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Drakenstein Municipality Asset Management Programme
Better asset management optimises municipal service delivery
The Drakenstein Local Municipality has to manage large portfolios of infrastructure assets, and is confronted with the challenge of optimising levels, risk and expenditure for all its assets over the entire asset life cycle, with continually tightening budgetary constraints.
The municipality delivers infrastructure support services to well over a quarter of a million people, with an infrastructure asset portfolio comprising more than 32 000 individual infrastructure assets.
With the objective to have an optimised decision-modelling environment that would enable them to maintain a balance between their fiscal responsibility and priorities for service delivery, the municipality appointed Zutari to develop a full asset management programme.
A model was developed based on asset portfolio optimisation models typically used to plan rehabilitation and renewal programmes for road networks. The model was extended to cover all the other infrastructure categories managed by the municipality, such as stormwater, water supply, sanitation, solid waste and electricity.
The sophisticated risk model considers the social, environmental and economic risks associated with infrastructure services to prioritise capital renewal interventions.
With the objective to have an optimised decision-modelling environment that would enable them to maintain a balance between their fiscal responsibility and priorities for service delivery
The municipality was able to develop a model that assists in optimising service delivery and minimising risk to prioritise capital renewal projects within set budgetary restrictions. Return on infrastructure investment was maximised by limiting spending of funds to areas the municipality benefit from the most.
Zutari also assisted with communicating the implications of funding decisions on service delivery over the long term to technical and non-technical stakeholders.
*The Aurecon Africa business has been officially renamed Zutari as at 21 July 2020. Zutari acquired Aurecon Middle East on 20 November 2020.