Justin Arenstein
The Mpumalanga Parks Board (MPB) has signed an agreement with a foreign conglomerate that contractually obliges it to support the full listing of the commercial rights to some of South Africa’s prime environmental assets on the Johannesburg Stock Exchange (JSE).
Assets include the second-biggest canyon in the world, Blyde River Canyon, South Africa’s fifth most popular international tourist attraction, Pilgrim’s Rest, other prime natural features, such as Bourkes Luck and Blyde River Potholes, and at least five provincial game reserves.
The secret “shareholders’ contract” between MPB and the self-proclaimed “multi-billion dollar” conglomerate, Dolphin Group, signed on November 1, binds the MPB to secrecy for the full 50 years that the contract remains in force.
It grants Dolphin and its subsidiaries, Block Hotels and United Touring Company, the exclusive commercial management and development rights to all but one of MPB’s game reserves.
Dolphin reserves the right to sell these management contracts later to sub- contractors for its own profit. In return, Dolphin undertakes to fund the MPB’s budget deficit over the contract’s 50-year term, as well as investing between R300- and R400-million in “bricks and mortar” projects in the parks.
MPB insists that it was forced to seek private-sector funding after the provincial government informed the parastatal that it would cease funding in 10 years’ time.