UP politicians happy to host F1: Vicky Chandhok

The roar of Formula One engines will not be heard at the Buddh International Circuit in 2014. India will not get to see turbocharged engine slated to be reintroduced next year. As promoters, Jaypee Sports International (JPSI) and the Federation of Motor Sports Clubs of India (FMSCI) are naturally disappointed and so are the fans. JPSI has spent considerable money and effort for this project with very little returns.

The Indian government hasn’t been gung-ho about the mega event. Taxation and red tape in the system have always been the issues, although no one is talking about it openly.

FMSCI president Vicky Chandhok explains the situation in an interview.

Is taxation the real reason behind FI hitting a roadblock in India? The concerns were raised right from the time India hosted F1 in 2011.
That cannot be the issue. Even Sauber team principal Monisha Kaltenborn said there are problems. That’s not the deal-breaker. There has been no one-on-one interview with the tax authorities or teams. Nor has anything been brought to our notice. There are 19 races in a year, and they want to tax 1/19th of the revenue generated. Kaltenborn has been vocal about it. There must be some truth in the matter about taxation. She wants the issues sorted out.

Why did Bernie Ecclestone say that political issues made the 2014 Indian GP untenable?
Other countries are also vying to host F1 races. And it is not easy to get a race. In 2000, I’d said we would try to host a race. We finally succeeded in 2011, thanks to JPSI. The number of races may go up in 2014, and that’s why we will not host the 2014 race.

Initially, when the calendar was planned, the Indian GP was slotted in the early part of the year and clubbed with other races in the region like Malaysia, China, Bahrain and Australia. But the BIC (Buddh International Circuit) was ready, and that is why we hosted the race in October 2011.

The 2012 race also happened in October. Now again, they are looking at having the Indian GP early in the year. To have a race in October 2014 and then early in 2015 is not feasible financially and logistically. That’s why the 2014 race was cancelled and the contract signed — originally for 2011 to 2015 — will be extended to 2016. Yes, Malaysia did host races but they have ample government support as they see huge benefits in them.

Were UP politicians creating trouble?
Never. They were happy to host F1. The tourism industry benefits from F1. Our ministries (home, external affair and sports) were kept informed. We hadn’t asked anything from the government in return. We must remember that out of the 19 races, only the British GP and Indian GP are not funded by the government.

We want to have interactive sessions with the government, not only for F1, but motorsport in general. F1 has put India on the global map, considering we struggle to host high-profile events.

The Indian GP was named the best race, which is a matter of pride for us. Don’t forget India is a high-tech nation, and sophisticated machines are used in F1.  India’s credibility, tourism and investor confidence are factors involved here. There is benefit to the government in terms of investment.

Former sports minister MS Gill once called F1 “expensive entertainment”.
That is his opinion. People not associated with the sport may go around saying such things. In F1, fitness is paramount and there is intense competition. There can be no debate if it is a sport or entertainment.

I would like to add here that a percentage of the hosting rights fee goes to the National Sports Development Fund (NSDF). Now, the NSDF should also be spending on motorsport and not only on other sports. If motorsport is contributing to the NSDF and it is used only for athletics, what is the point?

JPSI has put in a lot of effort, time and money on F1. Wouldn’t they be affected?
They will be disappointed. But even as we speak, 495 volunteers are being trained as race marshals for this season’s race. It will be disappointing to miss next year’s race but the ones in 2015 and 2016 should make up for it.

Are you in discussions with the parties involved?
Yes, I am in talks with Bernie Ecclestone and Sameer Gaur (MD and CEO, JPSI).