Water regulation business case

After the South African democratic transition, substantial advances were made in the provision of water services to households which had previously not been supplied. However, more recently, the pace of progress has slowed, and technical and financial problems in water services have increased. Most water activities are currently undertaken by national and local government, with little private participation. The paper examines whether there is a business case for the introduction of an independent water regulator in South Africa by examining the evidence base at each stage of the water supply chain. Recommendations are also made as to what complementary economic and structural reforms may be needed.