Funding headache looms for 2010
Funding shortfalls of millions of rand are the primary concern for South African cities that are hoping to be a part of the greatest show on earth, the 2010 Soccer World Cup.
A parliamentary sport committee heard on Tuesday that among the reasons given for the country's soaring stadium costs are exchange rate fluctuations, inflation, and ballooning input costs connected to a scarcity of skilled manpower and building materials.
Cape Town's 2010 administrator Mike Marsden told AFP: "There is a big funding gap.
"While host cities will be engaging in all ways possible to reduce the gap, there will still be a residual gap that we have to engage (national) treasury about."
Marsden said extravagant construction tendering was the major cause of Cape Town's current shortfall of about R1.258-billion.
The estimated cost of Cape Town's yet to be constructed stadium has risen from R2.5-billion to over R3.7-billion.
The funding shortfall in Durban is currently at R600-million, while the Nelson Mandela Bay Municipality say they are R262-million short.
2010 programme head for Durban, Julie-May Ellingson said: "There is strong competition for resources in the construction industry."
Ellingson added that Durban's costs have grown because of a shortage of skilled construction staff and the limited availability of heavy duty construction equipment such as large building cranes.
The national treasury has provided R15-billion for the country's World Cup preparations with R12-billion of this amount meant for the refurbishment and construction of new stadiums.