The document summarizes the work of GreenCape, a non-profit organization in South Africa, to promote water reuse in industrial processes. GreenCape conducted interviews with industrial managers, researchers, consultants, and technology suppliers to understand drivers and barriers to industrial water reuse. Key drivers included water risk to businesses from drought, while main barriers were high capital costs and lack of funding. The project developed case studies of companies that successfully reduced water usage and a business case calculator to evaluate potential water reuse projects. GreenCape aims to increase adoption of reuse by providing information and supporting investment in water technologies.
3. What is our Mandate and Vision?
Mandate
“To support the accelerated development of South Africa’s
green economy”
Vision
“Our vision is for South Africa to be the green economic hub of Africa – the regional
headquarters and manufacturing centre for leading companies in this space.”
Green economic growth:
Increased investment
Job creation
Lower carbon
More resource efficient
Increase local production
5. • We are a non-profit that helps suppliers and users of green solutions.
• We do not endorse any specific brand or company.
• We are taxpayer funded & do not charge fees.
• We define and accelerate a solutions space.
GreenCape by Numbers
6. Our Range of Work Crosses a Wide Variety of Outputs
PASSIVE & INTERNAL ACTIVE & STAKEHOLDER-FACING
Research:
• Field data through key
relationships, site visits
and networking.
• Market Intelligence
Reports.
• Knowledge pieces.
• Industry updates.
Tools:
• Green-Agri portal.
• Decision-making tools
e.g. waste, non-
revenue water.
• Regulatory and
legislative advice e.g.
tariff work.
• Green Finance
Database.
Stakeholder engagement:
• Networking events.
• Thought leadership
presentations.
• Setting up cross-sectoral and
triple helix meetings.
• Support for industry gatherings.
Front-line activity:
• Proposed Special Economic
Zone for Greentech
manufacturing.
• Western Cape Industrial
Symbiosis Programme (WISP).
• Market Connect and Finance
Lab.
9. • The climate is changing.
• Our water resources are fully allocated.
• Water will get scarcer and more expensive.
The current droughts are a “dry-run” for the future
10. • Commercial and industrial water users are now playing “catchup” on increasing their on-site water
resilience.
• Most companies are looking to augment their supply by any means whether it is by groundwater or
reused water.
• The industrial water technology market is increasing as more and more industrial companies inquire
about possible solution providers.
Insights from the Drought
11. Project Objective
To reduce industrial water use and increase industrial water
productivity by assisting companies located in Cape Town in
understanding and investing in water solutions, including
efficiency and reuse.
12. Project products
• Case studies on successful implementation of water efficiency and reuse projects by industrial users.
• Business case developed for CEO/CFO on water reuse/efficiency viability, with a focus on medium
sized companies.
• Market intelligence report on industrial reuse (linked to broader water MIR, but published as stand-
alone report).
Products and Targeted Impacts
13. Anticipated impact
• Increased water availability for productive use.
• Increased growth, job creation and investment in water technology or solution providers.
• Reduced costs of production and lower operating risks for industry.
Products and Targeted Impacts
14. So far:
• Four government representatives (Water Demand Management & Strategy Department).
• Five industrial managers (Distell, Coca-Cola Peninsula Beverages, Supapackers, GlaxoSmithKline,
Duferco).
• Four researchers and three consultants (WRC, UCT, CPUT, CSWUE, NCPC, NBI).
• Six technology suppliers (Proxa, Veolia, Memcon, NuWater, Aurecon, Project Assignments).
Methodology (Interviews)
16. Results
Business
case/
Economics
Opportunities/Drivers Challenges/Barriers
Water Risk to
business
Successful
Case
Studies
CSR
High
Concentration
waste stream
Price of
water
Lack of
Knowledge/
Awareness
Process
Incompatibility
Distrust
between
stakeholders
Lack of incentives
from Municipalities
Business
case/
Economics
Case
Studies
Water Bill
Savings
Water Risk to
business
Funding/Capital
Requirements
High
Concentration
waste stream
Distrust
between
stakeholders
Process
Incompatibility
Small-MediumLarge
Funding/Capital
Requirements
Yuck Factor
Yuck Factor
17. Results
Strongest themes
Drivers
Water risk to business
– Drought situation in the Western Cape has been a wake up call for most companies.
Challenges/Barriers
Funding/Capital Requirements
– Capital requirements for these technologies can be very high and there might be competition for funding
for other plant projects.
High concentration waste stream
– Highly concentrated brine waste streams present a challenge on disposal.
18. Results
Notable quotes from the interviews
“If there is opportunity to save on costs, then companies will go for it.” – Policy Regulator
“The first and most prevalent reason for all businesses to consider reuse is financial gains.”- Technology Provider
“Cost saving is definitely one of the biggest drivers, if you propose anything to industry, the bottom line will be cost saving”
– Policy Regulator
“When it comes to opportunities to cost saving, the business depends on the type of industry and how much water
they consume. For some industrial companies it is viable but for some it is not.” – Technology Provider
19. Results
Notable quotes from the interviews
“Unless people start valuing water as a resource, they are not willing to invest to recycle it” – Industrial Manager
“The first thing my boss asks me every time I come to him with a proposal is ‘where have they done it, and is it working?’”
– Industrial Manager
“The investment into water technologies is too high for small businesses therefore incentives, payment schemes and a good
funding structure would really help” – Industrial Manager
20. Results
High water consumers;
Low – Medium investment
High water consumers;
High investment
Low - Medium water consumers;
Low-medium investment -
Low - Medium water consumers;
High investment
WaterConsumption
Access to Finance
• For the
Western Cape,
most
companies sit
in the lower left
quadrant
R5 million
0.5ML/D
Industry types
23. Project Outputs
Case Study Quotes
“We managed to achieve a 42% reduction in water consumption from 2010 to 2016 by water recovery and reuse, water
saving initiatives, water saving devices and behavioural change.” – Tony Laughton, GlaxoSmithKline Pharmaceuticals.
“By investing in new Dyevat controllers that improved the process automation and by adopting modified dye recipes and
through the recycling of cooling water as well as implementing the hot drop capability, we achieved a 70% reduction in water
consumption” – Chris Handt, ACA Threads.
“Between 2004 and 2015, we halved our water use ratio and reduced the effluent use ratio at the Parow manufacturing plant
by 68%. These water savings are the result of targeted adaptions to our processes that make production more sustainable,”
Johan Breytenbach, Coca-Cola Peninsula Beverages.
24. Project Outputs
Business case calculator
A real life business case that is to be developed through a strong collaboration with water technology suppliers.
Parameters to consider:
Effluent constituents eg COD level, pH, TDS
Technology type (membrane technology, anaerobic/aerobic digestion)
Municipal tariffs
Water consumption
Resource recovery (if applicable)
Business Indicators
Net present value
Payback period
Internal rate of return
Water Use Scenario
(CAPEX involved, Solution
Provider)
Financial gains
NPV, IRR and payback
period
25. In Closing
1. Let us leverage this increased interest in water for financially rational, low-regret, resilient
investments!
2. We’re here to help scope the solution space, for free.
3. Use our Market Intelligence Reports for capacity development and ideas.
4. Become a member today at no cost (open to all in the sector). Receive updates and
reports.
5. Send us your case studies and successful references for dissemination.
The strongest theme that has come up so far in all the interviews is that the water reuse intervention needs to make good business sense. It essentially all boils down to the numbers.
Closely hinged to the business case is the possibility of resource recovery. Most of the interviewees highlighted that resource recovery strengthened the business case and prompted industrial managers to invest in water reuse technologies
Some of the interviewees pointed out that policy and regulation had a role to play in arm twisting industrial companies but unfortunately industry has an option of only treating the effluent to compliance levels and discharging it (which many do).
Water Bill Savings and CSR do serve as a driver but to a lesser extent.
On the other side
One of the main challenges highlighted was “the lack of value for water” followed by other factors such as knowledge and awareness, funding, policy and the “yuck factor”.
The strongest theme that has come up so far in all the interviews is that the water reuse intervention needs to make good business sense. It essentially all boils down to the numbers.
Closely hinged to the business case is the possibility of resource recovery. Most of the interviewees highlighted that resource recovery strengthened the business case and prompted industrial managers to invest in water reuse technologies
Some of the interviewees pointed out that policy and regulation had a role to play in arm twisting industrial companies but unfortunately industry has an option of only treating the effluent to compliance levels and discharging it (which many do).
Water Bill Savings and CSR do serve as a driver but to a lesser extent.
On the other side
One of the main challenges highlighted was “the lack of value for water” followed by other factors such as knowledge and awareness, funding, policy and the “yuck factor”.
