IOC Cites Finances, Accommodations as Risks for Almaty Olympic Bid

(ATR) The IOC identifies venue funding and lack of hotel rooms as its biggest concerns about Almaty 2022.

In the assessment by Russian Alexander Zhukov’s evaluation commission, 14 themes are analyzed following the inspection visit in February. A visit to 2022 bid rival Beijing followed in March. Both cities were encouraged to reflect the spirit of Olympic Agenda 2020 in their bids.

There are numerous risks and challenges for the Kazakh bid highlighted in the report. Chief among these are financial risks.

"The guarantee regarding the financing of venue costs involves multiple parties, creating ambiguity on the division of responsibility including ultimate financial responsibility," says the report.

On finance and marketing, the IOC states "economic factors, including low oil prices and exchange rate issues, could negatively impact Games preparations and the government’s capacity to

provide financial and other support."

The IOC also raises concerns about the organizing committee budget.

"The expense side of the OCOG operational budget requires further development and alignment with operational planning. Combined with revenue uncertainty related to ticketing and sponsorship, the budget presents risks."

The lack of accommodations comes in for some serious criticism.

The IOC says Almaty 2022 has not provided any guarantee from individual private hotel owners with regard to room availability or price.

"Were Almaty to be awarded the Games, this would create significant risk to the OCOG’s ability to both secure needed rooms and ensure reasonable rates," the report says.

It also says housing demands generated by hospitality and guest programs would create "additional strain on the already tight accommodation supply."

There is also a risk in financing and delivering the 6,000-room media village, 3,000 hotel rooms and 2,000 apartment rooms and limited accommodation for spectators.

On the transport front, the IOC remarks that the success of the Games transport plan is "heavily dependent" on completion of the city’s transportation development projects.

Almaty’s relative lack of sports operations experience is also identified as an issue. By the time of the 2022 Games, the city will have hosted the 2017 Winter Universiade.

"Shortage of skilled workforce for disciplines other than Nordic sports and speed skating would require a sizeable investment in international experts, workforce recruitment and training," the IOC report comments.

However, there are some strengths outlined by Zhukov’s team.

The IOC notes Almaty’s vision for the Games is "rooted in the desire to accelerate economic and social reforms" and to "build on the country’s winter sports heritage."

The bid has strong public support with an IOC opinion poll putting it at 85 percent in Almaty and 87 percent nationwide.

In keeping with Agenda 2020, the analysis says Almaty’s Games concept "offers a compact plan that makes good use of existing venues and the natural advantages of the nearby mountains." During the commission’s visit, Almaty 2022 made changes to its plans to save costs following discussion with IOC inspectors.

Unlike Beijing, Almaty boasts good snow conditions in an Alpine environment.

"Operational and cost efficiency and low environmental impacts" are listed as advantages along with "short travel times within and between zones."

The report has been sent out to IOC members ahead of the June 9 to 10 2022 Candidate Cities Briefing in Lausanne.

Almaty and Beijing will each present their bidding concepts to the IOC membership and winter federations gathered at the Olympic Museum before a Q&A session on June 9.

For the first time, the evaluation commission will present a report at the briefing and respond to members’ questions.

Responding to the report, Almaty mayor Akhmetzhan Yessimov acknowledged "there is still work to be done."

"But the city is growing every year, and with most venues already in place at latest in 2017, we can focus on these issues. No new major infrastructure project is needed. And we will already have an experienced team on the ground for the OCOG due to the Universiade, which is unique," he explained in a statement.

"Now we are looking forward to the two crucial presentations in Lausanne and Kuala Lumpur."

Written by Mark Bisson

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