Gautrain winning consortium Bombela will pay a fine of R150m plus inflation if it does not have the first phase of the project completed in time for the 2010 Fifa World Cup.

Completion of the first leg of the 80km rapid rail line, between OR Tambo airport, Sandton and Midrand, was a condition in the bid agreement for the World Cup. Transport plans for the 2010 event are already being drawn up, with the Gautrain forming part of an important link between the city and the airport.

Government’s project leader, Jack van der Merwe, said on Wednesday that it would be clear only in the next 12 to 18 months whether concessionaire Bombela would be able to complete the first phase on time. Members of the consortium admitted at the launch of construction in September that the present deadlines for the R20bn project were tight.

“We will be able to judge within a year,” he said. “It depends on a lot of factors, such as how traffic accommodation efforts and blasting are going.” According to Van der Merwe, the consortium has to gain access to servitudes on 1054 properties and more than 800 major utilities have to be moved during the project.

“We could even get another lawsuit and then the project would have to be put on hold while its being resolved.”  Bombela CEO Denis Bouvet was upbeat about the project at a press conference on Wednesday to publicise road diversions in Rosebank. The diversions will see traffic rerouted through the suburb with other roads turned into one-way streets just to free the northbound lanes on Oxford Road.

“We did a lot of preparation work before the concession agreement was signed with regards to utility relocation and traffic diversion,” he said. “When the agreement was signed on September 28, we were already well prepared. Where else in the world would a project start and already have 600 people on the job?” he asked.

Bouvet said that while he was confident the deadline would be met, he was aware that many things could go wrong on such a large project, “especially when there is plenty of tunnelling”. Acquisition of land on the route was going well. “This is excellent because land issues can be a problem on these projects.”

Van der Merwe said the project’s contract had more than a 1000 “milestones” that had to be reached during the construction period in order for Bombela to be paid. Monthly and three-monthly deadlines have been set by government. The consortium also faces R60m fines per quarter if it does not meet requirements on black economic empowerment and the use of small businesses.

The digging up of roads and curbs in Rosebank is expected to start in February.