Water, Sewage & Effluent January February 2019 | Page 17

Figure 3: Sinkhole in Jean Avenue, Centurion. 1 3.1. Calculation of funding The NWIF 2017 provided a detailed breakdown of the capital replacement costs of its assets. It can therefore be inferred that the annual capital budget would be spent in proportion to the capital replacement costs as shown in Table 5. It is noted that the water supply and sewer reticulation equate to 12% of the total capital replacement cost. By considering the total budget allocated for both municipal water infrastructure and sanitation infrastructure as given in Table 5 and then apportioning 12% of the budget for both components, the budget estimate in Table 6 is derived. 27.8 3.34 17.1 2.05 19.5 2.34 13.2 1.58 3.2. Water pipeline infrastructure spending 3.2.1. Redistributing current funding A 12% allocation of the funding equates to R2.05 billion, which can be spent on municipal water infrastructure. By utilising historical cost data and applying the R2.05 billion budget to both conventional and trenchless pipeline projects, the impact this has on the total pipeline length that can be installed as well as the employment opportunities this creates, is significant. A growing trenchless sector also provides a platform for new entrants into the construction market space. When using the 2017 funding estimates calculation, it is possible to install an additional 774km of water reticulation pipelines if 60% of the pipe installed/ replaced is done by trenchless methods, when compared to the present estimate, where only 10% of pipeline work is done by trenchless methods. Additionally, the increase in the use of trenchless National Water Infrastructure Funding, 2017 www.waterafrica.co.za (R bil) Municipal water infrastructure Sanitation infrastructure Despite this awareness, the implementation of this plan has not yet taken full effect as evidenced by the increase in service delivery protests, unemployment and the decline in business confidence along with the stagnant GDP growth. More alarming is the direct consequence of failing pipeline infrastructure where the occurrence of sinkholes along with sewerage overflowing into streets and stormwater systems have become commonplace. In the Centurion area, according to the information in the available sinkhole database, 40% of sinkholes or subsidences resulted from leaking water- bearing services and 29% as a result of poor surface/stormwater management (AC Oosthuizen; J L van Rooy). The total cost of repairing the various sinkholes in Centurion is estimated at R50 million per annum. A sinkhole in this area under a busy intersection is shown in Figure 3. SUMMARY OF ANNUAL INVESTMENT BUDGET TABLE Water Sewage & Effluent January/February 2019 17 innovations c. install new infrastructure to keep pace with growing human settlements and new economic nodes. Municipal water 27.8 17.1 infrastructure Regional bulk (potable) 10.1 7.4 infrastructure Regional bulk (non- 7.0 4.0 potable) infrastructure Water resources 25.5 14.9 infrastructure Total water 70.4 43.3 infrastructure Sanitation infrastructure 19.5 13.2 Total water services 89.9 56.5 infrastructure Funding shortfall (2017) 33.3 37% A new approach is required, which is both swift and cost-effective, in response to the funding deficits and rapidly deteriorating infrastructure. In contrast to the current approach of using open excavations, if the emphasis is placed on trenchless techniques, viable solutions are available, which may well stay within the existing budget constraints. Table 6: Calculated budget allocation for water and sewer reticulation b. provide upgrades to meet service delivery requirements; (R bil) ageing renew WATER SERVICES ELEMENT a. refurbish and infrastructure; Table 4: National water infrastructure funding (NWIF) requirements 2017 1 According to the Department of Water and Sanitation (National Water Investment Framework, 2017), water is a critical requirement for development, as highlighted in the National Development Plan. It projects a 10-year capital expenditure budget of R89.9 billion per annum, which is needed to: 2.4. The need for pipe replacement CAPITAL REPLACEMENT COSTS FOR INFRASTRUCTURE ACROSS SOUTH AFRICA Replacement Asset % cost (R bil) Dams 502 031 067 244 51 Municipal 21 910 364 926 2 boreholes Bulk pipelines 131 633 460 511 13 Canals 59 768 314 839 6 Water treatment 66 244 812 301 7 works Bulk pump 43 713 011 456 4 stations Reservoirs 39 783 801 189 4 Reticulation 117 020 069 057 12 TOTAL 982 104 901 523 100 Co-opted board member of Southern African Society for Trenchless Technology (SASTT), independent construction project manager. The annual budget allocated for all water and sanitation infrastructure in South Africa in 2017 was R56.6 billion (NWIF, 2017), whereas the required funding needed to address these infrastructure needs was actually R89.9 billion per annum. The resultant funding shortfall of R33.3 billion, as shown in Table 4, is also indicative of South Africa’s inability to attract investment and the corresponding decline in its economic strength. Neil van Rooyen Table 5: Infrastructure replacement cost 2017 3. Business case for trenchless technology Part 2 UNLOCKING ECONOMIC GROWTH IN SOUTH AFRICA USING TRENCHLESS TECHNOLOGY