The out of control costs of the London 2012 Olympic Games will have to be met by the long suffering British taxpayers.
That at least is the view of the Commons select committee, looking into the cost overruns.
The committee has published a report that says:
"Just 18 months after winning the bid, it is clear that many of the cost figures are seriously outdated."
It went on to warn:
"If the financial pain of paying more for the Olympics is to be widely shared, it will require a contribution from the Treasury."
A revised budget is due to be announced this February.
It can be guaranteed that this will be one of many revisions upwards!
Thursday, January 25, 2007
Tuesday, January 23, 2007
Costs of London Olympics 2012 Soar
The Culture Select Committee will launch a scathing attack on the government's incompetent handling of the London 2012 Olympics tomorrow, when they will accuse the Treasury of adding £2BN to the costs.
Costs have already risen as a result of security, construction inflation and a Treasury ruling that the Olympics Development Authority must pay VAT.
However, the committee will tell the Treasury to be more willing to pay the extra costs and not insist that all the extra funding has to be found from the national lottery.
The committee will also note that the Treasury's 60% contingency fund is excessive.
The latest estimates are that the Olympics will cost £8BN. Realists argue that the costs will be more likely to hit £12BN.
One major problem with the Olympics is that is is viewed very much as being one of Tony Blair's pet projects, as such Gordon Brown is vehemently opposed to funding the games.
One thing that is clear from this, is that politicians should not be allowed to run major projects such as the Olympic Games.
Costs have already risen as a result of security, construction inflation and a Treasury ruling that the Olympics Development Authority must pay VAT.
However, the committee will tell the Treasury to be more willing to pay the extra costs and not insist that all the extra funding has to be found from the national lottery.
The committee will also note that the Treasury's 60% contingency fund is excessive.
The latest estimates are that the Olympics will cost £8BN. Realists argue that the costs will be more likely to hit £12BN.
One major problem with the Olympics is that is is viewed very much as being one of Tony Blair's pet projects, as such Gordon Brown is vehemently opposed to funding the games.
One thing that is clear from this, is that politicians should not be allowed to run major projects such as the Olympic Games.
Monday, January 22, 2007
China's Olympic Traffic Jam
Chinese media claim that Beijing's horrendous traffic situation will get worse, as the Olympics 2008 draw closer.
The official Xinhua news agency said that Beijing has more than 2,000,000 registered vehicles, and over 4,000,000 people have a drivers licence. Officials predict the number of cars will exceed 3,000,000 by the time of the 2008 Olympic Games.
The increase in cars will worsen Beijing's already chronic levels of air pollution.
The official Xinhua news agency said that Beijing has more than 2,000,000 registered vehicles, and over 4,000,000 people have a drivers licence. Officials predict the number of cars will exceed 3,000,000 by the time of the 2008 Olympic Games.
The increase in cars will worsen Beijing's already chronic levels of air pollution.
Thursday, January 18, 2007
More Drug Tests for 2008 Games
Approximately 4,500 drug tests will be conducted during the 2008 Olympic Games in Beijing. This represents a rise of 25%, compared with the 2004 Games in Athens.
Yang Shu'an, the executive vice president of the Beijing Organising Committee for the 2008 Olympic Games (BOCOG) said:
"As part of its zero tolerance approach to fighting doping, the International Olympic Committee has decided to increase the number of tests by a large amount.
Final numbers are to be confirmed but are expected to be around 4,500, a 25 percent increase on Athens 2004."
Beijing is holding an exhibition entitled "The Olympic Movement and Anti-doping Drive" The exhibition highlights a number of drug cases from previous years, and shows a video display of the anti drug test process.
Similar exhibitions will be held in 2007 and 2008 in various parts of China.
Yang Shu'an, the executive vice president of the Beijing Organising Committee for the 2008 Olympic Games (BOCOG) said:
"As part of its zero tolerance approach to fighting doping, the International Olympic Committee has decided to increase the number of tests by a large amount.
Final numbers are to be confirmed but are expected to be around 4,500, a 25 percent increase on Athens 2004."
Beijing is holding an exhibition entitled "The Olympic Movement and Anti-doping Drive" The exhibition highlights a number of drug cases from previous years, and shows a video display of the anti drug test process.
Similar exhibitions will be held in 2007 and 2008 in various parts of China.
Monday, January 15, 2007
China Calls For International Olympic Co-operation
Chinahas called for a better exchange of intelligence information from other countries, in the run up to the 2008 Biejing Olympics.
Specifically the threat of terrorism lloms large.
The Olympic Security Command centre founded an International Liaison Department today, which is to improve co-operation with other nations.
Qiang Wei, chief of the Olympic Security Coordination Group and Beijing's deputy Communist Party chief, said:
"Safe Olympics are a common goal of the international society.
It cannot be achieved without sufficient international security cooperation."
The Liaison Department will with the security organisations of other countries and with Interpol.
The Chinese police have established a website, www.bjayab.cn, to inform the public in English, French and Chinese of their work and the security preparations for the Olympics.
Qiang added:
"The present-day world is still far from peaceful.
Olympic Games have been targeted by international terrorist groups. We, therefore, have to be highly alarmed and take pro-active measures in facing every possible threat."
Specifically the threat of terrorism lloms large.
The Olympic Security Command centre founded an International Liaison Department today, which is to improve co-operation with other nations.
Qiang Wei, chief of the Olympic Security Coordination Group and Beijing's deputy Communist Party chief, said:
"Safe Olympics are a common goal of the international society.
It cannot be achieved without sufficient international security cooperation."
The Liaison Department will with the security organisations of other countries and with Interpol.
The Chinese police have established a website, www.bjayab.cn, to inform the public in English, French and Chinese of their work and the security preparations for the Olympics.
Qiang added:
"The present-day world is still far from peaceful.
Olympic Games have been targeted by international terrorist groups. We, therefore, have to be highly alarmed and take pro-active measures in facing every possible threat."
Thursday, January 11, 2007
Construction Continues During Olympics
Beijing has confirmed that its construction projects will continue during the 2008 Olympics, even though there are serious concerns about the air quality and pollution levels in the city.
The majority of the Olympic venues will be completed before the end of the 2007.
Deputy director of Project Management for the Beijing Olympics, Xu Bo, confirmed that there have been cost overruns on some Olympic building projects, with some contractors facing bankruptcy.
Quote:
"It is true that certain construction companies are having problems with the fact that their actual spending on certain venues is beyond the expectation in their bid, and we are paying close attention to this issue. However, we are confident there will be no problems, because all the construction companies selected for the construction work of all the big projects for the Olympics, are first class enterprises in our country and we have done a strict inspection of their capability of implementing the contracts and they all passed our examination of qualification."
Executive deputy director of Project Management for 2008 Beijing Olympics, Sui Zhenjiang, said:
"The construction projects in Beijing will continue to be developed both before the Olympics and after it and they would not be stopped for the opening ceremony of the Olympics because every project has its own economic background and will be developed naturally.
However, before the Olympics, or during the process of the Olympics, we will conduct strict management to some projects in specific areas such as the places near the Olympic venues so as to make the air quality of Beijing better."
They of course haven't said how they will do this though.
The majority of the Olympic venues will be completed before the end of the 2007.
Deputy director of Project Management for the Beijing Olympics, Xu Bo, confirmed that there have been cost overruns on some Olympic building projects, with some contractors facing bankruptcy.
Quote:
"It is true that certain construction companies are having problems with the fact that their actual spending on certain venues is beyond the expectation in their bid, and we are paying close attention to this issue. However, we are confident there will be no problems, because all the construction companies selected for the construction work of all the big projects for the Olympics, are first class enterprises in our country and we have done a strict inspection of their capability of implementing the contracts and they all passed our examination of qualification."
Executive deputy director of Project Management for 2008 Beijing Olympics, Sui Zhenjiang, said:
"The construction projects in Beijing will continue to be developed both before the Olympics and after it and they would not be stopped for the opening ceremony of the Olympics because every project has its own economic background and will be developed naturally.
However, before the Olympics, or during the process of the Olympics, we will conduct strict management to some projects in specific areas such as the places near the Olympic venues so as to make the air quality of Beijing better."
They of course haven't said how they will do this though.
Tuesday, January 09, 2007
Auditors Keep an Eye on Olympics
Li Jinhua, China's head auditor, has stated that he will be exercising special scrutiny of construction projects in the run up to the 2008 Beijing Olympics.
Li will also place emphasis on auditing social security funds and other big projects.
Last year auditors uncovered US$909M in illegally used social security funds, including a scandal in Shanghai that led to the sacking of city Party Secretary Chen Liangyu.
A former Beijing deputy mayor, Liu Zhihua, who was in charge of US$40BN in Olympic construction funds, was fired last year for alleged corruption.
Increasing auditing oversight is an important measure to ensure a "clean" Olympics, Li said.
Li will also place emphasis on auditing social security funds and other big projects.
Last year auditors uncovered US$909M in illegally used social security funds, including a scandal in Shanghai that led to the sacking of city Party Secretary Chen Liangyu.
A former Beijing deputy mayor, Liu Zhihua, who was in charge of US$40BN in Olympic construction funds, was fired last year for alleged corruption.
Increasing auditing oversight is an important measure to ensure a "clean" Olympics, Li said.
Wednesday, December 20, 2006
Legal Win
The organisers of the London 2012 Olympics have won a legal battle over the land for the proposed Olympics site.
They are now allowed to buy that land, and force some businesses currently occupying the area to vacate their premises.
Compulsory Purchase Orders (CPOs) were confirmed by Industry Secretary Alistair Darling.
Manny Lewis, Chief Executive of the London Development Agency (LDA), said:
"Whilst we have been granted the CPO powers, we will continue to negotiate with landowners in an effort to reach agreements.
We have already managed to secure 93% of the land through negotiation and the LDA is on course to deliver an incredibly complex project on time."
The LDA claim that around 70 businesses may have trouble moving and some jobs may be lost, but the Olympics would lead to an extra 11,000 jobs in the area.
They are now allowed to buy that land, and force some businesses currently occupying the area to vacate their premises.
Compulsory Purchase Orders (CPOs) were confirmed by Industry Secretary Alistair Darling.
Manny Lewis, Chief Executive of the London Development Agency (LDA), said:
"Whilst we have been granted the CPO powers, we will continue to negotiate with landowners in an effort to reach agreements.
We have already managed to secure 93% of the land through negotiation and the LDA is on course to deliver an incredibly complex project on time."
The LDA claim that around 70 businesses may have trouble moving and some jobs may be lost, but the Olympics would lead to an extra 11,000 jobs in the area.
Friday, December 15, 2006
New Olympic Domain Names
Two new domain names, that link to this site, have now been purchased:
www.olympicsweblog.com
www.olympicsdiary.com
The other domain names linking to this site, as listed in the menu bar, all remain active.
www.olympicsweblog.com
www.olympicsdiary.com
The other domain names linking to this site, as listed in the menu bar, all remain active.
Thursday, December 14, 2006
The Clean Olympics
Liu Qi, secretary of the Chinese Communist Party's Beijing Municipal Committee, promised a "clean" 2008 Olympics.
This promise comes one day after the party expelled Liu Zhihua, the Beijing vice mayor in charge of Olympic construction projects. He has been accused of bribery and other offences.
Liu Zhihua took bribes of "several million yuan" and "helped his mistress to seek profit in projects".
Liu Qi said:
"We must tighten auditing and monitoring efforts on the preparatory work of the Olympics to prevent all potential problems. Efforts must be made to ensure that staff members involved in the Olympic preparations and venue construction projects remain on track, and make sure the Olympics are clean."
Lucrative projects, such as the Olympics, do seem to bring out the worst in people.
This promise comes one day after the party expelled Liu Zhihua, the Beijing vice mayor in charge of Olympic construction projects. He has been accused of bribery and other offences.
Liu Zhihua took bribes of "several million yuan" and "helped his mistress to seek profit in projects".
Liu Qi said:
"We must tighten auditing and monitoring efforts on the preparatory work of the Olympics to prevent all potential problems. Efforts must be made to ensure that staff members involved in the Olympic preparations and venue construction projects remain on track, and make sure the Olympics are clean."
Lucrative projects, such as the Olympics, do seem to bring out the worst in people.
Tuesday, December 12, 2006
Livingstone Guarantees No Tax Rise
Ken Livingstone, Mayor of London, has "guaranteed" that Harrow residents will not pay more tax to fund the 2012 London Olympics.
Speaking on BBC Radio London, Livingstone said:
"I know concerns have been raised recently about increases to council tax to pay for the Olympics, I guarantee to Harrow residents that there will not be a rise.
Last year we set the Olympics council tax precept at 38p for the average London Council Tax Payer. It will remain at 38p next year and the year after and the year after that. When people see that it has not risen from 38p they will accept my firm guarantee that Londoners will not be asked to pay any more to fund the 2012 Games."
Those of you with long memories may recall that Livingstone promised faithfully, when he stood for re-election as Mayor, that he would not raise congestion charges.
Once re-elected, he reneged on that promise and raised congestion charges.
Good luck to the people of Harrow, and London, if they really believe Livingstone's promises!
Speaking on BBC Radio London, Livingstone said:
"I know concerns have been raised recently about increases to council tax to pay for the Olympics, I guarantee to Harrow residents that there will not be a rise.
Last year we set the Olympics council tax precept at 38p for the average London Council Tax Payer. It will remain at 38p next year and the year after and the year after that. When people see that it has not risen from 38p they will accept my firm guarantee that Londoners will not be asked to pay any more to fund the 2012 Games."
Those of you with long memories may recall that Livingstone promised faithfully, when he stood for re-election as Mayor, that he would not raise congestion charges.
Once re-elected, he reneged on that promise and raised congestion charges.
Good luck to the people of Harrow, and London, if they really believe Livingstone's promises!
Friday, December 08, 2006
The True Cost of The Olympics
It is reported that Beijing intends to demolish 22 remaining "urban villages", which are home mainly to poor migrants, as it "cleans up" in readiness for the 2008 Olympic Games.
The villages will be demolished by the end of June 2007.
The destruction of the "urban villages" are part of the greening programme to "create a better environment for the Olympic Games".
Beijing denies that they are trying to force poor migrants out of the city before the Olympics.
Over the past 10 years, as Beijing maked ready to host the 2008 Games, many residents have accused developers of using violence to evict people unwilling to move.
Such is the price people have to pay, if they wish to host the Olympics. Sponsorship and advertising deals come before people's rights and liberties.
The villages will be demolished by the end of June 2007.
The destruction of the "urban villages" are part of the greening programme to "create a better environment for the Olympic Games".
Beijing denies that they are trying to force poor migrants out of the city before the Olympics.
Over the past 10 years, as Beijing maked ready to host the 2008 Games, many residents have accused developers of using violence to evict people unwilling to move.
Such is the price people have to pay, if they wish to host the Olympics. Sponsorship and advertising deals come before people's rights and liberties.
Thursday, December 07, 2006
Barclays Boycotts Olympics
Barclays has withdrawn from sponsoring the 2012 London Olympics. This is rather ironic, as Barclays is housing the Olympic organising committee in its headquarters.
The sponsorship would have contributed to the currently expected costs of £2BN, needed to run the games themselves.
Barclays, which has loaned the organising committee £50M, was expected to have been among the leaders applying for main sponsorship places.
The winning sponsor, from the world of banking (sans Barclays) will be expected to put up £100M.
Had Barclays become a sponsor, it would have had the right to use Olympic rings in advertising, the right to associate itself with the games and personalities involved in them, and the right to advertise its name and logos at Olympic sites.
Despite what Tessa Jowell and the other Olympics organisers might try to claim, this withdrawal is undoubtedly a blow for the already shambolic Olympics.
The sponsorship would have contributed to the currently expected costs of £2BN, needed to run the games themselves.
Barclays, which has loaned the organising committee £50M, was expected to have been among the leaders applying for main sponsorship places.
The winning sponsor, from the world of banking (sans Barclays) will be expected to put up £100M.
Had Barclays become a sponsor, it would have had the right to use Olympic rings in advertising, the right to associate itself with the games and personalities involved in them, and the right to advertise its name and logos at Olympic sites.
Despite what Tessa Jowell and the other Olympics organisers might try to claim, this withdrawal is undoubtedly a blow for the already shambolic Olympics.
Wednesday, December 06, 2006
The Olympics Bill
Approximately 66% of Londoners believe that they will end up footing the bill for the 2012 London Olympics, as costs continue to spiral out of control.
That at least is the finding of a BBC poll, which showed that 65% of those questioned said that they thought that Londoners will end up paying for the additional costs.
The good people of Greece could tell the citizens of London a thing or two about budget overruns. They are expecting to continue to pay for the financial disaster of the 2004 Athens Olympics for many years to come.
That at least is the finding of a BBC poll, which showed that 65% of those questioned said that they thought that Londoners will end up paying for the additional costs.
The good people of Greece could tell the citizens of London a thing or two about budget overruns. They are expecting to continue to pay for the financial disaster of the 2004 Athens Olympics for many years to come.
Sunday, December 03, 2006
Radiation Hazard At Olympic Site
Jack Lemley the ex head of the building programme for the London Olympics, who quit over budget issues, has ridiculed the Government's preparations for the 2012 Games.
Mr Lemley claims that Culture Secretary Tessa Jowell and London Mayor Ken Livingstone repeatedly ignored his warnings that the budget for the event was spiralling out of control.
He also claims that his warnings over the chemical contamination of the Olympic sites were dismissed, because "all they wanted to hear was good news".
It is reported that Mr Lemley was forced to resign after he sent Tessa Jowell a letter warning that the construction of the Olympic sites faced such serious delays, that the Games might have to be scaled down.
Mr Lemley claims that:
"It said all the management costs were underestimated dramatically, by several hundred per cent. These numbers have been known for months by everybody and if Tessa Jowell hasn't told the Prime Minister, she wasn't doing her job. It's a swamp. There is misrepresentation of the situation."
On the subject of contamination Mr Lemley was equally outspoken:
"A blind man could see there was a huge environmental problem. I thought it was highly likely they underestimated. I talked to Tessa Jowell's senior people, Jeff Jacobs and his assistant, almost on a daily basis about this."
The question that we should be asking of our "respected" and "competent" government is why did they choose a site contaminated with scrapyards and hazardous waste from factories which produced items such as; soap, matches, ink, dyes, paraffin, rubber, creosote, fertiliser and varnish.
Seemingly there is even a radiation issue, plus a few unexploded bombs!
Quote:
"They now know there are drums of radioactive material buried at the site and they never had that in their estimates.
In the spring, I learned it was highly likely there was unexploded Second World War ordnance in the ground and I said: 'I'm not going to put a pile-driving crew out there with unexploded bombs.' I wanted trenches dug so people could understand what was going to have to be done to clean the ground up and then the contractors could price it."
Mr Lemley found that his views were not welcome:
"At Olympic Board meetings, I was never invited to speak. Tessa attended with Ken Livingstone and Seb Coe and British Olympic Association chairman Colin Moynihan. All they got was good news."
As I keep saying, politicians should never be entrusted with major projects. They are unskilled, inept, incompetent and venal; they are of little use to man nor beast.
On October 9 he sent a letter, repeating his concerns, to Jowell and copied it to Livingstone and Lord Coe.
Jowell refused to discuss its contents, and ordered him to resign.
The public, and the IOC, have been seriously misled by Labour over these increasingly expensive Games. Unfortunately it will be the public who carry the can for them, rather than the politicians who got us into this mess.
Mr Lemley claims that Culture Secretary Tessa Jowell and London Mayor Ken Livingstone repeatedly ignored his warnings that the budget for the event was spiralling out of control.
He also claims that his warnings over the chemical contamination of the Olympic sites were dismissed, because "all they wanted to hear was good news".
It is reported that Mr Lemley was forced to resign after he sent Tessa Jowell a letter warning that the construction of the Olympic sites faced such serious delays, that the Games might have to be scaled down.
Mr Lemley claims that:
- He told the Deputy Prime Minister, John Prescott, and Tessa Jowell before he was hired that there was a serious contamination problem at site chosen for the Games.
- His warnings that the budget seriously under-estimated clean-up costs were ignored.
- His agency was pressured to hide huge sums that should have been added to the budget.
- The Government knew back in May that the Olympics faced an extra £1BN VAT bill, but hid the fact from the public.
"It said all the management costs were underestimated dramatically, by several hundred per cent. These numbers have been known for months by everybody and if Tessa Jowell hasn't told the Prime Minister, she wasn't doing her job. It's a swamp. There is misrepresentation of the situation."
On the subject of contamination Mr Lemley was equally outspoken:
"A blind man could see there was a huge environmental problem. I thought it was highly likely they underestimated. I talked to Tessa Jowell's senior people, Jeff Jacobs and his assistant, almost on a daily basis about this."
The question that we should be asking of our "respected" and "competent" government is why did they choose a site contaminated with scrapyards and hazardous waste from factories which produced items such as; soap, matches, ink, dyes, paraffin, rubber, creosote, fertiliser and varnish.
Seemingly there is even a radiation issue, plus a few unexploded bombs!
Quote:
"They now know there are drums of radioactive material buried at the site and they never had that in their estimates.
In the spring, I learned it was highly likely there was unexploded Second World War ordnance in the ground and I said: 'I'm not going to put a pile-driving crew out there with unexploded bombs.' I wanted trenches dug so people could understand what was going to have to be done to clean the ground up and then the contractors could price it."
Mr Lemley found that his views were not welcome:
"At Olympic Board meetings, I was never invited to speak. Tessa attended with Ken Livingstone and Seb Coe and British Olympic Association chairman Colin Moynihan. All they got was good news."
As I keep saying, politicians should never be entrusted with major projects. They are unskilled, inept, incompetent and venal; they are of little use to man nor beast.
On October 9 he sent a letter, repeating his concerns, to Jowell and copied it to Livingstone and Lord Coe.
Jowell refused to discuss its contents, and ordered him to resign.
The public, and the IOC, have been seriously misled by Labour over these increasingly expensive Games. Unfortunately it will be the public who carry the can for them, rather than the politicians who got us into this mess.
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