I read a recent report from the Auditor General about the financial viability of the resort.
I a bit confused as to the expectation that Baw Baw is ever going to be financially indepedent.
While the days of dependency and support from the other resorts has now gone, the ongoing support from the government seems to have the aim of securing financial independence - i.e. no losses.
I expect that Baw Baw will never be financially independent from Government support.
I think that trying to get more vistors up the the resort is good and the recent efforts made for the summer seasons have been great, but there is only one reason why people come in the winter and it is - SNOW.
Is sealing the South Face Road going to make any difference? While the numbers on the South Face Rd look promising, they don't seem to be able to seperate the through traffic that doesn't come to the resort.
I cannot see how the sealing of the South Face Road is going to make a measurable difference to visitor numbers.
What would it cost to seal the South Face Road? $10mil+??? Could that money be better spent?
What are the other possibilities that might get more people up to Baw Baw:
(i) A chairlift up the Summit (to reduce queing) and perhaps back up the Beginner Hill. This would open up more ski area as well. Unload at top of Painted or a bit higher, half station at lower Painted, bottom station in the bowl, top station at the top of Tank Hill. The Cairn Cafe on the Summit for foot patrons with views.... This would wipe out x3 existing lifts - Summit TBar, Painted TBar and Tank Hill Poma. Seems a better option than a snooty place to eat at VC.
Yes, i know, an old chestnut, but if you are going to market to snow boarders for the 'park and terrain' how much do those boarders really like getting the TBar??? Yes, I know the finances don't stack up...
On $2.5mil, that is $125K in interest and $125K in repayments, totalling $250K a year and an ADDITIONAL 3570 lift tickets per year at $70 a pop - 357 additional tickets per week over a 10 week season. Yes, a few assumptions there, 5% interest, $2.5mil to build, maintenance, environmental concerns, the cost of existing and replaced infrastrcuture not factored in.... Feel free to be critical and more specific, but I think other resorts successfully manage it.
(ii) Grid power (what would that cost? and would it make a difference???)
(iii) Civil and drainage work to smooth out the Maltese Run and other areas to allow for skiiing in more marginal conditions;
(iv) Install the old Big Hill Poma
(v) Put a rope tow down the old chair lift run for the 6 weeks when there is snow there - a cheap option for a decent pitch of ground. (And yes, I know that it is difficult for Ski Patrol to get the injured out of there, but a simple downhill cross cut track through to the Road will solve that).
(vi) Re-do the civil works for Bill Hill Access Poma so that Road Run can acutally be skied. Fixing Big Hill Access and Big Hill will open up heaps more terrain that already exists and was previously used.
(vii) REDUCE the resort entry fees;
(viii) Survey the vistors to ask them why they won't come back and what they do not like about Baw Baw.
(ix) New dedicated area for beginners with more magic carpets etc..
While a quad chair will cost about $2.5mil to install, all the other stuff is quite do-able when compared to the cost of sealing the south face road. Why not just grade it regualrly, rather than it be a 4wd obstacle track.
I suspect Baw Baw is heading towards a Lake Mountain model for cross country skiing when there is snow.
Am I being unreasonable? Is there any future for Baw Baw's marginal snow season?
Are people in control having trouble seeing the wood because of the trees?
Strong future? I want to be positive, but I'm having trouble with confidence in the current direction of the resort.
40
ps, I love to know how much the Village Central Restaurant has increased visitor numbers by, or even made a profit?
pps, And what happened to the interpretation centre and public facility that was once planned? As the feedback I've had from the public is that eating in the 'public shelter' area is a bit grim adn limited (not to mention the toilets)
.... rant over.... but see the article below.
http://www.abc.net.au/news/2013-05-31/mt-baw-baw-alpine-resort-up-beat-about-future/4725450
The chief executive of the Mt Baw Baw Alpine Resort says he believes the mountain has a strong future.An auditor-general's report found Mt Baw Baw was at a high financial risk, with an operating deficit of $1.7 million. Mt Baw Baw Alpine Resort's chief executive, Stuart Ord, says sealing the south face access road would attract more visitors.
He says the resort has to generate its own energy and connecting to the electricity grid would save money.
"Unfortunately, and it's a fact of history, we generate all our own energy up here and that's a very, very expensive thing to do," he said. "We pay about 86 cents a kilowatts hour, compared to ... probably what you pay down in the valley, probably about 25, 26."
I a bit confused as to the expectation that Baw Baw is ever going to be financially indepedent.
While the days of dependency and support from the other resorts has now gone, the ongoing support from the government seems to have the aim of securing financial independence - i.e. no losses.
I expect that Baw Baw will never be financially independent from Government support.
I think that trying to get more vistors up the the resort is good and the recent efforts made for the summer seasons have been great, but there is only one reason why people come in the winter and it is - SNOW.
Is sealing the South Face Road going to make any difference? While the numbers on the South Face Rd look promising, they don't seem to be able to seperate the through traffic that doesn't come to the resort.
I cannot see how the sealing of the South Face Road is going to make a measurable difference to visitor numbers.
What would it cost to seal the South Face Road? $10mil+??? Could that money be better spent?
What are the other possibilities that might get more people up to Baw Baw:
(i) A chairlift up the Summit (to reduce queing) and perhaps back up the Beginner Hill. This would open up more ski area as well. Unload at top of Painted or a bit higher, half station at lower Painted, bottom station in the bowl, top station at the top of Tank Hill. The Cairn Cafe on the Summit for foot patrons with views.... This would wipe out x3 existing lifts - Summit TBar, Painted TBar and Tank Hill Poma. Seems a better option than a snooty place to eat at VC.
Yes, i know, an old chestnut, but if you are going to market to snow boarders for the 'park and terrain' how much do those boarders really like getting the TBar??? Yes, I know the finances don't stack up...
On $2.5mil, that is $125K in interest and $125K in repayments, totalling $250K a year and an ADDITIONAL 3570 lift tickets per year at $70 a pop - 357 additional tickets per week over a 10 week season. Yes, a few assumptions there, 5% interest, $2.5mil to build, maintenance, environmental concerns, the cost of existing and replaced infrastrcuture not factored in.... Feel free to be critical and more specific, but I think other resorts successfully manage it.
(ii) Grid power (what would that cost? and would it make a difference???)
(iii) Civil and drainage work to smooth out the Maltese Run and other areas to allow for skiiing in more marginal conditions;
(iv) Install the old Big Hill Poma
(v) Put a rope tow down the old chair lift run for the 6 weeks when there is snow there - a cheap option for a decent pitch of ground. (And yes, I know that it is difficult for Ski Patrol to get the injured out of there, but a simple downhill cross cut track through to the Road will solve that).
(vi) Re-do the civil works for Bill Hill Access Poma so that Road Run can acutally be skied. Fixing Big Hill Access and Big Hill will open up heaps more terrain that already exists and was previously used.
(vii) REDUCE the resort entry fees;
(viii) Survey the vistors to ask them why they won't come back and what they do not like about Baw Baw.
(ix) New dedicated area for beginners with more magic carpets etc..
While a quad chair will cost about $2.5mil to install, all the other stuff is quite do-able when compared to the cost of sealing the south face road. Why not just grade it regualrly, rather than it be a 4wd obstacle track.
I suspect Baw Baw is heading towards a Lake Mountain model for cross country skiing when there is snow.
Am I being unreasonable? Is there any future for Baw Baw's marginal snow season?
Are people in control having trouble seeing the wood because of the trees?
Strong future? I want to be positive, but I'm having trouble with confidence in the current direction of the resort.
40
ps, I love to know how much the Village Central Restaurant has increased visitor numbers by, or even made a profit?
pps, And what happened to the interpretation centre and public facility that was once planned? As the feedback I've had from the public is that eating in the 'public shelter' area is a bit grim adn limited (not to mention the toilets)
.... rant over.... but see the article below.
http://www.abc.net.au/news/2013-05-31/mt-baw-baw-alpine-resort-up-beat-about-future/4725450
The chief executive of the Mt Baw Baw Alpine Resort says he believes the mountain has a strong future.An auditor-general's report found Mt Baw Baw was at a high financial risk, with an operating deficit of $1.7 million. Mt Baw Baw Alpine Resort's chief executive, Stuart Ord, says sealing the south face access road would attract more visitors.
He says the resort has to generate its own energy and connecting to the electricity grid would save money.
"Unfortunately, and it's a fact of history, we generate all our own energy up here and that's a very, very expensive thing to do," he said. "We pay about 86 cents a kilowatts hour, compared to ... probably what you pay down in the valley, probably about 25, 26."
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