Melbourne, do you want a Grand Prix or not?

By Adrian Musolino / Expert

They say it’s the little things that make up life. In the case of the Australian Grand Prix, it’s the little signs scattered around Melbourne that tell us the city is becoming more polarised over the future of the event, perhaps with a growing antagonism thrown in the mix.

It’s the constant cost-benefits debate that overshadows a grand prix already overshadowed by the first round of the AFL season.

It’s the shrinking size of the main grandstand from year to year, which seems to match the shrinking enthusiasm.

It’s the Melbourne journo who had a sit down with Mark Webber and reported back that he was disappointed in the F1 star’s lack of AFL knowledge. (Webber is from the ACT, lives in the UK and is a lifelong Canberra Raiders supporter. Aren’t there more pressing motorsport matters to discuss?)

It’s the feeling that pervades Melbourne in grand prix week that this city would, in the main, genuinely not miss its absence.

It’s certainly an odd phenomena for the Formula One community to experience. As former driver now commentator David Coulthard told SEN Radio, “Every time I come down here we see all the debate beforehand, all the anti-grand prix debate, and we don’t get that anywhere else in the world.

“What is it that when they don’t like it they have to spoil it for everyone else?”

While the Australian Grand Prix Corporation insists the race has a long-term future, be it at Albert Park or a permanent facility at Calder Park or at Avalon, the Victorian government and politicians continue to send out mixed messages, either by stoking the flames of the costs debate with suggestions the race has run its course or suggesting alternative events they can nab from rival states (South Australian events such as the Clipsal 500 or Tour Down Under).

Those suggestions highlight a worrying irrationality from the people charged with leading us. Having tried to transplant the Australian Grand Prix in Melbourne from Adelaide and seemingly failed to win over the city, how do they think another stolen event will help?

Well, being politicians, they’re thinking of the bottom-line; the ever-growing amount of dollars written in bright red that shows the cost of staging a grand prix.

That figure will always be bigger when it’s the cost associated with staging of an event with the global profile of a Formula One grand prix, as opposed to more humble events – the greater the exposure and stage, the greater the cost.

All major events lose money. For example, the first stage of the upgrade to the Melbourne Park Australian Open tennis facilities will cost $363 million, which is likely to increase over the ten to fifteen years it takes to complete the whole redevelopment.

That’s the equivalent cost of building a permanent grand prix circuit at Avalon or the like; the equivalent of six or more grands prix at Albert Park pulling in a global television audience which is only outranked by the football World Cup and Olympic Games. Yet there is hardly the equivalent outcry when it comes to the Australian Open.

As the true benefits of the grand prix, such as overseas exposure and the full amount interstate and international visitors spend while visiting the city, cannot be truly quantified or appreciated, the very quantifiable costs tend to standout.

As Coulthard continued, “You’ve got to presume that when a number of countries have continued to put on grands prix it’s because there’s long-term economic benefit to those countries.

“You have to see the bigger picture, you have to have economic growth.”

Sadly for the Australian Grand Prix, the cost perception has stuck and it’s unlikely to change.

Whether the race stays at Albert Park and continues to lose in the vicinity of $50 million per year or the Grand Prix Corporation commits to a permanent facility, that cost debate is now irreversibly linked to the grand prix, as if the bottom-line cost is tattooed on the event’s forehead.

For an event that isn’t ingrained on Melbourne’s psyche like the AFL season, Spring Racing Carnival, Melbourne Cup, Australian Open tennis and Boxing Day Test, the grand prix comes across as the ugly duckling.

So Melbourne, either come to terms with the costs and truly appreciate the benefits or put the event out of its misery. This indecisiveness is only condemning the event.

Follow Adrian on twitter @AdrianMusolino

The Crowd Says:

2013-03-15T06:14:19+00:00

Matt

Guest


Take it back to Adelaide = Problem Solved. Melbourne's track is so boring nearly every corner is taken with the same speed. Adelaide is a revhead city, the noise, the atmosphere its great! Everyone embraces the Clipsal 500 and Im sure theyd welcome back the F1.

2012-10-25T10:45:15+00:00

McHarg123

Guest


I do agree that Phillip Island is a solution. But there is one problem. It's to far away from Melbourne. Crowd numbers would surely die down after a few years.

2011-03-30T12:26:27+00:00

Megaman

Guest


Exactly. But that's the problem events like that have in Australia cause there is so much domestic sport.

2011-03-30T12:24:59+00:00

Megaman

Guest


Yes, but that's in Europe where people are crazy for the sport and love it. They will travel and camp in big numbers. That passion doesn't exist for F1 in Australia. There's just not the numbers, unlike in Europe.

2011-03-30T11:54:05+00:00

Megaman

Guest


I reckon that track would be too tight for F1. F1 races at Monaco but that's more to do with the prestige than the track.

2011-03-29T17:13:41+00:00

Patrick

Guest


If we were not bankrupt due to floods, cyclones and a labour government. , holding it on the Gold Coast would be great. Have been to Indy when it was on and Melbourne at the gp and had a lot more fun in QLD -- Comment left via The Roar's iPhone app. Download The Roar's iPhone App in the App Store here.

2011-03-29T12:55:47+00:00

Cal from Adelaide

Guest


Unfortunately it could go out of Australia all together which would be sad loss for everyone, doubt that Adelaide would want it back as much as I would like to see it. There's too many events here, plus shutting down the streets for the Clipsal and Tour down under is causing enough complaints from commuters as it is. And I think Danny_Mac is right, Bernie only wants flashy races, and hates it when the tracks are "in the middle of nowhere" so places like Bathurst are off the cards..

2011-03-29T12:01:20+00:00

Hijacked

Guest


The negatives have hijacked the whole discussion. They would be all up for staging a Comm Games, and exactly who watched that? Remember the one in Bombay or was it Karachi last year? Was it even on tv?

2011-03-29T10:28:31+00:00

Timmuh

Roar Guru


Labour Day in Vic was moved some years back, when the GP was first on the calendar so that the GP got the long weekend. Albert Park is a real problem. It cuts off a major route bwteen the city and St Kilda and bay suburbs for weeks and makes the other, St Kilda Rd, even more choked than normal. It used to be three months worth of interruptions when I was working on St Kilda Rd, but its thankfully not that long now.

2011-03-29T06:25:12+00:00

Danny_Mac

Roar Guru


And how much will that cost? how much would a state of the art facility cost to build? 250m? 300m? keeping in mind that the Victoria already has a F1 standard track, with one of the best paddocks in F1, and as far as street circuits go, the best pit facilities. Also, the Vic Government has also just spend $285m on AAMI Park. Frankly the Vic government can't justify a 300m expense especially when there are doubts that the race will even be in Australia beyond 2016. AAMI Park has four tennants and is used for the full 12mts of the year. 300m over 5 years is 60m a year just to break even on the circuit, you'd never have enough V8 races a year to subsidise it, and the SB/MGP are never going to leave Phillip Island, and even then, it simply isn't big enough to offset the cost. Albert Park is a spectacular venue, it is one of the most picturesque circuits on the calendar. The races are a bit predictable, but you tell me a race that isn't? It is a better, more exciting circuit that Bahrain, Hungary and maybe even China, even Abu Dahbi, despite its over the top furnishings, is a rather dull race. I keep saying it, but I'm really concerned for F1 in this country. If Albert Park loses the race, I'm convinced it will go offshore...

2011-03-29T06:13:44+00:00

Danny_Mac

Roar Guru


True, however, there is a much bigger market for fans, merch etc. plus the circuits exist and are proper circuts, so have minimal traffic disruptions. Think about it, you would have packed out GPs twice a year in Germany, plus all the misc income from a 4 day GP, there would be lower costs for the teams involved (ie travel costs etc). It just involves Bernie taking a smaller cut of the pie... not going to happen when Abu Dahbi will fork out top dollar to have it... the licence fee to FIA/F1 (ie Bernie) to host a GP have grown exponentially in the last 15 years...

2011-03-29T06:04:19+00:00

Aware

Guest


And I thank you, Dave.

2011-03-29T05:58:08+00:00

Danny_Mac

Roar Guru


I think everybody is missing the bigger issue here... We can't just move it. There are a lot of pros regarding Albert Park in the eyes of the FIA/F1 moving it out to Avalon when it seems policy is to move the races closer to cities just seems crazy. They will take it off us and have a Moscow GP, or an Indian GP. There are no shortage of takers...

2011-03-29T05:51:54+00:00

Danny_Mac

Roar Guru


I think that reporters have been very liberal with the term "Losses". It may cost the government $50m to put the event on, however the amount of money that floods Melbourne is significant. People need to eat, drink, be merry and sleep... This doesn't get factored in as most of the governmental boon from this goes to the federal government via taxes etc. Whether or not there is an overall net loss is difficult to know, espcially when governments (at all levels, in all areas) over the last few years have been telling us how difficult the economy is, and using it as an excuse for not being able to balance the bottom line.

2011-03-29T05:48:53+00:00

Danny_Mac

Roar Guru


See my comment above... Bernie is only interested in High Glamour or High Dollars and sadly we cant offer the dollars, and only Melbourne or Sydney can offer the glamor...

2011-03-29T04:25:30+00:00

Marsh

Guest


Yes but even if the race moves to Avalon and only losses $25m compared to 55, it's still a significant loss and will be portrayed that way. You can't appreciate the benefits so the critics don't.

2011-03-29T04:22:50+00:00

Marsh

Guest


True that. But who? Adelaide happy with Clipsal, Sydney can't even handle Homebush V8s. Brisbane or Perth city tracks?

2011-03-29T04:04:05+00:00

Cal from Adelaide

Guest


When Adelaide hosted the GP the city embraced it and really loved it, which was why it was successful here. If Melbourne doesn't want it give it to someone who does and will do it justice!

2011-03-29T03:29:34+00:00

Redb

Roar Guru


"I was also going to suggest, Ron Walker should be trying to get the grand prix in Melbourne on the long (labour day) weekend" Thats where it use to be held over the long weekend in March. Not surprisingly it started to lose interest when it was moved around and now clashes with the opening round of the AFL. Albert Park still the best option.

2011-03-29T03:23:01+00:00

RedOrDead

Roar Guru


Bingo! Took the words right out of my fingers!! I was also going to suggest, Ron Walker should be trying to get the grand prix in Melbourne on the long (labour day) weekend! That'll definitely boost some local Australian numbers too because travelers don't have to rush back home to get ready for work the next day. ...and yes, I know Victoria, Adelaide and Tasmania were the only states to have a public holiday on March 14th (WA's Labour Day was on March 7). Is that high-speed rail going ahead between Geelong and Melbourne? All they need is one stop in between at Avalon Airport/Grand Prix track and we're sorted! :-)

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