"The MOU is aimed at establishing a framework for co-operation between the two governments on the basis of sustainable development addressing various themes in the field of water," the department said in a statement.
It was signed by Water and Environmental Affairs Minister Edna Molewa and her Dutch counterpart, Minister for the Environment Wilma Mansveld.
The signing took place during the 19th session of the Conference of the Parties (COP 19) in Poland.
The Netherlands currently contributed an estimated Euro 60 million (about R820m) for water projects in South Africa.
These projects generated around Euros 180 million (R2.46 billion) in investments in the water sector.
"It is expected that the Netherlands will maintain its focus on the water sector in South Africa in the coming years with the aim of increasing its scope," the department said.
"In addition to this investment the Dutch government has also demonstrated its firm commitment to international efforts to ensure water availability and provide protection against flooding."
The MOU would ensure co-operation on all aspects related to water resources management, including:
Molewa said the MOU was a framework which would underpin the strong ties that already existed between the countries' water sectors.
Source: Sapa
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