GAUTENG TO ROLL OUT LIMITED PAYOUT MACHINES

The Gauteng Gambling Board announced that it has approved the roll out of limited payout (slot) machines across Gauteng. The licensing process is expected to commence during February 2008.

The Board announced a process for the roll out of slot machines which will begin in October with invitation for comments from interested parties on the draft invitation for licences. This process will culminate in the awarding of licences in December 2008.

Acting CEO of the Gauteng Gambling Board, Lucky Lukhwareni, said the licensing of limited payout machines will expand existing and provide new entertainment and recreational facilities across Gauteng. “Unlike casinos, limited payout machines will be distributed more widely throughout the Province.” he said.

Lukhwareni said the roll out is also expected to enhance economic growth and development in the Province by facilitating the participation of small and medium business and empowerment of previously disadvantaged individuals in the gambling industry in line with the Government’s policy of Broad Based Black Economic Empowerment.

“It is critical for us to continue to facilitate the entry of small and medium sized business in the gambling industry and the licensing of limited payout machines presents us with a perfect opportunity to do this,” said Lukhwareni.

He said the capital required to fund the infrastructure for the roll out of limited pay out machines is less than that of building a casino. This offers a major opportunity for small and medium business to be part of the gambling industry.

The roll out of limited payout machines is expected to contribute towards the eradication of incidents of illegal gambling and raise additional revenue for the Gauteng Provincial Government to further improve service delivery.

The Gauteng Gambling Board is a statutory body established in terms of the Provincial Legislation. It is tasked with the mandate of regulating and controlling gambling in the Gauteng.

Gambling and betting taxes collected by the Gauteng Gambling Board are the second highest contributor to provincial own revenue. Taxes collected for the 2006/07 financial year amounted to R452.5 million.

The licensing of gambling activities has created 10 000 direct new job opportunities with a further 25 000 indirect job opportunities.

The Gauteng Gambling Board continues to encourage responsible gambling and last year spent more than R 2 million on various campaigns to promote responsible gambling.

Lukhwareni explained that the roll out will provide an excellent economic opportunity for previously disadvantaged individuals to participate meaningfully in the economy of Gauteng.