South Australia Premier Peter Malinauskas under fire over awarding of golf course redesign contract to Greg Norman

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South Australia now hosts major events like the AFL's popular Gather Round thanks to its sports-loving premier, but his move to establish LIV Golf within Adelaide's heritage-listed parklands has critics piling onto Peter Malinauskas.

It is the manner in which he has taken control of the council-managed North Adelaide Golf Course that has raised eyebrows about how he is using his power.

Mr Malinauskas and his state Labor government hold a large majority and awarded the contract for the course redesign to Greg Norman Golf Course Design, without going to tender.

Australian golfing great Norman is also a LIV Golf Board member and became an outcast in the sport when he helped launch the Saudi-backed tour.

The government says the contract was awarded through direct engagement and Mr Norman's company has specialist skills and a reputation to deliver.

North Adelaide golf course is set to be redeveloped. (ABC News: Carl Saville)

However critics like crossbench MP Frank Pangallo told 7.30 the City Council had been "shafted".

"I'm supportive of LIV Golf but the way the premier has gone about this is quite arrogant and I think it indicates the hubris of this government," he said.

" We've got a 'good times' premier here ... and in reality, he's really all about football, meat pies, golf balls and supercars, and that keeps the plebs happy. "

Mr Pangallo said the Malinauskas government enjoyed sky-high public popularity which effectively allowed it to do as it pleased. The next election will be in March 2026.

Frank Pangallo has been critical of how the SA premier has acted. (ABC News: Carl Saville)

"This government needs to be held to account. They really do and unfortunately, they're not. They'll be going into an election campaign full of themselves," Mr Pangallo told 7.30.

"They seem to be flying at the moment. It doesn't last.

"In the end there are more serious issues that are going to start hurting and biting, you know, cost of living pressures, housing affordability.

" They haven't fixed any of that. They haven't fixed ramping … there are people that can't get into our hospital system. "

SA Premier Peter Malinauskas has found himself embroiled in a controversy. (ABC News: Lincoln Rothall)

The SA government however has pledged $1.7 billion over five years from 2024-25 to address increased levels of demand in the public health system.

State Urban Development Minister Nick Champion said the government legislated to take control from the City Council because it couldn't afford any delays in redeveloping the course for LIV.

Urban Development Minister Nick Champion believes the redvelopment is for the good of SA. (ABC News: Carl Saville)

"We're taking a golf course and it's becoming an even better golf course," Mr Champion told 7.30.

"They're the ones making this an issue of controversy and then they say, 'oh, well, you, you should get back to basics'. We do want to get back to basics.

"Let's have a debate about ramping. Let's have a debate about housing and we're quite confident that we've taken the action necessary."

Lord Mayor left 'blindsided'

The government announced its golf course takeover while the City Council's Lord Mayor Jane Lomax-Smith, a former state Labor minister, was overseas on business.

Upon her return she said that council had been working with the government to bring LIV Golf closer to the Adelaide CBD. The council has managed and invested in the North Adelaide Golf Course for more than 100 years.

Lord Mayor of Adelaide Jane Lomax Smith says she felt "blindsided" by Mr Malinauskas's decision. (ABC News: Carl Saville)

"Our investment is being removed and ... this is not a particularly collaborative way to do business," she told 7.30.

"We haven't in any way obstructed, we haven't produced red tape. We haven't found barriers.

" We were really blindsided by this. "

LIV Golf is funded by the Saudi Government's Sovereign Wealth Fund, which has been criticised over many years for "sportswashing" as a way to turn attention away from the country's record of human rights abuses.

LIV Golf is a product of the Saudi Government's Sovereign Wealth Fund. (AP/LIV Golf: Charles Laberge)

Mr Champion labelled critics "knockers" who were focused on process, while the government was concentrating on outcomes for the "great event".

"These people who make these criticisms want to snowdome Adelaide and they want to keep it for a very, very privileged few," he said.

"They want to keep it nice and quiet and we'll all be bored out of their mind if we go to their agenda.

" They're always trying to find process issues and you know ... human rights issues and all these other things. "

The city of Adelaide has been running the parklands course. (ABC News: Carl Saville)

Golf course members unconcerned

The city golf course will be redeveloped to accommodate LIV Golf at a cost of at least $45 million and outside of the event it will remain a public golf course.

When 7.30 visited the course, golfers were full of praise for Mr Malinauskas.

"He's a very good premier and he does very good things in all aspects of making decisions," one told 7.30.

Another golfer said having a "world-class golf course" near accommodation and restaurants in the city would be exciting.

But concerns about the redevelopment remain.

The government won't say how much Greg Norman's golf course design business will be paid.

Australian golf great Greg Norman became an outcast in the sport when he helped launch LIV Golf. (Soobum Im/USA TODAY Sports via Reuters)

Mr Pangallo said the fee should be made public.

"The government needs to be up-front about it, it's taxpayers' money," he said.

"Don't hide behind cabinet in confidence and commercial confidentiality and all that."

Mr Champion said he was unsure when the fee to Mr Norman's business would be announced.

"Ultimately all of these figures tend to come out as part of the projects. But as to when it will be disclosed, I'm not sure," he told 7.30

A bigger and better Adelaide?

It's not yet known how many new buildings will be constructed on the parklands course and how many trees will be cut down.

Mr Champion claimed that "for every tree that we remove, we'll be planting three more".

While the city course is due to host LIV Golf events from 2028, the event is only guaranteed in Adelaide until 2031.

Fans celebrates at The Grange Golf Club following the announcement LIV Golf is set to remain in Adelaide. (ABC News)

Mr Pangallo was worried golf club members would pay the price long-term.

"It's about $40 on the weekend (to play currently). On a PGA standard golf course … it could cost between $150 and $200," he said.

" This is going to cost the state a lot of money to maintain. Who's going to maintain it? Where is the money going to come from ... how much are the memberships going to be? "

The government believes the redevelopment will pay dividends. This year's LIV Golf event, held at the suburban course, delivered the state an $81 million windfall.

"It will be even bigger and even better in the city and it's helping us to attract other events, like the women's golf as well," Mr Champion told 7.30.

"So, this will bring life and activity and investment to our parklands."

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