KUALA LUMPUR, Aug 21 — Malaysia has no plans to bring back Formula 1 to the Sepang International Circuit (SIC) for now due to the high costs involved, the Dewan Rakyat was told today.
But Youth and Sports Minister Hannah Yeoh said the government is open to collaboration if private firms are interested in covering the hosting rights fees.
Addressing the lower House, she said the country would need to pay about RM300 million a year for F1 hosting rights, along with an additional RM10 million in annual allocation to maintain the circuit's Grade 1 homologation rating.
"In principle, Malaysia would also be tied to a three- to five-year hosting contract with Liberty Media, the commercial rights holder of F1. This means a commitment of about RM1.5 billion for the five-year period," Yeoh said today.
She was responding to a question from Sibu MP Oscar Ling Chai Yew, who wanted to know if Malaysia would host F1 again and the measures taken to maximise utilisation of the SIC.
Additionally, even if Malaysia were to consider reviving Formula 1, the country would still have to compete for a slot in the sport’s annual calendar, which already features 23 destinations this year.
"Singapore has already organised F1 since 2008, and Thailand is set to be included in the racing calendar starting from 2028. The hosting of the event in other Asean countries could affect hosting revenue in Malaysia.
"In conclusion, F1 is a prestigious sport, and if we are financially capable, then it is good to have. Secondly, the costs to host are extremely high and can be used instead to fund other sporting needs.
“However, Malaysia is not closing the door entirely on F1’s return. If there are corporate parties interested in covering the hosting rights fees, they may contact SIC for further discussions. We are open and willing to cooperate,” Yeoh said.
Malaysia first hosted F1 in 1999, becoming the first country in Southeast Asia to do so, and the event remained on the calendar for 19 years.
The minister noted that rising costs and declining spectator interest forced Malaysia to stop hosting the event from September 2017 onwards.
On how the SIC could be used to benefit taxpayers, she said the circuit is opened two to three times a year, allowing free access to members of the public to participate in activities like cycling and running.
