The Outer Step festival to be held in Redlands on the weekend of March 29-31 has been postponed.
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Refunds are being offered on early bird tickets sold prior to the event.
In a statement in a post on the event’s Facebook page organisers suggest that the factors that influenced the decision were out of their control.
“Though we’ve been in the process of taking every necessary step to ensure that our event was as safe as possible, newly imposed safety, licensing, security and policing costs meant that the event never had a chance.”
However, NSW Police disputed the claim and said that the relevant consents were not applied for in time.
“Unfortunately, cancellations like this have recently become all too common.
“The fact of the matter is that the current NSW government has waged a war on music festivals.
“We’ve felt it since the lockout laws, and it’s continuing to spread all over our state.”
Two festivals have been cancelled already this month, Mountain Sounds on the Central Coast, and Psyfari.
Event organisers of Psyfari said via Facebook that they had considered moving the festival out of NSW.
Premier Gladys Berejiklian's new licensing system for music festivals is due to start in March, which would focus on events that are deemed “high risk.”
“It goes without saying that at the moment, the general climate for music festivals is incredibly strenuous,” organisers of Outer Step post read.
A letter and petition to the State Government is supported by over 100,000 people, so far.
The letter demanded, a music regulation round table is established, a standardising of user-pays policing and medical services, and to review of regulations.