CAMS – AUSmotive.com

The 2011 Australian Grand Prix will go ahead as planned after CAMS announced they have called a truce on their bickering with the Australian Grand Prix Corporation (AGPC). A letter from CAMS CEO, David Morgan, has been distributed to affiliates which reads in part, “I am very pleased to advise CAMS members that our President Andrew Papadopoulos announced today that we have signed an agreement with AGPC for CAMS to be the sporting Organiser as defined in the Formula One Sporting Regulations.”

Tensions were raised when the AGPC threatened to de-register the role of CAMS as GP organisers if they did not lower the fee charged for running the event.

Now, though, both parties should be singing from the same hymn sheet with Morgan’s letter continuing, “CAMS is delighted to have reached this agreement and looks forward to continuing its role in one of the world’s best Formula 1 events and helping to make it an even greater success.” The full letter from David Morgan can be read after the jump.

In other Australian Grand Prix news, Qantas has renewed its sponsorship for the 2011 race. Qantas CEO Alan Joyce said, “Qantas has been associated with the Australian Grand Prix for 25 years and we are especially looking forward to next year’s event with Qantas as the Premier Partner.”

Next year’s Australian Grand Prix will run across the weekend of 24â€“27 March and will follow Bahrain as the second race on the 2011 F1 calendar.

[Pic: Red Bull/Getty Images | Thanks to Mick for the tip]

CAMS fights back in Melbourne melee

Today’s battle between CAMS and the Australian Grand Prix Corporation has shifted up a gear with a stern press release issued by CAMS. Key to their reply is the claim that their fee charged to the AGPC is “substantially less than the AUD$800,000 or Â£500,000 stated in some reports”.

According to the CAMS statement they are “acutely conscious of the need to reign in spending on Formula One events”. Further, it is claimed that CAMS and AGPC Executives had negotiated a satisfactory deal several months ago only to have that deal rejected by the AGPC Board.

“In August 2010 after months of negotiation CAMS and AGPC’s Chief Executives reached agreement on a proposal which was put to AGPC’s Board. However that proposal was rejected by AGPC’s Board,” reads the press release.

The CAMS statement continues, “Since that time AGPC’s Board has refused to negotiate further with CAMS and has summarily rejected two revised proposals put to it, despite CAMS and the FIA making it clear that the consequences of failing to appoint an organiser by 19 November will be that the 2011 Australian Grand Prix does not take place. The Victorian Government has been kept informed of developments.”

CAMS say the dispute is a matter of safety over budget and adds further context to the matter saying, “the cost to AGPC of CAMS’ services is less than 0.625% of the AGPC’s annual budget.”

“This is an issue about safety and not fees and we do not believe the Australian Formula One Grand Prix can be run safely without the high degree of professional and safety expertise that CAMS can deliver.”

Looks like we’ll need to watch this space over the next week. CAMS has also issued a separate statement to its members which can be read in full after the break.

[Pic: Mercedes GP Petronas]