as custodian of water resources. (4) Every Water services institution must comply with the standards prescribed under subsection (1). Norms and standards for tariffs 10. (1) The Minister may, with the concurrence of the Minister of Finance. from time 10 to time prescribe norms and standards in respect of tariffs for water services. (2) These norms and standards may— (a) differentiate on an equitable basis between— (i) different users of water services; (ii) different types of water services; and (iii) different geographic areas, taking into account, among other factors, the socio-economic and physical attributes of each area; (b) place limitations on surplus or profit; (c) place limitations on the use of income generated by the recovery of charges; and (d) provide for tariffs to be used to promote or achieve water conservation. (3) In prescribing the norms and standards, the Minister must consider. among other factors— (a) any national standards prescribed by him or her; (b) social equity; (c) the financ~al sustainability of the water services in the geographic area in question; 15 Z() 25 (d) the recovery of costs reasonably associated with providing the water services; (e) the redemption period of any loans for the provision of water services: (H t$dneed for a return on capital invested for the provision of water services; 30 (g) the need to provide for drought and excess water availability, (4) No water services institution may use a tariff which is substantially different from any prescribed norms and standards. CHAPTER III Water services authorities Duty to provide access to water services 11.. ( 1 ) Every water services authority has a duty to all consumers or potential consumers in its area of jurisdiction to progressively ensure efficient. affordable, economical and sustainable access to water services. (2) This duty is subject tc+ (a) the availability of resources; (b) the need for an equitable allocation of resources to all consumers and potential consumers within the authorit y’s area of jurisdiction; (c) the need to regulate access to water services in an equitable way; (d) the duty of consumers to pay reasonable charges, which must be in accordance with any prescribed norms and standards for tariffs for water services; 35 40 45 (e) the duty to conserve water resources; @ the nature, topography, zoning and situation of the land in question; and (g) the right of the relevant water services authority to limit or discontinue the 50 provision of water services if there is a failure to comply with reasonable conditions set for the provision of such services. 20 No. I 8522 Act No. 108, 1997 GOVER~MENTGAZE~E. 19 DECEN{BER 1997 WATER SERVICES ,ACT. 1997 (3) In ensuring access to water services. a water services authority must take into account. among other factors— (u) alternative ways of providing access to water services; (b) the need for regional efficiency; (c) the need to achieve benefit of scale; (d) the need for low costs; (e) the requirements of equity; and (f) the availability of resources from neighboring water services authorities. (4) A water services authority may not unreasonably refuse or fail to give access to water services to a consumer or potential consumer in its area of jurisdiction. (5) In emergenc~ situations a water services authorit} must take reasonable steps to provide basic water supply and basic sanitation services to any person within its area 01 jurisdiction and may do so at the cost of that authority. (6) A water services authority may impose reasonable Iimita[ions on the use of water services. 5 10 15 Duty to prepare draft water services development plan 12. ( I ) Everv water services authority must, within one year after the commencement of this Act— , (a) as part of the process of preparing any integrated development plan in terms of the Local Government Transition Act, 1993 (Ac[ No. 209 of 1993); or (b) separately. if no process contemplated in paragraph (a) has been initiated. ~o prepare— (i) a draft water services development plan for its area ofjurisdic[ion: and (ii) a summary of that plan. (?) The Minister may extend the one-year period in respect of a water services 25 authority in consultation with the Minister for Provincial Affairs and Constitutional Development and the relevant Province. Contents of draft water services development plan

10. Norms and standards for tariffs CHAPTER III Water services authorities 11. 12. 13. 14. 15. 16. 17. 18. 19. ~(). 21. Duty to provide access to water services Duty to prepare draft water services development plan Contents of draft water services development plan Draft water services development plan Adoption of development plan New development plan Deviation from development plan Reporting on implementation of development plan Contracts and joint ventures with water services providers Water services authority acting as water services provider Bylaws CHAPTER IV Water services providers

22. Approval to operate as water services provider

23. Water services provider must give information CHAPTER V Water services intermediaries 10 15 30 35 z4, Registration of water services intermediaries

23. A water services provider must give such information concerning the provision of water services as may reasonably be called for by— (a) the water services authority having jurisdiction in the area in question: (b) the relevant Province: (c) the Minister; or (d) a consumer or potential consumer. CHAPTER V Water services intermediaries Registration of water services intermediaries

25. Duties of water services intermediaries

26. Default by water services intermediaries

27. Monitoring performance of water services providers and water services 40 intermediaries 6 No. 18522 Act NO. 108, 1997 GOVERNMENT GAZETTE. 19 DECEMBER 1997 WATER SERVICES ACT. 1997 CHAPTER VI Water boards Establishment and disestablishment of water boards Primary activity of water boards Other activities of water boards Powers of water boards Duties of water boards Conditions for provision of services Parameters for functions of water board Governance of water boards Chief executive of water boards Delegation of powers Duties of water board and members Policy statement Business plan Directives to water boards Different activities to be managed as separate units Financial matters and accounts Reporting Investigation of affairs and financial position Assets and liabilities upon disestablishment Litigation against water board Formal irregularities Regulations Effect of inclusion of Chapter in Act CHAPTER VII Water services committees Establishment and disestablishment of water services committees Function of water services committees Powers of water services committees Conditions for provision of services Governance of water services committees Duties of committee members Financial matters and accounts Formal irregularities Provision of information Assets and liabilities upon disestablishment Regu]a[ions 78 -. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. 61. CHAPTER VIII Monitoring and intervention 62. 63. Monitoring of water services institutions Intervention CHAPTER IX Financial assistance to water services institutions 64. 65. 66. Powers of Minister Applications for financial assistance Regulations on financial assistance 5 10 15 30 35 40 45 s No. 18522 Act No. 108.1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 CHAPTER X National information system

24. A water services authority may, in its bylaws, require the registration of water services intermediwies or classes of such intermediaries within its area of jurisdiction. Duties of water services intermediaries 25. ( 1 ) The quality, quantity and sustainability of water services provided b} a water services intermediary must meet any minimum standards prescribed by the Minister and 30 any additional minimum standards prescribed by the relevant water services authority. (2) A water services intermediary may not charge for water services at a tariff which does not comply with any norms and standards prescribed under this Act and any additional norms and standards set by the relevant water services authority. Default by water services intermediaries 26. (1) If a water services intermediary fails to perform its functions effectively, the water services authority having jurisdiction in the area in question may direct the water services intermediary to rectify its failure. (2) A direction in terms of subsection (1) must set out— (a) the nature of the failure; (b) the steps which must be taken to rectify the failure; and (c) a reasonable period within which those steps must be taken. 35 40 (3) If the water services intermediary fails to rectify its failure within that period, the water services authority may— (a) after having given the water services intermediary a reasonable opportunity to 45 make written submissions to it: and 30 No. 18522 .4ct No. 108.1997 GOVERNMENT GAZETTE. 19 DECEMBER 1997 W’ATER SERVICES ACT. 1997 (b) after having afforded the water services intermediary a hearing on any submissions received, take over the relevant functions of the water services intermediary. (4) Where a water ser\’ices authorit} takes over any functions in terms of subsection (3)— (a) it may exercise all relevant powers and perform all relevant duties on behalf of the water services intermediary to the exclusion of the water services intermediary; and (b) it may use the infrastructure of the water services intermediary to the extent necessary to perform those functions, (5) A water services authority may appoint another water services institution to act on its behalf in performing the functions of a water services intermediary in terms o{ subsection (4). (6) As soon as a water services interrnediar} is in a position to resume its functions effectively. the water services authority must stop exercising the powers and performing the duties on the intermediar!”s behalf. (7) A water services authorit> may recover from a water services intermediary— (a) all outstanding expenses which it incurred: and (b) all losses which it suffered, as a result of having acted in tenms of this section. (8) The procedure set out in subsection (3) need not be followed in an emergency situa[ion. Monitoring performance of water services providers and water services interme- diaries

27. Ever\ \\a[e] ser\ices au[horit\ mus[ monitor the performance of water services proliders find water services intermediaries within its area of jurisdiction to ensure that— (a) standards and norms and standards for tariffs prescribed under sections 9 and 10 are complied with: //~) an! condition set b} a water services authorit! under sections 6. 7 and 22 is met: (c) an} addi[ionul standards sel by a water ser\ices authorit}. for water services intermediaries are complied vjith; and (d) an> contracl is adhered to. CHAPTER 1’1 Water boards Establishment and disestablishment of water boards 28. ( 1 ) Subject to subsection (2) the Minister may b~ r ]tice in the Ga:erte— give i[ a name 01- approve a change of its name (a) establish a water board: (1?) (c) de[ermine or change its service area: or (d) disestablish it. (2) The Minister ma\’ only act in terms of subsection ( ) after consultation with- (a) every Province concerned: (b) the water board concerned. if in existence: and (c) ever~ water services authority having jurisdiction in the service area or proposed service area, (3) The Minister must. when acting in terms of subsection ( I )(d), have regard to the interests of consumers and creditors. (4) The Minister must. from time to time, review the provision of water services to water services authorities and make recommendations to Parliament on the establish- ment. functions and disestablishment of water boards. Primary activity of water boards

67. Establishment of national information system

68. Purpose of national information system

69. Provision of information

70. Funding of national information system CHAPTER XI General powers and duties of Minister

68. The purpose of the national information system is— (CI ) to record and provide data for the development, implementation and monitoring of national polic} on water services: and (b) to provide information to water services institutions. consumers and the 5 public— (i) to enable them to moni[or the performance of water services institutions; (ii ) for research purposes; and (iii ) for an! other lawful reason. Provision of information 10

69. The Minister may require any Province, water services institution and consumer [o furnish information to be included in [he national information system. Funding of national information system 70. ( 1 ) The Minister ma!’ fund reasonable expenditure incurred in establishing and maintaining the national information system from money appropriated by Parliament 1’0]- that purpose m received from an) other source for that purpose. 15 (2) The h4inister or the provider of the national information system may charge a reasonable fee fol- making information available. CHAPTER Xl General powers and duties of Minister Procedure for making regulations 71. ( 1 ) The Minister must. before making regulations under this Act— (~i) publish the draft regulations in the Gn:crrc for public comment within a specifieci time: (b) send copies of and in}i[e comment on the draft regulations from— (i) the Minister fol- Provincial Affairs and Constitutional Development; (ii ) an! relevant Province: (iii ) an> relevant organisation representing municipalities: and (i\’) an) rele\ant water board: (c) consider all comments [imeously received: and (d) on request. repofl on the extent to which a specific comment or comments have been taken into account. or. if a comment was not taken into account. provide reasons therefor. (2) The Minister must. within 30 da~s after making a regulation under this Act. table it in Parliament for consideration in te}ms of section 75. Consultation by Minister

71. Procedure for making regulations

72. Consultation by Minister

73. General powers of Minister

74. Delegation of powers

75. Scrutinizing of draft regulations

76. Advisory committees CHAPTER XII General provisions

77. Transferability of servitudes

78. Compliance with other laws

79. Ownership of water services works

80. Entry and inspection of property

83. State bound b} Act

84. Repeal of laws. and savings

85. Short tide CHAPTER I Introductory provisions Definitions

78. No approval given under this Act and nothing in this Act relieves anyone from 15 compl!ing with any other law relating to- (a) the abstraction and use of’ water: or (b) the disposal of effluent. Ownership of water services works 79. ( 1 ) An) water services work placed in good faith b} a water ser\ices institution in 20 or on propert} not owned tm it. remains the propert\ of that water services institution. whether the work is fixed to-an) part of that propert~ or not. and may be removed b} it. (2) When a water services work is remo\’ed under subsection ( 1 ). the owner or occupier of the property— (a) ma}’ require the water services institution concerned to restore any physical 25 damage caused to the propert! b) the remo~al. as !ar as ma) be reasonably possible: and (b) has no other claim against the water services institution concerned. L.2 I Any water services institution ma! transfer its rights in respect of impro\~ements on propert! not owned b} it to another \\ater ser\; ices institution. 30 Entry and inspection of propert~ 80. ( I ) Anj person authorised in writing b} the Minister. the Province or an> Mater scrficcs institution may— (a) at any reasonable time and Without prior notice. except in the circumstances set out in subsection (3). enter an!’ propert} and inspect an)> water services 35 work in order to ascertain whether this Act or anj regulation or directive made under it is being complied with: (b) after reasonable notice to the owner or occupier of an> proper-t}, enter that property with the necessa~ persons. vehicles. equipment and material— (i) to repair, maintain, remove or demolish any water services work 40 belonging to or operated b! the Minister. the Province or water services institution concerned: (ii ) to remove vegetation interfering with any water services work belonging to or operated by the Minister. the Province or the water services institution concerned: 45 (iii ) to establish the suitability} of any water source or site for the construction of a water services work: 62 No, 18522 Act No. 108.1997 GOVERNMENT GAZEITE. 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (iv) search, excavate, bore or carry on any activity necessary for the recovery or measurement of water; and (c) after reasonable notice to the owner or occupier of any property, cross the property in order to enter another property lawfully. (2) Any person entering property must identify himself or herself and present his or 5 her authorisation. (3) A dwelling may only be entered— (a) where it is necessary in terms of this Act to do so: and (b) on reasonable notice; and (c) at a reasonable time. Expropriation 81. ( 1 ) Property may be expropriated by the Minister or by any water board or water services committee acting with the written approval of the Minister. [2) The Expropriation Act, 1975 (Act No. 63 of 1975). applies to all expropriations under this Act. ]5 (3) Where the Minister expropriates any property under a power given by this Act. any reference to “Minister” in the Expropriation Act. 1975. must be construed as being a reference to the Minister of Water Affairs and Forestry. (4) Where any water board or water services committee expropriates property under a power given by this Act, any reference to “Minister” and “State” in the Expropriation 20 Act. 1975. must be construed as being a reference to that water board or water services committee. as the case may be. Offences S2. ( 1 ) No person ri- m(a) continue the wasteful use of water after being called upon to stop by the 25 Minister. a Province or any water services authority; (b) unlawfully and intentionally or negligently interfere with any water services work; (c) intentionally utilise water services. use water or dispose of effluent in contravention of section 6 or 7; 30 (d) intentionally obstruct any person exercising or attempting to exercise any ri,ght of entry and inspection of property under section 81; (e) fail or refuse to give information. or give false or misleading information when required to give infomlation in terms of this Act; and (f) fail to provide access to any books, accounts, documents or assets when 35 required to do so in terms of this Act. (~) Any person who contravenes subsection ( ] ) is guilty of an offence and liable, on con\’iction. to a fine or to imprisonment or to both such fine and imprisonment. (3) Whenever an act or omission by an~ employee or agent— (a) constitutes an offence in terms of this Act, and takes place with the express or 40 implied permission of any employer, the employer shall. in addition to the employee or agent. be liable to conviction for that offence; or (b) would constitute an offence b) the employer in terms of this Act, that employee or agent shall in addition to that employer be liable to conviction for that offence. 45 State bound by Act

83. This Act binds the State and its organs. Repeal of laws, and savings 84. (1) The laws set out in Schedule 2 are hereby repealed to the extent set out in the third column of that Schedule. (~) Notwithstanding subsection (1) the fol]owing organisations continue to exist and 50 are deemed to be water boards established in terms of this Act: 64 No. 18522 Act No. 108, 1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (a) Any water board established in terms of the Water Act, 1956 (Act No. 54 of 1956); (b) the Rand Water Board established under the Rand Water Board Incorporation Ordinance, 1903 (Ordinance No. 32 of 1903 (Transvaal)), as consolidated in the Rand Water Board Statutes (Private) Act, 1950 (Act No. 17 of 1950); and 5 (c) the North-West Water Supply Authority established by the North-West Water Supply Authority Act, 1988 (Act No. 39 of 1988 (Bophuthatswana)). (3) The governance, name and service areas of those water boards remain as defined in the legislation in terms of which they were established, until the Minister determines otherwise by notice in the Gazette. (4) All existing rights and obligations of those water boards remain in force after the 10 commencement of this Act. (5) Notwithstanding subsection ( 1 ) the provisions of the Rand Water Board Statutes (Private) Act, 1950, the Water Act, 1956, and the North-West Water Supply Authority Act, 1988 (Bophuthatswana), requiring a water board to obtain the approval of the 15 Minister in order to perform any functions, remain in force until two months after the first policy statement and business plan has been prepared and submitted to the Minister by the water board concerned. (6) Anything done before the commencement of this Act by an organisation contemplated in subsection (2) and any regulation made or condition set under or in 20 terms of any law repealed by subsection ( 1 ) remains valid and is deemed to have been done, made or set under or in terms of the corresponding provision of this Act if— (a) it is capable of being done. made or set under or in terms of this Act; and (b) it is not in conflict with the main objects of this Act as set out in section 2. Short title 25

85. This Act is called the Water Services Act, 1997 66 No, 18522 Act No. 108.1997 GOVERNMENT GAZETTE. 19 DECEMBER 1997 WATER SERVICES ACT. 1997 SCHEDULE 1 WATER BOARDS

13. Every draf[ water services deve]opmen[ plan must contain details- (a) of the physical attributes of the area to which it applies; (b) of the size and distribution of the population within that area: (c) of a time frame for the plan. including the implementation prograrnme for the 30 following five years; (d) of existing water services; (e) of existing industrial water use within the area of jurisdiction of the relevant 35 water services authority: (f) of existing industrial effluent disposed of within the area of jurisdiction of the relevant water services authority; (g) of the numbel- and location of persons within the area who are not being provided with a basic water supply and basic sanitation; (h) regarding the future provision of water services and water for industrial use and the future disposal of industrial effluent. including— (i) the water services providers which will provide those water services; (ii) the contracts and proposed contracts with those water services providers; (iii) the proposed infrastructure necessary; (iv) the water sources to be used and the quantity of water to be obtained from and discharged into each source; (v) the estimated capital and operating costs of those water services and the financial arrangements for funding those water services, including the tariff structures; (vi) any water services institution that will assist the water services authority; (vii ) the operation, maintenance, repair and replacement of existing and future 40 45 50 infrastructure; . . -- JN[). 1 X522 Act No. 108, 1997 GOVERNMENT GAZETTE. 19 DECEMBER 1997 MATER SERVICES ACT. I 997 (i) of the number and location of persons to whom water services cannot be provided within the next five yems. setting out— (i) the reasons therefor: and (ii ) the time frame uithin which it may reasonably be expected that a basic water supply and basic sanitation will be provided to those persons; and 5 (,;) of existing and proposed water conservation, recycling and environmental protection measures. Draft water services development plan 14. ( 1 ) A water services authority nlust— (a) take reasonable steps to bring its draft wate~- services development plan to the 10 notice of its consumers, potential consumers. industrial users and water services institutions Within its area ofjtmisdiction; (b) invite public comment thereon to be submitted within a reasonable time; and (() send copies of the draft water services development plan to the Minister. the relevant Province and all neighboring water services authorities, ( 2 ) A cop) of the draft water services development plan. a cop} of its summar). all written comments and a report on all comments. other than written comments, must be— (c7J available for inspection at tbe oflices of the water services authorit)r: and (b) obtainable against pa!men( of a nominal fee. 15 20 Adoption of development plan 15. ( I ) A water services authority must consider all comments received b! it before adopting a development plan. (2) A water services authorit! must, on request. report on the extent to which a specific commen[ has been taken into account or. if a comment was not taken into account, 25 provide reasons therefol-. [3) A water services authority must supply a copy of every development plan to the Minister. the Minister for Provincial Affairs and Constitutional Development. the relevant Province and all neighboring watel- services authorities, (4) A copy of the development plan— 30 (a) must be available for itlspection at the offices of the water services authorit!: and (1? J must be obtainable against paytnent of a nominal fee. (5) A water services development plan must foml part of any integrated development plan contemplated in the Local Government Transition Act, 1993 (Act No. 209 of 1993), 35 ~e~f de~elopment plan

16. A water ser~ ices authorit! must prepare and adopt a new development plan at ]nterlals determined b) the ,Minister in consultation with the Minister for Provincial .+ fl-airs and Constitutional Development, in accordance with the procedure set out in sections 12 to 15, 40 Deviation from development plan

17. No substantial deviation from a development plan is valid unless it is embodied in a new development plan adopted in accordance with the procedure set out in sections I ? to 16. Reporting on implementation of development plan 45 18. ( 1 ) A water services authority must report on the implementation of its development plan during each financial year, (2) The report— (CI ) must be made within four months after the end of each financial year: and (b) must be given to the Minister. the Minister for Provincial Affairs and 50 Constitutional Development, the relevant Province and every organisation representing municipalities having jurisdiction in the area of the water services authority. 24 No. 18522 Act NO. 108, 1997 GOVERNMENT GAZEITE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (3) The water services authority must publicise a summary of its report. (4) A copy of the report and of its summary must be— (a) available for inspection at the offices of the water services authority; and (b) obtainable against payment of a nominal fee. Contracts and joint ventures with water services providers 19. ( 1 ) A water services authority— (a) may perform the functions of a water services provider itselfi and (b) may— (i) enter into a written contract with a water services provider; or (ii) form a joint venture with another water services institution, to provide water services. (2) A water services authority may only enter into a contract with a private sector water services provider after it has considered all known public sector water services providers which are willing and able to perform the relevant functions. (3) Before entering into or renewing— (a) a contract with a water services provider: or (b) a joint venture with another water services institution other than a public sector water services institution which will provide services within the joint venture at cost and without profit, the water services authority must publicly disclose its intention to do so. (4) Any water services provider entering into a contract or joint venture with a water services authority must. before entering into such a contract or joint venture, disclose and provide information on— (a) any other interests it may have, which are ancillary to or associated with the relevant water services authority; and (b) any rate of return on investment it will or may gain by entering into such a 5 10 15 20 25 contract or joint venture. (5) The Minister may. after consultation with the Minister for Provincial Affairs and Constitutional Development, prescribe— (a) matters which must be regulated by a contract between a water services 30 provider and a water services authority; (b) compulsory provisions to be included in such a contract: and (c) requirements for a joint venture between a water services authority and a water services institution. to ensure— (i) that water services are provided on an efficient. equitable. cost-effective and sustainable basis; (ii) that the terms of the contract are fair and equitable to the water services authority, the water services provider and the consumer; and (iii ) compliance with this Act. (6) AS soon as such a contract or joint venture agreement has been concluded, the water services authority must supply a copy thereof to the relevant Province and to the Minister. (7) The Minister may provide model contracts to be used as a guide for contracts between water services authorities and water services providers. 35 40 45 Water services authority acting as water services provider 20. (1) When performing the functions of a water services provider, a water services authority must manage and account separately for those functions. (2) A water services authority may act as a water services provider outside its area of jurisdiction. if contracted to do so by the water services authority for the area in 50 question. . . GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT. 1997 26 No. 18522 Act No. 108.1997 Bylaws 21. (1) Every water services authority must make bylaws which contain conditions for the provision of water services, and which must provide for at least— (a) (b) (c) (d) (e) m (s) the standard of the services; the technical conditions of supply. including quality standards, units or 5 standards of measurement, the verification of meters, acceptable limits of error and procedures for the arbitration of disputes relating to the measure- ment of water services provided; the installation, alteration, operation, protection and inspection of water services works and consumer installations; the determination and structure of tariffs in accordance with section 10; the payment and collection of money due for the water services; the circumstances under which water services may be limited or discontinued and the procedure for such limitation or discontinuation; and the prevention of unlawful connections to water services works and the 15 unlawful or wasteful use of water. 10 (2) Conditions under which water services are provided— (a) (b) (c) (d) (e) (f) (g) ~o may place limits on the areas to which water services will be provided according to the nature, topography, zoning and situation of the land in question; may provide for the limitation or discontinuation of water services where a consumer fails to meet his or her obligations to the water services provider, including— (i) a failure to pay for services; or (ii) a failure to meet other conditions for the provision of services; may place an obligation on a payment defaulter— (i) to pay a higher deposit; (ii) to pay a reconnection fee after disconnection of water services; may require a payment defaulter to pay a higher tariff for water services, where that defaulter gains access to water services through a communal water 30 services work and the provision thereof cannot be disconnected or limited without other consumers being prejudiced: may provide for the general limitation or discontinuation of water services where- (i) national disasters cause disruptions in the provision of services; or (ii) sufficient water is not available for any other reason; may include an option to retain limited access to at least basic water supply or basic sanitation for a consumer whose water services are to be discontinued; and must be accessible to consumers and potential consumers. 40 35 ’75 (3) A water services authority which— (a) provides water for industrial use; or (b) controls a system through which industrial effluent is disposed of. must make bylaws providing for at least— (i) the standards of service; (ii) the technical conditions of provision and disposal; (iii) the determination and structure of tariffs; (iv) the payment and collection of money due; and (v) the circumstances under which the provision and disposal may be limited or prohibited. (4) The Minister may provide model bylaws to be used as a guide for water services 45 50 authorities. 2s No. 18522 Act No. 108.1997 GOVERNMENT GAZEITE. 19 DECEMBER 1997 WATER SERVICES ACT. 1997 CHAPTER IV Water services providers Approval to operate as water services provider 22. ( 1 ) No person may operate as a water services provider without the appro\’al of the water services authority having jurisdiction in the area in question. 5 C!) Any approval in terms of subsection (1 )— (u) must be for a limited period; and (b) may be granted subject to conditions, (3) Any person who. at the commencement of this Act, was acting as a water services provider without approval from the water services authority having jurisdiction in the 10 ‘area in question, may continue to do so until the expi~ of reasonable notice, which notice must not be longer than one year. given by that water services authority— (i) that it requires the provider to enter into a contract; or (ii ) that the continuation will be subject to approval as contemplated in subsection (1). 15 Water services provider must give information

29. The prima~ activity of a water board is to provide water services to other water services institutions within its service area. 5 10 15 ’70 25 30 35 40 45 50 32 No. 18522 Act NO. 108, 1997 GOVERNMENT GAZE’ITE, 19 DECEMBER 1997 VV’ATER SERVICES ACT. 1997 Other activities of water boards 30. (1) A water board may perform an activity other than its primary activity only if— (a) it is not likely to limit the water board’s capacity to perform its primary activity; (b) it is not likely to be to the financiaf prejudice of itself, any water services institution, existing consumers and other users serviced by it within its service area; (c) it is in accordance with the board’s policy statement; and (d) it is provided for in a business plan, (2) Other activities of a water board may include, but are not limited to- (a) providing management services, training and other support services to water services institutions, in order to promote co-operation in the provision of water services; (b) supplying untreated or non-potable water to end users who do not use the water for household purposes; (c) providing catchment management services to or on behalf of the responsible authorities; (d) with the approval of the water services authority having jurisdiction in the area— (i) supplying water directly for industrial use; (ii) accepting industrial effluent; and (iii) acting as a water services provider to consumers; (e) providing water services in a joint venture with water services authorities; and W) petiorming water conservation functions. Powers of water boards 31. (1) A water board is a body corporate, and has the powers of a natural person of full capacity. except those powers— (a) which by nature can only attach to natural persons: and (b) which are inconsistent with this Act. (2) A water board may— (u) perform its primary activity and the other activities contemplated in section 30; (b) set and enforce general conditions, including tariffs, for the provision of water services; (c) determine the procedure for convening and conducting meetings of its board; (d) do all things necessary for or in connection with or incidental to the performance of its activities in a manner consistent with this Act; and (e) enter into contracts with any person in terms of which that person undertakes and is authorised to exercise any of the powers or to perform any of the duties of the water board, provided that a water board may not by contract make over to another person its power to set general conditions. including tariffs, for the provision of water services. (3) Subject to section 4, a water board may limit or discontinue water services or other services provided to water services institutions, consumers or users. (4) A water board may establish— (a) advisory forums; and (b) committees consisting of board members or any other persons, and determine how they must function. (5) The quorum for any meeting of a water board is one half of its members. Duties of water boards

32. Every water board— (a) must give priority to its primary activity; (b) must enter into written contracts when performing its primary and other activities; 5 10 15 ~() 25 30 35 40 45 50 34 No. 18522 Act NO. 108, 1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (c) must consider every request by a water services institution for the provision of water services within its service area and may only refuse such request if, for sound technical and financial reasons, it would not be viable to provide those water services; (d) must provide water services and other services to water services institutions, 5 consumers and users in accordance with section 4 and any conditions set in terms of section 33; and (e) must obtain a permit, authorisation or licence from the relevant authority for abstracting water or discharging any effluent. Conditions for provision of services 10 33. (1) A water board must set conditions for the provision of services not inconsistent with this Act, relating to at least— (a) the technical conditions of supply, including demand patterns, water storage, units or standards of measurement, verification of meters, acceptable limits of error and procedures for settlement of disputes relating to the measurement of 15 water services provided; (b) the installation, alteration, operation, protection and inspection of water services works and consumer installations; (c) the determination and structure of tariffs; (d) the payment and collection of money due to the water board; (e) the circumstances under which water services may be limited or discontinued and the procedure for such limitation or discontinuation; and (f) water conservation and the prevention of wasteful or unlawful use of water provided by the water board. (2) Conditions may be set generally or agreed specifically. (3) Before setting general conditions a water board must invite comment from water Z() 25 services institutions within its service area, its consumers and users. (4) General conditions set by a water board must be accessible to the public. (5) Every person who uses services provided by a water board does so subject to any applicable general conditions set by that board, unless specifically agreed otherwise. 30 Parameters for functions of water boards 34. (1) In performing its activities, exercising its powers and carrying out its duties a water board must achieve a balance between— (a) striving to provide efficient, reliable and sustainable water services; (b) optimally using available resources; (c) striving to be financially viable; (d) promoting the efficiency of water services authorities; (e) taking cognizance of the needs of water services institutions, consumers and 35 users; (f) taking into account national and provincial policies, objects and develop- 40 ments; (g) acting in an equitable, transparent and fair manner; (h) complying with health and environmental policies; and (i) taking reasonable measures to promote water conservation and water demand management, including promoting public awareness of these matters. (2) For the purpose of subsection (1)(c) a water board is financially viable if it is able to-- (a) repay and service its debts; (b) recover its capital, operational and maintenance costs; (c) make reasonable provision for depreciation of assets; (d) recover the costs associated with the repayment of capital from revenues (including subsidies) over time; and (e) make reasonable provision for future capital requirements and expansion. 45 50 36 No, 18522 Act No. 108, 1997 GOVERNMENT GAZE’tTE. 19 DECEMBER 1997 WATER SERVICES ACT. 1997 Governance of water boards 35. (1) A water board consists of a chairperson and such other members as the Minister may appoint from time to time. (2) Schedule 1 regulates the terms of office of board members, the procedure for the recommendation of persons for appointment as chairperson or board members and the 5 termination of office of board members. (3) When appointing a member, the Minister must have regard to- (a) the objects of the water board; (b) the need for the board to be representative of— (i) the water services authorities to which it provides water services; (ii) the other interests served by the water board; and (iii) the broad population; (c) the expertise required for the board to function effectively; and (d) the desirability or otherwise of executive employees being members of the board. (4) The extent to which relevant water services authorities should be represented on a water board must be determined by the Minister after consultation with every relevant organisation representing municipalities having jurisdiction in the service area. (5) The Minister may terminate the appointment of any or all the members of a water board, (6) Non-excutive members of a water board may be paid out of the funds of the water bead for carrying out their duties as board members. according to a level of remuneration approved by the Minister, Chief executive of water board 36. ( 1 ) Every water board must— 10 15 20 25 (a) appoint a suitable person as chief executive of the water board, for a renewable period; and (b) determine the duties. conditions of service and remuneration of the chief executive. (2) A water board must determine the salary of its chief executive, subject to the 30 approval of the Minister. (3) Subject to any existing rights of a person appointed before the commencement of this Act. a water board may terminate the services of the chief executive of the water board— (a) for good reason; and (b) in accordance with fair labour practices and the terms of his or her contract of 35 employment. Delegation of powers

37. A water board may delegate any operational power tc+ (a) a committee of the board; (b) its chief executive; or (c) any of its employees. Duties of water board and members 38. (1) A water board must— 40 (a) ensure that its functions are performed within the parameters set in section 45 34( l); and (b) promote its policy statement and its business plan and ensure that they are implemented. (2) Members of a water board must— (a) perform their duties with honesty, care and diligence; and (b) disclose any interest in contracts or dealings of the water board and must abstain from voting on any resolution proposed in connection with such contracts or dealings. 50 38 No. 18522 Act NO. 108.1997 Policy statement GOVERNMENT GAZETTE. 19 DECEMBER 1997 JYATER SERVICES ACT. 1997 39. (1) A water board must prepare and adopt a policy statement. (2) The first policy statement of a water board must be prepared and adopted within one year after— (a) the commencement of this Act; or (b) the establishment of that water board, (3) The policy statement must contain information concerning the water board and all other companies, institutions or bodies in which it has an interest, including— (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (1) (m) (n) the nature and extent of the primary and other activities to be undertaken: the area within which the activities will be undertaken: the measures to be taken to separate the primary and other activities from each other; details concerning the management of any financial risks relating to the board’s primary and other activities; the board’s accounting and investment policies: the rules and procedures to be followed before any investments are made by the board; the board’s policy on human resources and human resource development; the board’s policy on the environment. including measures to reduce water wastage to an acceptable level; the measures by which the performance of the water board will be assessed: whether any advisory forums have been or are to be established. and if so, the functions and composition thereofl the procedures for consultation with water services institutions. consumers. users and advisory forums, if established; the nature and extent of activities aimed at ensuring access to water services provided by the board within its service area. and the extension and improvement of those services; and the measures, including public awareness campaigns, to be taken to promote water conservation and water demand management; and any other relevant information which the Minister may prescribe from time to time. (4) A policy statement maybe amended from time to time, and must be revised at least every five years. (5) Every policy statement and every amendment thereof must— (a) be submitted to the Minister. the relevant Province and all water services institutions within the water board’s service area: and (b) be accessible to the public. (6) The Minister may direct a water board to amend its policy statement if the policy statement— (a) is not in the best interests of the general population within its service area: or (b) is not in accordance with the parameters laid down in section 34(1). 5 10 15 Z() 25 30 35 40 Business plan 40. (1) A water board must, not later than one month before the commencement of each financial year. prepare and adopt a business plan relating to the following five 45 financial years. (2) The business plan must at least contain information regarding— (b) (a) each specific primary and other activity to be undertaken and the performance targets for each; the tariff applicable to each service. the method by which it was determined, 50 the motivation for the tariff and the estimated tariff income; forecasts of capital expenditure for the primary and other activities for the next five years; and any other information which the Minister may prescribe from time to time, (3) A water board may, with the approval of the Minister, exclude commercially 55 (d) (c) sensitive information from its business plan. (4) Every business plan must be submitted to the Minister. (5) A business plan may be amended from time to time. (6) The Minister may direct a water board— (a) to amend its business plan if the plan— 60 40 No. 18522 Act No. 108, 1997 GOVERNMENT GAZE?TE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (i) is not in the best interests of the general population within its service area; or (ii) is not in accordance with the parameters laid down in section 34(1); or (b) to submit additional business plans addressing specific issues. Directives to water boards 41. (1) The Minister may, to the extent that it is reasonable, from time to time issue directives to a water board— (a) to undertake a specific activity— (i) at its own cost where the activity is financially viable: or (ii) against full or partial payment, as directed by the Minister; or (b) to desist from a specific activity if that activity— (i) is not in the best interests of the general population within its service area; or 5 10 (ii) is not in accordance with the parameters laid down in section 34(1). (2) The water board must comply with any directive given under subsection (1). 15 Different activities to be managed as separate units 42. ( 1 ) A water board must manage its primary activity and each of its other activities as separate units. (2) A water board must maintain separate and itemised financial accounts for its primary activity and each of its other activities. ~o (3) All transactions between units of a water board engaged in different activities of the water board must be carried out on terms and conditions which could be expected to apply to similar transactions between unrelated businesses. Financial matters and accounts 43. (l) The financial year of a water board is from 1 July to 30 June. (2) The accounts of a water board must be audited by a chartered accountant 25 appointed by the water board. (3) A water board must. within four months after the end of each financial year, issue audited financial statements. (4) The accounting policy of a water board must be consistent with generally accepted 30 accounting practices. Reporting 44. (1) A water board must. within four months after the end of each financial year, issue a report on the activities of the water board for that financial year. (2) The report— (a) must be accompanied by the audited financial statements for that financial year; (b) must be submitted to the Minister, any relevant Province and Parliament; and (c) must be accessible to the public. (3) The report must contain sufficient information to allow— (a) the Minister; (b) any relevant Province; (c] any relevant water services institutions; and (d) the public, to assess the performance of the water board. Investigation of affairs and financial position 35 40 45 45. (1) A water board must give the Minister or any person authorised by him or her— (a) such information as he or she reasonably requires on the ailairs and financial position of the water board; and 42 No. 18522 ,’iCt NO. 108.1997 GOVERNMENT GAZEITE, 19 DECEMBER 1997 WATER SERVICES ACT. 1997 (b) reasonable access to such books, accounts, documents and other assets of the water board as he or she may reasonably require, (2) The Minister may appoint a person to investigate the affairs or financial position of a water board. (3) The Minister may recover the reasonable fees and disbursements of any person so 5 appointed from the water board concerned. Assets and liabilities upon disestablishment 46. (1) If the Minister, after consultation in terms of section 28, has notified a water board that he or she intends— (a) to change its service area; or (b) to disestablish it, the Minister may direct that water board to transfer some or all of its assets and liabilities to another water board or water services authority. (2) A water board must do everything within its power to give effect to that direction, (3) Upon the disestablishment of any water board and if its assets and liabilities are not transferred to another water board or a water services authority— (a) its assets and liabilities vest in the Minister; (b) the Minister must wind up its afhirs: and (c) the Minister must assume the functions of the water board for the period of winding up. (4) In exercising his or her powers under subsection (1). the Minister must have regard to- (a) the interests of creditors and consumers; and (b) any financial contributions directly or indirectl~ made by consumers towards the infrastructure of the water board. (5) Subject to the approval of the Minister of Finance. no transfer duty, other tax or dut) is payable in respect of the transfer of an)’ assets— (a) from the Minister to a water board or a water services authorit); (b) from a water board to the Minister; or (c) from a water board to another water board or to a water services authority. Litigation against water board

47. No court may grant an order or judgment against a water board unless the papers on which that order or judgment is sought. have also been served on the Minister. Formal irregularities

48. A decision taken or act authorised by a water board is not invalid merely because, 35 at the time the decision was taken or the act was authorised— (a) there was a casual vacancy on the board: or (b) a person not entitled to sit as a member of the board sat as a member, if— (i) the decision was taken or act was authorised by a majority of board members who were present and who were entitled to sit as members; and (ii) the members contemplated in subparagraph (i) constituted a quorum. Regulations 49. (1) The Minister may make regulations relating t~ (a) the matters to be dealt with in policy statements of a water board; (b) the matters to be dealt with in the annual business plan of a water board: 40 45 44 No. 18522 Act No. 108, 1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (c) the information to be supplied in the financial statements of a water board; (d) the information to be supplied in the annual report of a water board; and (e) any other matter relating to the functioning of the water board and to the exercise of its powers which the Minister may consider advisable to ensure the water board’s efficiency and to promote good order. (2) The Minister may make different regulations for different water boards. (3) In making regulations under this section. the Minister must consider— (u) the basic values and principles required for public administration in terms of the Constitution; (b) the main objects of this Act as set out in section 2; (c) the activities. powers and duties of the water board; (d) the financial position of the water board; and (e) the interests of consumers and potential consumers. Effect of inclusion of Chapter in Act 5 10

50. The inclusion of this Chapter in this Act must not be construed as giving any 15 executive or legislative power to any Province in respect of water boards. CHAPTER VII Water services committees Establishment and disestablishment of water services committees 31. ( 1 ) Subject to subsections (2). (3) and (4) the Minister may by notice in the 20 Gacette— (a) establish a water services committee; (b) give it a name or approve a change of its name; (c) determine or change its service area; (d) determine its powers: or (e) disestablish it. (2) The Minister may only act in terms of subsection (1 )— (a) after consultation with either the inhabitants of the proposed service area or with the established water services committee for that area; and (b) in consultation with the water services authority for the area in question, the Minister for Provincial Affairs and Constitutional Development and the relevant Province, with regard to- (i) the period for which the water services committee will operate; (ii) the nature and extent of the water services to be provided; (iii) the area or the community to be served; (iv) the composition of the water services committee and the appointment of its members; (v) any contribution to be made by the community or its members to the provision of water services; and (vi) any other related matter. 30 35 40 (3) No water services committee may be established if the water services authority having jurisdiction in the area in question is able to provide water services effectively in the proposed service area. (4) The Minister must, after consultation with the water services committee and the 45 inhabitants of the area— (a) himself or herselfi or (b) at the request of the water services authority having jurisdiction in the area concerned, disestablish a water services committee once he or she is satisfied that the relevant water services authority is able to provide water services effectively within the service area. 50 46 No, 18522 Act No. 108, 1997 GOVERNMENT GAZETTE. t 9 DEcEhtBER I 997 14’ATER SERVICES ACT. 1997 Function of water services committees 52. (1) The function of a water services committee is to provide water services to consumers within its service area. (2) A water services committee may not unreasonably exclude any person within its service area from those water services. Powers of water services committees 53. (I) A water services committee is a body corporate. and has the powers of a natural person of full capacity except those powers— (a) which by nature can only attach to a natural person; (b) excluded by or inconsistent with this Act; and (c) excluded by the Minister by notice in the Ga:efte. (2) A water services committee ma~ set conditions. including tariffs consistent with this Act. for the pro\~ision of water services. (3) A water services committee may. subject to section 4. limit or discontinue water services to a consumer. (4) A water services committee may delegate any of its powers to a competent employee. Conditions for provision of services 54. (1) A water services committee must set conditions for the provision of services not inconsistent with this Act. relating to- (a) the technical conditions of supply, including units or standards of measure- ment. verification of meters. limits of error and settlement of disputes relating to the measurement of water services provided; (b) the installation, alteration. operation. protection and inspection of water services works and consumer installations; 5 10 15 ?0 25 (c) the determination and structure of tariffs: (d) the payment and collection of money due to the water services committee; (e) the circumstances under which water services may be limited or discontinued and the procedure for such limitation or discontinuation; and &) the prevention of wasteful or unlawful use of water provided by the water 30 services committee. (2) A water services committee must invite comment from the inhabitants of its service area before setting conditions. (3) Conditions set by a water services committee must be submitted to the Minister and come into effect upon approval by the Minister. (4) Conditions set by a water senices committee must be accessible to the inhabitants of the service area in question. (5) Every person who uses water services provided by a water services committee does so subject to any applicable conditions set by that water services committee. Governance of water services committees 35 40 55. (1) A water services committee consists of a chairperson and such other committee members as the Minister may determine from time to time. (2) The Minister must appoint the chairperson and members of the committee after taking into account any nominations made by members of the community served or to be served by the committee. 45 (3) When appointing a member. the Minister must have regard tc+ (a) the need for the committee to be representative of the inhabitants of the service area in question; and (b) the expertise required for the committee to function effectively. (4) The Minister may terminate the appointment of any of the members of a water 50 services committee after consultation with the members of the community served by that committee. (5) Members of a water services committee may be paid out of the funds of the committee, accorchng to a level of remuneration approved by the Minister with the concurrence of the Minister of Finance. 55 48 No. 185?2 Act NO. 108.1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 W’ATER SERVICES ACT, 1997 (6) (a) A water services committee must draw up and adopt a constitution, which provides for the day to day functioning of the committee. (b) A constitution adopted by a water services committee must be consistent with any regulations made in terms of section 61. (7) The Minister may provide model constitutions to be used as a guide for water 5 services committees. Duties of committee members

56. Members of a water services committee must— (a) perform their duties with honesty, care and diligence; and (b) disclose any conflict of interest. Financial matters and accounts 57. ( 1 ) The financial year of a water services committee is from 1 July to 30 June. (2) The accounts of a water services committee must be audited by a chartered accountant appointed by the committee if the Minister so requires. (3) Every water services committee must. within three months after the end of each 15 financial year. issue financial statements and submit a copy thereof to the Minister. (4) The accounting polic!$ of a water services committee must be consistent with generally accepted accounting practices. Formal irregularities

58. A decision taken or act authorised by a water services committee is not invalid 20 merely because. at the time the decision was taken or the act was authonsed— (a) there was a casual vacancy on the committee; or (b) a person not entitled to sit as a member of the committee sat as a member. if— (i) the decision was taken or act was authorised by a majority of committee members who were present and who were entitled to sit as members; and 25 (ii ) the members contemplated in subparagraph (i) constituted a quorum. Provision of information 59. (1 j A water services committee must give the Minister or any person authorised by him or her— (a) such information as he or she requires on the affairs and financial position of 30 the water services committee; and (b) access to such books. accounts, documents and other assets of the water services committee as he or she may require. (2) The Minister or a water services authority may appoint a person to investigate the affairs or financial position of a water services committee. 35 (3’) The Minister may recover the fees and disbursements of any person so appointed from the water services committee concerned. (4) Any investigation undertaken by a water sewices authority under subsection (2), is undertaken at the cost of that water services authority. (5) A water services committee must. on request. provide information on its affairs 40 and financial position to any person, subject to the limitations necessitated by the rights enshrined in Chapter 2 of the Constitution. Assets and liabilities upon disestablishment 60. (1) Upon the disestablishment of a water services committee— (a) its assets and liabilities vest in the Minister; (b) the Minister must wind up its affairs; and (c) the Minister must assume the functions of the water services committee for 45 the period of winding up. 50 No. 18522 Act No. 108, 1997 GOVERNMENT GAZETTE. 19 DECEMBER 1997 R“ATER SERVICES ACT. 1997 (2) The Minister may, after the disestablishment of a water services committee, transfer any of its assets to the water services authority or a water board having jurisdiction in the area. (3) Subject to the approval of the Minister of Finance, no transfer duty. other tax or duty is payable in respect of the transfer of any assets— (a) from a water services committee to the Minister; or (b) from the Minister to a water services authority or a water board. 5 Regulations 61. (1) The Minister may make regulations relating to- (a) the nomination and selection of candidates for appointment as members of a 10 water services committee: (b) the criteria for qualification of members of a water services committee; (c) the number, appointment and reappointment, terms of office and duties of members of a water services committee; (d) the quorum for meetings of a water services committee; (e) the procedure for convening and conducting meetings of a water services 15 committee; ~) the remuneration for services payable to members of a water services committee with the concurrence of the Minister of Finance; (g) the appointment of staff by a water services committee. their conditions of 20 service and remuneration: (h) the information to be furnished in the financial statements of a water services committee; and (i) the procedure for setting conditions for the provision of services, (2) In making regulations under this section, the Minister must consider— (a) the basic values and principles required for public administration in terms of the Constitution; (b) the main objects of this Act as set out in section 2; (c) the financial position of the water services committee; and (d) the interests of consumers and potential consumers. CHAPTER VIII Monitoring and intervention Monitoring of water services institutions 62. (I) The Minister and any relevant Province must monitor the performance of every water services institution in order to ensure— (a) compliance with all applicable national standards prescribed under this Act; (b) compliance with all norms and standards for tariffs prescribed under this Act: and (c) compliance with every applicable development plan. policy statement or business plan adopted in terms of this Act. (2) Every water services institution must— 25 30 35 40 (a) furnish such information as maybe required by the Minister after consultation with the Minister for Provincial Affairs and Constitutional Development; and (b) allow the Minister access to its books, records and physical assets to the extent necessary for the Minister to carry out the monitoring functions contemplated 45 in subsection (1). Intervention 63. (1) If a water services authority has not effectively performed any function imposed on it by or under this Act, the Minister may, in consultation with the Minister for Provincial Affairs and Constitutional Development, request the relevant Province to 50 intervene in terms of section 139 of the Constitution. (2) If, within a reasonable time after the request, the Province— (a) has unjustifiably failed to intervene; or (b) has intervened but has failed to do so effectively, 52 No. 18522 Act No. 108, 1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 1 WATER SERVICES ACT. 1997 the Minister may assume responsibility for that function to the extent necessary— (i) to maintain essential national standards; (ii) to meet established minimum standards for providing services; or (iii) to prevent that Province from taking unreasonable action that is prejudicial to the interests of another province or the country as a whole. (3) If the Minister assumes responsibility for any function of a water services authority in terms of subsection (2)— (a) the Minister must table a notice to that effect in the National Council of Provinces within 14 days of the commencement of its first sitting after the Minister has assumed responsibility for that function; (b) the assumption of responsibility for that function must end if it is not approved by the National Council of Provinces within 30 days after the commencement of its first sitting after the Minister has assumed responsibility for that function; and (c) the National Council of Provinces must regularly review that assumption of responsibility and make appropriate recommendations to the Minister. (4) After assuming responsibility for a function under subsection (2), the Minister may issue a directive to the water services authority to perform that function effectively. (5) If the water services authority fails to comply with that directive, the Minister may intervene— (a) by taking appropriate steps to facilitate the performance of that function. including giving financial, managerial and technical advice and assistance: or (b) on notice to the water services authority, by taking over that function. (6) If the Minister takes over any function of a water services authoritv— . (a) (b) (c) (d) (e) (f) the Minister must table ‘a notice to that effect in the National Council of Provinces within 14 days of the commencement of its first sitting after taking over that function; the Minister may. on behalf of that water services authority, exercise all the powers and carry out all the duties relating to that function; the governing body of that water services authority may not, while the Minister is responsible for that function, exercise any of its powers or carry out any of its duties relating to that function; the Minister may utilise all financial and other resources available to that water services authority relating to that function; the Minister may appoint a water services institution to perform that function or any part thereofi and the take-over of that function must end— (i) if it is not approved by the National Council of Provinces within 30 days 5 10 15 20 25 30 35 after the commencement of its first sitting after the take-over; or (ii) when the water services authority is in a position to resume that function 40 effective] y. (7) The National Council of Provinces may from time to time review the take-over of any function of a water services authority by the Minister and make appropriate recommendations [o the Minister. (8) Any expenses incurred or losses suffered by the Minister in taking over any function of a water services authority may be recovered from that water services authority. (9) In the interests of co-operative government, a Province must immediately inform the Minister of its intention to intervene by taking over any function of a water services authority under section 139 of the Constitution. ( 10) In considering the manner and implementation of any intervention under this 45 50 section. the Minister must consider— 54 No. 18522 Act No. 108, 1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 WATER SERVICES ACT. 1997 (a) the reasons for the extent and the period of non-compliance by the watel- services authority concerned; (b) the attempts made to achieve compliance; (c) the effect of the non-compliance; and (d) any other relevant matter. CHAPTER IX Financial assistance to water services institutions Powers of Minister 64. ( 1 ) The Minister may after consultation with any relevant Province make grants and loans and give subsidies to a water services institution from funds— (a) appropriated by Parliament; (b) contributed by individuals or non-governmental organisations; or (c) contributed by other governments and governmental institutions. (2) In mting any grant or loan or giving any subsidy, the Minister must consider— (a) the requirements of equity and transparency: (b) the purpose of the grant. loan or subsidy; (c) the main objects of this Act as set out in section 2; and (d) the financial position of the applicant. lo 15 Applications for financial assistance 65. (l) The Minister may prescribe the manner in which an application for financial ~() assistance must be made. (2) The Minister may on reasonable grounds refuse financial assistance to any water services institution which fails to comply with its obligations in terms of this Act or any other law. Regulations on financial assistance 25 66. ( 1 ) The Minister may make regulations relating to financial assistance in temls of [his Act conceming— (u) the financial feasibility of the construction. operation and maintenance of’ water services; (b) the manner in which financial assistance must be applied for; and (c) the terms and conditions whereunder any grant or loan may be made or 30 subsidy may be given. (2) In making such regulations, the Minister must consider— (a) the main objects of this Act as set out in section 2; (b) the need for equity and transparency; and (c) all relevant legislation relating to financial controls. 35 CHAPTER X National information system Establishment of national information system 67. (1) The Minister must ensure that there is a national information system on water 40 services. (~) The information system may form part of a larger system relating to water generally. (3) The public is entitled to reasonable access to the information contained in the national information system, subject to limitations necessitated by the rights enshrined in Chapter 2 of the Constitution. (4) The Minister must take reasonable steps to ensure that information provided is in 45 an accessible format. 5(, No. 18522 Act~o. 108.1997 GOVERNMENT GAZETTE, 19 DECEMBER 1997 U’,ATER SERVICES ACT. 1997 Purpose of national information system

72. If an\thing is required in terms of this Act to be done by the Minister after consultation with another person or body, it is sufficient compliance with such requirement if the Minister has— (a) requested the written comments of that person or body; and (b) considered any comments received. General powers of Minister 73. ( 1 ) The Minister ma!- (a) acquire a water services work and may transfer or dispose of any water services work belonging to the National Government; (b) construct, operate. alter or repair any water services work with the permission of the relevant water services institution: 20 25 30 35 40 45 58 No. 18522 Act No. 108.1997 GOVERNMENT GAZET17S. 19 DECEMBER 1997 WATER SERVICES ACT, 1997 (c) (d) (e) (/7 (s) (h) (i) (j) (k) (1) contract with any person to perform any work which the Minister is authorised to perform under this Act; act as a water services provider under contract or approval only if the relevant water services authority is unable to provide the water services; provide water services in emergency situations; perform the functions of a water services authority or water board; levy tariffs for water services provided by him or her; issue guidelines to water services institutions on performing their functions in terms of this Act; issue model conditions for the provision of services for use by water boards and water services committees; prescribe measures to be taken by water services institutions to conserve water: prescribe how any matter arising out of the repeal of any law by this Act must be dealt with, to the extent that this Actor any other law does not sufficiently provide for it; and on good cause. extend any time period provided for in this Act. (~) No wa~er services work owned by ~he Minister may be transferred or disposed of— (a) without the approval of Parliament if its value exceeds an amount specified by notice in the Gazette from time to time by the Minister with the concurrence of the Minister of Finance: or (b) without prior consultation with all affected water services institutions. if its value is within the specified amount. (3) The Minister acts on behalf of the National Government in owning. taking transfer or disposing of any water services work. Delegation of powers 74. ( 1 ) Subject to subsection (2), the Minister may in writing delegate any power vested in him or her by or under this Act. (2) The Minister may not delegate the power- (a) to make regulations; (b) to issue directives under section41; (c) to intervene under section 63; (d) to appoint members of a water board: (e) to prescribe policy; or @ to expropriate. (3) A Province may in writing delegate any power given to it by this Act. Consideration of draft regulations 75. (1) In considering a draft regulation submitted to it, Parliament must consider whether the regulation— (a) is consistent with the objectives of this Act: (b) is within the powers conferred by this Act; (c) is consistent with the Constitution; and (d) requires clarification. (2) Parliament may, within 30 days after a regulation has been tabled in terms of section 71, or within 30 days after the commencement of the first sitting after the tabling of a regulation, reject that regulation. (3) If Parliament rejects a regulation. it must state its reasons. (4) The Minister must, within 30 days after being informed in writing that Parliament has rejected a regulation. repeal that regulation. Advisory committees 76. (1) The Minister may appoint advisory committees for matters falling within the sco~e of this Act. 5 10 15 Z() 25 30 35 40 45 50 60 No. 18522 Act N(]. 108, 1997 GOVERNMENT GAZE_tTE. 19 DISCEhfBER 1997 X~TER SERVICES ,4 CT. 1997 (2) An advisory committee consists of a chairperson and such members as the Minister may determine, with due regard to the expertise required, (3) A member of an advisory committee maybe paid an allowance determined by the Minister. (4) An advisory committee has the functions conferred on it by the Minister. 5 CHAPTER XII General provisions Transferability of servitudes 77. ( 1 ) The rights and obligations of any water ser\ices institution in terms of a personal ser\itude (whether registered or not) are transferable to another water services 10 institution. notwithstanding any law to the contrar}, (?) A registrar of deeds must register a notariall! executed deed of cession to transfer a personal servitude from one water services institution to another. Compliance with other laws

1. Terms of o5ce of board members ( I ) A member of a water board is appointed for a period of office determined b) the Minister. which may not exceed four years. (2) A member of a water board may be reappointed. Reappointment is limited to three consecutive terms of office.

2. Disqualification of board members No person may hold office as a member of a water board— (a) if he or she is an unrehabilitated insolvent; or (b) if he or she has been convicted of any offence involving dishonesty or has been sentenced to imprisonment without the option of a fine. A disqualifica- tion under this subitem ends three years after the sentence has been served,

3. Procedure for nomination and appointment of board members ( 1 ) The Minister may require a water board to constitute a selection panel to recommend persons for appointment as members of a water board. (2) If the Minister has done so the chief executive of a water board must publish a notice calling for nominations in two media of his or her choice. generally accessed within the water board’s service area. (3) A notice must set out. in general terms. at least— (a) the service area of the water board: (b) the activities of the water board: (c) the time commitments reasonably expected from water board members: (c/) the term of office for which the appointments are considered: (e) the criteria for disqualification as a member: (f) the requirements with which a nomination must compl): (q) the closing date for nominations: and (h/ the address to which nominations must be delivered. (4) A copy of the notice must be sent to at least— (a) ever! Province within which the uhole or any portion of its service area is situated: (b) ever! organisation representing municipalities having jurisdiction in the service area: (c) ever!’ other person having a substantial interest in the matter. whom the chief executive of the water board considers ought to be consulted: (d) ever) water services authority having jurisdiction in the service area, (5) Ever! nomination of a person for appointment to a v’ater board must be signed b~ a proposer and a seconder. none of vhom may be the nominee, and must contain the nominee’s signed acceptance. No person may nominate or second more than one person. (6) A water board must timeousl! constitute a selection panel. having regard to race and gender. to make recommendations from nominations received, to the Minister for appointment. (7) The selection panel must consist of— (a) the chief executive of the board or his or her representative: (b) a person representing e\ery relevant Province. to be nominated by the Province concerned: (c) a person representing the Minister. to be nominated b) the Minister: (d) a person of repute and good standing. residing within the service area. to be nominated by the water board. (8) The selection panel— (a) must consider all nominations timeously received and sufficiently completed; (b) ma) prepare a shortlist of nominees; (c] may interview all shortlisted nominees; and 68 No, 18522 G O V e r n m e n t GAZET-t-E, 19 D E C E M B E R 1 9 97 Act NO. 108, 1997 WATER SERVICES ACT, 1997 (d) must, through the chief executive of the water board. make recommendations to the Minister on the appointment of members of the water board. (9) In recommending nominees for appointment the selection panel must consider— (a) the criteria set out in section 35 of the Act; (b) the reputation and integrity of the nominees; and (c) any conflict of interests which the nominees may have. (10) The selection panel— (a) m u s t , w h e r e t h e r e a r e s u f f i c i e n t s u i t a b l e c a n d i d a t e s . r e c o m m e n d m o r e nominees than the number of members which the Minister may wish to appoint; (b) must motivate each recommendation made; and (c) may arrange recommendations in order of preference. (11 ) If the chairperson of a water board has to be appointed. the selection panel must. if there are sufficient suitable candidates— (a) recommend at least three persons for the position: (b) motivate each recommendation: and (c) arrange the recommendations in order of preference. (12 ) The Minister must, before appointing a person to be a member of a water board. consider any recommendations made by a selection panel. ( 13) All costs— (a) relating to the publication of notices; and (b) incurred by the selection panel. are for the account of the water board concerned.

4. Termination of office of board members (a) (b) ( I ) A member of a water board ceases to hold office— from the effective date of his or her resignation; if he or she has been absent from more than two consecutive meetings without leave of the chairperson. Leave may be granted retrospectively, if the absence of a member was due to unforeseen circumstances; if he or she has become disqualified in terms of item 2 of this Schedule; if he or shc has been declared to be of unsound mind by a competent authority: or if his or her appointment has been terminated in terms of section 35(5) of the Act. (c) (d) (e) (2) A member who is not the chairperson. must notify the chairperson in writing of his or her resignation. (3) A member who is the chairperson. must notify the Minister in writing of his or her resignation. 70 No. 18522 Act No. 108, 1997 GOVERNMENT GAZETTE. 19 DECEMBER 1997 WATER SERVICES ACT, 1997 SCHEDULE 2 Number and year of Act Short title Extent of repeal AC( 17 of 1950 . Rand Water Board Statutes (Pri- vate) Act. 1950 The whole, except sec[ions 2. 113 and 123to 130ancl 139 Act 54 of 1956 Water Ac[. 1956 Sections 26A to 26H and 107 to ~Cl 29 of 1964 ~Cl ?I I [)f 1972 Act 58 of 1974 Actlo7 of 1977 Acr 89 of 1981 Act 90 of I 983 Act 39 of 198’$ (Bophutha[swana) AH 40 of 1988 Act 36 of 1990 Rand Water Board Statutes (Pri- vate ) ACI Amendment Ac[, 1964 Rand Water Board Statutes (Prl- \,ate) Act Amendment Act. 1972 138 The whole, excep[ sec[]on 1 The whole. except secuon I and sections 25 to 30 Water Amendment Act. 1974 The whole Rand Water Board Statutes (Pri- The M hole vate) ACI Amendmen[ Act, 1977 Water Amenamerr[ Act. 198 I Rand Wa[er Board S[atutes I Pri- vate ) Act Amendmen[ ACL. 1983 The whole The whole North-Wes[ Water Supply The whole Authority Act. 1988 Rand Water Board Sta[utes (Pri- The whole. excep[ WCLIOII 1 \ate I Act Amendmen[ ACL, 1988 Rand Water Board SMLu Les I l%- va~e) Act Amendmen[ Ac[, 199C The whole. except sectton I