Since last week’s story about possible cuts to regional ABC Radio services, ABC insiders have confirmed that Managing Director Russell Balding is serious about closing the newly established stations if another round of funding cannot be secured.

Friends of the ABC spokeswoman Margaret O’Connor last week told radioinfo that regional radio stations in Ballarat, Wagin, Katherine and Gosford could be closed if funding for services to regional Australia through the ABC’s National Interest Initiative is not renewed in the 2005 financial year.

The ABC has also hired extra reporters
in other stations such as Bendigo, Sale, Horsham, Wodonga and Mildura to boost regional coverage under the deal, and these positions could also come under threat.

Since that story was published various insiders have told radioinfo the problem is real.

One source said: “He is an accountant and he looks at the bottom line – he is deadly serious when he says he will close those new stations… he knows the budgets inside out and cannot see where there is any more money to keep them open if it does not come from this special source.”

From another insider: “He is acting responsibly. He knows that if they are to be closed next year then there will be redundancies and he is flagging that now because he wants to be able to plan long term budget strategies to handle that.

Balding is on record at Senate Estimates saying he considers this special grant funding renewal as an important issue for the ABC’s next budget.

He told the Senate Committee he would begin “winding back”
jobs as soon as June if the request is rejected.

“We need the commitment for the renewal before the beginning of the next
financial year… In the event that that renewal commitment is not given, I will have to start winding back some of those programs. That means
winding back on jobs,”