Gautrain+boondoggle+stalled+for+minor+details,+Star



=**Gautrain project can't be rushed, say officials**=
 * The Star, Johannesburg, January 6, 2006**


 * By Alex Eliseev**

The 20-billion Gautrain project has failed to arrive at its next destination: reaching financial closure by the end of 2005.

Construction was set to begin this month, but delays in negotiations should see it postponed until February.

The project, which has been plagued by delays and legal battles and criticised as being a huge waste of money, should be ready for the 2010 soccer World Cup, project leaders said yesterday.

Dr Barbara Jensen, spokesperson for the project on behalf of the provincial government, said the concession agreement between the government and preferred bidder Bombela would be signed within the next few weeks.

She said this agreement could not be rushed because the government and taxpayers would be bound by it for the next 19 years: four-and-a half years of construction and 15 years that the Gautrain would be operated by Bombela.

"All the major aspects of the negotiations have been completed," Jensen said. "We're working very hard to get the best deal and are finishing off the minor details."

Project leader Jack van der Merwe said: "It will take as long as it takes until I am satisfied that we have a good deal. I'm not going to rush it ..."

Jensen conceded that on July 2, when the winning bidder was announced, the project management said it would complete financial negotiations within six months.

"We hope the agreement will be signed by the end of January or at the latest by the end of February."

Jensen said workers had begun to clear the path for the rail lines by moving electricity, water and other utility lines.

When asked to commit to a deadline for the start of construction, Van der Merwe reportedly said: "We won't be held to ransom by the media."

He said a rushed contract could result in unexpected costs. Among the issues still to be resolved were ticket prices, communication and marketing strategies, and private-sector contributions to the project.

In October, one of the companies in the winning consortium admitted the 54-month time-frame for construction was "tight". This was followed by a legal battle over the lucrative BEE share of the project.

Meanwhile, Gautrain project leaders and officials from the Department of Transport met yesterday to discuss how the train would be integrated into the province's current transport system.

alex.eliseev@star.co.za

From: http://www.thestar.co.za/index.php?fSectionId=129&fArticleId=3055200