Dave your argument is flawed. Would those players cease to exist without SS? The alternative is contracting and putting below super rugby players in subbies. But with the NRC this becomes a moot point anyway.
My point is without SS there would still be quality juniors through the array of systems and rep teams, and the only thing missing would be the incubator until they mature enough. Rep teams go to 20s now as well.
To act like SS is developing players that wouldn't exist is a joke. It previously played the part of intermediate development but over time with the NRC players will be in playing this new level earlier.
Using that money to reduce junior subs would be the best use of the money.
Although the NRC isn't played until after the super season finishes. The non-super players need somewhere to play in that time. The higher standard of competition that those players are in between March and August, the better they will be when the NRC starts. It's all part of a bigger structure - you weaken one part and the levels above and below suffer.
Stronger juniors=stonger colts=stronger clubs=stronger NRC=stronger super teams=stronger Wallabies.
These array of rep systems of which you speak are typically run for short periods of time, but to develop properly players need week to week intensity. It's actually the norm in world sport for club based competitions to develop players for the next level up. It's the most cost effective way to develop high numbers of players - far more cost effective than developing only the narrow elite and hoping you have enough of them to survive.
I'm a supporter of the NRC, but it isn't a magic potion to fix Australian rugby. It's first year has been good, but the Sydney teams need some tweeking. Rays and Rams have got it right - which covers the north east and north west of the city. If we're going to have the Sydney Stars, they need to be responsible for more that the immediate area around Sydney Uni and the basket-weavers down at Balmain. If they are going to stay in the inner city they get the whole south-east quarter to develop - bad luck to Randwick and Easts, you guys had your chance to be part of the solution. Then base the country team at Cambelltown (which is affiliated with Illawarra and the CRU now anyway).
However, I await from the ARU, the overarching strategy of how to fund the game at its various levels. Simply taking money off the Sydney and Brisbane clubs is bad decision-making. Where's the plan Bill? Gushing platitutes about supporting the grass roots need to be supported by action, resources and money.