NOIE Report Available Online

29 March 2001
Never let it be said that the Australian government has jumped before looking when it comes to interactive gambling issues. Over the past few years, a number of studies have been conducted, examining the industry from various angles. The most recent study is now available from the National Office for the Information Economy, although news of its availability may surprise some who have been watching the events unfold Down Under. Previous indications were that the report would not be made publicly available, even after one news publication had obtained a copy of the "draft" report two weeks ago.

On March 27, the NOIE published its final "Report of the investigation into the feasibility and consequences of banning interactive gambling." Since its completion, the report has become the centerpiece of the Commonwealth's effort to establish a total ban on interactive gambling. The government this week proposed legislation that would make it illegal for Australian sites to take bets from Australian residents, while still allowing them to offer their services to players located outside Australia.

Previous efforts to examine the industry, including the Netbets study from the Senate and the massive final report released by the Productivity Commission, outlined a number of problems that the interactive gaming industry needed to address, yet stopped short of promoting a ban. The Netbets report, in fact, favored a harm minimization approach. Prime Minister John Howard and Communications Minister Senator Richard Alston, both longtime foes of the industry, brushed this recommendation aside and began looking for ammunition to back up their moratorium inclinations.

To that end, they asked that the NOIE, in consultation with the Department of Family and Community Services and the Treasury, coordinate the development of a Commonwealth position on interactive wagering and gaming. As such, the NOIE received 59 submissions and worked with a number of expert consultants to examine the economic implications of banning interactive gambling; and assess options and impacts of blocking interactive gambling content.

The NOIE delivered the goods, saying that a ban on Internet gaming is possible, although it also warned that such a ban could be very expensive to develop and maintain. Further, people would still be able to sidestep these efforts, the NOIE explained.

The entire "Report of the investigation into the feasibility and consequences of banning interactive gambling" can be read at http://www.noie.gov.au/projects/consumer/gambling/report.pdf.