Analysis on the perceived occurrence of challenges delaying the delivery of water infrastructure assets in South Africa

Khotso Dithebe, Clinton Ohis Aigbavboa, Wellington Didibhuku Thwala, Ayodeji Emmanuel Oke

Research output: Contribution to journalArticlepeer-review

11 Citations (Scopus)

Abstract

Purpose: Minimal private participation for infrastructure development continues to affect developing economies like South Africa. This study aims to determine the perceived occurrence of challenges delaying the delivery of water infrastructure assets and the role of both public and private financing for infrastructure development. Design/methodology/approach: Quantitative approach was used, and questionnaires were administered to stakeholders that have participated in delivering water infrastructure assets in South Africa. Of the 96 returned questionnaires, 91 were usable, representing 61 per cent response rate. Data from the survey were analysed using descriptive and exploratory factor analyses. The reliability test represented a value of 0.945, indicating internal consistency. Findings: Data analysis revealed that corruption, hostility, weak project structuring, high fiscal deficits by state government, cost recovery constraints, high credit risk for private financing and unreliable planning and procurement processes are major challenges delaying the delivery of water infrastructure assets. More so, municipal government remains the key custodian of water infrastructure delivery with limited support from private capital as a result of political administrative instability, legislation and policy uncertainty and inadequate risk-adjusted returns. Originality/value: Emphasis should be made on eradicating corruption and non-transparent financial management to improve municipal creditworthiness and amending and implementing much improved legislation and foreign inclusion. Additionally, financial models to complement the existing mechanisms of financing water infrastructure projects should be sought and used. Complete eradication of infrastructure challenges envisages to reduce fiscal deficits, improve service delivery and enhance the competitiveness and productivity of the economy.

Original languageEnglish
Pages (from-to)554-571
Number of pages18
JournalJournal of Engineering, Design and Technology
Volume17
Issue number3
DOIs
Publication statusPublished - 6 Jun 2019

Keywords

  • Infrastructure development
  • Municipal government
  • Policy and legislation certainty
  • Private financing
  • Trans-Caledon Authority Tunnel
  • Water sector value chain

ASJC Scopus subject areas

  • General Engineering

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