AUSTRALASIA - The Victorian Government has dashed expansion plans for the Melbourne Convention and Exhibition Centre (MCEC).
Outlining its measures in its recent 2013 budget, the state said it is aiming to manage financial constraints caused by a weaker national economy and international economic uncertainty.
The Tourism & Transport Forum (TTF), a national, member-funded CEO group, said the budget highlights the economic realities of a tighter fiscal environment. TTF chief executive John Lee said the industry is disappointed the government has still not committed to the expansion of MCEC.
"Victoria turns away almost a third of its potential business events as a result of the existing facility operating at capacity," he said. "It is worrying to think of the consequences of inaction when New South Wales has committed AU$1bn (US$1.02bn) to the expansion of its own convention and exhibition centre.”
The Exhibition and Events Association of Australasia (EEAA) also raised concerns. EEAA general manager, Joyce DiMascio said that when the new MCEC opened in 2009, the industry believed the next stage of the expansion would be built within a few years. “However, competition for funding of other capital works and social infrastructure continues to put this crucial project back," she said.
The latest EEAA Market Monitor released in April shows that Melbourne has attracted over 50 per cent of the new shows planned for 2013. “This healthy market will be compromised if events cannot continue to grow and if infrastructure is not updated with state-of-the-art services,” DiMascio added.
“Many events organised by EEAA members are venue-bound. The size and availability of space has reached capacity and Melbourne risks turning away new business and larger exhibitions.”
If the Government had approved the extension plans, MCEC's expansion may have been completed by the end of 2016, just before Sydney’s redevelopment opens.
Do you have a news story for EW? Email abyrne@mashmedia.net
