A paradigm shift is on the horizon for online gambling in South Africa, as the Democratic Alliance has tabled a comprehensive new bill aimed at bridging a longstanding legislative void. The Remote Gambling Bill (B11-2024) offers a fresh framework of regulations that promise to shake up the digital betting landscape.
The bill’s introduction comes in response to a vacuum of oversight that has persisted despite the National Gambling Amendment Act’s presidential assent 16 years ago. The Act, intended to govern the online gambling sphere, has curiously remained unsigned, leaving the industry in a grey area of deregulation.
With the introduction of the new bill, the Democratic Alliance is targeting this “legal gap.” Their efforts, two years in the making, boast of achieving a “perfect balance” that adeptly navigates the trifecta of protection, regulation, and administration.
The absence of online gambling oversight has had far-reaching consequences. Not only does it seem to encourage the decay of rule of law and swell the ranks of criminal activities, but it also leaves the public without the robust safeguards associated with land-based gaming operations. The Democratic Alliance, critical of the ANC government’s 16-year inaction, suggests this legislative inertia has allowed potential revenue and jobs to evaporate as they flow to other gambling jurisdictions.
Designed as a private member’s bill, this legislative endeavor aims to erect a bulwark against criminal exploitation and introduce necessary player protections. Among its provisions, the bill delineates three primary categories of licensure: the remote gambling operator licence, a licence for manufacturers, suppliers, or maintenance providers, and an employment licence. The proposal delegates the application process to provincial licensing authorities while ultimately conferring the issuing power to the National Gambling Board. This Board will act alongside provincial authorities in monitoring activity and suppressing illegal operations.
Licences will not be exclusive; they will be accessible to entities already possessing other South African gambling licences, and thorough reviews are slated to precede any issuance. Additionally, the bill stipulates that licences may be suspended or retracted if conditions are breached. Licensees might also choose to forfeit or transfer their licence, subject to the Board’s discretion.
While the proposed legislation refrains from detailing licence costs or online gambling tax rates, it establishes binding restrictions, such as the prohibition of under-18 gambling and credit extensions to players. Self-exclusion schemes and deposit limit options are highlighted as integral responsible gambling measures. Likewise, advertising standards are addressed, with an emphasis on authenticity and responsible gambling messages.
The broader political scope can’t be ignored in this narrative. Since apartheid’s conclusion in 1994, the ANC has been the political juggernaut dominating the South African landscape. Nevertheless, current polling suggests a shift may be on the cusp: the ANC’s stronghold could attenuate, potentially slipping below the parliamentary majority threshold in the next national and provincial elections slated for May 29th. This shift could markedly raise the prospects for the Remote Gambling Bill’s legislative success.
The Democratic Alliance, interpreting the undercurrents of the looming elections, projects optimism. They envisage the bill as a standard-bearer for safeguarding vulnerable individuals and a precursor to further legislative initiatives indispensable for South Africa’s resurgence.
Earlier this year, a glimpse into the possible future of the gambling industry was provided by Caroline Kongwa, chief strategic advisor for the National Gambling Board, in an interview with iGB. Insight was shared on the growth prospects within South Africa’s emerging market, the impact of technology advancements, and the strategies for addressing problem gambling.
As the nation anticipates the impending changes in governance and industry regulations, the Democratic Alliance remains steadfast, advocating that their bill is a foundational step towards a safe, regulated, and prosperous online gambling environment in South Africa.
