Save Mt Ruapehu Skifields Group

Mt Ruapehu Alpine Lifts Ltd is now in voluntary administration, a process in which the solvency, revenue and possible recapitalization of the business is being sought to ensure the skifields continue to trade and prevent going into liquidation.

If the skifields were to go into liquidation it would be devastating to the local economy.

According to the ‘Save Mt Ruapehu Skifields Group’, the winter revenue loss from Whakapapa and Turoa skifields would be between approx. $89.6m and $115.2m, with a further loss of approx. $39.4m to $50.6m of local income. Thousands of jobs would also be affected.

In addition, it would likely cost the taxpayer over $100m to remove all the assets on the mountain and return it to its natural condition, as it will revert to DOC as concession issuers if RAL is liquidated.

The ‘Save Mt Ruapehu Skifields Group’ (previously the Mt Ruapehu Shareholder & Life Pass Holders Group) was originally started by Rob Eller and joined soon after by Sam Clarkson over two years ago to advocate for more transparency and accountability from RAL and its Board of Directors.

The group is now represented by 11 dedicated life pass holders and includes knowledgeable and experienced business people, ski club leaders and locals with connections to Iwi, mayors and MP’s.

The life pass Facebook page and public Facebook page now have over 6,000 members.

One of the group representatives and local business owner Richard Neeson says:

“MBIE have recently sent a survey to life pass holders asking if they will contribute to recapitalizing a new company. This is the first engagement by MBIE and the voluntary administrators with the life pass holders to explore crowd funding options.

Our group has made it clear from the start of the process over a month ago that we are ready to engage and provide capital. We have been disappointed it has taken this long. Life passes have provided capital for the last 50 years of RAL’s 68 years of operation and we believe it still relevant now more than ever.

We are very frustrated with the process and have launched an urgent petition which now has over 2,500 signatures and growing. This will be presented to PWC and MBIE asking them to meaningfully engage with our group.

We have already provided PWC with a survey of the group indicating we have people willing to contribute towards the continued operations of the assets and have also provided a proposed new company structure and subsequent financial forecasts to provide guidance on how the new company can trade into a stable future.

The key message from our group is that MBIE and PWC need to engage with us as the life pass holders elected representatives to find a pathway to protecting the assets and securing a stable and profitable future.

We believe the skifields are a regional asset that provides employment, revenue, joy and happiness to thousands of users and visitors to the Ruapehu region. This makes them worthy of MBIE’s support in order to traverse these difficult times”.

There is no question operating a ski business on Mt Ruapehu is extremely challenging. However, the group believes a community ownership model helps reflect the deep, enduring and personal connection to the mountain and will ultimately create a successful outcome.

To find out more or sign the petition you can visit their website.

www.savemtruapehu.org.nz/

© Scoop Media