A regional project serving South African demand
The Department of Water and Sanitation’s July 2025 budget vote placed the Lesotho Highlands Water Project Phase II at approximately 50 percent completion. It gave a planned 2029 completion and an estimated cost of about R53 billion. The programme, centred on Polihali Dam and transfer infrastructure, is intended to augment the Vaal River system that supplies Gauteng and parts of Mpumalanga, the Free State, North West and Northern Cape.
Halfway needs a defined measurement
A percentage on a complex water project may reflect weighted work packages, expenditure or an overall schedule assessment. Dam works, tunnels, roads, bridges, power and environmental obligations do not advance at the same rate. A useful progress report explains the basis of the number and lists the controlling packages. That lets the public distinguish substantial physical progress from an average that may conceal an early-stage critical component.
The transfer system must operate as one asset
Stored water delivers value only when intakes, tunnels, outlets, controls and downstream infrastructure work together. Interfaces between contracts need common survey data, design criteria and commissioning sequences. An apparently finished dam wall does not establish that water can be transferred safely. Integrated testing, emergency procedures and operating agreements are necessary before additional yield can be counted as available supply.
Construction changes local landscapes
Large reservoirs and access works affect land, roads, livelihoods and ecosystems. Compensation, relocation and restoration commitments should be reported with the same discipline as concrete and excavation. These are not optional additions to engineering progress. They form part of lawful project delivery and can affect programme risk if unresolved. Public updates should identify completed actions and outstanding obligations without reducing communities to a single consultation total.
The Vaal system still needs demand management
Additional transfer capacity can strengthen regional supply, but it does not remove leakage, pollution or operating constraints inside receiving networks. Gauteng’s municipalities and other users need to maintain infrastructure and reduce avoidable loss before and after Phase II. Supply augmentation and demand management should be reported as connected strategies rather than allowing a future project to excuse present network failures.
2029 is a system commissioning date
The planned completion year should be tied to the milestone at which the full transfer system is commissioned. Individual contracts may finish earlier and carry their own defects periods. Later updates should separate physical completion, impoundment, tunnel readiness and operational transfer. Cost reporting should also state currency assumptions and the reporting date because a long, cross-border programme is exposed to inflation and exchange movements.
The next public checkpoint
Future updates should provide package-level physical progress, current forecast dates and the basis of the overall percentage. They should explain readiness for impoundment and integrated transfer testing, as well as land and environmental commitments. South African reporting should show how downstream Vaal infrastructure and municipal loss-reduction work prepare for the additional water.
What the official record establishes
The approximately 50 percent figure, R53 billion estimate, 2029 date and supply-area description come from the Water and Sanitation budget vote of 9 July 2025. The 2026 State of the Nation Address later confirmed that Phase II was advancing. These are dated official statements and should be updated when a newer project schedule is published.
Sources
- Water and Sanitation Budget Vote 2025/26 — Department of Water and Sanitation
- State of the Nation Address 2026 — The Presidency



