GAMBLING SECTOR REFORM

The Hon. CARMEL ZOLLO (14:56): I seek leave to make a brief explanation before asking the Minister for Gambling a question about the recent COAG Select Council on Gambling Reform.

Leave granted.

The Hon. CARMEL ZOLLO: I understand that the COAG Select Council on Gambling Reform met at the end of last month under the agreement between the Prime Minister, the Hon. Julia Gillard MP, and the member for Dennison, Mr Andrew Wilkie MP (the Gillard/Wilkie agreement). The commonwealth government committed to legislate to achieve gambling reforms if agreement with states and territories could not be reached by 31 May 2011. Can the minister update the chamber on commonwealth/state discussions on the subject of reform to the gambling sector?

The Hon. G.E. GAGO (Minister for Regional Development, Minister for Public Sector Management, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister for Gambling) (14:57): I thank the honourable member for her important question. I am pleased to advise the chamber that last fortnight I attended the COAG Select Council on Gambling Reform in Canberra and, as the Minister for Gambling, I am one of two South Australian representatives on that select council. The first meeting of the council was held on 22 October 2010, and the second meeting held in February of this year. As the honourable member mentioned in her question, arising from the agreement between the Gillard government and Mr Andrew Wilkie, discussions are currently taking place between the commonwealth and state governments on reforms to the gambling sector.

South Australia has completed two voluntary precommitment trials and a technology-based system and a non-technology based approach for small venues. The results of the trials have shown that precommitment can be an effective tool in reducing the harmful effects of problem gambling. On the evidence available, we have learned that precommitment works when people want to use it and are prepared to set suitable limits to their budget. South Australia, along with Queensland, is leading the nation in this most important policy area.

Members might also be aware that on 6 May the federal joint select committee released a report from its inquiry into the design and implementation of a mandatory precommitment system. The commitment made 43 recommendations in total in relation to the use of gaming machines. The committee has distinguished between high intensity and low intensity machines configured to limit losses to $120 per hour.

The committee has recommended implementation of mandatory precommitment on high intensity machines and the configuration of low intensity machines by 2014. At the most recent select council meeting, ministers agreed that precommitment is a useful tool to help people set limits on how much they want to spend on poker machines and stick to them.

The council has also agreed to support the required infrastructure for precommitment technologies in all jurisdictions, to be available to all players in all venues. However, the council has not yet reached an agreement as to whether the technology should be used on a voluntary or mandatory basis. It is proposed that senior officials undertake further work on developing the required functionality for precommitment and a timetable for implementation and report back to ministers at their next meeting.

The Rann government remains committed to working with the federal and state jurisdictions to achieve a cost-effective evidence-based precommitment scheme which will assist gaming machine players to stay on budget. The select council members have requested that the Council of Australian Governments agree to extend the time period of the select council to allow discussions to continue.

I think that is a very positive thing. So, even though the deadline in terms of the agreement has passed, nevertheless, I think progress has been made. There is obviously a willingness for jurisdictions to continue to work together to form a consensus wherever they possibly can. I think that quite a degree of progress has been made to date, and it is important that the states and territories be given an opportunity to continue that good work. So, I look forward to updating the chamber about the outcomes of the select council meeting in the coming months.