Opposing parties seek to nullify casino law
The lower house of Japan’s parliament on December 8 agreed to push out passage of the country’s important gambling addiction bill to the next session, expected to begin in January. The early part of the session will likely be devoted to budgetary matters, so the gambling bill could remain on the back burner until May or June, according to some reports.
GGRAsia reported that the ruling Liberal Democratic Party, which supported casino gaming along with Prime Minister Shinzo Abe, joined with its partner Komeito to resubmit a gambling addiction bill to the lower house on December 1. The bill was tabled one day before the extraordinary session came to a close. A previous version of the bill also failed when it did not pass by the end of the legislative session.
Consensus on the problem gambling bill is considered a crucial step before the Integrated Resorts Implementation Bill can be enacted. Despite widespread enthusiasm for games of chance at pachinko parlors, concerns remain about the consequences of bringing casino resorts to the country.
The implementation bill will lay out details of how casinos are administered, regulated and taxed as well as the locations and number of licenses that will be awarded. Early in the process Abe responded to concerns about gambling addiction, telling the government task force, “To realize clean casinos, we will introduce regulations at the world’s highest standards and develop a system to properly enforce them.”
LDP member Takeshi Iwaya, who spearheads the team in charge of casino legislation, expressed hopes that the IR Implementation Bill will go before parliament soon after the start of the new session and reach the House of Councillors by next March.
Concurrently, Asia Gaming Brief reported that Japan’s Constitutional Democratic Party, Communist Party, Liberal Party and Social Democratic Party have jointly submitted a bill to the Diet that would invalidate the IR Promotion Act, which passed in December 2016.
Akira Kasai, policy chief of the Japan Communist Party, said, “We must stop the casinos now, before they actually inflict any damage. Together we will gather all of our strength and work as one to abolish the casino law.”
In spite of such opposition, it’s expected that some version of a gambling anti-addiction bill as well as the implementation bill will be approved by the end of the next ordinary Diet session around June 2018.
Meanwhile, Asiacasinogaming.com reports that Japanese gaming machine manufacturer and IR operator Sega Sammy Holdings Inc. will collaborate with Kyoto University on a three-year study of gambling addiction, saying it “will be utilized in Japan to establish measures to prevent its onset, progression and recurrence.”
The research will begin in 2018 and continue into 2021. Not coincidentally, Sega Sammy has announced it intends to pursue a Japanese casino license. “It is the responsibility of operators to deal sincerely with social issues,” the company stated. “For the introduction of IRs in Japan, advanced IR development based on study of precedent cases from other countries is required,” the company stated. “This requires IRs to offer not only attractive facilities and content, but solutions to social issues.”
Sega Sammy said it’s working to develop “a system for the collection of a type of player data at casino facilities that has yet to be achieved in existing operations. Using this research, we aim to build a system to identify players exhibiting signs of addiction and prevent further progression. At the same time, by establishing facility operations which encourage self-control and restraint, we aim to build consistent, systematic anti-gambling addiction measures through education, prevention and collaboration with medical institutions for treatment.”
A number of global casino operators are expected to line up for a license in Japan. Suitors include the Las Vegas Sands Corp., MGM Resorts International, Genting Singapore Plc, Galaxy Entertainment, Wynn Resorts Ltd., Hard Rock International and Melco Resorts and Entertainment Ltd.; they are attracted by estimated revenues of up to $25 billion per year.