Page 3349 - Week 08 - Thursday, 23 August 2012

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by the commission in whole or in part will be able to retain those machines at their existing location.

The temporary storage of gaming machines is an important issue for the industry. Amendment 18 provides that licensees may apply to temporarily store up to 10 per cent of their machines at a particular venue for any reason, if they have not done so within the preceding 12 months. This provision will expire in three years.

On the cap and pool, the introduction of a long-term target of 4,000 machines in the territory is a key feature of this bill. Amendments 25 to 32 reaffirm the government’s commitment to a sinking cap, but introduce some changes to allow new or single venue clubs to establish new premises. A pool of up to 150 machines will now be available to new clubs and existing clubs with only one venue where the government releases land in the future that is suitable for new club venues.

The pool will exist within the cap. It will initially comprise the small number of licences currently unallocated and will be filled over time, to a maximum of 150 machines, as machines are surrendered or cancelled. The cap will thus sink in circumstances where the number of machines in the pool would otherwise exceed 150.

The current amendments also slightly alter what will follow after the 4,000 target is reached. It is now proposed that a per capita based system be introduced, with the details to be determined by a review.

It remains the government’s wish that the target will be reached through the voluntary surrender of licences over time and the cancellation of licences in cases of regulatory noncompliance. The government will review the rate of introduction of gaming machine numbers in the territory 24 months after the amended bill commences.

Amendment 33 establishes a process for clubs to seek in-principle approval to established gaming machines in a new venue, setting out how applications may be made, how such approvals may be issued and how they are subsequently converted into standard licences or licence amendments.

The advantage of these new arrangements will be to provide an indication to applicants and their finance institutions as to how many gaming machines they could potentially operate from a new venue, should they be able to secure that site.

Amendment 1 updates the commencement of the bill’s provisions to 1 January 2013, with the exception of the ATM withdrawal limit. The latter may now commence at a time to be determined by the minister. This will allow for potential harmonisation with any parallel regulation put in place by the commonwealth. The limit will nevertheless commence automatically 12 months after the commencement of the remainder of the bill.

The government recognises that the proposed ATM withdrawal limit, if universally applied, may cause undue hardship to small clubs and other venues, while having little impact on problem gambling. Accordingly, amendment 38 provides three exemptions to the withdrawal limit. These are in relation to ATMs brought in temporarily to the Canberra Racing Club for race days, small venues with 10 or fewer gaming machines and venues which only operate less sophisticated class B machines, typically in pubs and taverns.


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