Criticism around the draft regulations on water use licence applications is growing, with the Western Cape Department of Agriculture rejecting ”race-based quotas” for the allocation of water licenses.

The revised regulations, published by the Department of Water and Sanitation on 19 May, have introduced proposed thresholds of abstraction volumes of water against the level of black ownership in applications submitted for new water use allocations.

The Department says this is to ensure that there is transformation of water use allocations, to address the disparities in access to water use from Apartheid.

But Agri SA says the proposed regulations – requiring up to 75% black South African shareholding – place tenuous food security at further risk.

The Western Cape Government in turn says it supports a ”needs-based approach” as opposed to a race-based approach in the allocation of water licenses.

Agriculture MEC Ivan Meyer says the proposed regulation will harm farms and exports, and have a knock-on effect on the economy.

“Any regulation which threatens jobs is simply a bad policy. With a devastatingly high unemployment rate in the country and growing inequality, the government should cut red tape and open as many doors as possible to make getting a job as easy as possible. The WCG supports redress in the agri-value chain through the commodity approach which is based on collaboration with industry partners who share our approach to transformation.”

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Agri SA’s Janse Rabie adds the consequences for food security and the sustainability of the agricultural sector, should these regulations be passed in the current form, cannot be understated.

”They would have a devastating impact on the sector and its ability to provide the country with a secure supply of food. This is because focusing solely on ownership, to the exclusion of all other relevant factors, will mean the loss (or partial loss) of water resources for numerous currently viable commercial farming enterprises.”

Rabie stresses that this effort by government cannot have come at a worse time for the sector and the economy, which is already reeling from the impact of load shedding, rural crime and deteriorating public infrastructure.

However, the Department says Agri SA’s claims are unsubstantiated, and they willing to engage with all parties who have expressed concern.

The commentary period on the proposed Revision of Regulations regarding the Procedural Requirements for Water Use Licence Applications and Amendments will expire on 18 July 2023.