The establishment of the National Water Resources Infrastructure Agency (NWRIA), the new State-owned company to be responsible for financing, developing and managing South Africa’s water infrastructure, is on track for April.

The NWRIA, whose enabling Bill was first drafted in 2021, is intended to address the current fragmentation of asset management and revenue collection functions for national water resource infrastructure.

These functions, which are currently spread among State-owned entity Trans-Caledon Tunnel Authority (TCTA), the Water Trading Entity, and the Department of Water and Sanitation (DWS), will be assumed by the NWRIA.

According to Operation Vulindlela Phase II’s 2025/26 third-quarter progress report, published late last month, preparations for the NWRIA’s establishment have progressed significantly, with the national infrastructure asset register now completed, contracts to be transferred consolidated and transitional governance arrangements developed.

The NWRIA forms part of reforms under Operation Vulindlela Phase II, a joint initiative of the Presidency and the National Treasury to accelerate the implementation of priority structural reforms that support economic growth, improve service delivery and strengthen State capability.

The NWRIA board is expected to be announced next month, following the closing of nominations in August and the finalisation of the appointment process in December.

The board will comprise nine to 11 members – including a CEO, a CFO and two ex- officio appointments from the DWS and the National Treasury – who will serve for a five-year term.

The term of the current TCTA board, which expired at the end of December 2025, was extended until the NWRIA is fully established to avoid disruptions.

South Africa requires an ongoing and sustained large-scale water resource infrastructure build programme, in addition to effectively operating and maintaining existing assets.

The NWRIA will be able to raise funds on its own balance sheet to increase investment in water infrastructure and mobilise finance for new projects through innovative models to attract private investment.

While the TCTA’s financial model relied on offtake agreements and government guarantees, the new agency will leverage its significant assets, and associated revenue, to raise finance without necessarily obtaining further government guarantees.

The NWRIA’s establishment will also strengthen governance and transparency in the water sector by separating the roles of player and referee and rationalising and integrating all national water resource infrastructure functions into a single entity.

The DWS will retain responsibility for planning, regulation, policy and price setting, while the NWRIA will be responsible for building, operating and maintaining water resource assets.

Following its drafting in 2021, the NWRIA Bill was gazetted in August 2023 and adopted by the Portfolio Committee on Water and Sanitation in March 2024. It was tabled in the National Assembly in September 2025 and subsequently submitted to the National Council of Provinces for concurrence.