Govt grants southern ski-fields $350,000

Press, 24 January 1986, Page 1

Govt grants southern ski-fields $350,000

The Government has granted two South Island commercial ski-fields a total of almost $350,000, and more grants are likely. Announcing the grants to the Cardrona ski area, Wanaka, and- The Remarkables ski area, Queenstown, the . Minister of. Tourism, Mr Moore, said that they were’ a mark of, support and recognition of the importance of ski-ing to New Zealand tourism, and to the South Island in particular. Mr Moore said in Christchurch later that he

did not believe the grants were creating a precedent.

“We already have it for hotels. They get 10.5 per cent of the cost of -a project at the start of it,” said Mr "Moore.

He said that the $350,000 was not a gift, but an advance grant on what would normally be the first year’s depreciation on the operator’s new plant and equipment. The money will be used to pay for a new fourseater chairlift at each ski-field. The two ski areas had already started installing the “quad” lifts

and Mr Moore hoped they would be ready for the 1986 ski season. “It is estimated that, more than a third of all skiers using the Cardrona and Remarkables fields will be from overseas, and the extra chairlifts are essential to provide these skiers with the quality facilities that are. expected,” said Mr Moore. The grants signalled the start of real Government help and support for tour-ism-related industries,

and it would not necessarily be restricted to hotels and ski-ing. “I would Imagine that something like the gondola for the Port Hills would qualify,” said Mr Moore. “Of course, it is up to the judgment of private enterprise to do these things in the first place, but if we like the idea, and we can help, we will,” he said. • The ski-fields grants will come from the Tour-

ism Development Project Fund, which is administered by the Department of Tourism and Publicity. Mr Moore wants to meet the ski Industry in March' to discuss an “industry plan” and set objectives for the next 10 io 20 years. He believes bringing the industry together could provide New Zealand with a huge boost in tourism. Mr Moore said that the ski industry was already

earning the country $25 million a year by attracting an estimated 20,000 overseas visitors during the 1985 season. As well, one overseas study estimated that for every eight visitors, a new job was created. “This means that about 2500 jobs in the New Zealand ski industry are supported by overseas visitors,” said Mr Moore. “Now I am interested in pulling the industry together and seeing .if we

can plan for even bigger growth during the next decade and beyond.” An idea he is keen to discuss is whether New Zealand could stage big events such as the World Cup or Winter Olympics. The chairman of .the Mount Hutt ski field, Mr Peter Yeoman, last evening welcomed Mr Moore’s plan to meet the ski industry but said that New Zealand did not have the

facilities to stage a World Cup event “Our investigations show that to stage a World Cup event in New Zealand would cost between $1 million and $1.5 million. This compares with the budget of up to $lOO,OOO for this year’s Europa F.I.S. and $35,000 for the F.I.S. freestyle ski-ing championships,” he said. It was a struggle to find money for both events, “with Mount Hutt being able to provide very limited financial assistance.”

Before staging a World Cup event (and discussions had been held with the world body) New Zealand had to show the international governing

body, the F. 1.5., that it was capable of funding and running F.I.S. events, he said. “At Mount Hutt we have the staff and facilities but funding is beyond us.

“While Mr Moore speaks enthusiastically of the possibility of staging a Winter Olympics, many factors make this highly unlikely including finance, the small size of our ski resorts, lack of crosscountry terrain at low altitude, huge runs, ski jumps, and the further lack of a qualifying onerun downhill course.”

The priority was to find enough money to stage what F.I.S. events New Zealand had, prove to the world’s ski-ing nations that New Zealand was worthy of being entrusted with a World Cup event, and then start lobbying

with a strong financial background.

“There is no doubt that international ski-ing events like the Europa F.I.S. are a potent means of promoting Zealand’s ski-ing overseas, and generating skier visits, which is why Mount Hutt has supported them so well in the past,” Mr Yeoman said.

However, these events needed substantial, cash assistance, which Mount Hutt could not give.

“I trust that the Minister’s statement is a forerunner of other policies on assistance for events like the F. 1.5,” he said.