Municipality demands contractor pay for delays to Limpopo stadium

Work on the Tshivhuyuni Sports Facility in Limpopo started in August 2023, but the stadium remains incomplete. Now the Makhado Municipality wants the contractor to pay for each day the project has been delayed. Photos: Thembi Siaga

• The Makhado Municipality is penalising a tardy contractor for each day he missed the deadline to complete the construction of a R17-million stadium in Limpopo.
• Work on the Tshivhuyuni Sports Facility started in August 2023, with a six-month deadline. When this date came and went, the municipality set another deadline for June this year. But the stadium remains incomplete.
• To date, the municipality has spent R10.4-million on the project. Only 58% of the project has been completed.
• Workers at the site say they downed tools for a couple of weeks earlier this year, claiming the company had not paid them.

The Makhado Municipality is going after a tardy contractor to recover some funds after the company has taken more than a year to build a multi-million-rand stadium in Limpopo.

The contractor, Gombameni Risk and Event Management, was awarded the contract to build the Tshivhuyuni Sports Facility at a cost of R17-million. Work started in August 2023, and was meant to be completed within six months. When this date came and went, the municipality set another deadline for June this year. But the stadium remains incomplete.

The facility is expected to benefit more than 3,000 households in and around the Tshivhuyuni community which is about 35km south-east of Louis Trichardt.

Last week, dozens of residents gathered at Tshivhuyuni Community Hall to demand answers from the contractor and a few workers who were still on site. When we arrived, it was evident that several structures were incomplete, including the spectator stands, toilets, fencing and some buildings on the site.

On Tuesday 17 September, the Makhado Municipality told GroundUp that when the contractor did not meet the revised deadline in June, officials decided to impose penalties on the contractor. These penalties require the contractor to pay a specified amount of money to the municipality for each day the project has been delayed, the municipality said.

To date, the municipality has spent R10.4-million on the project, which is currently 58% complete.

The contractor’s scope of work includes establishing a water reticulation network, constructing a soccer pitch, rugby field, change rooms, a guardhouse and entrance, perimeter fence and gate, and a steel grandstand, among other features. Once complete, the sports facility will also include an outdoor gym area.

Workers at the site told GroundUp that they had downed tools since July and only returned on 13 August due to unpaid wages. Some workers claim they haven’t been paid for seven months. “Some of us have left our jobs because we weren’t getting paid. We had to take care of our children,” said a worker who asked not to be named. The workers were paid two days after GroundUp visited the site.

According to residents, the sports facility is crucial for their community. The only other stadium in the area is run down and dusty.

“We were expecting the stadium to be completed so that several villages under Tshivhuyuni could benefit,” said local soccer player, Rinae Mulaudzi. He said there are local teams that participate in the prestigious ABC Motsepe League and this stadium would be a great place for the players to showcase their talent.

After the meeting with the community last week, GroundUp approached Thomas Muluvhu, the managing director of Gombameni Risk and Event Management, but he refused to comment. We phoned Muluvhu on Friday and he hung up on us. All subsequent phone calls and messages to him have gone unanswered.

Makhado Municipality spokesperson Mpho Rathando said that officials are in talks with the contractor to work out a “catch-up plan” given the penalties now imposed. He did not specify how much the contractor would have to pay back.

“This plan would outline a revised timeline for the project’s completion. The funds spent on the project so far correspond to the current 58% construction progress,” said Rathando.

The municipality says R10-million has been spent on this site.

© 2024 GroundUp. This article is licensed under a Creative Commons Attribution-NoDerivatives 4.0 International License.

You may republish this article, so long as you credit the authors and GroundUp, and do not change the text. Please include a link back to the original article.

We put an invisible pixel in the article so that we can count traffic to republishers. All analytics tools are solely on our servers. We do not give our logs to any third party. Logs are deleted after two weeks. We do not use any IP address identifying information except to count regional traffic. We are solely interested in counting hits, not tracking users. If you republish, please do not delete the invisible pixel.