Strange? Coca-Cola is funding a project which will now make people in South Africa drink water instead
Sounds strange; Coca-Cola is funding a project to make South Africans drink water.
Following a meeting with President Cyril Ramaphosa, the Coca-Cola system has pledged 500 million Rands in public-private partnership aimed at helping address South Africa’s growing water infrastructure challenges and strengthening long-term water security.
This non-revenue water (NRW) initiative was developed in collaboration with Coca-Cola Beverages Africa and the World Bank 2030 Water Resources Group (2030 WRG).
The WB Water Resources Group received funding from The Coca-Cola Foundation – the Platform for a Water Secure Gauteng, the Department of Water and Sanitation (DWS), Rand Water Services, Global Water Challenge (GWC), and the City of Pretoria (Tshwane).
It forms part of the Coca-Cola system’s Africa Water Stewardship Initiative and aims to reduce municipal water and revenue losses due to leaks, while unlocking scalable private sector investment in public water systems.
South Africa currently loses an estimated 47 percent of treated water through leaks, aging infrastructure, and other non-revenue water losses. The initiative directly complements efforts under the National Water Action Plan to improve municipal water delivery, strengthen operational efficiency, and accelerate investment into critical infrastructure.
“Water security is fundamental to South Africa’s economic growth, community resilience, and long-term sustainability,” said Luis Felipe Avellar, President of The Coca-Cola Company’s Africa operating unit.
“Beyond its direct impact, the initiative demonstrates how collaborative action can help attract private investment and address critical water sector challenges. It supports the objectives of the National Water Action Plan and provides a scalable, catalytic model that could be replicated across South Africa.”
“This creates an important model for how public and private sector can work together to address infrastructure challenges at scale,” said Sunil Gupta, Chief Executive Officer, Coca-Cola Beverages Africa. “We are committed to being part of the solution through partnerships that strengthen infrastructure resilience and water stewardship.”
The initiative, which follows the recent announcement of a planned 17.6 billion Rands’ investment in South Africa through 2030 by the Coca-Cola system, will initially focus on targeted operational and infrastructure interventions in Gauteng, with phase one commencing in the City of Tshwane municipal system.
Early implementation efforts will focus on leak reduction through pressure management and the installation of infrastructure to improve industrial effluent monitoring and accountability.
This creates an important model for how public and private sector can work together to address infrastructure challenges at scale
“Government welcomes partnerships that support our national commitment to improving water security and municipal service delivery,” said Hon Pemmy Majodina, Minister of Water and Sanitation.
“Addressing non-revenue water losses is essential to ensuring sustainable access to water for communities, industry, and future economic growth. Through the work of the National Water Crisis Committee, we continue to drive collaborative solutions that strengthen municipal capacity and accelerate progress in addressing critical water challenges. This initiative demonstrates the value of partnership across government, business, and development partners in advancing a shared national priority.”
The programme also forms part of the Coca-Cola system’s longer-term water replenishment and sustainability goals. Between 2026 and 2031, the initiative aims to mobilize 250 million Rands in investment, matched by Public Sector partners, resulting in a combined 500 million Rands toward Gauteng municipal water infrastructure and Non-Revenue Water reduction initiatives.
The innovative mechanism addresses a significant structural gap in South Africa’s water sector by creating a platform for private sector participation in municipal water infrastructure investment.
“The World Bank Group, as part of our Water Strategy Implementation Plan Water Resources Group (WRG 2030), fully supports collaborative mechanisms that can mobilize investment, technical expertise, and operational capability toward critical development priorities,” said Lubabalo Luyaba, Senior Water Specialist at the World Bank Group.
“The NRW programme is a practical demonstration of the municipal trading services reforms agenda, showing how alternative service delivery mechanisms can be used to improve infrastructure performance, reduce water losses, and strengthen the financial sustainability of municipalities.”
Coca-Cola HBC, which has agreed to acquire a majority stake in Coca-Cola Beverages Africa, also supports the effort. Zoran Bogdanovic, CEO of Coca-Cola HBC, said: “This is a very important initiative, and it’s inspiring to see government, business and development partners come together to make a real difference for communities. We look forward to continuing to help build water security across Africa.”
The collaboration is expected to expand into additional municipalities over time, creating a broader framework for infrastructure recovery.