New Bill to Regulate Online Gambling in South Africa

On 22 April 2024, the Democratic Alliance (DA), the official opposition in South Africa, submitted a new piece of legislation known as the Remote Gambling Bill (B11-2024) to Parliament. This bill aims to establish regulatory frameworks for remote gambling within the country. The initiative marks a significant move to fill the regulatory vacuum left by the current government.

Background and Rationale for the Legislation

The introduction of this bill follows more than two years of extensive consultations and drafting by the DA. This legislative push addresses the longstanding oversight by the African National Congress (ANC) to implement effective regulations and protections in the rapidly evolving iGaming sector. Notably, the National Gambling Amendment Act was sanctioned by the President in 2008 to regulate iGaming, but after nearly sixteen years, it has yet to be enforced. This lack of action has left a legal grey area, contributing to criminal activities and a loss of significant revenue, estimated to be in the billions of Rand.

Details and Objectives of the Bill

The Remote Gambling Bill proposes decentralising the licensing process to provincial authorities instead of a national gambling board, which currently operates ineffectively. The bill also aims to enforce compliance with the Financial Intelligence Centre Act (FICA) of 2001, enhance protections for minors and vulnerable individuals, regulate advertising for online gambling, and establish a clear procedure for handling licensing complaints. These measures are designed to balance regulatory oversight, administrative control, and consumer protection effectively.

Implications of the Upcoming Elections

With provincial and national elections scheduled for 29 May 2024, there is speculation that the ANC may lose its majority, which could impact the bill's progression in Parliament. The DA is positioning this bill as a cornerstone for future legislative efforts to secure and regulate the online gambling market, aiming to protect players and secure the industry against illicit activities.

This legislation could mark the beginning of a series of regulatory initiatives by the DA to safeguard participants and streamline the governance of online gambling in South Africa, ensuring a safer and more robust industry.