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It is widely acknowledged that the reason is because the Stadium has until now run at a heavy loss. Running costs are predicted to be R59 553 000 in the current financial year with expected income from Stadium and Park events R14-15 million (City News February 2013). Various attempts to find a financial model that turns this loss around have failed. Significant maintenance costs will also have to be added to the running costs as the Stadium ages.

In 2011 the City commissioned a Business Model Study by International Risk Mitigation Consultants (at a tender cost of R3 900 000 excl.VAT). It was finalised in March 2012. A summary Report version, 47 pages in length, was produced by the City Communications Department and published for public comment in November. See GPRRA website, and Public Information Summary and Public Information Summary and Report (2012).

The first stage of the process is an invitation from the City to register your interest in the matter and to solicit your approval in principle for the Report recommendation. The City will then seek a series of approvals for removing restrictions in order to implement that recommendation.

It is extremely important that we as citizens of Cape Town understand what is happening, make a conscious and active decision about the matter, and respond before the set date.  Not to do so, or to allow others to make the decision for us, would amount to a failure of controlling the future of not only a significant piece of public land but also of our own financial future as ratepayers.


More Articles:
The City’s public participation process
Position Statement of the GPRRA
The background to our Position Statement

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