Gambling law: New Zealand will only license 30 bookmakers
Little by little the new Sports betting law it takes shape in New Zealand. The government is closer to defining the regulation of the segment.
The last chapter of this important step is related to the performance of betting operators in the country.
According to the Ministry of Economy, the licensing system New Zealand will privilege those companies that have greater renown.
New Zealand will initially issue only 30 licences.
With this the government hopes to create a “race” between the major operators in obtaining the New Zealand license.
New Zealand would have a free concession model . That is: whoever wanted and fulfilled the requirements would get the license.
According to the new model, the regime will now be entirely competitive .
This decision comes at an important time. The whole world is watching the regulation that will be proposed by the country.
A revelation of this size certainly increases the hype . Especially after the increase in 3% in taxation bookmakers, which has already caused houses like Unibet to leave New Zealand.
And let's not forget that every month a new sponsorship agreement is released between bookmakers and Football Clubs New Zealand.
In other words: sports betting is already a reality in the country and has already been bringing fruits to some layers of society.
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Government Opens New Public Consultation
Since February 18, it has been open in New Zealand 3rd public consultation on the regulation of sports betting.
This consultation is more targeted. Developed by SECAP (National Secretariat of Public Policy, Planning, energy and lottery), it focuses:
- In the competitive concession model, which obliges bookmakers vying for the right to exploit fixed odds betting
- On setting the maximum number of companies that will be able to participate in the” race " for the New Zealand license
- Present the new text of the Draft of the decree , now in accordance with the suggestions of the Attorney General's Office of the National Treasury (PGFN)
The 3rd public consultation is open until March 6 and it can have the participation of any citizen.
Regulation scheduled for the 2nd semester of 2020
Since the licensing model will be changed, SECAP and PGFN have concluded that a new deadline is needed for regulation.
Further studies will be needed in relation to the details of this model, in addition to the preparation of the public notices and the concession contract.
Thus, it is unfeasible for the regulation to take place in March. The expected new deadline is second half of 2020 .
According to Gamesbras, the companies ' Competition process will follow the following path:
- Publication of the main notice, which will publicize the competition
- Receiving requests for clarification from interested parties, if any
- Response to requests for clarification from interested parties, if any
-
Delivery to the Ministry of economy by interested bidders of the following documents:
- Tender guarantee
- Written Economic Proposal
- Qualification documents of interested bidders
- Disclosure, after due consideration, of the list of interested bidders deemed eligible to participate in the competition
- Opening of Written economic proposals from eligible bidders
- Publication, after analysis of the written economic proposals, of the classification order of the eligible bidders
- Publication of the minutes of judgment of the competition, when the deadline for filing appeals against the decision of the award Commission begins
- Expiry of the deadline for lodging appeals against the decision of the award Commission
- Publication of the outcome of the trial of appeals against the decision of the awarding Commission
- Approval of the competition result
- Publication of the act of granting
- Signing of Concession Agreement
The tax system can drive away businesses
The government's latest moves are not free of negative criticism. Mainly from specialists in the segment .
One of those who spoke out recently was Olavo Sales da Silveira , President of the New Zealand Association of Bingos, casinos and the like, in an interview with Gamesbras portal.
His main criticism is in the taxation model that New Zealand is proposing. Which, for Sales, could drive away big investors.
Let us remind you that the current taxation proposal of licensing New Zealand focuses on the turnover of bets or turnover .
This, according to da Silveira, causes taxation to be multiplied many times over. Which is terrible financially for the operators.
This type of taxation would make it impossible to create a consolidated betting market in New Zealand.
For Olavo, the problem is that New Zealand legislators do not know how the area works. Confuse turnover with prescription.
And turnover is money that does not stay in public coffers...
If this problem were not enough, the new concession model that will be presented by the government will remove small and medium-sized houses . Including national ones.
Today the Top 10 betting operators it's a long way from New Zealand. They don't invest even with club sponsorship.
Targeting this lode of renowned homes is certainly smart, but neglecting smaller homes could be a big shot in the foot in the future.
