Tuesday, August 25, 2009

Taxpayers buy R200 mil in generators, Fifa pockets

Taxpayers will be paying for the 2010 World Soccer Tournament

Taxpayers will have to pay R200 million to ensure that all soccer stadiums will have sufficient power during the Soccer World Cup in 2010. In a reply in Parliament by the Minister of Energy to a question by Dr. CornĂ© Mulder, the Minister said that FIFA’s requirements stipulate that back-up generators have to be in place at all stadiums during the tournament.

“The government expects ordinary electricity consumers to pay the account for the back-up generators for which R200 million was budgeted. The money will be paid through the increased tariffs payable by consumers, i.e. ordinary people on the street. Financial gains which will be derived from the soccer tournament, will however not go to ordinary taxpayers but into the pockets of FIFA and the soccer community,” Dr. CornĂ© Mulder, Chief Whip of the Freedom Front Plus said.

“Municipalities however are also carrying an extra financial burden because network layouts will, according to the Minister’s answer, be re-configured so that, should there be a shortage of power, the stadiums will not be affected by load-shedding during the World Cup Tournament. Expenses for these changes are being carried by municipalities. The Tshwane Metro Council already owes Eskom nearly R400 million for electricity which it purchased and sold on to consumers. If the Metro is now already behind in payments for power, it can be expected that the debt will increase. Should the national government bail the Metro Council out, the money will once again come from taxpayer’s,” Dr. Mulder said.

The Freedom Front Plus is therefore opposed to the application of Eskom which it will be submitting to Nersa next month in which it will be asking for a further 40% increase in tariffs as this increase will place money in the pockets of FIFA and the soccer community.

1 Opinion(s):

Anonymous said...

White taxpayers paying for generators for a sport that whites don't play...