The bustling political climate engulfing online gambling in Australia has kept the industry on its toes since a government working party developed draft regulations aimed at controlling Internet gaming back in '97. Currently, at least two major studies are being conducted in which the legislating and regulating of online gambling are being researched. The first study, a broad-based public inquiry by the Productivity Commission into the economic and community aspects of gambling in Australia, has received extensive coverage by IGN.
The Senate, meanwhile, is conducting its own inquiry into, specifically, the Internet gambling industry. The goals of this newer study are to learn about:
- the nature, extent and impact of online gambling in Australia;
- the feasibility of controlling access to online gambling, especially by
minors;
- the adequacy of State and Territory regulations in relation to online
gambling; and
- the need for federal legislation.
"We are particularly concerned to look at the impact this new form of gambling is having on children and young people and the feasibility of implementing controls on access," said Senator Jeannie Ferris.
Opening the inquiry were representatives from Canbet Pty. Ltd., James Colquhoun and Derk Swearinga, who had some interesting comments.
They told the Inquiry that 98 percent of their bettors come from the US and the remaining bettors come from Canada and Australia. They also stress that sportsbetting is very different from casino betting, requiring skill and forethought. As Colquhoun told the Inquiry:
We believe there is a clear distinction between wagering and gaming. We do not wish to be lumped in with gaming-which seems to be where the Productivity Commission considers problem gambling arises-as 'bad boys'. We do not have problems with problem gambling, because our people are making what they think are informed judgments as to what they want to do, and then enjoying the sporting contest.
During later sessions, at least one senator, John Tierney, had objections to how material was presented by Crown Ltd. and Tattersalls Ltd., calling it "unprecedented" that they were represented by ACIL Consulting, instead of sending a company representative. The ACIL representative told the Senate Inquiry members that both companies would not support a gambling levy to offset any potential social costs of gambling.
Tierney sent out a press release lambasting the two companies lack of concern about the social costs, comparing their response to a previous presentation made by Alice Springs-based Centrebet that acknowledged the potential for Internet gambling to exacerbate such problems.
"Northern Territory-based online gambling groups seem to be better organized and more forthcoming about the potential for harm from Internet gambling," said Senator Tierney.
Additionally, the Inquiry has received at least one petition to prohibit the legalization of online gaming in Australia.
Representatives from a number of online casinos, lotteries and sportsbooks made presentations, as did government officials and problem gambling groups. A report is expected before the end of 1999.
The following PDF documents contain transcripts of Senate hearings on Internet gambling:
Canberra, October 1
Sydney, October 15
Alice Springs, November 10
Melbourne, November 11