Conference Agenda

Problem Statement and Purpose

Investment in water infrastructure is amongst the top priorities for most African countries as they strive to achieve the United Nations’ Sustainable Development Goals (UN-SGDs) in a post-COVID-19 pandemic world. In South Africa, water is a scarce basic resource; and the damaging effects of climate change coupled with a lack of investment in water infrastructure are compounding the current and future water security in the country. Evidence indicates a depressing historical backlog in expenditure related to water infrastructure in a post-apartheid era. Consequently, public private partnerships (PPPs) are increasingly becoming an alternative and innovative investment model for African countries, like South Africa, in order to eliminate their infrastructure development backlogs by engaging the private sector. A plethora of legislation has been promulgated in South Africa by inter alia, the National Treasury and local government to foster PPPs relating to water provision. However, there is limited systematic research to confirm the utility of this model, particularly in the water sector.

Methodology

This study adopted a qualitative research approach to undertake the study. A systematic literature review was utilised to conceptualise and explore extant practice-driven research reflecting the experiences, opportunities and threats in the widespread application of PPPs in water infrastructure development in Africa in general and South Africa in particular. This process was underpinned by extensive literature review based on the following key stages: 1) study identification, 2) study selection, 3) study relevance and quality assessment, 4) data extraction and 5) data synthesis.

Findings

Public-Private Partnerships is a viable option for government to consider in addressing the water backlogs in South Africa. Secondly, financial governance on the distribution of water as a scarce resource could be strictly controlled by the private entity. However, challenges lie in using private-public partnerships in that the costs in the provision of water could increase to the detriment of poorer communities.

Proposals

There is a pressing need to address the above-highlighted militating factors for the success of the PPPs’. These challenges include the growing mutual mistrust between the public and private sector, lack of clear and consistent PPPs’ governance frameworks, risk allocation issues between the two parties, lack of political will, the cost implications of PPPs adoption, corruption amongst service providers and other mitigating factors.

References

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Problem Statement and Purpose

Municipalities globally are confronted with several challenges of poor service delivery, economic viability, sustainability, and institutional and financial viability, with amalgamation suggested as a possible solution to achieve economies of scale, enhance operational efficiency, decrease expenditures, and bolster capacity in delivering municipal services. There is an absence of systematic literature reviews on the determinants of financial viability and service delivery in merged municipalities.

The paper analysed specific factors that affect the financial viability and service delivery of amalgamated municipalities.

Methodology

This is the first phase of a two-part study that conducts a systematic literature review of nineteen articles selected from the Scopus Database. Fourteen of these articles passed the eligibility criteria and were used for analysis. Descriptive and document analysis of external and internal determinants of financial viability and service delivery was conducted, represented with tables and figures, and discussed. The second phase of the paper will use the identified determinants and conduct correlation and regression analysis for a separate paper.

Findings

The paper highlights the most frequently studied determinants, such as population age, income levels, and unemployment rates, each appearing four times in the published literature reviewed. Other factors, including population size, density, geographic location, various demographic and economic variables, and types of expenditures and revenues, were noted three times. Factors mentioned twice include the proportion of single parents, the percentage of Aboriginal or Torres Straight Islanders, political conditions, and managerial aspects and culture. Additionally, nineteen other variables were mentioned only once

Proposals

This study provides regulators and municipal practitioners with a concise overview of key variables to consider in mergers, de-mergers, and other municipal reforms and offers researchers a set of relevant variables influencing the financial viability of merged municipalities.

References

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Problem Statement and Purpose

Currently, the Ethekwini Municipality is experiencing a number of challenges, including, corruption, natural disasters, electricity supply disruptions, water-shedding and poor waste management. The main consequences are poor service delivery, civil unrests, financial mismanagement, poor services infrastructure and polluted environments. The continuation of this trend does not allow the municipality to be financially viable and to comply with its constitutional mandate of being an accountable government that provides sustainable services for the social and economic upliftment of its communities. The purpose of this paper is to highlight the further need for the municipality to develop and empower entrepreneurs to provide the basic service delivery in an effective and efficient manner.

Methodology

The paper is premised on the desk top analysis of entrepreneurship development and empowerment by the Ethekwini Municipality and the case study approach. In the former approach, policies, protocols are interrogated and integrated with the case study of revenue (billing) management. Finally, this article explores the possibilities for waste management to engage with entrepreneurs to undertake the services more cost effectively and efficiently.

Findings

The study has revealed that while the Municipality provides opportunities for the development and empowerment of entrepreneurs, the impact on service delivery and the social and economic upliftment of the communities are not clear. Historically, the Water Department has very successfully utilized public-private engagements; technology and effective performance monitoring and evaluation systems. In principle, the article advocates for the development of entrepreneurs as a percentage of total cost and/or total volume of services.

Proposals

This alternative approach presents added benefits of sustainability, good governance and community engagement ensuring the municipality better achieves its constitutional developmental mandates. This is achieved through a transparent process of selection, placement and management of service providers with the assistance of private enterprise engagement. Improved performance monitoring and evaluation would enhance service delivery impacts and local economic development.

References

Bonami, M and Derera, E.2018. Towards developing an framework for stimulating rural entrepreneurship in Kwa Zulu-Natal, South Africa: A case study of three municipalities. International Journal of Economics and Finance Studies, 10(1), ISSN:1309-8055.

Enaifoghe, A and Vezi-Magigaba, M.F. 2023. Research in Business and Social Science, 12(4), 2147-4478.

Madzivhandila, T, S and Musara, M. 2020. Taking responsibility for entrepreneurship development in South Africa: The role of local municipalities, Local Economy, 35(3), 257-268.