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New Life for Jenolan Caves

The NSW Government is looking to the private sector to breathe new life into Jenolan Caves tourism, one of the most-loved and historic tourist attractions in the state.

Environment Minister Robyn Parker said the NSW Government was determined to find an operator capable of making Jenolan a sustainable and viable tourist attraction, protecting its more-than 100 years of history.

“Caves House and Jenolan Caves have the potential to be one of our state’s premier tourist attractions, but the precinct has failed to flourish and we want to turn that around,” Ms Parker said.

“The precinct is a jewel in the crown of our state’s natural treasures, though it needs polishing.”

Ms Parker said previous attempts to resuscitate the ailing precinct had shown that to be viable, the operator of Caves House also needed the right to manage cave tours.

“While the caves remain popular with daytrippers, Caves House fails to attract the same visitor numbers as other accommodation in the region. Around 226,000 people visit the caves each year, but there are only 10,000 visitor bed nights at Caves House.

“We want to give Jenolan the best chance to turning daytrips into overnight stays, to make the operation economically viable.

“As it stands, the operation runs at a loss and taxpayers are subsidising the operation to the tune of $60 per bed per visitor night – up to $700,000 a year. Since 2003, the bill to taxpayers has been around $11 million.

“There is no reason Jenolan can’t be more successful and stand on its own two feet.

“We now want the private sector operators to start thinking about how they can help this wonderful state asset realise its full potential.

“Proposals will be sought in early 2013 from anyone with an interest in operating the caves precinct, whether they be businesses, not-for-profit organisations, local government, charities or individuals.

“An expert adviser will soon be appointed to help the tender evaluation panel carefully assess all proposals, with a view to getting the best deal for the precinct, the region and the state.”

Ms Parker said the government would look to offer a long-term lease on the hotel, and more than 30 other buildings on the site, plus access to the caves.

“Any agreement will ensure the caves are open to the public and the area’s unique natural and built environment is protected,” she said.

Ms Parker said the government would negotiate with any private sector operator to protect jobs on the site.
“The staff are one of the major assets. They live in the area, they love it and they understand its unique qualities,” she said.

Jenolan Caves was the second area in the world to be reserved for conservation purposes when it came under government control in 1866. Today the entire site is listed on the State Heritage Register.

Caves House, built in the late 1890s, contained a ballroom and a grand dining room and quickly became the State’s premier inland tourist destination, with thousands making the long trip from Sydney, at first by train and carriage then on horseback.

“The Jenolan Caves precinct is a jewel in the crown of our state’s natural treasures, though it needs polishing. The precinct remains an extraordinary part of Australia, with over 40 kilometres of caves,” Ms Parker said.


Source: Accommodation Association of Australia, 6 December 2012