Rand Water | Integrated Annual Report 2025

INTEGRATED ANNUAL REPO

LOOKING FORWARD Building a resilient, future-ready Rand Water

As we look forward to the future, our commitment to strengthening financial performance and service delivery remains unwavering. We will refine our cost structures, pursue sustainable growth, and align every decision with our long-term vision. By concentrating on prudent risk management, we will bolster our capacity to withstand challenges and improve our operational effectiveness. Our strategy hinges on innovation, adaptability, and a relentless drive to stay at the forefront of industry progress. Embracing new technologies and sustainable practices, we will push for greater efficiency and deeper alignment with environmental goals. Through optimised resource management and a measured shift toward renewable energy, we anticipate meaningful reductions in cost and gains in reliability. We gratefully acknowledge the ongoing support of all stakeholders, including government structures such as COGTA, our Shareholder, and National Treasury. Your collaboration is essential as we continue to support municipal customers through Rand Water Services, water demand management programmes, and the SPV framework that ensures dedicated water provision. Strengthening stakeholder relations will be central to securing broad-based buy-in from the communities we serve and to sustaining legitimacy and trust. We are encouraged by the momentum generated by the repurposing and repositioning of Rand Water Services, endorsed by our shareholder and the National Treasury. Legislative pathways empower us to play a more meaningful end-to-end role in water services, reinforcing governance, accountability, and service continuity. The Special Purpose Vehicle with Emfuleni Local Municipality stands as a blueprint for future municipal partnerships. By leveraging the Municipal Systems Act provisions (Sections 72 and 78), we can elevate service delivery while mitigating credit risk across the sector. Our innovation-driven, risk-based framework emphasises sustainable growth. Growth programmes focus on strengthening core efficiencies, water, chemicals, and energy, while diversifying revenue, diversifying customer base and pursuing geographic expansion. This approach addresses concentration risk on municipal customers and enhances our resilience against economic volatility. We intend to advance vertical and horizontal growth initiatives, evaluating viable options, identifying the right partners, structuring effective arrangements, and securing funding mechanisms that will optimise returns and strategic impact. We are determined to think beyond today, to innovate boldly, and to position Rand Water as a world-class leader in water and sustainability. Navigating uncharted waters requires courage to take calculated risks, deliver ambitious projects, and exceed customer expectations, locally and globally. Our growth initiatives, coupled with Rand Water Services interventions, open the door to expanded public-private partnerships and a broader stakeholder base. By blending investment opportunities, project financing, and collaborative structures, we will extend our capabilities, deepen skills transfer, and maximise shareholder value. To our dedicated team, customers, and stakeholders, I offer heartfelt gratitude for your unwavering support and collaboration. Together, we will navigate the evolving landscape, unlock new pathways for growth, and advance sustainability. Your trust inspires us to pursue excellence and innovation each day. I thank our Group Chief Executive, Mr. Sipho Mosai, for his steadfast leadership, and the Rand Water Board, chaired by Mr. Ramateu Monyokolo, for their governance and guidance. Looking forward, Rand Water remains resolute: we will deliver reliable water, drive sustainable value, and emerge stronger from every challenge. The future is ours to steward, with courage, collaboration, and a shared commitment to the communities we serve.

Ms. Matshidiso Nyembe Group Chief Financial Officer

105

Rand Water | Integrated Annual Report 2025