The earlier announcement by government that the project would take off in 2007 had generated much activity in the private sector, with several companies raising loans in order to tap into the project, Sebetela says.
The situation was being exacerbated by uncertainty among relevant government officials regarding whether even the new date for the commencement of the project will be met, throwing borrowers into disarray and near bankruptcy.
The new date for the commencement of construction of the first phase of the ambitious project has been given as 2009.
We were over-optimistic at the beginning, Sebetela says.
He claims that apparently government has so far failed to find financial partners with whom to develop the project. Prospective partners are also in disagreement regarding the dimensions of the plot for the project: some had initially proposed 1, 700 hectares, which others consider that inadequate.
Financing issues and partnership with the private sector have not yet been streamlined, continuously causing delays, the MP says.
The only thing real about the project is that it is 18 to 24 months behind schedule and that no structure is coming up:
There is much anxiety. Things are taking forever and causing disruption in the private sector. Even 2009 does not look like it will happen, Sebetela says.
