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Legislative Council - Fifty-Second Parliament, Second Session (52-2)
2013-07-04 Daily Xml
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STATUTES AMENDMENT (GAMBLING REFORM) BILL

Second Reading

Adjourned debate on second reading (resumed on motion).

The Hon. G.E. GAGO (Minister for Agriculture, Food and Fisheries, Minister for Forests, Minister for Regional Development, Minister for the Status of Women, Minister for State/Local Government Relations) (15:45): I understand that all second reading contributions have been completed, so with that I wish to make a few brief concluding remarks. I thank honourable members for their second reading contributions, and I will provide detailed responses to specific issues raised by members in the relevant parts of the committee stage.

At this point, however, I would like to make a few broad comments about the government's position on the bill and proposed amendments. The bill proposes amendments to all South Australian legislation established to regulate lawful gambling in this state. It is built upon an evidence base collected through successful collaboration between the industry, community, the union and government. The Responsible Gambling Working Party's willingness to trial new ideas—some that worked and some that did not—mean that South Australia is ready to take the next step.

The next step is about providing tools to customers to help themselves to gamble within their own limits and tools for staff and venues to identify problem gambling behaviour and confidently offer assistance. These tools are needed wherever lawful gambling occurs in this state. This bill addresses for the first time these issues in a consistent, holistic way across the different types of lawful gambling venues in South Australia. I urge the house to pass this bill as a whole package to ensure that the issue of problem gambling is dealt with consistently, regardless of venue type.

A number of amendments on file seek to unbundle the package; the government intends to oppose those amendments. A number of amendments also seek to lock in time frames for implementing elements of the package. The government has a clear plan for implementing these measures in the coming years. This plan has already been set out in Hansard and subject to extensive discussion with the sector. The plan is built around gaming venue investment cycles and key changes to underlying technology in the gaming sector. This will minimise venue compliance costs.

Some of the proposed amendments show a disregard for the cost associated with underlying technology and have unintended consequences which, if successful, will negatively impact on smaller club and hotel venues. The government intends to oppose amendments that constrain the time frame for implementation.

In 2004, this parliament, with a conscience vote, amended the Gaming Machines Act, with the goal of reducing the number of gaming machines operating in South Australia by 3,000. These amendments included a mandatory reduction that fell well short of the target and a trading system with a fixed price that was flawed from the outset. In 2010, the government introduced amendments to replace the fixed price with a market-determined price.

The evidence from three trading rounds is compelling: there is an excess supply of gaming machine entitlements; that is, there are venues that voluntarily want to exit the gaming machine market that are not able to because there are not enough buyers of gaming machine entitlements, and this bill proposes to implement measures that will increase the demand for gaming machine entitlements.

It is important to remember that, under the approved trading system, no venue is compelled to sell their entitlement and, because of the progressive nature of gaming tax, smaller venues face lower rates of gaming tax. If a venue chooses to leave the gaming sector, they receive the market value of their entitlements, which can be reinvested into the venue or, in the case of clubs, into community facilities. The government intends to oppose amendments to the bill which, if successful, would continue the problem of an excess supply of gaming machine entitlements.

I acknowledge support for the implementation of many of the measures contained in the bill. I acknowledge that there is support from members for a number of elements, and I look forward to a vigorous committee stage, where no doubt a wide range of views are sure to be expressed. As noted earlier, I will provide detailed responses to specific issues raised by members either at the commencement of or where relevant in the specific stage of the committee. Again, I thank honourable members for their contributions and look forward to the committee stage.

Bill read a second time.

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