Free State bidder scores tender
The Mangaung Local Municipality awarded RMIP Joint Venture as the successful bidder for the upgrading of the Free State Stadium for the 2010 Fifa World Cup last Thursday.
Chief executive of Mangaung 2010 George Mohlakoana said that of the three bidders the one that met the technical requirements had been chosen.
He said the upgrading of the stadium would begin in earnest this month, and in terms of the agreement based on Fifa requirements they were expecting completion of the stadium in August next year, four months ahead of the Fifa deadline.
He said they would have started construction in June - ahead of schedule - but he cited the available budget as the main factor that caused a delay in the upgrading.
An amount of R241million was initially budgeted for the revamping of the facility, but the "best construction price offered was R266million, which was 35percent higher than the approved budget. The second price obtained was R252million, still 25 percent higher than the approved budget", he said.
Mohlakoana said the budget implication meant an increase in municipal rates of 20percent for Mangaung to cover the shortfall "which was not a viable option".
Mangaung engaged other stakeholders and after intensive consultation with them a revised budget of R305,5million was approved for construction.
The stadium will be upgraded from a current seating capacity of 38000 to 46000.