Presentation Transcript

1. Capital Expenditure Programme John Critchley 2012/2013 Bulk Potable Water Tariff Setting Forum 10 October 2011 Rand Water
2. CONTENT Demand growth forecast 2. Augmentation plan to 2030 3. Capital budget forecast
3. Forecast demand growth to 2030
4. Rand Water’s infrastructure planning is informed by demand projections provided by municipalities
5. Demand growth scenarios & risks Peak?
6. Augmenting the network Northern Jhb Tshwane Madibeng Central Jhb Southern areas North west Jhb West Rand Rustenburg Eastern Tshwane Ekurhuleni Mpumalanga
7. Peak demand by pumping station
8. CONTENT 2. Augmentation plan to 2030
9. 2009 Additional Water Supply Scheme Providing for 2015 to 2030 augmentation cycle
10. Augmenting the network Northern Jhb Tshwane Madibeng Central Jhb Southern areas North west Jhb West Rand Rustenburg Eastern Tshwane Ekurhuleni Mpumalanga
11. B19 raw water pipeline R28 million budget for 2011/12 Station 5 at Zuikerbosch 1200 Ml/d capacity in two phases BG3 raw water pipeline 9 km x 3500 mm R165 million budget for 2011/12
12. BG3 Raw Water Pipeline 9 km x 3500 mm diameter Primary Supply System Augmentation
13. Primary Supply System Augmentation Purification
14. Primary supply system augmentation Zuikerbosch pumping station – projects approved by Board Station 5 – 1200 Ml/d capacity – first phase by 2016 Upgrade system 1 & 2 Replace filter block 2b – 250 Ml/d Add 200 Ml/d sedimentation capacity Upgrade System 3 Add 400 Ml/d sedimentation capacity Upgrade System 4 Add 400 Ml/d sedimentation capacity Add 250 Ml/d filtration capacity Typical motivation Replace older technology Improve standby capacity (> 10% at peak) Balance pumping capacity
15. Primary supply system augmentation Upgrade of purification capacity at Zuikerbosch PS System 4 upgrade System 5 System 3 upgrade System 2 upgrade
16. Primary supply system augmentation Upgrade of purification capacity at Vereeniging PS Additional 225 Ml/d sedimentation tank 1 2 3 4 Upgrade Filter House 2 Upgrade Filter House 1
17. Augmenting the network Northern Jhb Tshwane Madibeng Central Jhb Southern areas North west Jhb West Rand Rustenburg Eastern Tshwane Ekurhuleni Mpumalanga
18. Palmiet supply system augmentation Northern & Central/Eastern areas – 600 Ml/d growth from 2015 to 2030 Additional Engine Room – 600 Ml/d capacity Total 150 km pipeline between 600 mm and 2100 mm diameter Projects motivated Item A1 – Brakfontein to Madibeng H34, H35, H36 pipelines Item A15 – Partial replacement of Lyttelton to Rosslyn H14 pipeline Item A11 – Zuikerbosch to Palmiet B17/B18 pipeline Item A8 – Engine Room 3b at Palmiet pumping station Item A3 – Palmiet to Klipfontein O6 pipeline Item A2 – Klipfontein to Brakfontein H39 pipeline Item A10 – Kwaggaspoort to Gomsand H38 pipeline Projects to be motivated Additional 100 Ml reservoir at Hartbeesthoek
19. B17 Zuikerbosch - Palmiet pipeline R276 million budget for 2011/12 H39 Klipfontein – Brakfontein pipeline O6 Palmiet – Klipfontein pipeline Engine Room 3b at Palmiet station 600 Ml/d operational capacity
20. Augmenting the network Northern Jhb Tshwane Madibeng Central Jhb Southern areas North west Jhb West Rand Rustenburg Eastern Tshwane Ekurhuleni Mpumalanga
21. Mapleton supply system augmentation Northern & Eastern areas – 300 Ml/d growth from 2015 to 2030 Additional Engine Room – 300 Ml/d capacity Total 90 km of pipeline between 1000 mm and 2100 mm diameter Projects motivated Item A4 – Vlakfontein to Mamelodi R5 pipeline (phased) Item A18 – Additional engine room at Mapleton pumping station Item A16 – Van Dyk’s Park to Rynfield S4 pipeline Item A5 – Van Dyk’s Park to Brakpan Reservoir L17 pipeline Bloemendal pumping station upgrade (phase 1) Projects to be motivated Augmentation of Brakpan – Bloemendal – Wildebeesfontein route (existing and potential new customers) Additional 100 Ml reservoir at Bronberg
22. R5 Vlakfontein – Mamelodi pipeline R67 million budget for 2011/12 S4 van Dyk’s Park – Rynfield pipeline L17 Van Dyk’s Park – Brakpan Res pipeline R29 million budget for 2011/12 Engine room at Mapleton station 300 Ml/d additional capacity
23. CONTENT 3. Capital budget forecast
24. Capital expenditure split between main plant categories Continuing business – R8.1 bn over 5 years
25. Capital budget for 2011/12
26. Capital expenditure forecast
27. Capital expenditure forecast
28. Non-infrastructure alternatives Balance between supply and demand Demand growth from Vaal River System is exceeding ability to augment raw water supply capacity (potential severe drought restrictions) Each supply augmentation is increasingly expensive, and pushes up raw water tariffs DWA has set targets for reduction of wastage – Project 15% Studies indicate > R700 million per annum over 5 years to meet targets for Gauteng Province Commitment in theory not matched by practical results Tariff increases for end consumers can help moderate growth, but don’t directly attack the main reasons for wastage Water Demand Management (WDM)
29. Non-infrastructure alternatives Rand Water response to potential demand growth reduction Potential for deferred capital expenditure, but: Major projects have long lead times Portions of existing infrastructure approaching full utilisation at peak periods Require ‘headroom’ to take major infrastructure items or sub-systems out of service for rehabilitation Proposed response: Liaise closely with major customers on demand growth reduction Continue with planned projects through preliminary stages, including route selection, EIA, landowner negotiations Review demand growth trends and condition assessment of existing infrastructure prior to construction ‘go’
30. THANK YOU