Australian article about the report
www.theaustralian.com.au
The ARL Commission’s plan to expand the NRL competition is facing a significant hurdle after an independent 200-page report commissioned by 12 renegade clubs raised serious concerns over the damage a 17th team could do to the existing sides in Queensland and the credibility of the competition itself.
The Gemba Group finalised their investigation into expansion last week and it is understood they held a zoom meeting on Tuesday to discuss the findings with the clubs who paid for the report.
Sources close to the clubs confirmed the report raised serious concerns, most notably whether there was enough player depth to add another team and whether diluting the talent would lead to more blowout scorelines.
Further, the report suggested a new team would cannibalise support at existing clubs and lead to inflationary pressure not just on players at the three Queensland clubs, but also on coaching, high performance and administrative staff.
The Gemba Group painted a particularly dark picture for the existing Queensland teams as well as the Melbourne Storm, suggesting they were most vulnerable to being attacked by a new outfit seeking to sign players with a desire to play in Queensland.
The report added that there was some upside in expansion – more teams would mean more games and potentially generate more revenue. However the existing clubs point out that you don’t need to add another team to create more games.
They can do that on their own. The ARL Commission is expected to be furnished with the report on Wednesday morning as they prepare to step up their talks with the three groups bidding to join the NRL.
The Commission has called for expressions of interest from potential new clubs, having asked them to justify why they should be part of a new competition via an online portal.
That process has now closed and the commission is expected make a decision in late-July on whether they expand and if they do, which club wins the license to become the 17th team.
It is understood the three groups bidding to join the NRL – the Brisbane Jets, the Redcliffe Dolphins and the Brisbane Firehawks – will be given a final chance to state their claims when they present to the ARL Commission as early as next week.
Those talks will be crucial, but so too will discussions with the existing clubs given the findings by the Gemba Group. A number of clubs have been agitating for some evidence that adding a new side stacks up, both fiscally and from a competition perspective.
They are also demanding some form of financial compensation because the ARL Commission would be giving up a stake in the game by adding a 17th team. They now have greater leverage given the findings of the Gemba Group.
The existing 16 clubs are all members of the ARL Commission, effectively making them shareholders in the game itself. They believe they should be compensated – potentially to the tune of $40 million – in return for handing over a place in the NRL.
The latest developments on expansion were discussed by the clubs with the NRL late on Tuesday as they met to discuss the decision to return to level 3 biosecurity protocols following the latest Covid outbreak in Sydney.
Under the new protocols, players from the greater Sydney area must stay at home unless they are training, exercising or conducing essential services. Ten new local cases were reported in NSW on Tuesday, prompting the NRL to act fast to ensure the competition wasn’t interrupted.
They had to move quickly to protect State of Origin as well – referee Gerard Sutton and touch judges Todd Smith and Phil Henderson travelled to Queensland on Tuesday afternoon amid fears the Queensland government may close the borders.
What started as an update on the biosecurity protocols, rapidly mushroomed into a heated discussion about some of the other issues that are currently enveloping the game.
It is understood the clubs once again raised concerns over the salary cap from 2023 and questioned plans for the World Cup to go ahead later this year given the Covid concerns in England, where the tournament is due to be held.
The tournament could have significant repercussions for the start of next year’s competition given players will need to spend two weeks in quarantine on their return home, and then be given their mandatory eight weeks holiday.
It would mean the game’s elite starting next year’s competition with as little as four weeks pre-season training under their belt.
