Employment issues, storms and floods have drawn out the Deniliquin RSL Club’s car park and solar energy project, resulting in a significant budget overspend.
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Club CEO David Hart told the Pastoral Times the cost in stage one has increased by $500,000 on original cost estimates.
He said design changes, delays and issues discovered during construction resulted in the increase.
“The main cost increase is because all the reports severely underestimated the thickness of the bitumen and the subsoil.
“We also found a number of large concrete footings from when this site was home to a tyre business.
“These things alone resulted in an extra $300,000 being required.
“We also needed to make unplanned sewer and gas line repairs.
“The new surface will be a 30mm thick asphalt over crushed rock. Previously it was a sandy base.
“We have also provided extra shading (to what was originally proposed).”
The car park project was originally hoped to be completed in October this year, but Mr Hart said weather and widespread floods has caused lengthy delays.
While the car park has been made usable for the Christmas and New Year period, it will not be completed until late February or March.
“Everyone has suffered from employment issues, and our contractors have had them from the start,” Mr Hart said.
“We also had some issues with the new New South Wales planning portal, which resulted in some miscommunication issues with Edward River Council.
“And then of course we had rain delays.
“Once the floods hit the region, our contractors were then seconded to Victoria to help with urgent road repairs, which resulted in further delays.
“We do expect them to be able to return early in the new year, but that may depend on what work the Victorian Government still needs done in flood affected areas.”
Mr Hart said the club may look at loans to cover the additional project costs, but said there may also be enough money in the club’s reserves to cover it.
“The last few months have been pretty good,” Mr Hart said of the club’s earnings.
The reconstruction of the club car park, which is stage one of a two part project to reduce the club’s reliance on the electricity grid, was originally costed at $2 million.
Stage two will cost a further $3 million, and Mr Hart said development applications for that stage would be submitted soon.
At the completion of the project, the club will be deemed a ‘solar farm’ - the term used for any self-sufficient solar project.
It will allow the club to generate and store 680 kilowatts of energy, powering the club’s poker machines, lights, kitchen, and all other electricity needs.
Stage one was started in March this year and has included the demolition and resurfacing of the club’s car park, which is now covered by shade structures laden with solar panels.
Electric car charging stations and landscaping will also be included.
Stage two of the club’s solar project will see solar panels installed over the tennis courts.
“After stage two we’ll have our own generator, our own battery storage and we will put power back into the grid because we won’t be needing as much power as we’re going to be generating,” Mar Hart said.
“The solar farm will help drive our costs down, but when we have finished stage two, we hope to be able to come off the grid completely.
“At some stages we’ve been paying $32,000 a month for electricity.
“If we can halve that in stage one, and then the lot by stage two’s completion, we can recoup our costs quite quickly.
“The conservative estimate is that we should be able to repay stage one within five years.
“The solar generated will run the club, with any excess going back in to the grid to draw from as required.
“This same model has been a profitable exercise for other clubs, including Euston.”
The majority of funding for the more than $5 million project is being covered by club reserves, although some loans may be required to finish the project.
Mr Hart anticipates the project will be fully complete by March, after which the ‘switching on’ of the new energy system will take place after hours to limit the impact on club members and guests.
The incomplete car park was re-opened for use on Tuesday, and will remain open until the end of January. Construction is expected to resume in February.
Senior journalist