Melbourne has been shortlisted as one of seven cities in the running to host the 2030 Gay Games, which claims to be the world's biggest LGBTQ+ sports and culture event.

That's despite withdrawing from the 2026 Commonwealth Games last July, with then-Victorian Premier Daniel Andrews saying the proposed costs of $2.6 billion had blown out to almost $7 billion.

The about-face will wind up costing taxpayers $589 million.

But Victorian Minister for Tourism, Sport and Events, Steve Dimopoulous, said the Gay Games had approached the government, rather than Victoria making a bid for the event.

The games, which take place every four years, were last held in 2023, with 5,000 people descending on two host cities — Hong Kong and Guadalajara, Mexico — for events including dragon boat racing, light speed saber and mahjong.

Over 10 days, the events are filled with sports, culture and entertainment, and are open to anyone, regardless of gender or sexuality. 

Melbourne joins Perth, along with Auckland, Cape Town, Denver, Edmonton, and Taipei as potential hosts for the 2030 event.

With the event's economy underpinning thousands of jobs, and $3.3 billion of economy activity, Mr Dimopoulous said the government was "always interested in talking to people who want to have an event in this great state".

When asked how that compared to an event like the aborted Commonwealth Games, which the state government withdrew from last year, he said the Gay Games were a very different proposition.

Last year, Mr Andrews said the Commonwealth Games had become too expensive to host.

However, a scathing report by Victoria's Auditor-General released in March found that while the government's initial budget was unrealistically low, the updated figure of $7 billion was overblown.

The $589 million cost of cancelling the games, the report found, included $150 million for employee and operating costs, and a $380 million settlement to Commonwealth Games bodies.

But Mr Dimopoulous said Melbourne and Victoria still had "the best venues, the best workforce and the best arts and culture, hospitality".

"We are a city that people want to come to."

Perhaps willing to ruffle a few feathers, he also said when it came to social policy reforms around the queer community and equality, Melbourne was in the lead.

"We are far ahead of any other city in this country, and far ahead of Sydney, which often gets the glory in terms of the Mardi Gras," he said.

As for any potential battle with Perth to host the Gay Games, the minister shrugged off the competition.

"There is no comparison, Melbourne is a global city."