Rand Water | Integrated Annual Report 2025

INTEGRATED ANNUAL REPO

• Adopted the Annual HR&REMCO Training and Development Plan for the Calendar Year 2025. • Review of the 2023/24 financial year Performance Management and STI Calculations – Post STI Payment. • Noted the Status Update of the Rand Water University Initiative. • Recommended Secondment Policy. • Recommended Proposed Annual Shareholders’ Compact for the 2025/26. Outlook and Future Focus Areas • The introduction of the Long-Term Incentive (LTI) Scheme aims to provide a framework that supports the organisation’s long-term vision and strategy, ensuring remuneration is aligned with agreed-upon principles while generating value for both the organisation and participants. HR&REMCO was requested by the Board to conduct a benchmarking exercise for the implementation of the LTI Scheme, which was conducted by an external service provider.

NOMINATIONS COMMITTEE MEMBERS 1. Mr. Ramateu Monyokolo (Chairperson) 2. Mr. Sipho Mosai 3. Ms. Malande Tonjeni 4. Ms. Zanele Monnakgotla Meetings

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Attendance

92%

Mandate, Roles and Responsibilities •

The Committee has been established by the Board of Rand Water to identify, consider and recommend to the Board the nomination of members for appointments to the Board Committees, Boards of subsidiaries including the Independent Medical Aid Scheme and Provident Funds of Rand Water. • The Committee consists of four (4) members, made up of a majority of Non-Executive Members of the Board and one (1) Executive Member, who is the Group Chief Executive. The Group Chief Executive’s appointment to the Committee is informed by his/her involvement in the recruitment and selection of Board Members of Rand Water. The Committee is chaired by the Chairperson of the Board. Key Activities Undertaken during the 2024/25 Financial Year a. Board and Committee Appointments • Recommended the allocation of a new Rand Water Board Member to appropriate Board Committees. • Oversaw the appointment of Employer Representatives to the Rand Water Medical Aid Scheme Board of Trustees, ensuring alignment with scheme rules and regulatory compliance. • Recommended the appointment of an interim Chairperson to the RWF Board following the expiry of the term of office of the previous RWF Board Chairperson. • Recommended the appointment of two (2) non-executive directors to the Board of the RWF following two vacancies on the Board between 01 August 2024 and 18 November 2024. • Recommended the allocation of members of the RWF to Committees at the Group level to ensure representation of Board members of subsidiary companies in governance structures at the Group level. • Initiated a call for nominations to fill three (3) upcoming vacancies on the RWF Board, effective 31 July 2025, due to expiring terms of office. b. Nomination of an Independent Member to the Group Audit and Risk Committee (GARC) with ICT Expertise • Under Section 31 (4) (b) of the Water Services Act, which authorises the Board to appoint independent members to any of its committees, the Nominations Committee managed the process for nominating candidates for the role of Independent GARC Member with Information Technology and Communications (ICT) expertise. This was in response to the increasing risk environment, particularly concerning digital transformation and cybersecurity risks, to ensure that members with appropriate skills were appointed to the GARC to support effective IT governance and oversight.

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Rand Water | Integrated Annual Report 2025