RAND WATER ANNUAL REPORT 2023

OUR VALUE CREATION MODEL Business Model SOUUPTPPLYU T S OUTCOMES Value was Created within Each of Rand Water’s 6 Capitals:

1. Finance Capital • Access to Funding and cost-effective debt funding. • R2.01bn Cash Generated from Operations • Revenue increase 11% • 6.2 % Return on Average Assets 2. Manufactured Capital

• The total value of property, plant, and equipment assets now amounts to R29 bn, with R2 bn worth commissioned in 2023. • Our commitment to the CAPEX renewal programme has led to enhanced operational integrity of our bulk water infrastructure. • We are making significant strides in the execution of our planned Additional Water Supply (AWS) scheme, which aims to augment capacity by an impressive 600 million litres per day. 3. Natural Capital • 24/7 Water Supply • SANS 241 Quality treated water.

Un-interrupted Supply of Water Rand Water remains a prominent

exemplar of a state-owned entity that consistently delivered water every day of the year.

• Achieved Zero days interrupted supply. • Total Sales Volumes: 1 721 658 Mℓ/d. 4. Human Capital • Employer of choice to attract and retain staff. • Staff compliment permanent of 3 493. • 366 Temporary staff. • 289 Youth programme opportunities (Internships, Learnerships and external bursaries). • Staff Turnover; achieved: 2.33% Target: 5%. • 5 817 Training interventions completed. • 127 Bursaries awarded to employees. 5. Intellectual Capital

Total Sales Volumes: 1 721 658 Mℓ/d

Average Daily Volumes Sold (potable & non-potable) 4 717 Mℓ/d

27 • Successful communication of shutdown plans to customers. • Rand Water Foundation implements dedicated projects to support our communities. • Water Wise continued work in schools and communities, resulting in water savings. • Social Enterprise Development resulted in smooth facilitation of CAPEX implementation. • Rand Water Institute: Established a fully functional Innovation department responsible for driving the innovation risk-based strategy. • There has been significant knowledge generated for Rand Water which has culminated in new knowledge; new skills; and smarter ways of doing things. • The organisation is focused now on the adoption of technologies and solutions at a Technology Readiness Level of 7-9. • Six (6) Innovation projects completed. 6. Social & Relationships Capital • Continuous customer engagements resulting in improvements to water efficiency management and positive response to Debt collection.

Peak Daily Demand 5 199 Mℓ/d