Tokyo’s governor has warned that the bill for the city’s 2020 Olympics could yet spiral out of control, despite exhaustive efforts to rein in runaway costs.
Tokyo Governor Yuriko Koike said there was still a danger of costs reaching an eye-watering ¥3 trillion (US$26.5 billion) — four times more than initially planned — unless Games organizers keep a tight rein on the purse strings.
“We still haven’t got a final figure for how much it will cost, but if there is no governance within the organizing committee, it could be that expensive,” she said in an interview on Tuesday.
“That’s a question for them,” added the governor, who took office in August last year after a landslide election victory. “In short, it’s a question of leadership and good management.”
Concerns over soaring costs have cast a shadow over Tokyo’s Olympic preparations and fears were heightened after a panel of experts predicted the overall budget could exceed ¥3 trillion without drastic cuts.
Koike proposed a review of three costly venues — for rowing, swimming and volleyball — but subsequently agreed to keep all three at their planned Tokyo sites.
“I don’t think we are on different wavelengths,” she said, rejecting any suggestion of discord between Tokyo 2020 organizers and city and central government officials.
“Everyone is cooperating,” the former TV newscaster added. “At one point, the Sea Forest [rowing] venue was going to cost US$1.1 billion, but we have more than halved that. Tokyo is building six venues and we have made significant reductions to the costs.”
Tongue planted firmly in cheek, Tokyo’s first female governor jokingly said: “I just show the differences [in opinion] as much as possible to make it news!”
In its bid, Tokyo estimated costs of US$7 billion and projected an economic windfall of ¥3 trillion, but Tokyo organizers are under pressure to balance the books after ballooning costs at recent Olympics, notably the US$50 billion price tag for the 2014 Winter Games in Sochi, Russia.
The International Olympic Committee (IOC) is under pressure to reduce costs to keep cities interested in bidding for future Games.
“It’s just not sustainable to spend vast sums of money on the Olympics,” said Koike, 64, who previously served as Japan’s defense minister. “Tokyo will be a test case for the IOC.”
Koike recently criticized the Tokyo Olympic golf venue for not accepting women as full members, leaving the private club’s hosting rights in the balance.
“Kasumigaseki Country Club not admitting full women members conflicts with Olympic Charter,” she said, referring to the club in Saitama Prefecture, north of Tokyo. “We will continue to monitor the situation and see how they react.”
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