Sanitech – South Africa’s largest integrated hygiene and sanitation solution company and first portable toilet hire company – recently celebrated its 50th anniversary. Kirsten Kelly interviews the company’s managing director, Robert Erasmus about Sanitech’s growth.

How did Sanitech start?

Robert: The Sanitech name was registered in 1974 by Grant Murray in KwaZulu-Natal. Initially, it was a small plumbing business, but Murray quickly identified a market for portable sanitation services.

Over the years, Sanitech expanded, albeit on a limited scale, by partnering with various agents. In the 1990s and early 2000s, private equity ownership drove further growth. Then in 2007, Sanitech became part of the Waco International Group.

Why did Waco buy Sanitech?

At the time of the acquisition, Sanitech was a construction-centric business, so there was an overlap of the customer base of Sanitech and other Waco businesses like Formscaff and SGB Cape. Sanitech also had a rental-type business model, similar to the likes of Formscaff.

As Sanitech was initially mostly a Kwa-Zulu Natal business, the Waco International Group gave the company a wider footprint through leveraging off Formscaff and SGB’s existing branch network around the country where we expanded from eight locations to 24. Today, Sanitech even have branches in Namibia and Mozambique.

How has Sanitech changed?

We have undergone significant changes since the acquisition. Over the years, while Sanitech has continued to service the construction sector, we also work within the mining, industrial, municipal, agriculture and event industries. We have expanded our service offering to wastewater treatment plants, hygiene and cleaning solutions, septic tank servicing and pest management. Today, Sanitech employs over 3 000 people, which is a substantial increase from 350 people in 2008.

I joined Sanitech in 2008 and my role was to transform Sanitech into a corporate entity aligned with WACO International’s standards in health, safety, policies and procedures. This marked the beginning of Sanitech’s efforts to attain our various ISO accreditations.

We first achieved ISO 45001: Occupational health and safety, followed by ISO 14001 Environmental; and then 9001: Quality. Most recently, we have achieved ISO 22000: Food safety for Gauteng and we intend to extend this accreditation nationally.

This is a long journey, especially for a company that has branches throughout the country. But it is incredibly important for us to have these certifications.

Why are ISO certifications important?

Waco International has always had an exceptionally strong health and safety culture, so this was embraced by Sanitech after the acquisition.

ISO accreditation is a strategic investment that empowers businesses to enhance their competitiveness, mitigate risks, and seize new market opportunities.

By adhering to globally recognised standards, organisations can build trust, streamline operations, and achieve sustainable growth. While the initial outlay may seem substantial, the long-term returns in terms of efficiency, customer satisfaction, and regulatory compliance far exceed the costs.

Our ISO accreditations are important to our customers, particularly those in the mining and industrial sectors. Using companies like Sanitech that are ISO accredited mitigates risk.

What inspired the wastewater treatment side of the business?

This does tie into the environmental accreditation. We are a compliant company and committed to discharging all the waste from our portable toilets according to local regulation. In certain areas, we had to travel long distances to dispose of the waste, making it a costly undertaking. Furthermore, the discharge rates from the municipalities can be extremely high.

We have therefore set up three wastewater treatment plants in Steelpoort, Secunda and Witbank to counteract this cost. These plants have been so successful that we have decided to add mobile and modular wastewater treatment plants to our sanitation service offering and have some clients in the industrial, mining and food processing sectors.

Part of this success lies in the fact that while the technology is sourced from a global company, we make sure that most of the mechanical items of the plant – like pumps and pipes – are sourced locally. This makes maintenance and any repair requirements less costly and reduces downtime.

These decentralised wastewater treatment plants play a pivotal role in supporting our customers in achieving the environmental objectives of their Environmental, Social, and Governance (ESG) goals. The plants minimise a company’s environmental impact associated with waste transportation and presents opportunities for water reuse that reduces water demand and effluent discharge – creating a dual benefit for businesses through cost reduction and compliance.

Can you talk about some of the challenges that Sanitech experiences?

It is difficult to achieve organic growth when South Africa is experiencing a prolonged period of slow or stagnant growth. In order to win new business, many service providers are lowering their margins, which has a negative impact on service levels or even a risk of failing to fulfil a contract.

While Sanitech endeavours to lower its operating costs and pass on these savings to its customers, we are not willing to compromise on our service levels as well as our health, safety and environmental commitments. We will therefore not always be the cheapest supplier.

What has remained the same in Sanitech?

We have always been an innovative company and are willing to challenge the status quo or try something new to help our clients.

A product is only a tiny part of an innovation, there many types of innovation, from quoting and invoicing methods to the ability for customers to login to their own account via the customer portal. Some of our other innovations include electric vehicles, the Khusela Dry Sanitation Unit, toilets for the mining industry and an automated scrubber drier. Our vision is to use innovation to improve compliance, convenience and peace of mind for our customers. Our innovative offering is one of our key differentiators in the market.

What excites you about Sanitech?

The growing emphasis on ESG, our new service offerings around supporting the ESG goals of our clients and the positive feedback we have received from our customers, reflecting a shared commitment to sustainability and social responsibility. Our customers want to reduce their water usage, have chemicals that are not harmful to the environment and prioritise the health and wellbeing of people. By aligning our services with these priorities, we not only support our clients in meeting their ESG commitments but also contribute to creating a more sustainable and responsible future.