| Council gives in principle approval for Public Private Partnership to secure Cape Town’s new water projects | Council gives in principle approval for Public Private Partnership to secure Cape Town’s new water projects | | <img alt="" src="https://resource.capetown.gov.za/cityassets/PublishingImages/City%20news.jpg" style="BORDER:0px solid;" /> | <p>Desalination and water reuse are critical to Cape Town’s water security. Council has in principle approved the City’s plans to begin procurement for the Faure New Water Scheme (FNWS) and the Paarden Eiland Desalination Plant using a Public-Private Partnership (PPP) model. </p> | <span>
<p>This approval is another important step to building Cape Town’s water secure future, through implementing the City’s New Water Programme (NWP). It aims to diversify water sources, including water re-use, desalination, clearing invasive species and groundwater extraction, to add 300 million litres of water per day to Cape Town’s supply soon after 2030.</p>
<p>Based on the separate feasibility studies, a Public-Private Partnership (PPP) model was supported as the most suitable model to use for these two complex projects.
<br><br>Over 100 comments were received for each project during the public participation sessions held in 2025 for both Faure NWS and Desalination. These were incorporated in the feasibility reports that were recommended to Council for their decision.<br>A Public-Private Partnership (PPP)<br></p>
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<p>A Public-Private Partnership (PPP) is a formal, regulated arrangement where the private sector helps deliver a function that the City would normally perform, such as designing, building and operating a water treatment plant.</p>
<ul><li>The City sets the output specification on what must be delivered, at what quality and at what volume.</li><li>The private partner designs, builds, finances and operates the project for a defined period.</li><li>The City only pays if the private partner meets the required performance standards.</li><li>The infrastructure remains City-owned throughout.</li><li>The responsibility to provide clean water to end users remains with the city throughout.</li><li>PPPs transfer significant project and operational risk to the private sector and must meet strict tests for affordability, value for money, and risk transfer.</li></ul>
<p>The private sector brings capital, skills and long-term operational capacity while the City retains ownership and regulatory control.</p>
<p>A PPP is not privatisation. It is a tightly regulated partnership, not a sale of public water services.</p>
<ul><li>It does not involve selling City water assets.</li><li>It does not hand over ownership or long-term control of public water services to private companies.</li><li>It does not allow private operators to set water tariffs or run water services independently.</li></ul>
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<img class="responsive" src="https://resource.capetown.gov.za/cityassets/Media%20Images%202/Cape%20Town%20gaining%20traction%20towards%20securing%20new%20water%201.png" alt="" style="width:802px;" /> </figure></span>
<p>‘I am pleased that this crucial step has now been concluded. In 2026, we will commence the procurement phase of the Faure New Water Scheme and Paarden Eiland Desalination Plant. By undertaking these projects through a PPP, the City will remain the infrastructure owner and responsible for providing safe, high-quality drinking water. This implementation model will also create economic and employment opportunities through construction, operations and supply of equipment and chemicals.</p><p>‘While the City is investing in the NWP, residents are reminded to be water-wise at all times, regardless of the season or the status of our dams,’ said the City's Mayoral Committee Member for Water and Sanitation, Councillor Zahid Badroodien.</p><p>
<strong>Way Forward</strong></p><p>The Faure New Water Scheme will aim to add between 70 and 100 million litres of purified, recycled wastewater per day to our water supply with first water expected in the financial year 2030/31. The procurement process for the PPP will follow a two-stage competitive bidding process:</p><ul><li><div style="text-align:left;">Request for Qualification (RFQ): This stage will invite interested parties to demonstrate their technical capability to deliver the project. This is scheduled to be advertised in the second half of 2026. </div></li><li><div style="text-align:left;">Request for Proposal (RFP): Shortlisted bidders from the RFQ stage will be invited to submit detailed proposals. This is expected in the second half of 2027.</div></li></ul><p>This approach ensures transparency, competitiveness, and alignment with the City’s Supply Chain Management (SCM) policy and requirements. For more information see:</p><ul><li><div style="text-align:left;">Project Details: City's Water Reuse Project</div></li><li><div style="text-align:left;">Procurement Requirements: Refer to the City’s SCM Policy and Guidelines. Potential bidders are encouraged to register as a Supplier with the City. All information is available here. </div></li></ul><p>The Paarden Eiland Desalination Plant involves removing salt from seawater to yield between 50 and 70 million litres per day with first water forecasted for the financial year 2030/31.
<br><br>‘These projects represent more than infrastructure investments—they are a testament to Cape Town's resilience and our unwavering commitment to water security. Through the PPP model, we harness private sector expertise and innovation while maintaining firm public ownership. Every litre of water, every pipe, and every pump remains the property of our city. This is progress built on trust, delivering jobs, economic opportunity, and the certainty our residents and businesses deserve,’ said Councillor Badroodien.<br><br>Caption 1: Artistic impression of the planned Faure New Water Scheme (FNWS).</p><p>Caption 2: Preliminary artistic impression of the planned Paarden Eiland Desalination Plant.</p><p>Caption 3: (Dropbox link) The proposed site location for the Paarden Eiland Desalination Plant.</p><p>
<br> </p> | 2025-12-04T22:00:00Z | GP0|#1d539e44-7c8c-4646-887d-386dc1d95d70;L0|#01d539e44-7c8c-4646-887d-386dc1d95d70|City news;GTSet|#62efe227-07aa-45e7-944c-ceebacca891d | | | | | GP0|#0b25ade2-d2b1-4077-8d4b-02f26063e473;L0|#00b25ade2-d2b1-4077-8d4b-02f26063e473|Paarden Eiland;GTSet|#2e3de6c1-9951-4747-8f53-470629a399bb;GP0|#1d5be3fa-6ace-455a-a415-51b265efce69;L0|#01d5be3fa-6ace-455a-a415-51b265efce69|water treatment plants;GTSet|#2e3de6c1-9951-4747-8f53-470629a399bb;GP0|#89348bb1-0281-4cc9-bfb9-a1bcfc90f3ad;L0|#089348bb1-0281-4cc9-bfb9-a1bcfc90f3ad|water scheme;GTSet|#2e3de6c1-9951-4747-8f53-470629a399bb | 1 | | | | | | | | | | | 0 |