Question NW1262 to the Minister of Cooperative Governance and Traditional Affairs

Reply:

a) GREEN POINT STADIUM

The information was provided by the Provincial Department of Local Government in the Western Cape.

(i) (aa) Number of events held over the past three financial years:

	July 2013 – June 2014	July 2014 – June 2015	July 2015 – June 2016
TOTAL	104	118	117

(bb) What events were held over the past three financial years:

	July 2013 – June 2014	July 2014 – June 2015	July 2015 – June 2016
Concerts	3	7	2
Film Shoots	42	30	39
Sporting Events	27	34	34
Religious Events	0	2	3
Corporate Events	32	45	39
TOTAL	104	118	117

(ii) Total operational costs in 2013/14, 2014/15, 2015/16. This expenditure is recovered from the event organisers.

 

	2013 – 2014	Total R	2014 – 2015	Total R	2015 – 2016	Total R
Concerts	3	R1,867,060	7	R3512,211	2	R1,047,834
Film Shoots	42	R271,171	30	R489,115	39	R203,480
Sporting Events	27	R120,775	34	R2,698,085	34	R6,346,455
Religious Events	0	0	2	R688,580	3	R1,298,492
Corporate Events	32	R516,802	45	R1,065,230	39	R779,960
TOTAL	104	R2,775,808	118	R8,453,221	117	R9,676,221

(ii) Revenue in 2013/14, 2014/15, 2015/16

	2013 – 2014	Total R	2014 – 2015	Total R	2015 – 2016	Total R
Concerts	3	R3,578,252	7	R5,421,051	2	R123,022
Film Shoots	42	R1,229,604	30	R1,433,825	39	R789,539
Sporting Events	27	R2,295,849	34	R5,510,302	34	R9,798,168
Religious Events	0	0	2	R1,022,785	3	R2,132,795
Corporate Events	32	R1,375,792	45	R2,459,238	39	R1,103,524
TOTAL	104	R8,479,497	118	R15,847,200	117	R13,947,048

(iv) Maintenance costs in 2013/14, 2014/15, 2015/16

The information requested is not recorded per event.

(v) The Stadium is fully operational and the intention is to establish a Municipal Entity which will become operational on 1 February 2018.

(b) MBOMBELA STADIUM

The City of Mbombela Local Municipality was contacted to provide a response to the above with particular reference to the Mbombela Stadium.

The response from the Municipality to the above-mentioned questions regarding the Mbombela Stadium is as follows:

(i) Number of events held

March 2014 – Feb 2015

Inside Bowl – Sport Events

• 21 Football
• 13 Rugby

Non- sport events

• 196 Events (Ranging from small meetings with no income or costs to large events attended by 55 000 persons)

March 2015-Feb 2016

Inside Bowl- Sport Events

• 19 Football
• 8 Rugby

Non- sport events (Small meetings, conference etc)

• 232 Events (Ranging from small meetings with no income or costs to large events attended by 55 000 persons)

March 2016-Feb 2017

Inside Bowl – Sport Events:

• 10 Football Matches
• 11 Rugby Matches

Non- sport events (Small meetings, conference etc)

• 223 Events ((Ranging from small meetings with no income or costs to large events attended by 55 000 persons)

(ii) Total operational costs

2014/15	2015/16	2016/17
R13,219,496.81	R9,232,754.21	R6,189,906.69

(iii) Revenue

2014/15	2015/16	2016/17
R14,194,076.22	R10,268,543.99	R 9,188,502.25

(iv) Maintenance costs

2014/15	2015/16	2016/17
R15,278,337.57	R13,481,344.75	R9,899,012.22

(v) The facility is being managed by a private operator in close cooperation with the City of Mbombela. The operator is responsible for the daily management of the facility and receives a monthly management fee from the municipality. The City is kept informed of the activities at the Stadium. Events are hosted on a self- sustaining basis. Small non- profitable events are being cross subsidised by the income from large profitable events. The facility is being managed with a strong focus on community accessibility and not only on a commercial basis. Much less activities would be hosted if profit was the only consideration. In addition to commercial activities the facility is being used on a daily basis by the local marathon, cycling, junior wrestling, local football clubs etc.

It is ideal to have football and rugby anchor tenants at the stadium as a platform to sell hospitality suites, advertising, naming rights etc.

The Steval Pumas, being a Rugby Team participating in the Premier Division of the Currie Cup Competition is based at the Stadium. The team plays all its Currie Cup home matches at the stadium. Four International Rugby matches have been hosted at the stadium since 2010 and the stadium has been included in the 2023 Rugby World Cup Bid Document that will be submitted to the IRB on 1 June 2017.

The previous football anchor tenant at the stadium namely Mpumalanga Black Aces FC was sold and the club has been relocated to Cape Town and is playing under a new name, Cape Town City FC. SuperSport United FC has entered into a three-year agreement with the City of Mbombela and Mbombela Stadium to play their top home matches as well as cup games at the Mbombela Stadium.

Annual provision is made on the municipality`s budget for the maintenance of the facility.