The Burswood racetrack and Perth Park project remains costed at $217.5 million despite stark warnings about the impact the war in Iran could have on Western Australia’s construction sector.
The estimated cost of the Perth Park remains unchanged in Thursday’s budget papers, with $104 million to be spent by June and $113.5 million to be spent next year.
The racetrack remains a political hot potato in the state, with the opposition certain the project will face a cost blowout and holding it up as a prime example of the Cook government’s poorly targeted spending priorities.
WA Treasurer Rita Saffioti was defiant when asked whether the project had blown out, responding with a simple “no”.
She said the project was still expected to be finished by next year.
Work has been ramping up at the Burswood peninsula site since the start of the year, but the continued operation of machinery during the fuel supply shock has drawn sharp criticism.
The $217.5 million costing appears precarious when reading the budget’s statement of risks, which suggests the Iran war was playing havoc with the local construction sector.
“The conflict in the Middle East is having a material impact on the Western Australian economy. Direct impacts include disruptions to trade via the Strait of Hormuz, rises in fuel, freight and fertiliser prices and emerging supply shortages,” the papers said.
“Delivery of the government’s substantial pipeline of works continues to be challenged by global supply chain volatility and constrained labour availability, with the conflict in the Middle East likely to exacerbate these pressures should it continue for a prolonged period.
“The government continues to work proactively with the construction industry to tackle market challenges, increase productivity and improve the long-term sustainability of the state’s infrastructure delivery.”
Debate over the racetrack devolved into chaos in the lower house on Wednesday after Opposition Leader Basil Zempilas asked Premier Roger Cook whether the budget would contain transparent costings, including details of any deal with Crown Perth to acquire a crucial portion of land to the south of the project.
Cook responded by accusing the opposition of being “elitists” who were against motorsport.
“I know that the leader of the opposition hates motorsports. He hates motorsport enthusiasts,” the premier said.
Central Wheatbelt MP Lachlan Hunter became the first MP ejected from the house in a decade for continuing to interject during Cook’s answer.
Hamish Hastie is WAtoday’s state political reporter and the winner of five WA Media Awards, including the 2023 Beck Prize for best political journalism.Connect via X or email.
