Nelson Mandela Bay council approves millions to fund Chippa United

Chippa United, under owner Siviwe Mpengesi, will receive financial support from the Nelson Mandela Bay metro for the next three years
METRO BACKING: Chippa United, under owner Siviwe Mpengesi, will receive financial support from the Nelson Mandela Bay metro for the next three years
Image: FILE

The Nelson Mandela Bay council has agreed to continue bankrolling football outfit Chippa United for the next three years.

The city will sponsor the club R6m a year for three years, as well an additional R7m a year in anchor tenant fees. It will also pay R500,000 a year in marketing fees.

These were approved by the city’s council on Friday.

The council also finally passed the agreement for the metro to host the Ironman Africa championships until 2023, about 16 months after the item first appeared on the council agenda.

Municipal spokesperson Mamela Ndamase said the Chippa United relocation agreement would be reviewed in line with some clauses of the current agreement.

At the council meeting, ANC councillor Xola Sabani said for the past three years, Chippa United had faced relegation threats.

He urged Chippa United to do better and proposed that all 120 councillors be given tickets to attend Chippa matches so they could see what the city was paying for.

The majority of the parties agreed.

This comes on the back of Chippa United chair Siviwe Mpengesi saying in August that negotiations were taking place to have the   Premiership side moved to East London.

However, the hatchet was eventually buried and Chippa United will stay in Nelson Mandela Bay. 

Mpengesi said the team would, however, continue to play some of their home games in East London as had happened in past seasons.

Other items on the agenda at the council meeting included:

  • A recommendation to place Noxolo Nqwazi on precautionary suspension pending the outcome of an internal investigation after allegations of financial misconduct. However, the item was not discussed;
  • That the power to appoint Mandela Bay Development Agency (MBDA) board members be given to the executive mayor. This item was later deferred; and
  • The ratification of former city manager Johann Mettler’s R2.6m golden handshake to vacate his post after the council agreed to this in July. However, the item was not discussed.

Meanwhile, the Bay’s Surf Pro Series was extended by one year, from 2020 to 2021.

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