Newcastle East Residents Group will oppose Supercars' application to extend its heritage approval for the Newcastle 500 until 2027, arguing the organisers "misled" Heritage NSW about how disruptive the race would be.
The Newcastle Herald reported this week that Supercars was poised to start negotiations with Destination NSW and City of Newcastle about renewing its contract to race in the city.
Supercars applied this month to Heritage NSW to extend its approval for the event, which expired in April. It has identified March 10 to 12 as a "tentative" date for next year's race.
The race requires Heritage NSW approval because the event's footprint includes the heritage-listed Coal River and Newcastle Government House precincts.
Hunter business leaders and Supercars fans on Friday welcomed the race's likely return, but NERG, which has fought a five-year campaign against the event, is shaping up for another battle with the organisers and authorities.
NERG spokesperson Christine Everingham said a Heritage Council of NSW approvals committee report from 2017, obtained under freedom-of-information laws, showed Supercars had, in her view, "misled the [heritage] office about the extent of alienation of public access to important Newcastle heritage destinations, beaches, parks and businesses".
"Although the office expected a plan for the [racetrack] infrastructure to be submitted for the 2017 event, it never was," she said.
"The office was left with the impression that the temporary structures would only be a problem 'for a few days every year'. In fact, access to Wharf Rd is closed off for nine weeks every year."
Dr Everingham said Supercars had also underestimated the loss of trees in Foreshore Park in its 2017 application to Heritage NSW.
"Instead of the loss of 'a few trees', nearly 300 were cut down. An independent audit commissioned by NERG shows the replacement canopy was 70 per cent of that stated by council."
She said Heritage NSW, in approving the event in 2017, had ignored the threat of flying debris and vibration damage to historic houses.
Business Hunter chief executive officer Bob Hawes said businesses had mixed feelings about the race.
"Some of those won't be resolved and can't be resolved, but at least moving from the run-up to Christmas to March places it in a better time and space for a number of businesses," he said.
"We understand the disruption caused to many businesses, but we still believe that on balance this event does bring benefits to the city and to the community.
"We are trying to show our capacity and capability to host major events."
Mr Hawes welcomed the prospect of a new long-term contract providing more certainty for business after the race was cancelled due to COVID in 2020, 2021 and 2022.
Supercars fan and Maitland deputy mayor Mitchell Griffin said the moves to lock in a new contract were "exciting".
"Obviously the first year was a big success," he said.
"By year three there were difficulties with KISS cancelling, which did affect the event, and some weather, but moving on to five years is a fantastic move forward, particularly now we're post-COVID."