Western Cape Home of the Mother City
Western Cape is located on the south western coast and is the fourth largest province and third most populous with around 6.6 million. Around two thirds of the
population live in the metropolitan area of Cape Town, the provincial capital and also the country’s legislative capital.
Te province stretches along the Atlantic coast and has a strong agricultural and farming sector. Cape Town is known as the Mother City and is a Central Business District with established infrastructure and second most important contributing municipality towards national employment. Around five million visitors went to Cape Town last year (domestic and international).
Te Western Cape Gambling and Racing Board was established in 1996 by the Western Cape Gambling and Racing Act and controls and regulates the provincial gambling sector.
Today there are five licensed casinos, two licensed LPM route operators, 43 bookmakers, one totalisator, 6,000 gambling devices and 640 premises made up of 432 LPM premises, 54 totalisator and 154 bookmaker premises.
Te Act has been amended over the years and most recently it was updated in 2019 (19th amendment) in order to promote and facilitate the financial self sufficiency of the board. It is estimated that the revenue to be collected from these fees will be around R30m per year. Tis, plus other fees payable to the board, means the board should be financially self sufficient and less dependent on payments from the Western Cape Provincial Treasury.
As such the bill introduced a new casino operator fee based on what the casinos would have been required to pay, should the 10 year exclusivity period not have expired. Tis fee is based on the original value of the development of the casino.
In addition the bill revises provisions relating to the LPM operator fees and suggests that certain fees are now paid to the gaming board instead of into the Provincial Revenue Fund.
Tis includes: l
LPM operator fees – with those less than 500
machines an annual fee of R1,953m shall be paid; for 500-1,000 machines an annual fee of R3,905m and for more than 1,000 machines an annual fee of R5,858m.
l Casino operator fees are divided between
those with development costs of less than R175m - to pay R2,805m per year and those above that rate pay R7,150m.
P86 NEWSWIRE / INTERACTIVE / MARKET DATA
Meanwhile there are also draft regulations proposed to increase the amount of application and licensing fees payable by all sectors. Te Western Cape Gambling and Racing Regulations (Fees and Costs) 2020 will come into effect in April 2020.
A casino previously paid R239,650 annual licensing fee plus R7,190 per table and R4,794 per slot annually – this has been increased to R252,351 annual licensing fee and R7,571 per table and R5,048 per slot.
CASINOS Tere are five casinos in Western Cape which
operate a total of 115 table games (total GGR in 2019 was R405.3m) and 3,770 casino slots with a total GGR of R2.52bn. Total GGR for the casino sector was R2.92bn with R424.4m in total casino tax collected.
Te casinos are:
Garden Route Casino is located in seaside town of Mossel Bay in Cape Town with 412 slots and 12 table games. Revenue in 2019 was R245m; Mykonos Casino has 320 slots and six tables and revenues of R179m and Tsogo Sun Caledon has 318 slots and eight tables and revenues of R181m. Tese three are all operated by Tsogo Sun which saw a provincial gaming win growth of 2.8 per cent last year in total.
Sun International operates two casinos - Golden Valley Casino which is located in the Breede River Valley, just an hour from Cape Town and the only casino in Worcester. It has 227 slots and six table games. Also GrandWest, one of the largest casinos in South Africa and located in Cape Town. Tere are 2,563 slots and 75 table games and 24/7 entertainment.
LPMS Te Western Cape has the third largest number
of LPMs rolled out (by 2019) and as such this province has the best LPM revenues. It has not
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100 |
Page 101 |
Page 102 |
Page 103 |
Page 104 |
Page 105 |
Page 106 |
Page 107 |
Page 108 |
Page 109 |
Page 110 |
Page 111 |
Page 112 |
Page 113 |
Page 114 |
Page 115 |
Page 116 |
Page 117 |
Page 118 |
Page 119 |
Page 120 |
Page 121 |
Page 122 |
Page 123 |
Page 124 |
Page 125 |
Page 126 |
Page 127 |
Page 128 |
Page 129 |
Page 130 |
Page 131 |
Page 132 |
Page 133 |
Page 134 |
Page 135 |
Page 136 |
Page 137 |
Page 138 |
Page 139 |
Page 140 |
Page 141 |
Page 142 |
Page 143 |
Page 144 |
Page 145 |
Page 146 |
Page 147 |
Page 148 |
Page 149 |
Page 150 |
Page 151 |
Page 152 |
Page 153 |
Page 154 |
Page 155 |
Page 156 |
Page 157 |
Page 158 |
Page 159 |
Page 160 |
Page 161 |
Page 162 |
Page 163 |
Page 164 |
Page 165 |
Page 166 |
Page 167 |
Page 168 |
Page 169 |
Page 170 |
Page 171 |
Page 172 |
Page 173 |
Page 174 |
Page 175 |
Page 176
