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New proposed legislation could see commercial farmers getting allocated less water.
This, after the Department of Water and Sanitation's proposed new water licensing regulations, which require up to 75% black South African shareholding.
Agri SA says should these regulations be passed in its current form, it will have a devastating impact on the sector and its ability to provide the country with a secure supply of food.
The organisation's Legal and Policy Executive, Janse Rabie says because this focuses solely on ownership, to the exclusion of all other relevant factors, it will mean the loss, or partial loss, of water resources for numerous commercial farming enterprises.
He says according to the draft regulations, certain enterprises applying for water use licenses, will in the future have to allocate shares of up to 75% to black South Africans in order for such water licenses to be granted.
"This means that should those license procedures be forced, applicants will have to demonstrate the transformation targets. We believe that these prescribed Black Economic Empowerment targets are both unrealistic and unlawful", Rabie said.
He stressed that this effort by the government could not have come at a worse time for the sector and the economy, which was already reeling from the impact of load shedding, rural crime, and deteriorating public infrastructure.
Agri SA says it acknowledges that water belongs to all of South Africa’s people and fully appreciates the importance of achieving an inclusive and fairly representative agricultural sector.
The commentary period on the proposed Revision of Regulations regarding the Procedural Requirements for Water Use License Applications and Amendments will expire on 18 July 2023.
