Performance-Based Contracts: Advancing Efficiency in the Water Sector

In this presentation, co-presented by Vivek Kasseepursad and Thembela Mazula from the Capital Projects Appraisal Unit (CPAU), the pair shared studies conducted into the water sector where Performance-Based Contracts (PBCs) were used. The presentation highlighted how PBCs are transforming how we deliver and maintain critical infrastructure. While often associated with reducing Non-Revenue Water, PBCs are increasingly being applied across the energy, road maintenance, and wastewater treatment sectors to improve efficiency, accountability, and long-term sustainability. In this presentation examples from South African and across the globe were shared. The presenters also unpacked lessons learned, common challenges, and practical recommendations for scaling PBCs to strengthen infrastructure delivery.