The R58 million government project that remains closed 20 years later

 ·30 May 2025

In the hills of Limpopo, a tourism project promised to uplift the local community and boost the economy has been dragging on for over 20 years.

With nearly R58 million from the fiscus spent on the project, it has been hit by multiple delays, soaring costs and has yet to open its doors.

Residents are still waiting, frustrated yet hopeful, for the opportunities they were promised, while tourists remain locked out for now.

The project was first conceptualised by the local community in the early 2000s. It is located in the village of Ka-Ngove, about four kilometres from Giyani in the Mopani District Municipality, near the northern section of the Kruger National Park.

Ngove Village is a rural Tsonga community led by Hosi Ngove of the Mabunda Tribe. It is deeply rooted in agriculture and tradition but increasingly shaped by regional development.

The South African government has long invested in developing tourism infrastructure, particularly in rural areas, to stimulate local development.

The local community proposed the idea of a Ngove Cultural Centre and Theatre in the nearby mountains to the then Department of Environmental Affairs and Tourism, which was approved in 2003/4.

Photo: Seth Thorne

Project kicks off

The project was intended to be a beacon of job creation and poverty alleviation through tourism. Instead, it has become an example of prolonged delays, cost escalation, and poor coordination.

In 2009, around 106 projects were transferred to the new Department of Tourism (DoT) under the Social Responsibility Initiative (SRI).

The new DoT began its work on the Ngove project in 2010, with construction work done by members of the local community.

The original mountain site earmarked, with its steep, inclined terrain, would have required substantial earthworks, with estimates indicating that nearly 70% of the initial budget would have been consumed just in site preparation.

The original service provider was in a dispute with the Department over unrelated projects and was subsequently removed. A new service provider was appointed, and the project budget was set at R9.5 million.

Due to these high costs, a decision was made to relocate the project. The site was moved to the location of a former SISAL project, where existing structures were to be refurbished and incorporated into a revised project concept.

The department and the service provider changed this concept, a lodge and conference facility, reportedly without full community consultation, though the Department disputes this.

By 2016, the budget had increased to R20.1 million. Despite this, the project consistently failed to meet its targets, ran out of funds, and eventually stalled.

Photos: Supplied

Enter the Government Technical Advisory Centre

In 2015, the Department began working with the Government Technical Advisory Centre (GTAC), a National Treasury entity, to assess the viability of stalled projects.

In 2016, the DoT decided to halt all social responsibility projects, including Ngove, citing unsustainable funding demands that were straining its overall budget.

GTAC completed its technical assessment and presented its findings to Parliament in 2018. It found that R29.3 million had already been spent on the Ngove project, well over the original scope.

GTAC cited poor planning as the key reason for the budget overrun and recommended continuing the project alongside a revised sustainability model, estimating a further R17.7 million would be required.

This recommendation would have brought the total projected cost to about R47 million.

Following a memorandum of agreement signed in November 2020, the Development Bank of Southern Africa (DBSA) was appointed as the implementing agent for multiple stalled tourism projects, including Ngove.

The site was handed over to the DBSA in March 2023, and construction began in June of that year, with a completion target for May 2024.

The completion budget was set at R32.85 million, above GTAC’s recommendation, to accommodate what the Department describes as “new scopes.”

Kuma Consulting was appointed by the DBSA as the principal agent to oversee the design and implementation of the updated project.

Department of Tourism spokesperson Tasneem Carrim told BusinessTech that the project met practical completion on 29 April 2025 and is currently in its defects liability period.

She noted that R28.35 million was spent to complete the project since the DBSA got involved, 14% below the allocated completion budget.

Carrim also said delays were due to the need to accommodate changes in the project scope.

The total reported expenditure on the project since its inception now stands at R57.65 million, significantly higher than the R20.1 million, or R30.5 million in today’s terms, budgeted 10 years ago.

The site in 2018, after R29.3 million had been spent. Photo: GTAC
The site in 2013 (left) and 2023 (right) shows minimal development. Photos: Google Earth

Not open yet

BusinessTech visited the site in May 2025 but was turned away at the gate, as the project remains unopened to the public during the defects liability stage.

From observation, the site appears to be ready, but requires some attention in certain places. A lot is overgrown, unmaintained, and shows signs of extensive vandalism despite the presence of security.

Hidden from the main road and accessible only by a narrow dirt track, the entrance is open on just one side. Some construction work appears to still be ongoing, with paint peeling from several buildings.

When asked if photography was permitted, the on-site security guard told the reporter to leave the premises, who could not get hold of the Chief for permission.

Photo: Seth Thorne
The road leading to the entrance

Criticism and DoT response

The long-delayed Ngove tourism project has faced criticism for alleged poor planning, shifting goals, and weak coordination between stakeholders.

In a 2022 Parliamentary committee meeting, the DoT admitted it fell short, citing poor feasibility studies, contractor disputes, scope changes and agency confusion.

Chief Ndabezitha Gonwe told Parliament the community felt “sidelined” after 20 years of delays.

He said the original cultural village plan was unilaterally turned into a lodge and conference centre by the Department and its service providers.

In a follow-up meeting, Deputy Director-General Dr Shamilla Chettiar said that the DoT did not impose projects on communities: “Project ideas originate from the communities themselves,” she said.

She added that officials “consistently engaged with local leaders” and that relocation was community-driven due to budget limits.

Despite efforts and security, the project has also suffered theft and vandalism, with cases reported and investigated by SAPS.

DA MP and tourism spokesperson Haseena Ismail criticised the Department for “a well-documented pattern of delays and incompletion,” citing “ballooning costs,” lost opportunities, and poor accountability.

Ismail said that “these are projects that have repeatedly received budget allocations yet remain unfinished… indicative of a deeper governance crisis.”

Department spokesperson Tasneem Carrim said that “the Department of Tourism has governance structures in place to monitor the planning and implementation progress of the projects.”

“Detailed planning (guided by built environment norms and standards) supported by specialist studies where required, will inform the implementation of any future infrastructure projects.”

“The successful completion and operations of the facilities will help to increase the ownership and involvement of communities in the tourism sector,” added Carrim.

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