The Australian Capital Territory government has published a discussion paper outlining plans for the transfer of gaming machines between clubs in the territory.
In September 2012, the government and ClubsACT, the industry association representing clubs, signed a memorandum of understanding setting out a policy agenda for the licensed club sector over the next few years. The two parties agreed to worth together to introduce a trading scheme for machines between clubs.
This scheme would be designed to offer a way of distributing machines more efficiently without necessarily increasing the overall number, which, under the Gaming Machine Act 2004, is to be reduced to around 4,000.
Such trading schemes operate in other jurisdictions, providing a means for licensees that have more machines than they require to reduce their number, while at the same time allowing those with too few to increase theirs.
There are presently 55 venues in the territory licensed to operate gaming machines, the largest 10 of which account for 47.5 per cent of the total. The smallest 13 venues – with 15 or less machines – account for just 3.2 per cent of the total. There are nine clubs operating machines in more than one venue, known as multi-venue clubs, accounting for 32 venues and around 75 per cent.
The government’s aim is to give clubs greater flexibility in managing machines, while at the same time reducing the overall number of machines within the territory.
However, as part of the consultation, the government said that in order to “provide a stimulus” for the trading of machines, it is considering introducing a levy on each machine. This, it said, would provide an incentive for larger venues that have surplus machines to trade and for smaller venues the levy could be low and “reflect in part current costs associated with regulation and administering| machines in the territory.”
Understandably, the proposed levy has received a less enthusiastic response among some clubs.