Former premier Peter Gutwein says a new stadium at Macquarie Point would have a "MONA effect" on the state, and urged Tasmanians to rise above parochialism in pursuit of an AFL licence.
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The state's bid for an AFL team has become intertwined with the $715 million Hobart stadium at a time when many are calling for greater investment into health and education.
On Tuesday, Labor MP Shane Broad said Tasmania could simply not afford the new infrastructure, which he estimated would cost the state $20 million a year in interest repayments.
Mr Gutwein said the project would generate more money to spend where "Tasmanians would like it spent", and urged the federal government to provide not just the $240 million needed for Macquarie Point, but the $65 million required to start the seating upgrade at UTAS Stadium.
"It'll provide benefits both in terms of what it'll do for the economy, what it'll do for government revenue," Mr Gutwein said.
"It'll enable us to invest even more into health and into housing because the stadium itself, with a team, will help increase the size of our economy. That's why I've been a strong backer of it.
"I would hope Mr Albanese would see the opportunity to invest in both the stadium in the south, but also importantly to match the state government contribution that's been on the table now for nearly three years into this stadium here."
Tasmania's licence was originally set to be decided by a vote of AFL club presidents in August, but has dragged out for nearly half a year since.
In November, the state government and the AFL reached an in-principle agreement for a Tasmanian team, which is understood to be contingent on the Macquarie Point stadium.
The necessity of a new venue, which the Macquarie Point business case reveals to be driven by the existing AFL clubs, has drawn considerable criticism politically and in the community.
Asked whether the stadium project had thrown the AFL bid off course, Mr Gutwein said it had done the opposite.
"I think what it's done is actually ensured that every single president of every other AFL club is now backing our bid," he said.
"They recognise that as we move forward a contemporary stadium, with a roof, is important for the game."
Speaking alongside developer Errol Stewart and Visit Northern Tasmania boss Tracey Mallett, Mr Gutwein urged the state to unite behind the cause.
"I would hope that the parochialism we have seen in this state, that has held it back now for the last 50 years in terms of achieving an AFL team, could be put aside that we can see investment into UTAS, a new stadium being built in Hobart, investment on the North-West Coast, but importantly that once and for all that we can get our own AFL team.
"That will be part of a broader entertainment precinct both in the South, and an opportunity here in the North to have more events as well."
Mr Stewart, who helped produce the 2020 Tasmanian AFL Taskforce report, said he didn't share concerns that the benefits of a Macquarie Point stadium would be contained to Hobart.
"I'm not at all worried about that for Northern Tasmania and I've invested really heavily in tourism," he said.
"Obviously we'll need the funding for both stadiums to get the best result, but certainly in my view it won't hurt Launceston at all, in fact it'll help Launceston grow."
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