News

[Johannesburg, 18 April 2008] The Casino Association of South Africa (CASA), which represents 37 of South Africa’s 38 licensed casinos, should be legally recognized as South Africa’s representative industry association.

This was the call made by CASA chairperson Jabu Mabuza to the National Gambling Board conference in Johannesburg yesterday.

“Despite the fact that we are a purely voluntary association with no formal status recognized in the country’s gambling legislation, the scope of our work since our founding five years ago has demonstrated quite clearly the need and value of such a body,” Mabuza told conference delegates.

He pointed out that since its inception, CASA had developed a code of conduct committing all its members to responsible gambling conduct at all their casinos, championed the transformation of the casino sector’s management and ownership structures, and provided comprehensive and reliable information about the casino industry’s contribution to the national and provincial economies, its impact on the country, and its benefits to the communities in which it operates.

CASA had also played a leading role in preparing detailed industry submissions to national and provincial governments and regulators, when they had considered changes to gambling laws or explored new policy initiatives.

Mabuza argued that CASA had learned several key lessons for the optimum operation of an “efficient, profitable and reputable casino industry”, including that the industry can only flourish in an environment where it has a constructive partnership with government in a mutually beneficial policy framework; that national and provincial gambling policy must always be based on empirical and sound research; that there must be consistency and certainty in the trading environment; and that there must be more consultation between government and the industry to promote better understanding of stakeholders’ positions.

“To summarise these lessons, only through consultation, research and regular interaction between all stakeholders will the industry be able to continue to present casino gambling for what it ought to be: a stable, internationally respected casino industry offering a form of entertainment that can safely be enjoyed by all and which contributes significantly to the material well-being of our society,” said Mabuza.

To ensure the predictability and coherence of the regulatory environment, particularly regarding the functions and complexity of the national and nine provincial gambling authorities, “it has become necessary that we should add institutional weight to the processes and institutions through which we seek to communicate and seek consensus about what is needed to ensure the sustainable health of the casino industry”.

“What I am proposing today is the formalization of the channels of communication between regulators and those subject to their regulation. It is only through such regular communication on issues directly affecting the casino industry that we shall be able to create a common understanding of the expectations of regulators and the views of the industry.”

The practical effect of recognizing a body such as CASA as the representative industry association, is that it would have to be consulted on issues directly affecting the industry, including proposed legislative amendments and applications for new licenses. However, Mabuza suggested that consultation with a formally recognized association should be restricted to any proposed change in its status as a body recognized by the National Gambling Board, and any proposed amendments to legislation that directly affects the category of license-holder which it represents.

Establishing CASA as the representative industry association need not be complicated or legally challenging, Mabuza said. It could be created by the enactment of a single rule, which would be brought into operation by publication of the rule in the relevant Provincial Gazette.

“The sustainability of the casino business depends on what government allows it to do, requires it to do and forbids it to do. Therefore, casino management must know government’s thinking which often involves working with government to ensure the primacy of what is in the public interest.

“Our task now is to develop the strengths of that partnership, to consolidate and cement its benefits and to add institutional weight to the structures and organizations through which we seek to obtain consensus about what is needed to ensure the sustainable health of the industry, which is in the interest of all its stakeholders, not least government,” Mabuza concluded.

For further information please contact CASA chief executive, Derek Auret, on 082 557 6566.

http://www.casasa.org.za/press_jabu_mabuza.htm