Water and Sanitation Minister, Senzo Mchunu, has lauded Fitch Ratings affirmation of Rand Water's National Long-Term rating at 'AA+ (zaf), with a Stable Outlook.
Rand Water is an entity of the Department of Water and Sanitation that provides bulk water supply services to more than 16 million people in Gauteng and parts of Mpumalanga, the Free State and North West provinces of South Africa.
The Fitch Ratings released a statement on 6 November 2023, detailing the key rating drivers, further stating the elements that would result in a Negative Outlook rating, which include "...if significant water losses (within municipalities water distribution network) contributes to lower profitability and increasing municipality arrears".
In his congratulatory message, Mchunu said the department is proud of Rand Water’s rating by Fitch, which reaffirms that the entity has a long-term positive and stable outlook.
Mchunu said Rand Water is one of the best performing entities, and its 120 years of existence is a testament to its excellence.
He said there is a lot that goes into the sustainability of any organisation, amongst others, the dedication of its leaders and members, good governance, transparency, liquidity and an overall focus on the organisation’s mandate.
While acknowledging there is still a lot of work to be done, the Minister said this "cannot take away the fact that the organisation has continued to perform in a stellar manner”.
“I would like to urge Rand Water to keep it up! One of the many things that we can commend Rand Water on is its ability to be forward-thinking, whether be it in terms of actual water supply or the maintenance of water and sanitation infrastructure – Rand Water has continued to ensure that it keeps its eye on the mandate which it is tasked to carry out,” Mchunu said.
He said the ministry and the department continue to pledge their support to Rand Water as they continue to be in service of the citizens of the country. – SAnews.gov.za
