The scrapping of a long-running plan for a new ice sports centre in Tuggeranong has been met with dismay, with the opposition declaring it a "100 per cent debacle".
Sports Minister Chris Steel said he was very disappointed to announce the government would walk away from the project after an evaluation of unacceptable risks in a scheme that would not present value for money.
The ACT will instead spend the $16.265 million it had earmarked for the project on sports infrastructure in Tuggeranong.
Mr Steel said the government came to the table ready and willing to make the project a reality and had worked constructively with developers.
"However, it was critical that the government's significant investment delivered strong outcomes for the ACT community, and we simply could not reach an agreement that met those requirements," Mr Steel said in a statement.
"I have written to ice sports representatives today to advise them of this decision. I understand this news will be deeply disappointing for members of the ice sports community and others who championed this proposal.
"We recognise the importance of these facilities, and the government will continue to engage with stakeholders on the future provision of ice sports in the ACT."
ACT Ice Sports Federation spokesman Sandi Logan said the ice sports community was profoundly disappointed with the decision.
"While deeply disappointed the ACT government and the delivery partners Pelligra Group and Cruachan Investments were unable to reach agreement, we will continue to work constructively with the Sport Minister Chris Steel, with his bureaucrats at ACT Sport and Recreation, and with other potential partners to develop a proposal for a new ice rink," Mr Logan said.
"We've worked this long to get so very close to our objective and we are not going to be silenced - or sullen - about this not unexpected development."
Opposition Leader Mark Parton condemned the government for taking the Tuggeranong ice sports facility commitment to three elections before declaring it would not happen.
"I think it absolutely sends the wrong message to the market, and it does send a message to potential proponents and potential developers that there is risk in dealing with this government," Mr Parton said.
Laura Nuttall, the Greens member who represents Tuggeranong, said the announcement was a huge blow.
"You can't spend a decade making promises to a community then simply walk away when it's time to deliver," Ms Nuttall said.
"We can't afford another 10 years of Labor governments being elected on the back of more promises they won't deliver. We need details, and we need guarantees that projects are going to happen."
Labor backbencher Taimus Werner-Gibbings, who also represents Tuggeranong, said he was among the extremely angry and deeply disappointed people in Canberra's south following the announcement.
"Tuggeranong is sick of waiting for our fair share. The government must outline its plan, commit to a timeline and get on with delivering the sports infrastructure our community needs and deserves," Mr Werner-Gibbings said.
The government said every dollar it had committed to the project would instead be spent upgrading other sport and recreation infrastructure in Tuggeranong.
Mr Steel took over responsibility for sport from former deputy chief minister Yvette Berry, who resigned from cabinet in July.
A tender evaluation that recommended against proceeding with the project was completed in April and Ms Berry was briefed on its findings before she resigned from cabinet.
Asked which minister had made the decision, Mr Steel said Ms Berry had been briefed on its findings as he was coming into the role.
"I'm now making the announcement about the outcome of that tender which has found that there are unacceptable risks, it is not value for money and that we couldn't move forward with the proposal," Mr Steel said.
Mr Steel said he could not go into detail about the tender evaluation process because of commercial and probity reasons but said the evaluation had been considered by cabinet.
The new minister said late last month the ice-rink project was one of the first things he sought a briefing on when he took over the portfolio, describing the delay as "incredibly frustrating".
"There's been some continued deliberation and consideration of that, and we're hoping to make an announcement soon," Mr Steel said on August 27.
ACT Labor committed to funding a new ice sports centre before the 2016 election but a decade later no rink has been built.
An expression-of-interest process began in September 2019, which shortlisted Cruachan Investments and Pelligra as the preferred delivery partner.
The ACT entered a non-binding agreement and committed $16.265 million towards the project in Greenway, with the plan for the private-sector proponents to build, operate and maintain the facility.
But the developers appointed to build the facility said earlier this year the $16.3 million in government funding committed to the project was not enough and threatened to walk away.
"It's ultimately up to the government to determine whether or not their insistence on the ice rink being at a particular site [Greenway] is worth the extra money that they need to put on the table," Cruachan Investments' Stephen Campbell previously told The Canberra Times.
"My express words to the ice sports community would be hang in there, we are going to make it happen, whether it's Tuggeranong or elsewhere, there will be a new rink in the ACT."
Cruachan Investments and Pelligra Group were appointed to build the project in November 2022.
In September 2025, the ACT government had reaffirmed Tuggeranong was the nominated site and sought a commitment the developers were willing to proceed.
But a formal assessment of an updated detailed proposal, which sought more than double the original funding amount, led the government to conclude the project would not deliver value for money.
