Comm Games costs out­weigh benefits

The Sunday Telegraph (Sydney) - - NEWS - PAUL STARICK

ADE­LAIDE’S bid for the 2026 Com­mon­wealth Games is on the brink of col­lapse be­cause an of­fi­cial re­port has found the $3.5 bil­lion cost would con­sid­er­ably out­weigh the long-term benefits to the state.

The South Aus­tralian gov­ern­ment is ex­pected to de­cide the bid’s fu­ture as soon as to­mor­row morn­ing, when min­is­ters will con­sider a key re­port from ad­vi­sory firm Deloitte which is un­der­stood to find the Games would not de­liver an eco­nomic up­lift.

It is un­der­stood the Deloitte re­port finds the to­tal cap­i­tal and op­er­at­ing cost of stag­ing the Games in Ade­laide would be up to $3.5 bil­lion, of which $1.2 bil­lion would be op­er­at­ing costs such as bring­ing ath­letes to South Aus­tralia, se­cu­rity, road clo­sures and prepara­tory work.

This is said to be a “high-cost sce­nario” for the 10-day event, while the low­est pos­si­ble op­er­at­ing costs of $300 mil­lion rely on con­sid­er­able fed­eral and lo­cal gov­ern­ment fund­ing.

How­ever, there are said to be ma­jor risks to South Aus­tralia’s rep­u­ta­tion if it stages the Games for this low cost.

Crit­i­cally, the re­port finds that the long-term benefits are out­weighed by to­tal cost.

The pro­posed site.

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