'No chance' Adelaide will bid for Grand Prix

[JAKJ]

Damn the expense! And damn those East Terrace NIMBYs!

350kkph! 17000 revs!

Where else are we going to get a buzz like that? Isn't it worth every dollar?

If they won't have it around the city, then let's have it from Glen Osmond to Murray Bridge on the South East Freeway, or from Wingfield to Victor on good old South Road. So many oppoprtunities! Gorge Road to Chain of Ponds... Norton Summit - up the old road down the new one again and again...

I actually don't think nimby's would be a problem if F1 was to return, the felling of loss resonates so strongly within this state after Melboure stole "our grand prix" that people who would usually not put up with this kind of disruption, would make an exception. Even with a night race.

[Ben]

Vics may dump Grand Prix

October 31, 2007 10:30pm

VICTORIAN Premier John Brumby has opened the door to Victoria abandoning the Australian Grand Prix because of soaring costs.

As a new report revealed this year's Formula One event at Albert Park had lost $34.6 million, the Premier ignited debate about the future of the race, saying it needed to provide value for money.

A decision on whether Victoria will bid to host the event after its contract ends in 2010 is due in the next few months.

Mr Brumby praised the race, but said it needed to pay its way.

"The Grand Prix's still a great event for Victoria," Mr Brumby said outside Parliament yesterday.

"It's had a lot more competition in recent years, and that's a good thing, I guess," he said.

"Two years ago we had the Commonwealth Games; this year, the World Swimming Championships.

"I think the two tests post-2010 (are) firstly, does it remain a good event for the state, and secondly, can we secure good value for money?"

He said these would be key points at future negotiations.

His comments marked a shift from the outright support offered by previous premier Steve Bracks.

And it shows how seriously the Government is considering walking away from the event if its costs become too high.

In May, Mr Bracks, indicating that the State Government supported the GP beyond 2010, said: "We think the economic benefits are robust and strong."

However, the Government's contribution has grown from $1.7 million for the inaugural event in 1996 to the $34.6 million hit on the taxpayer this year.

The Victorian Government refuses to disclose the licence fee it pays for the event, but it is known that the cost grows significantly each year.

Dubai last year paid $63 million for its winning Grand Prix bid, and Malaysia paid $44 million in licensing fees earlier this year.

With F1 supremo Bernie Ecclestone likely to exploit fierce international competition by raising fees by millions of dollars, there's a real chance Victoria could lose out in a bidding war to countries such as Russia and Poland.

Senior GP officials were in the dark on the Government's plans, but said the decision would have to be made soon, as formal negotiations would have to start in March if Victoria wanted to continue with the event beyond 2010.

Corporation chairman Ron Walker was flying to London yesterday to visit the Grand Prix Commission, which was to ratify the plans for the 2008 event, including a shift to a 3.30pm start to make the race more palatable to early-morning TV viewers in Europe.

However rising costs are dampening the Government's enthusiasm, with the Australian Grand Prix Corporation's annual report, tabled in State Parliament, revealing this year's race broke even only because the Government tipped in the $34.6 million taxpayer-funded bailout.

The loss follows earlier deficits of $21.2 million and $13.6 million in 2006 and 2005 respectively, each offset by taxpayers' money.

Last financial year, the Grand Prix generated $43.4 million in revenue but cost $78 million to run, resulting in a heavy loss before the Government stepped in.

The Grand Prix Corporation's annual report says the event generates $174.8 million in economic benefits for the state -- a figure disputed by the Auditor-General, who has questioned the methodology behind the figures.

Anti-Grand Prix lobby group Save Albert Park said losses were not sustainable.

President Peter Goad said the corporation should pay the licence fees for the remainder of the contract and buy out of the agreement.

The group commissioned economic studies that showed the GP would continue to lose money, reaching a $50 million loss by 2010, according to Mr Goad.

"It's a bad event," he said.

"The event is forecast to lose $40 million in 2008 partly due to the escalation of the licensing fee."

To vote on this go to

http://www.news.com.au/adelaidenow/stor ... 01,00.html

[Ben]

Labor will dump F1 Grand Prix in 2010: Jeff

November 01, 2007 08:45am

FORMER Victorian premier Jeff Kennett says he believes the State Government will end its involvement with the Australian Formula One Grand Prix when the current contract expires in 2010.

Mr Kennett, who was instrumental in snaring the race from South Australia in 1996, said he believed that the Victorian Government would not pursue holding the event once the current contract expired.

"I do believe that the Labor Government are (sic) preparing to end Melbourne's involvement with the grand prix after this current contract finishes," Mr Kennett told Southern Cross Broadcasting.

"My bet will be that the Labor Government will renege on this contract in 2010," Mr Kennett said.

A report tabled in state parliament yesterday showed that Melbourne's Formula One Grand Prix ran at a $34.6 million loss.

The grand prix report showed revenue decreased from $47.5 million in 2006 to $43.4 million this year.

"I understand the auditor-general's concerns about costs, but it is only one part of the ledger. And it's not to say that governments can't try and reduce that cost," Mr Kennett said.

Mr Kennett suggested that moving the event to Sandown raceway, in Melbourne's south-east, may be one way to reduce the expense of staging the event.

The cost of reassembling and removing race infrastructure every year would be eliminated at Sandown because it could stay in place year round, Mr Kennett said.

Mr Kennett said losing an event such as the grand prix would seriously damage Melbourne and Victoria's reputation for holding international sports event.

"My greatest worry is that this state has a reputation built up correctly of being the sporting capital of the world," Mr Kennett said.

"And, if we want to start damaging our brand, then start losing your international events," he said.

"I don't consider this to be an expenditure on a motor race alone.

"It is an expenditure on a positioning that helps develop and maintain the Melbourne brand."

But Premier John Brumby today said that the State Government would review its position on the race next year.

"I have set two tests," Mr Brumby told ABC Radio.

"It's got to be a good event for the state," he said.

"And it's like anything we do, it's got to represent good value for money.

"So that's the test and we will be examining these things in much more detail next year."

[crawf]

As much as I love Melbourne, I think this is a great article

Now cmon SA lets bring our event home again, we need that international exposure again

[omada]

It's a sure fire way to piss $40 million down the drain, but what the hey!

Funny cos I used to be pissed off we lost the GP to Melbourne, but i'm not sure F1 has the charm it used to have in the days of Senna, Prost , Mansell , Rosberg. etc .

[Howie]

Not a big fan of F1's...

Would be great if we can attract more GT events here - tired of seeing just fords vs holdens - bring back the days when you had every manufacturer racing modifed production cars.

ahhh memories of bathurst 1992... before it was made ford falcon and holden commodore only and mark skaife's nissan was king of the mountain.

[Norman]

I don't think the F1s should return to Adelaide, unless F1 management lower the licence fees. It's just not worth it for the state government.

[Cruise]

We should get it back so we can turn it into a succesful event again.................. so someone else can then take it

[bmw boy]

It's a sure fire way to piss $40 million down the drain, but what the hey!

No-one ever made money, without spendin it

[rev]

It wont be coming back to Adelaide, regardless of the costs. It will be going up to Queensland, I tell you that from now.

The fact Melbourne is losing money hosting it, with the state government bailing them out every year, means it will face huge opposition to a return to Adelaide from the usual suspects in this town.

[crawf]

Source?

I think whats going to happen is the event will leave Australia and go overseas, like maybe Russia

[Brando]

Not a big fan of F1's...

Would be great if we can attract more GT events here - tired of seeing just fords vs holdens - bring back the days when you had every manufacturer racing modifed production cars.

ahhh memories of bathurst 1992... before it was made ford falcon and holden commodore only and mark skaife's nissan was king of the mountain.

Ha... I'm with you Howie. I am a huge import fan, previous owner of a Silvia and a R32 Skyline, now an owner of a MY00 WRX.
Ol' Richards comments of ' your nothing but a pack of assholes'

Bernie will smell this a mile away, as much as he did Lyn Arnolds non commitment and give it away before the Vics say so...

[Howie]

Ha... I'm with you Howie. I am a huge import fan, previous owner of a Silvia and a R32 Skyline, now an owner of a MY00 WRX.
Ol' Richards comments of ' your nothing but a pack of assholes'

Pack of assholes for those who haven't seen it.

[rev]

Source?

I think whats going to happen is the event will leave Australia and go overseas, like maybe Russia

Trust me, if it leaves Melbourne, it will be going to Queensland.
Stop dreaming about it coming back to Adelaide, it aint gona happen in our life time.

[Brando]

Ha... I'm with you Howie. I am a huge import fan, previous owner of a Silvia and a R32 Skyline, now an owner of a MY00 WRX.
Ol' Richards comments of ' your nothing but a pack of assholes'

Pack of assholes for those who haven't seen it.

Gold Jerry, just gold...