The Free State government announced on Wednesday that it has decided against renewing its contract to host the annual MotoGP motorcycle race in Welkom.
Acting premier Papi Kganare said his government did not make any budgetary allocations for further staging of the MotoGP at the Phakisa raceway.
It would thus not renew its contract with Dorna, the international organiser of grand prix motorcycle races. This contract, which has cost the provincial government an annual R60-million over the past five years, expired in April 2003.
Kganare ascribed on Wednesday the decision not to renew to ”strategic priorities” in the provincial development plan. He said the Phakisa Major Sport Events and Development Corporation, which had been hosting the annual race, was not established to sponsor events, teams or individuals. Its aim was to promote and facilitate events throughout the Free State, bringing benefits to the whole province.
Kganare said the MotoGP was but one event that could be held at the racecourse, belonging to the provincial government.
He added that Phakisa’s future use would be discussed in a meeting with the district and local municipality of Welkom and surrounding towns.
Phakisa is billed as one of the world’s top five race courses.
The local business community of Welkom earlier criticised provincial government for dragging its feet in renewing the MotoGP contract.
A recent study commissioned by the SA Tourism Board estimated that the 2003 MotoGP ensured an indirect economic boost of around R500-million for the region. The event provided jobs to around 25 000 people, the study found. – Sapa