What Are Water Rights?
Water rights determine how much water you can take from rivers, boreholes, dams, or underground sources. In South Africa, all water belongs to the state. The Department of Water and Sanitation (DWS) controls who can use water, how much, and for what purpose.
If you buy a farm without verified water rights, you may not be able to irrigate. This is one of the most important checks before signing an offer.
The National Water Act (Act 36 of 1998)
The National Water Act is the main law governing water use in South Africa. It replaced the old Water Act of 1956 and introduced major changes:
- No permanent right to use water exists anymore. All water use authorizations have a limited duration.
- Surface water and groundwater have the same status. There is no such thing as “private water” underground.
- Eleven separate water uses need specific authorization under Section 21 of the Act.
The Act applies to all nine provinces. In the Western Cape, the Breede-Gouritz Catchment Management Agency (BGCMA) and the Berg-Olifants Catchment Management Agency manage water resources in their areas.
Types of Water Use Authorization
1. Schedule 1 Water Use (No License Required)
Schedule 1 allows water use without any application or registration. It covers:
- Taking water from any source for reasonable domestic use in your household
- Small-scale gardening (not for commercial purposes)
- Watering livestock that graze on the land (within the carrying capacity of the property)
- Storing and using rainwater from a roof (rainwater harvesting)
- Emergency uses like firefighting
- Recreational uses like swimming and angling
A catchment management agency can limit Schedule 1 water use in specific areas.
2. Existing Lawful Use
If a farm was using water before the National Water Act came into effect in 1998, that use can continue under the same conditions until compulsory licensing is introduced in that catchment. The water use must be registered with DWS.
When buying a farm, check whether the water use is registered as an existing lawful use. If it is not registered, the use may not be protected.
3. General Authorisations
General authorisations allow water use without a license, provided the use stays within certain limits. These are published in the Government Gazette and cover specific areas and types of water use.
Water users under a general authorization must register their use with DWS.
4. Water Use Licenses
Any new water use that does not fall under Schedule 1, existing lawful use, or a general authorization requires a water use license. This applies to:
- Taking water from rivers, boreholes, or dams for irrigation
- Storing water in farm dams
- Irrigating land
- Discharging waste into water sources
Water use licenses are issued for a fixed period, typically 5 to 30 years. They come with conditions about how much water can be used and how.
What to Check When Buying a Farm
1. Verify the Water Rights
Ask the seller for copies of all water use authorizations. Check:
- What type of authorization applies (Schedule 1, existing lawful use, general authorization, or license)
- How much water is authorized (in cubic meters per year or megaliters)
- What the water can be used for (irrigation, livestock, domestic)
- When the authorization expires
- Whether the authorization is registered with DWS
2. Check Borehole Capacity
If the farm uses borehole water, check:
- How many boreholes exist on the property
- What yield each borehole produces (measured in cubic meters per hour)
- The depth of the boreholes
- Whether boreholes are registered with DWS
- The condition of pumps and infrastructure
3. Assess Irrigation Infrastructure
Check the condition and capacity of:
- Dams (wall condition, storage capacity, silt levels)
- Canals and pipelines
- Pump stations
- Irrigation systems (drip, sprinkler, flood)
4. Verify River Allocations
If the farm draws water from a river:
- Confirm the allocation with the relevant catchment management agency
- Check whether the allocation is scheduled (allocated specific times and volumes)
- Verify that infrastructure (weirs, pumps, canals) is in good condition
5. Water Quality
In some areas, water quality affects what you can farm. Check:
- Salinity levels (high salt content limits crop options)
- Alkalinity
- Presence of contaminants
- Whether the water is suitable for your intended farming activity
Western Cape Water Resources
The Western Cape has several major water sources:
Berg River System
The Berg River supplies water to the West Coast, including Malmesbury, Darling, and Moorreesburg. The Berg River Dam and Voelvlei Dam are key storage facilities. The area is over-allocated, meaning more water has been promised than is reliably available.
Breede River System
The Breede River supplies the Breede Valley, including Robertson, Worcester, and Villiersdorp. The river system supports significant irrigation farming, especially vineyards and fruit orchards.
Olifants River System
The Olifants River supplies the Cederberg and West Coast regions. It supports citrus farming and other irrigated agriculture.
Sundays River System
The Sundays River supplies the Addo and Kirkwood areas, supporting citrus and other fruit farming.
Water Rights and Farm Values
Water rights directly affect farm values. A farm with secure, adequate water rights is worth more than a farm with limited or uncertain water access. Key factors:
- Volume: How much water is authorized (more water equals higher value)
- Reliability: Is the water source reliable through drought years?
- Type: River water, borehole water, or dam water each have different reliability profiles
- Infrastructure: Existing irrigation infrastructure adds value
- Transferability: Can the water rights transfer to a new owner?
Common Problems
1. Unregistered Water Use
Some farms use water without proper registration. This is risky. If DWS conducts a compulsory licensing process in that area, unregistered users may lose their water access.
2. Expired Licenses
Water use licenses expire. Check the expiry date and whether renewal applications have been submitted. Expired licenses may mean the farm cannot legally irrigate.
3. Over-Allocation
Some water management areas are over-allocated. This means more water has been promised than is available. In drought years, allocations may be reduced.
4. Water Quality Issues
Salinity, acidity, or contamination can limit what you can farm. Test water quality before buying.
What We Do at AgriFarms
At AgriFarms, we verify water rights for every property we list. We check registration status with DWS, authorization type and volume, expiry dates and renewal status, borehole yields and condition, irrigation infrastructure, and water quality where relevant.
This protects our buyers. We will not list a property without clear water rights documentation.
Contact Us
If you have questions about water rights on a specific property, contact us:
- Andre Halvorsen: 083 261 7573
- Rudolf Knoetzen: 073 143 9530
- Email: [email protected]