In September 2015, Mr Baird said his government would spend $1.6 billion partly gained from the privatisation of electricity assets on upgraded stadiums in Sydney.
That
plan included a new stadium at Parramatta by 2019, construction of which is already under way.
The plan was then to build a new stadium to replace the 30-year-old Allianz Stadium at Moore Park, and to upgrade the former Olympic stadium known as ANZ at Olympic Park.
But the proposal to prioritise another stadium at Moore Park faced strong resistance from sporting organisations. Sydney's
NRL clubs preferred the spending at Olympic Park, closer to the geographic heart of Sydney.
Also, the tenants at Allianz Stadium – Sydney FC, the Roosters, and the Waratahs –
rebelled against the idea of a new stadium, in part because they would be displaced for years while it was built.
In response, Mr Baird took control of stadium planning in what was then a
humiliating defeat for Mr Ayres, who had championed the idea of a new stadium at Moore Park. Under the plans Mr Baird announced in April, 2016, the priority would be ANZ Stadium, and there would be only minimal funds available for an upgrade of Allianz Stadium.
The decision on Thursday represents a triumphant reversal of fortunes for Mr Ayres and the powerful Sydney Cricket & Sports Ground Trust, with whom he is close. Trustees include talkback radio's Alan Jones, business figure Tony Shepherd, and former premier Barry O'Farrell.
By increasing the total spending on stadiums from $1.6 billion to around $2.3 billion, the government has in effect resolved the conflict between Allianz and ANZ Stadiums by finding money for them both.
But it has done so at some political risk. NSW Labor leader Luke Foley has said he would not spend money on Allianz Stadium in Sydney's east.