Games security, algae take wind out of Qingdao's sails

By Ian Ransom

QINGDAO, China (Reuters) - The drafting of thousands of troops to battle a massive algae bloom in Olympic co-host city Qingdao shows China's resolve to hold a successful sailing event, but locals worry the tight security presence will hurt business.

A month before the Olympic sailing competition is due to start, the seaside resort's worst ever algae outbreak has compounded the pain felt by the local tourism sector already hurt by stricter rules governing visas, an unspoken ban on mass gatherings and pricey hotel rooms.

"People here are already talking of a missed Olympic opportunity," said Nigel Edwards, general manager of the four-star Copthorne Hotel, one of Qingdao's six official 2008 Games hotels.

"The authorities have created a situation where no one comes, so they can control what happens. All they want to do is hold an incident-free Games. They really don't care about the financial aspect," said Edwards, who lobbied authorities successfully to scrap plans for a two-meter (6 feet) high electric fence around his hotel.

Like Beijing, the former German concession port in eastern Shandong province has spared no expense in hosting the Games, pouring 80 billion yuan ($11.66 billion) into infrastructure upgrades and beautification.

The Games will leave a sparkling new airport, an acclaimed 3.28 billion yuan marina that replaced moribund shipyards and a cleaner, greener city dotted with new luxury apartments and shopping malls.

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But security efforts to safeguard the event, which have seen tour operators struggle to get approvals to book large groups, could see empty shops and hotel rooms.