PRESENTATION TO THE PARLIAMENTRY PORTFOLIO COMMITTEE FOR WATER AND ENVIRONMENTAL AFFAIRS ON THE DEPARTMENT OF WATER AFFAIRS LEGISLATIVE REVIEW ANIL SINGH CHIEF DIRECTOR: LEGAL SERVICES 23 APRIL 2013

BILLS TO BE TABLED Name of Bill Date for submission to Cabinet Date for submission of Bill for Parliament Water Research Amendment Bill 2013 May 2013 September 2013 National Water Act Amendment Bill 2013 July 2013 October 2013 Water Services Act Repeal Bill 2013 To be determined 2

STRATEGIC FOCUS OF WATER RESEARCH ACT AMENDMENT BILL Amendments to reflect a new vision and mandate of WRC WRC contribution to economic empowerment by providing highest quality research output as a catalyst for improved access to water WRC as strategic partner to DWA and other stakeholders for enhanced capacity building WRC Bill was presented to clusters and approved The draft Bill is currently with Office of the Chief State Law Advisor awaiting final pre-certification legal opinion Cabinet Memo is finalised 3

STRATEGIC FOCUS OF THE DRAFT NATIONAL WATER ACT AMENDMENT BILL Drafting urgent reforms to the National Water Act which are necessary for the National Water Act to serve as an enabling legislative framework to meet the aspirations of our people to provide access to water to all our citizens. Focus on the critical role of water as a strategic catalyst in economic growth and social development; As part of ensuring that we make water more available for economic growth and the creation of decent jobs, the legislative amendments will address the negative consequences emanating from the practice of water entitlement by certain sections of our communities; 4

NWA BILL (Cont) The revised legislation will make it possible for the reallocation of water resources to other sectors of the economic, especially those sectors that have been identified as critical in advancing the objectives of the New Growth Path; The new legislation will also make it possible for the reallocation of water resources to new human settlement across the country, The new legislation will address the critical issue of elements of anti-transformation in the water sector, especially the issue of the so called “ trading with water” which continues to elude our quest to water reallocation and continues  to lock in unused water in the hands of the haves to an extent that even we as the Government will not be able to control or manage that problem of unlawful water trading 5

OTHER CRITICAL FOCUS AREAS Water Management strategies :NWRS and CMS Protection of Water Resources: classification of water resources and resource quality objectives Reserve Determination Pollution prevention and emergencies Water Use : General Authorisation’s and licences (section 27) Existing lawful water uses, stream flow reduction and controlled activities Water use charges Catchment Management Agencies Reduction and Institutional Alignment 6

NWA (Cont) The new legislation will see a sweeping reform of the Water Tribunal to become a vibrant, dynamic , credible and accessible tribunal for appellants that have water disputes . The Department has aligned this Water Tribunal to be in line with best practices in the legal landscape of Tribunals with a new appointment procedure for the Tribunal members and to have greater powers such as the imposition of civil penalties that will act as a deterrent to would be transgressors of our water legislation. 7

NWA (Cont) The Department has modelled its Water Tribunal on other tribunals such as the Competition Tribunal and the Consumer Protection Tribunal. Whilst the Bill is being amended, the Minister and Department have embarked on the process of appointing a new Water Tribunal in terms of the current National Water Act as the term of office of the last outgoing Water Tribunal came to an end in August 2012 and they could not be reappointed having already served two consecutive terms of office. 8 Prepared by Anil Singh

NWA (Cont) The nomination and appointment process in terms of the current Act requires the Judicial Services Commission to receive nominations, interview suitable candidates and make a recommendation for the Minister to appoint a chairperson as the Act requires the Chair to be a legal practitioner. The remainder of the members nomination and appointment process in terms of the Act requires the Water Research Commission to receive nominations and consider same and make recommendations for appointment by Minister . These would include water experts and water specialists such as professional engineers, hydrologists etc. The Water Tribunal will be appointed for a period deemed necessary and its term of office will come to and end when the draft Bill with the new amendments becomes law. 9 Prepared by Anil Singh

NWA (Cont) Clear definitions economic regulation regulated entities or services to be regulated Refers to the regulator and act establishing regulator Powers and duties of regulator Advisory committees of the regulator Registration of all regulated entities Tariff and charge approval processes/ requirements 10

NWA (Cont) Sets out specifically the powers and duties of the ER in relation to WSAs Selection and appointment of external WSPs Key performance indicators Investigations Inspection and information gathering by the ER Methodology for regulation Sanctions and civil penalties Issue of ring fencing monies/ or portion thereof – Municipal Services Act requires possible amendment Dispute resolution mechanisms 11

NWA (Cont) The draft Bill is being fast tracked as an urgent Bill and it is envisaged that it will be tabled in Cabinet possibly in the third term of Parliament The Department is busy with extensive stakeholder consultations Minister and Department are very excited about the new water law reforms as responsive and inclusive legislation to address the current and future challenges 12

THANK YOU 2