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Cape Town agrees to press ahead with new stadium

11:44 AM CDT on Thursday, July 20, 2006

Associated Press

CAPE TOWN, South Africa – Cape Town authorities reluctantly agreed Thursday to the construction of a downtown stadium for the 2010 World Cup.

Mayor Helen Zille said construction of the 68,000-seat stadium would begin in January only if the national government guaranteed to pay a majority of the $420 million needed for the project.

"We can not end up with a situation like in Montreal when the grandchildren of the people who made the decisions for the 1976 Olympics are still paying the bill," Zille said.

Cape Town can only afford to pay $56 million toward the cost, Zille said.

Authorities hope the World Cup will contribute to the South African economy and create hundreds of thousands of new jobs in a country still trying to overcome the legacy of apartheid.

President Thabo Mbeki has repeatedly said that the first World Cup in Africa will be a symbol of the continent's renaissance.

The government has earmarked about $823 million for building and renovating 10 stadiums and $1.4 billion on upgrades to airports, roads and railway lines.

However, there has been speculation that the tournament may be moved because construction has barely started and South Africa's transport system may not be able to cope with the influx of visitors.

The government and FIFA have dismissed the rumors. Organizing chief Danny Jordaan insists everything is on schedule. Zille was more wary.

"The killer constraints are time and money," she said. "We have to start turning sods in January, otherwise we can't meet the time limit."

She said Cape Town – dubbed the Mother City and regarded as the jewel in South Africa's crown – would bid to host the opening match and a semifinal to justify the cost and capitalize on its stunning scenery.

Cape Town initially planned to host first and second-round matches at its Newlands rugby stadium, leaving Johannesburg to host the opening and final matches.

Other venues are Durban, the capital Pretoria, Polokwane, Nelspruit, Port Elizabeth and Bloemfontein.

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