AFP

Taxpayers could foot the bill for a R120 million upgrade at Cape Town Stadium to lure WP rugby from Newlands.

The City of Cape Town would have to pay about R120 million to lure the Western Province Rugby Union (WPRU) to Cape Town Stadium from Newlands and might have to upgrade areas, from the kitchens to the corporate suites.

And the public could be paying through the nose over the next five years as the Cape Town Stadium management has requested a total of R224m, including the R120m, in additional funding for the stadium.

The details of the proposals are outlined in a document titled the “Cape Town Stadium Proposed Capital Budget Requests 2012/13 to 2016/17”.

The document, tabled at the council’s portfolio committee on events, marketing and tourism, illustrates 27 capital expenses that might be required of the city until 2017.

These include:

*R120m for the “construction and basic fit out of additional suites”;

*R10m for the “relocation of the visitors’ centre and restaurant”;

*R4m to upgrade and replace turnstiles;

*R3m for the “appointment of consultants/professional team” for projects;

*R10m for “multi-media”;

*R500 000 for tiling;

*R800 000 for kitchen designs.

The report says: “The investigation by the business analyst has not yet been concluded and additional items may be requested upon conclusion of the proposed strategy. The final proposals regarding the preferred management and business model will only be forthcoming by end November.”

The biggest capital budget requests are linked to the relocation of the WPRU from Newlands to Green Point.

The union has said one of its biggest problems with Cape Town Stadium is the lack of hospitality suites.

Newlands boasts 300 corporate suites, according to Western Province Rugby chief executive Theuns Roodman, compared with about 100 at Cape Town Stadium.

The report reads: “The construction of additional suites is a critical request in the city’s negotiations with WP Rugby. This presents a deal breaker to attracting a significant anchor tenant.”

The stadium management proposes that R10m be budgeted for 2012/13, rising to R55m for 2013/14 and another R55m in 2014/15.

Roodman said the union had not calculated any figures and the city’s proposed estimate was its own.

“That stuff they will have to deal with themselves. So we’ve really got no comment, except to say that we are in talks with them,” he said.

Grant Pascoe, the mayoral committee member for tourism, events and marketing, said talks with WP Rugby were continuing and the requests tabled were broad estimates.

Some other costs would have been carried by former operator Sail Stade de France.

“With the termination of this relationship, plans for further spectator and user developments and enhancements were also terminated. A team from the city was tasked to manage the Cape Town Stadium for the foreseeable future and in order to increase the functionality, utilisation and revenue streams, a few of the most critical developments and enhancements are now required to be reactivated (like) the visitor centre, kiosks, kitchen and conference centre,” Pascoe said.

The stadium had the potential to run at a profit or at least cover its operational costs.

Councillor Yagyah Adams, who attended the meeting, said the details in the report were a “fait accompli”.

“Why do you want to appoint consultants for R3m when you have stadium officials?” Adams asked.

He said the price tag “for experiencing the Soccer World Cup 2010 gees continues to haunt Cape Town” as the cost of the stadium kept escalating. – Cape Times

babalo.ndenze@inl.co.za