DEPARTMENT OF SPORT AND RECREATION SOUTH AFRICA: PRESENTATION TO THE PORTFOLIO COMMITTEE ON FINANCE ON THE 2010 FIFA WORLD CUP STADIUMS DEVELOPMENT GRANT
INTRODUCTION
·
Thank you for the opportunity to make this
presentation to the Portfolio Committee on Finance
·
Brief of the Department
·
2010 FIFA World Cup
2010 FIFA WORLD CUP
|
Municipality |
Allocation 2007/08 |
Transferred YTD |
Withdrawal Request October 07 |
Withdrawal Request January 08 |
Proposed Allocation 2007/08 |
Difference 2007/08 |
|
|
(R’000) |
(R’000) |
(R’000) |
(R’000) |
(R’000) |
(R’000) |
|
Nelson Mandela |
434,715 |
0 |
76,926 |
475,970 |
552,896 |
118,181 |
|
Mangaung |
105,663 |
0 |
11 ,958 |
98,255 |
110,213 |
4,550 |
|
Ellis Park |
146,158 |
0 |
22,356 |
99,788 |
122,144 |
-24,014 |
|
Soccer City |
339,499 |
374,959 |
400,188 |
147,518 |
922,665 |
583,165 |
|
City of Tshwane |
52,778 |
0 |
0 |
52,778 |
52,778 |
0 |
|
eThekwini |
391,905 |
391,905 |
362,241 |
57,183 |
811,329 |
419,424 |
|
Polokwane |
333,321 |
140,874 |
92,607 |
380,118 |
613,599 |
280,279 |
|
Mbombela |
389,644 |
151,729 |
14,142 |
304,044 |
469,915 |
80,272 |
|
Rustenburg |
72,215 |
0 |
0 |
72,214 |
72,214 |
0 |
|
City of Cape Town |
434,104 |
83,200 |
0 |
794,047 |
877,248 |
443,144 |
|
|
2,700,000 |
1,142,667 |
980,417 |
2,481,915 |
4,605,000 |
1,905,000 |
·
Why the adjustment?
-
Differences between planning phase and construction
phase.
Construction programmes of host cities took off faster
than anticipated.
"Higher burn rate" leading to actual
cash-flows demands being higher at project conception
·
Key procurement decisions made and to tie suppliers to
particular prices.
·
Material availability - endeavour to complete
construction ahead of schedule, wherever possible.
·
Limit cost escalations.
·
Deal with lead times.