Murmurs of I-Gaming Regulation in South Africa Return

1 August 2007

After its month-long winter recess, the South African government is reportedly set to revisit the issue of Internet gambling regulation.

Local media on Monday reported that South African MPs, who returned to work on Tuesday, would begin trying to resolve the issue of regulating interactive gambling, which is currently illegal in South Africa.

The draft National Gambling Amendment Bill was introduced by the Department of Trade and Industry (DTI) in December 2006, but it has failed to progress in Parliament, contrary to speculation that it would be enacted by the end of Q1 2007.

The bill aims to amend the National Gambling Act 2004, which prohibits making interactive games available to South African residents and outlaws the advertisement of gambling services in the country.

The bill calls for strict regulation of the interactive gambling industry, particularly for the prevention of crime and the protection of players, problem gamblers and minors.

Astrid Ludin, deputy director-general of the DTI, in December said the initiative is based on two years of in-depth international research by a specially appointed committee.

The Gambling Act 2004 required the government to introduce within two years effective legislation regarding Internet gambling, and Ludin said the government decided regulation rather than prohibition was the best approach.

"It's not going to be a free-for-all," she said. "There is going to be player registration and basically licensing. So unless you're licensed as a player you're not entitled to gamble. And we are not permitting cell phone gambling. We're permitting only games that are played on the Internet.

Regardless of the current legal status of Internet gambling in South Africa, online gambling already exists in the province. Sites such as Piggs Peak Casino, Silversands Casino and African Palace cater to South African citizens by accepting rands as a form of currency.