New industrial water company launched
Emerging industrial water company The Mega Water Corporation was launched last year, in partnership with Danish pumps manufacturer Grundfos, to address sub-Saharan Africa’s water crisis.
The Mega Water Corporation CE Rudy Roberts tells Engineering News that the company was formed to deliver sustainable solutions to all stakeholders in the sector.
He points out that South Africa currently faces daunting service delivery and management challenges that include water scarcity and the supply of reliable, treated and clean water.
“The water space in South Africa is not integrated and we aim to offer an integrated solution to South Africa’s ongoing water crisis.”
Roberts adds that the company’s vision is to be a Pan-African water services corporation, and it is fitting that the company participates in the water services sectors in South African and sub-Saharan Africa.
“The fragmented nature of the market poses executional challenges, making consolidation indispensable and opportunity viable. We believe in the inclusive economy and strategic partnerships. “The National Development Plan (NDP) is about the inclusive economy, therefore we support the NDP,” he says.
He explains that the strategic partnership between Mega Water Corporation and Grundfos is a very central part of the company’s platform, adding that Grundfos provides technology, expertise and access to its global research development in water technology.
He points out that the company has a unique business model and offers a solution, from abstraction to distribution, to industry and government.
“This opportunity calls for an independent water utilities platform with the requisite investment resources, skills and technologies to deliver an all-embracing solution across the entire value chain.”
Roberts adds that 38% of Africa’s population lack access to clean water, while 56% still require sanitation facilities.
“Access to water requires, on average, a 6 km walk by women or children and, although frameworks do exist throughout Africa, they are insufficient and fragmented,” he says.
Roberts notes that great development work is required in the refurbishment of the current infrastructure, as well as the incorporation of new technologies to allow for access to clean water.
“We are acquiring a water-engineering services business, which will serve as a platform to extend into the public sector, where we will be able to assist with the rehabilitation of water infrastructure.”
He further notes that, in South Africa and in sub-Saharan Africa, central and local governments dominate the water sector, as they own the bulk of water abstraction, treatment and distribution infrastructure.
While urbanisation continues unabated, owing to increasing economic activity, central and local government funding is conversely constrained.
In 2012, Water and Sanitation Minister Nomvula Mokonyane tabled the department’s R12.48-million budget for the 2014/15 financial year, focusing on providing regional bulk infrastructure for water and wastewater treatment works that linked water sources to local government infrastructure.
“[An amount of] R7.7-billion of the budget will be allocated to the regional implementation programme, while R2.92-billion will be allocated to water resources infrastructure and R1.03-million to administration,” he notes.
Roberts concludes that the Mega Water Corporation aims to be a participant, lever and purveyor of change in the water sector.
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