
CRI was contracted to conduct the Cost-Benefit Analysis (CBA) for the Moretele North-Klipvoor Bulk Water Supply Scheme. The project aims to address water supply shortages in the Moretele North region, as well as the Bela-Bela, Modimolle-Mookgophong, and Mogalakwena Local Municipalities in Limpopo, South Africa. These areas have existing water supply deficits, which are expected to worsen due to population growth and mining-related activities. The analysis answers a constellation of pivotal questions, including:
What is the impact of the increased water supply on the local population?
How does this affect the municipalities who will be in charge of reticulating the bulk water supply to the final consumers?
What impact does this project have on surrounding mines and industrial activities?
Is this even a profitable endeavour for the project owner?
Is this project bankable?
All these questions and much more are answered by the Cost-Benefit Analysis executed by CRI. The analysis comprises an evaluation of the financial impact of the project from the perspective of both its sponsor, an all-encompassing economic analysis from the country’s perspective, a stakeholder analysis to reveal the project’s effect on all affected parties, and a risk analysis to foresee and manage any potential risks.
CBA for bulk water scheme addressing deficits in Moretele North and neighboring municipalities; analysis framed household, municipal, mining/industrial, sponsor perspectives plus bankability and risk.