Christchurch convention centre delay could cost $2m

Gerry Brownlee said it is 'highly unlikely' that the conference will go ahead in 2018. Photo / Sarah Ivey

A big conference planned for Christchurch will likely be canned because the city's new convention centre won't be open in time, the earthquake recovery minister says.

It was lauded as a "win" for the city just a few months ago but today Gerry Brownlee today said he was puzzled event organisers even booked the venue.

800 delegates were supposed to arrive for the Asia-Oceania Conference of Physical and Rehabilitation Medicine, giving the quake-hit city a $2m boost.

Labour MP Ruth Dyson today asked Mr Brownlee if the conference planned for November 2018 would still go ahead.

He said it was was "highly unlikely" but he wouldn't advise organisers to reschedule.

"It's surprising to me that they've actually booked it."

Mr Brownlee told a parliamentary select committee funding of the city's convention centre was yet to be decided.

The committee also heard debates around the centre's funding and ownership were likely to continue for some time.

"...It's a very large asset, a very expensive asset and I'm interested to see us get to a point where we can be confident we're not doing the wrong thing."

Mr Brownlee said it would be "wrong" to funnel $300m of public money into a privately-operated venue.

But he said another option was to have a private operator fund a privately-run centre.

Mr Brownlee said an earlier cost-sharing plan was based on the need that existed to stimulate the city's economic recovery and break an impasse.

"Someone had to move," Mr Brownlee said. "We can substantially get that convention centre underway at some point but we will not rule out that it will become privately-owned at some point."

He dismissed a suggestion from Ms Dyson, Labour's Canterbury earthquake recovery spokeswoman, that the centre project had blown its budget.

"There's no budget blowup because there's no budget to work to at the present time," Mr Brownlee said.

The Christchurch Central Development Unit website said a consortium of foreign firm Plenary Group, and local firms Ng?i Tahu Property and The Carter Group, were chosen as the preferred consortium for the project's master-planning and development stage.

The Centre was supposed to be open for business at the end of 2018.

Disgraced former CERA boss Roger Sutton said last year the convention centre precinct would include hotels, retail and accommodation facilities.

The Convention Centre was on the block Armagh Street, Oxford Terrace, Worcester Street and Colombo Street surrounded. It was expected to absorb part of Gloucester Street.

Meanwhile, Mr Brownlee said the Christchurch City Council had "a challenge" to fulfill its ten-year plan.

"The plan at the moment requires them to put up rates at quite an alarming speed."

Mr Brownlee said current plans ran the risk of relying on "massively overvalued assets" too.

The Christchurch City Long Term Plan planned to address a $1.2b funding shortfall for earthquake recovery and higher infrastructure costs.

The plan also dealt with issues including infrastructire problems and rebuilding damaged community facilities.