1. GAMING REGULATORS AFRICA FORUM (GRAF) ANNUAL CONFERENCE 2018

2. The socio-economic impact of gambling regulation
Introduction
Government appointed the Wiehahn Commission to investigate the need to legalise gambling in South Africa in 1995
The Commission recommended the following policy objectives to regulate gambling:
The protection of society from the over-stimulation of latent gambling through the limitation of gambling opportunities;
The protection of players and integrity and fairness of the industry through the strict control and supervision of the industry;
The uniformity and harmonization of policy and legislation at all levels of government and across provinces through minimum norms and standards and co-operation and co-ordination;
The generation of revenue and taxes for provincial government and for good causes;
The economic empowerment of the historically disadvantaged;
The promotion of economic growth, development and employment
The socio-economic impact of gambling regulation

3. The socio-economic impact of gambling regulation
The recommendations of the Wiehahn Commission can be summarised into the following:
Social impacts:
The protection of society from the over-stimulation of latent gambling through the limitation of gambling opportunities; (Problem gambling)
The protection of players and integrity and fairness of the industry through the strict control and supervision of the industry; (Regulation)
The economic empowerment of the historically disadvantaged; (BBBEE)
The promotion of development. (Corporate Social Investment)
The socio-economic impact of gambling regulation

4. The socio-economic impact of gambling regulation
Economic impacts
The uniformity and harmonization of policy and legislation at all levels of government and across provinces through minimum norms and standards and co-operation and co-ordination;
The generation of revenue and taxes for provincial government and for good causes;
The promotion of economic growth, development and employment
The socio-economic impact of gambling regulation
Introductory Briefing: Standing Committee of Finance

5. The socio-economic impact of gambling regulation
Problem gamblers
The single biggest impact on society.
Problem gambler: ‘a person with an uncontrollable urge to gamble, spend more time and money then can afford.’
Ongoing research should be conducted on pathological gambling.
The socio-economic impact of gambling regulation
Introductory Briefing: Standing Committee of Finance

6. The socio-economic impact of gambling regulation
The economic empowerment of the historically disadvantaged; (BBBEE)
This is achieved through compliance with the BBBEE Act.
The WCGRB requires licensees to achieve specified ratings through their license conditions.
Different ratings are specified for casinos, LPM operators, bookmakers and totalisators.
Compliance with the conditions is monitored by the licensees reporting regularly to the various committees of the WCGRB.
The licensees report fully on the BBBEE scorecards and annually submit to the Board their verification certificates.
The socio-economic impact of gambling regulation
Introductory Briefing: Standing Committee of Finance

7. The socio-economic impact of gambling regulation
The promotion of development. (Corporate Social Investment)
Licensees contribute and participate in CSI according to their Bid commitments.
Compliance with the commitments is monitored by the licensees reporting regularly to the various committees of the WCGRB.
Members of the Committees undertake visits to some of the beneficiaries.
Whilst the WCGRB do not prescribe to licensees how their funds are to be distributed to beneficiaries, we urge licensees to focus on sustainable projects.
Sustainable projects include job creation and education.
Total CSI spend by licensees of the WCGRB for the years ended March amounted to:
2018: R23,3 million; this represents a 10.7% increase from 2017.
2017: R21,1 million.
The socio-economic impact of gambling regulation
Introductory Briefing: Standing Committee of Finance

8. The socio-economic impact of gambling regulation
Economic impacts
The generation of revenue and taxes for provincial government and for good causes;
The WCGRB collected the following taxes on behalf of the Western Cape Government for the years ended March:
2018: R612,9 million; this represented a 3.67% increase from 2017.
2017: R591,2 million.
Gambling taxes represent the second biggest revenue item for the Western Cape Government.
During 2017 total gambling taxes paid by all operators amounted to R2,743 billion to the various authorities.
The socio-economic impact of gambling regulation
Introductory Briefing: Standing Committee of Finance