Water risk is one of the most pressing challenges facing South African agriculture today. With climate change, infrastructure limitations, and policy uncertainty all playing a role, understanding and managing this risk is essential for long-term resilience.
With nearly two decades of experience in hydrology, climate change, and environmental water strategy, Dr. James Cullis delivered a compelling session on one of the most urgent issues facing South African agriculture: water risk. As Technical Director at Zutari and a recognised expert in water resource management across Africa, Australia, and New Zealand, Dr. Cullis provided attendees with a clear view of both the scale and complexity of the challenge ahead.
Understanding the Multidimensional Nature of Water Risk
Dr. Cullis emphasised that water risk is far more complex than simple drought or rainfall decline. It is a multidimensional challenge shaped by a combination of factors:
- Physical risk – including water scarcity, drought, and infrastructure failures
- Institutional risk – driven by weak governance, policy uncertainty, and delayed planning
- Reputational risk – the consequences of perceived or real mismanagement
A key insight shared was that while climate change is accelerating water-related risks, it is often poor infrastructure and delayed policy implementation that create the greatest vulnerabilities. In other words, the compounding nature of these risks makes proactive planning essential.
Key Considerations for Farmers and Policy Makers
Dr. Cullis outlined several strategic considerations to strengthen resilience in South African agriculture:
- Efficiency is non-negotiable – Future agricultural expansion must rely on smarter, more efficient water use rather than simply tapping new resources.
- Dryland farming is increasingly vulnerable – Farms without irrigation are particularly exposed to drought-related challenges.
- Water storage is critical – While plans to increase storage capacity exist, implementation delays continue to undermine resilience.
- Licensing reforms are lagging – Water use licences are being issued conservatively, and unresolved tensions between rights, equity (BEE), and economic growth complicate the situation.
- Water-sensitive systems are essential – South Africa must evolve into a nation of water-sensitive cities, farms, and businesses.
A Systems Approach to Water Risk
According to Dr. Cullis, managing water risk successfully requires a systems-level perspective. This involves balancing engineering solutions, clear and timely policy, and efficient on-farm water management practices. By integrating these elements, South African agriculture can better navigate the intertwined physical, institutional, and reputational challenges it faces.
Practical strategies exist that can help farmers and agricultural businesses manage water risk more effectively. These include investing in precision irrigation technologies, implementing rainwater capture systems, and rehabilitating or upgrading existing infrastructure to minimise water losses. Collaboration across the sector is also critical—farmers, municipalities, and policymakers must work together to create integrated plans that anticipate and mitigate risks before they escalate. Lessons from countries such as Australia and New Zealand show that proactive water policies and strategic infrastructure investments can significantly reduce vulnerability. Adapting these approaches to South Africa’s unique conditions can strengthen resilience, ensuring that agricultural production remains sustainable even in the face of climate variability and growing water pressures.
The session served as a crucial reminder that water risk is not a distant threat—it is a present reality requiring immediate, coordinated action. For farmers, policymakers, and businesses alike, proactive water management isn’t just an operational priority; it is a strategic necessity for long-term resilience.
Get in touch
At Pinion SA, we partner with clients to deliver a comprehensive suite of services, including tax, business and agri-consulting, advisory, wealth management, and compliance solutions to meet all your business support needs. Our core values of Accountability, Excellence, and Innovation drive everything we do, ensuring that you receive the highest level of service and expertise.
Visit our website and see more about what we offer or contact info@pinionza.com for more information.