New Plymouth's Yarrow Stadium redevelopment could be impacted by 12 risk factors

An analysis of the $50 million repair and upgrade of New Plymouth’s Yarrow Stadium reveals it has a high degree of risk.

As reported by RNZ, the Risk Register - which venue owner the Taranaki Regional Council discussed earlier this month - identifies 12 different risk factors, nine of which it rates as inherently ‘high risk’.

Identified high-risk factors include the project going over budget, the failure of earthquake-strengthening solutions, and the venue's cornerstone tenant, the Taranaki Rugby Union, becoming insolvent.

With the redevelopment plan opposed by a high profile local campaign the risk factors has further fuelled debate on the continuation of the project, with some looking to the upgrading of the New Plymouth Raceway into a multi-sports hub as an alternative.

Commenting on behalf of the New Plymouth District Council, which manages the Stadium and had to sign off the project, Mayor Neil Holdom said the only new risk highlighted in the register was the Taranaki Rugby Union's financial vulnerability.

Commenting that on that vulnerability, in the light of New Zealand Rugby's recently announced Review of Rugby, Mayor Holdom stated “what is the long-term prospect for provincial rugby in New Zealand and what are the parent company guarantees or things that New Zealand Rugby might put in place to give the people of Taranaki a comfort that the financial backing NZRFU sits behind Taranaki Rugby?"

Holdom said the New Plymouth Council published its risk register publicly and updated it on a regular basis, but he had sympathy for the Regional Council wanting to keep the commercially sensitive elements of the risk register out of the public domain

Yarrow Stadium inherent high-risk factors

• Repair and reinstatement project cannot deliver stadium back to operational capacity.
• Repair and reinstatement project cannot be delivered within NZ$50 million total budget.
• Repair and reinstatement is held up because of stakeholder involvement.
• Major tenant for the stadium and gym/community facility goes out of business or cannot afford the lease.
• No availability of people or equipment to complete DSM repair of the West Stand.
• Dampers do not secure the East Stand under earthquake conditions.
• During reinstatement, water seepage under West Stand results in increased works and costs.
• Contractor availability.
• Infrastructure. The project assumes electrical, communications and three waters capacity is available, any additional requirement is under-funded.

Yarrow Stadium inherent medium-risk factors

• Planning approval process delays the project so timeframes are not met.
• Funding. There is a risk that debt funding is not available.
• Yarrow Stadium is seen as a ‘white elephant’ by the community because it is not flexible or multi-use enough

Meanwhile, an indoor sports arena across the South Taranaki Bight in Levin, that was closed to sporting groups amid earthquake fears, could reopen again as early as next month.

The Levin Gymnastic Stadium, used by hundreds of children and athletes each week, faced certain closure two years ago after an engineering report into its earthquake readiness showed it had just 23% compliance.

However, the Horowhenua Events Centre Trust succeeded in raising $250,000 to bring the building up to standard, ensuring that the Levin Gymnastics Club, Brazilian Jiu-jitsu and Taekwon Do clubs along with pre-school children from day-care centres will be able to continue using the facility.

However, the Horowhenua Events Centre Trust succeeded in raising $250,000 to bring the building up to standard.