The Department of Water and Sanitation has announced the revised Norms and Standards for tariff setting that provides framework on water tariffs for service providers.
Water and Sanitation Minister, Senzo Mchunu approved the gazetting of the revised Norms and Standards for tariff setting. This introduced a multi-year tariff for all water users, to enable users to plan for longer term. To also ensure affordability and timeous payment for the water usage.
The new Norms and Standards also provide clarity on the tariffs for water-borne sanitation.
The amended Norms and Standards will come into effect on 01 April 2026. They were gazetted on May 27 2024, under section 10 of the Water Services Act.
The department said the revised document on tariff setting provides a framework within which water services tariffs should be set by bulk water providers. These include non-water boards to a water services authority. Also water tariffs by water services authority and sanitation tariffs water services authority. These were last promulgated in April 2002.
Framework to fund the service delivery
The new Norms and Standards are also a framework to fund the service delivery expectations. Also technical Norms and Standards under Section 9 of the Water Services Act.
“The objectives of the revised Norms and Standards for tariff setting are clear. [They are] to ensure that tariffs are transparent, predictable and consistent. This for sustainability of service provision. To make certain that consumers receive fair and affordable services, whilst encouraging accountability amongst service providers. Also … enhancing consumer trust and confidence. In addition, this also encourages better water services provision to consumers.
Aim to ensure predictability of different types of tariffs
“The new Norms and Standards make provision for multi-year tariff determination. This to ensure predictability of different types of tariffs. These are such as drought tariffs, seasonal tariffs and a penalty tariff for water conservation and demand management. Furthermore, they also strengthen the determination of the sanitation tariff. And they detail the disclosure requirements,” the department said.
The department noted that the revision of the Norms and Standards for tariff setting was necessitated by the developments within the public sector. These impacted the water and sanitation services sector. The sector includes the promulgation of the Local Government, Municipal Finance Management Act, No.56 of 2003. Also the Municipal Fiscal Powers and Functions Act, No.12 of 2007. And the Municipal Systems Act No. 32 of 2000.
The department said it plans to roll out the Norms and Standards to stakeholders from October 2024 until March 2025.
- SAnews.gov.za
