Australian MotoGP’s future at Phillip Island under serious threat

Victoria’s iconic motorcycle Grand Prix could be relocated or lost entirely as contract negotiations reach critical impasse.

The Australian Motorcycle Grand Prix’s 30-year presence at Phillip Island faces an uncertain future, with negotiations between the Australian Grand Prix Corporation (AGPC) and MotoGP commercial rights holder Dorna Sports reaching a critical stalemate.

According to reports from The Age, Dorna has demanded the event be relocated to Melbourne’s Albert Park street circuit as a condition for renewing the contract beyond the current agreement, which expires after this October’s race.

The Victorian government has reportedly increased its financial offer to retain the race at Phillip Island but remains reluctant to fund the extensive infrastructure modifications required to stage a motorcycle event at Albert Park. Sources familiar with the negotiations say the impasse reflects Dorna’s broader strategic shift following its acquisition by Liberty Media, Formula 1’s parent company, with street circuits becoming an increasingly favored option.

The stalemate has opened the door for rival bids, with South Australia’s government holding discreet discussions with Dorna late last year about potentially hosting the Australian round on an Adelaide street circuit.

A Victorian government spokesperson confirmed negotiations remain confidential but reiterated the state’s preference to keep the race at Phillip Island, describing the event as inseparable from the circuit and the Bass Coast region.

Circuit owner Andrew Fox told The Age that while not involved in negotiations, a motorcycle race at Albert Park would face significant safety and community hurdles. The street circuit’s limited run-off space and potential environmental impacts – including the likely removal of numerous trees to create adequate safety zones – present major obstacles.

Even with Albert Park currently undergoing a $300 million infrastructure upgrade for Formula 1, adapting the venue for motorcycle racing would require extensive additional modifications that appear politically and environmentally challenging.

Bass Coast Shire mayor Rochelle Halstead said uncertainty surrounding the race has sparked strong community action, with thousands signing petitions urging the Allan government to secure the event’s future.

The mayor emphasised that MotoGP generates close to $100 million annually for the local economy and is central to the region’s identity.

Phillip Island has hosted the Australian Motorcycle Grand Prix continuously since 1997, becoming one of the most celebrated circuits on the global calendar. The coastal venue’s combination of challenging layout, stunning scenery, and enthusiastic crowds has made it a rider and fan favorite.

The circuit was granted an unusual 10-year deal in 2016 on the understanding that long-term security would enable significant facility investment. However, substantial upgrades have not materialized, leaving the venue’s infrastructure below current MotoGP standards.

This apparent stalemate between circuit owners and race promoters has contributed to Phillip Island’s vulnerability as newer, more modern venues compete for calendar positions.

With the current agreement set to expire after October’s race, the Australian motorcycling community and Bass Coast region face an anxious wait to learn whether one of MotoGP’s most iconic venues will retain its place on the championship calendar.

Spencer Leech

Spencer has a keen eye for hard news, and does some of his best living on deadline day. He loves more than anything to travel on his motorcycle, and is adamant that Melbourne Bitter is a world-class lager. He also knows how to operate the big computery thing in the office. By night, Spencer plays guitar with Melbourne punk outfit LOUTS.

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