Limpopo’s Lepelle Northern Water (LNW) has recorded significant operational improvements over the past four years, including stronger municipal payments, sharply reduced irregular expenditure and progress on long-delayed bulk water infrastructure, its chairperson Dr Nndweleni Mphephu said.
In an update following last week’s briefing, Dr Mphephu told viewers that LNW had focused on cleaning up governance and rebuilding trust with water services authorities after inheriting a “tainted” organisation in 2021. He confirmed that investigations by the Special Investigating Unit (SIU), the Hawks and the Public Protector had examined projects including the raising of the Giyani dam wall. The board acted on recommendations, dismissing the majority of implicated executives and staff.
Supply-chain management, previously a major weakness, has been overhauled. For the past two financial years LNW recorded zero irregular, fruitless and wasteful expenditure, with the Auditor-General raising no findings in this area.
On the financial front, Dr Mphephu acknowledged that the municipal debtors’ book had risen from R1.25 billion to R1.36 billion. He placed the figure in context, noting that LNW serves mainly rural municipalities with limited revenue bases. However, he highlighted encouraging signs: Mopani District Municipality is adhering to a debt repayment plan, Capricorn District Municipality is keeping its current account up to date, and overall revenue has increased from approximately R700 million to nearly R2 billion. “Most of the municipalities have come on board and they are paying us so that we can provide water,” he said.
Bulk water losses remain below 5 %, but Dr Mphephu stressed that the entity is now working closely with municipalities along the entire water value chain to ensure treated water reaches residents.
The chairperson gave the most detailed update yet on the troubled Giyani bulk water project, which began in 2012 under Mopani District Municipality and was later transferred to LNW. He confirmed that water is already flowing from the Nandoni system, 398 kilometres of bulk pipeline have been laid, and pressure testing is under way. As a result, 24 of the planned 55 villages are now receiving water. Mopani is refurbishing the water treatment works while LNW completes the bulk supply line and the district handles reticulation.
Dr Mphephu conceded that the project had been “marred by corruption” and that past irregularities, such as missing pipelines, were only discovered during current pressure testing. The scope has also changed several times, adding complexity. Reticulation has been split into Phase 2A and Phase 2B because of funding constraints. He said LNW is assisting the Department of Water and Sanitation and is confident the remaining work can be completed within 12 months.
Separately, the Ebenezer project, which will supply Polokwane, Capricorn and Sekhukhune districts, is 95 % complete and is being finalised by the Development Bank of Southern Africa (DBSA).
Dr Mphephu said LNW had “turned around” the Giyani project and restored credibility, but acknowledged that residents who had waited more than a decade for reliable water remain impatient. He described the Giyani scheme as a national priority and pledged continued collaboration with all stakeholders to finish the work.