The Welsh Rugby Union has called an emergency meeting for tomorrow night after three major Premier League clubs heading to Cardiff announced their intention not to bid for the new Elite Development Competition.

WalesOnline understands that Cardiff RFC, Merthyr and Pontypridd have doubts about the viability of this new competition and are seriously considering not taking part, with the deadline for expressing interest set for Friday. All three clubs have now met with WRU officials to outline their concerns, including salary caps, fewer home games compared to the traditional community season, a planned mid-season break with no games, commercial sustainability and possible dilution of historic brands .

EDC was developed by the WRU as an attempt to bridge the gap between the semi-professional and regional levels of the game. From next season, 10 clubs, probably all from the Welsh Premier League, will join the professional side of the game, meaning they will come under the authority of the Professional Rugby Board and the Rugby Board.

Senior sources told WalesOnline that Cardiff, Pontypridd and Merthyr are unhappy with the £150,000 salary cap they will have to meet and have asked the WRU whether it could be increased to £175,000. Clubs are also unhappy with the structure of the season, while one prominent club heading to the Dragons has also expressed concerns.

From next season there will be two competitions at this level: the WRU Elite National Championship and the WRU Elite National Cup. The EDC will run from September to December and the cup will take place in March and April. The EDC will follow the URC with a block of rounds leading up to the autumn internationals, but the competition will be suspended for three weeks before resuming with the remaining rounds.

It will end with the final at the Principado Stadium (subject to availability) at the end of December. The Cup competition will begin after the Six Nations and will generally take place over six or seven rounds, culminating in the final. Read my weekly column in our rugby newsletter.

The reason for the break between December and March is to avoid facing the under-20s in the Six Nations. It is hoped that players who impressed at EDC will be able to represent the regions in the United Rugby Championship during this period.

But many potential EDC clubs are concerned about the loss of income due to the lack of fixtures, with just nine home games guaranteed next season, and one club is worried this could affect their results. All applicants must “secure adequate funding totaling a minimum of £315,000 over the three-year duration of the EDC license” and also “have access to the standards required to host games”.

WalesOnline also reported that the WRU will review the £150,000 salary cap to determine whether it is enough to support clubs in the competition. Each EDC club will currently receive a £105,000 grant from the WRU, which is expected to be supported by a strong business model.

If Cardiff RFC, Pontypridd and Merthyr do not declare an interest in bidding by midday on Friday, it will be a blow to Cardiff, who will need to find alternative teams to enter the competition.