Macquarie Point stadium's tight squeeze for government, fans and finances laid bare by Planning Commission

ABC NEWS (Australia)

A panel assessing the proposed Macquarie Point stadium in Hobart believes the government has underestimated the cost and overestimated the benefits to such an extent that it risks Tasmania's credit rating.

Transcript

00:00The government says the stadium will cost $775 million, but the Tasmanian Planning Commission

00:08panel estimates it will be $861 million.

00:12Once a below-ground car park and other non-budgeted elements are included, that jumps to $992

00:18million.

00:19Adding a footbridge, public transport infrastructure and sewer realignment increases it to $1.2

00:25billion.

00:26The report also finds the government's economic benefit will be less than promised.

00:31The government estimates that the stadium will generate $0.69 for every dollar spent.

00:36But the TPC panel brought this down to $0.53.

00:40It warns the project could impact Tasmania's credit rating.

00:44Estimating an extra $1.86 billion will be added to the state's debt over 10 years.

00:49The TPC panel says this may trigger a credit downgrade, which could affect the cost of

00:54all other state debt.

00:56It sums up the cost-benefit analysis as implying that the collective economic welfare of Tasmanians

01:02would fall if the project goes ahead.

01:06The panel says the stadium is disproportionate to Hobart's small scale, describing it as

01:11having an alien form.

01:13It also says the stadium would be highly intrusive and physically dominating against the Cenotaph.

01:20Transport options are heavily criticised.

01:22The government estimates around a quarter of people will travel by bus.

01:26But the TPC panel says there are not enough buses or planned bus stops to handle that.

01:31And the area would be overcrowded for the majority of the first hour after an event

01:35ended, because the area doesn't cater for the efficient dispersal of pedestrian traffic.

01:41And pinch points will develop, which could create safety issues.

01:45And on the roads, it says traffic network congestion generated by planned events at

01:50the stadium could not be mitigated.

01:52The community can now have its say on the TPC draft report until May 8.

01:57A final report is due in September.

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