Hobart festival, Dark Mofo, has cancelled plans to soak the Union Jack in the blood of First Nations people following widespread backlash.
The controversial project by Spanish artist Santiago Sierra was announced three days ago with a call out for blood donations from First Nations people belonging to countries and territories colonised by the British Empire.
"Self-expression is a fundamental human right, and we support artists to make and present work regardless of their nationality or cultural background," he wrote.
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However, on Tuesday afternoon, Mr Carmichael announced the project planned for the June festival would not proceed.
"We've heard the community's response to Santiago Sierra's Union Flag. In the end the hurt that will be caused by proceeding isn't worth it," he wrote.
"We made a mistake, and take full responsibility. The project will be cancelled.
"We apologise to all First Nations people for any hurt that has been caused. We are sorry."