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NamWater Asset Revaluation

Project Description





NamWater wished to examine the implications of changing from a Cost Model to a Revaluation Model for the valuation of its assets and to determine what impact this will have on their provision for annual depreciation, which by extension, will impact on water tariffs if water is sold at cost recovery rates. LCE, together with Clinkscales Maughan-Brown and ENVES, was appointed by NamWater for the consulting services required, including the calculation of estimated fair values for NamWater’s boreholes, canals, pipelines and reservoirs. This entailed the calculation of new replacement values for 2,029 assets, valued at over N$ 11 billion, depreciated over the applicable lifespan(s) of the assets. The outcomes of these analyses were summarised in a report and presented to NamWater. NamWater was also provided with a custom-created software program, written in C#, to enable them to easily conduct future revaluations with updated input data.

Location: Windhoek

Completion: 2013