Chief Executive of the Australian Grand Prix Corporation, Andrew Westacott admits that the full loss of the cancelled Australian GP back in March won’t surface for “a number of months.”
The traditional Melbourne season opener costs the AGPC and Australian Government in excess of $100 million annually. The event has come under fire in the recent past from critics complaining over the cost of the race as well as the use of the public space in Albert Park to host it.
But this year’s 25th iteration of the event was cancelled at the eleventh-hour amid Covid-19 concerns, and a rescheduling of the event is incredibly unlikely to occur.
In an interview with Australian news outlet AutoAction, Westacott conceded that the true loss of the cancellation will not be known for several months.
“What we are working through at the moment is a very complex set of close-outs with stakeholders, with customers, with fans, with suppliers, with media partners and that’s all being stepped through at the moment,” Westacott told Auto Action.
“The final cost is not going to be known for a number of months. It’s much more complex than if the event had run its normal course.”
Despite losses expected to be as much as $100 million, Westacott did confirm that insurances were in place to help forestall some of the loss.
“We have insurances in-place and we are working through those insurances in the normal manner.
“That will not cover every outgoing and every cost, but there are appropriate insurances in-place and so we are working through that and working closely with government on it.
“Our job is to ensure each situation is worked through fairly.”
Original interview conducted by AutoAction.com.au