Yes to entry fees, but how much?
A March 27 meeting between Japan’s Tuesday ruling Liberal Democratic Party and its junior partner Komeito ended without consensus on many major issues surrounding casino legislation in the country.
According to GGRAsia, the LDP considers mid-April as the drop-dead deadline for agreement on the issues in order to pass the Integrated Resorts Implementation Bill in the current session of parliament, which ends June 20. To date, the parties reportedly have agreed on only five of 11 matters on the table.
Though the two sides have agreed to limit casino visitation by locals—permitting Japanese citizens and residents to pay three visits per week, or a maximum of 10 visits per month—they disagree on the amount of the entry free locals will have to pay. The Buddhist-influenced Komeito insists on a JPY8,000 (US$76) fee, while the LDP proposed JPY5,000 (US$47). A prior government proposal called for a JPY2,000 fee (US$19). All the proposals that limit access are designed to curb gaming addiction, a major concern among the public.
The partners have also stalemated on the size of casino floors, as well as on the number of casino resorts to should be licensed in the industry’s first wave; the LDP suggests four to five IRs in both metropolitan and regional areas, while Komeito wants two to three in major cities, as suggested in the original enabling bill passed in December 2016.
The lawmakers also disagree on the tax on gross gaming revenues. The LDP wants a fixed rate under 30 percent of GGR. Komeito wants a sliding scale.
The two parties agree that Japan’s My Number identification card should be used to verify entry by locals; that the casino control commission should have five members to be ratified by parliament; and that the IR Implementation Act should be reviewed five years after the first resort opens.
As the debate continues, Reuters reports that nearly half of Japanese voters believe Prime Minister Shinzo Abe, who pushed the IR legislation as a way to boost the economy, should resign in the wake of a shady land deal and allegations of cronyism.The state-owned land was sold at a huge discount to a nationalist school operator with ties to Akie Abe, the PM’s wife.
According to a poll conducted by the Asahi newspaper, 48 percent of those surveyed said Abe and his government should go, compared to 39 percent who said that wasn’t necessary.Those who said they supported Abe slid to 32.6 percent, down 11.7 percentage points from a month ago, while those who said they did not rose 13.2 percentage points to 54.9 percent.
LDP leader Fumio Kishida called on Abe to “work to restore trust” before making “a decision on his own fate.”
Meanwhile, the interest in IRs continues to expand in the country. Asia Gaming Brief reports that the Fukui Association of Corporate Executives have unveiled a proposal to build an IR in Echizen city, Fukui Prefecture, a part of Japan not previously mentioned as a contender. Others mentioned as likely winners include Yokohama, Osaka, Tokyo, Nagasaki and Hokkaido.
