Chippa United eyes Wolfson Stadium to cut costs

Soccer boss proposes taking over facility and renovating it, in presentation to committee

Chippa United boss Siviwe 'Chippa' Mpengesi addressing the media at a press conference on Monday at the Nelson Mandela Bay Stadium
Chippa United boss Siviwe 'Chippa' Mpengesi addressed a sports, recreation, arts and culture committee meeting on Thursday (SUPPLIED)

Faced with the high cost of hosting matches with small crowd turnout, Chippa United boss Siviwe Mpengesi is proposing a shift of some fixtures to the Wolfson Stadium.

He said the move could deliver financial relief while maintaining the soccer club’s presence in Nelson Mandela Bay.

Mpengesi was speaking at a sport, recreation, arts and culture committee meeting on Thursday.

He presented the club’s close-out report for the 2024/2025 financial year.

“It’s been a problem and a struggle,” he said.

“We have been trying to ask for the Wolfson Stadium.

“To take it over as we’ve done in East London [KuGompo City], where we were given a stadium and spent our own money to renovate it.

“We understand that the municipality does not always have money, so that’s the biggest issue that we are experiencing now, the availability of fields.”

The presentation by Mpengesi and others from the club was for councillors to note the club’s sponsorship request.

It is tied to a relocation deal concluded with the city in 2014.

The sponsorship request comes after the National Treasury moved to prevent municipalities from classifying financial support for events as sponsorships, directing that they be treated as paid services rendered to the city.

The current three-year agreement with Chippa, which runs from July 2023 to June 2026, includes a R7m relocation fee, R6m sponsorship and R500,000 towards marketing.

The club submits an annual report to the committee to secure funding for each financial year, in line with the contract.

Thursday marked Mpengesi’s first appearance before councillors after two previous unsuccessful attempts.

Previously, he appeared virtually. However, councillors had demanded he come in person.

At one point during Thursday’s meeting, ANC councillor Sicelo Mleve described the relationship between the metro and the soccer club as abusive.

Mpengesi also responded to City Press reports that Sars had issued alerts warning of a R53m asset seizure threat against his business.

“So obviously what was reported in the newspapers was not the reality of the matter,” he said.

“We do not have a problem with the taxman.

“In fact, in one of our presentations, we even showed tax compliance, because the only way you can see somebody’s got a tax problem is when you can see their compliance status.

“So I want to assure you that the club [is compliant] this year. We are playing [on Friday] against Mamelodi Sundowns.”

Mpengesi said 50% of his players came from Gqeberha.

“We really want to be here forever.

“Our intention is not to leave this city, but sometimes the circumstances, especially around the availability of the sports fields, are making us move a lot of things.”

Touching on stadium management, Mpengesi said he did not even know who was running the Nelson Mandela Bay Stadium.

“We know now that the stadium is no longer under the management of the MBDA, but we do not have a formal communication from the municipality.

“We don’t even know who’s running the stadium now.

“It was going to help us to have that relationship so that we can also help them, because remember, I sit in the committee with all those PSL chairmen. I can assist.”

DA councillor Sebenzile Rafana said he understood that, despite the 50% of local players, some may come from other countries.

On the request for the Wolfson Stadium, Rafana asked how far that process was.

“Was that a verbal kind of thing, or was that an argument?”

EFF councillor Ndumiso Qwazi welcomed the presentation.

“We appreciate you taking us into your confidence with the Sars matter.

“We appreciate that this thing will be handled and not a big issue, as exposed in the newspapers.

“I’m happy when I see stories of [Motherwell-born soccer player from Chippa United] Sinoxolo Kwayiba, that is what we want to see, which is one of the reasons why we agreed to sponsor Chippa United.”

Mleve said without the soccer club, the stadium would be a white elephant.

“We are happy that you came to our rescue when it came to the utilisation of the precinct, and without you guys, the stadium was a white elephant, but because of you, something is happening.

“I welcome this presentation because there’s nothing that mentions the Buffalo City municipality.”

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