Over Half a Billion Taxpayer Dollars Already Spent on Commonwealth Games Cancellation

Premier Jacinta Allen did not attend the public hearing into the cancellation of the games today.
Over Half a Billion Taxpayer Dollars Already Spent on Commonwealth Games Cancellation
Commonwealth Games Australia CEO Craig Phillips speaks to media during a press conference in Melbourne, Australia, on July 18, 2023. (AAP Image/James Ross)
10/9/2023
Updated:
10/9/2023
0:00

Victorian taxpayers have already spent more than half a billion dollars on the state Labor government’s decision to cancel the Commonwealth Games.

Based on the figures from the investigation conducted by the Victorian Parliament’s Select Committee, at least $553 million dollars has been expended so far, which includes the $380 million cancellation fee, $43 million operating grants, $21 million on games villages, and $6 million on police security initiatives.

MP David Limbrick, chair of the Select Committee, highlighted that Premier Jacinta Allan, who was the minister for the Commonwealth Game Delivery at the time, refused to attend the initial hearings into the cancellation of the games.

Shadow Minister for Tourism, Sport, and Events Sam Groth said that the state government has “humiliated” Victoria on the global stage.

“It is simply unacceptable that the Premier refuses to front the Parliamentary Inquiry into this debacle and come clean with the answers that Victorians deserve,” Mr Groth said.

Opposition leader John Pesutto said that Ms. Allan’s credibility was on the line when she refused to attend the public hearings.

“Less than two weeks into the job, Jacinta Allan’s credibility is already on the line as she continues to avoid scrutiny over her role in the Commonwealth Games debacle,” he said.

Victorian Deputy Premier Jacinta Allan addresses the media during a press conference in Melbourne, Australia, Dec. 29, 2020. (AAP Image/James Ross)
Victorian Deputy Premier Jacinta Allan addresses the media during a press conference in Melbourne, Australia, Dec. 29, 2020. (AAP Image/James Ross)

“Her story about what she knew and when she knew it changes by the day, and it’s time the Premier fronted the parliamentary inquiry and came clean with Victorians.”

Mr. Groth said that the promise given to regional Victorians in the lead-up to the 2022 State Election was broken and they need a clear explanation from the premier.

“Regional Victorians were promised the Games continually in the lead-up to the 2022 State Election, yet it is clear the promise was nothing more than a hoax,” he said.

“This is a lost opportunity for regional communities, athletes, and the wider sporting community. The least the new Premier can do is provide answers and explain what happened.”

Premier Warned of a $2 Billion Cost Blowout Four Months Prior

Speaking before the Parliamentary Inquiry into the failed Games on Oct. 9, Department of Jobs, Skills, Industry and Regions (DJSIR) officials have confirmed they briefed Ms. Allan of cost escalations in March this year.

New documents reveal that Ms. Allan knew about the troubles involved with hosting the Commonwealth Games months before the cancellation.

According to the documents, five months before the cancellation, the Victorian 2026 Organising Committee pursued extra funding of $722 million from the Labor Government with specific time frames for the additional funding. The request was written to Ms. Allan as the minister for the Commonwealth Games Delivery at the time.

Mr. Pesutto said that the request for additional funding was proof that the premier knew months ago the Commonwealth Games had cost issues

“It makes a mockery of her claims she only knew in the weeks leading up to the announcement the Games would be cancelled,” he said.

Furthermore, the new documents indicate that the Labor Government already engaged lawyers in June to prepare the withdrawal, a month before the public announcement on July 18.

“The Premier needs to come clean about exactly when she knew the Commonwealth Games were in trouble and why she misled Victorians,” Mr. Groth said.

The committee will investigate various issues, including potential failures in governance, probity and procurement procedures.

Senior Victorian bureaucrats, including the head of the Department of Premier and Cabinet, will give evidence to a parliamentary inquiry into the decision to cancel the 2026 Commonwealth Games.

Monday’s witness list includes Secretary of the Department of Premier and Cabinet, Jeremi Moule, and senior public servants from the Department of Jobs, Skills, Industry, and Regions.

The former CEO of the Office of the Commonwealth Games, Allen Garner, and CEO of Victoria 2026, Jeroen Weimar, are also listed to appear at the hearing in Melbourne.

The select committee is expected to hold more hearings before handing down an interim report by the end of April next year, with a final report due in April 2025.

The next public hearing will be held on Oct. 13.