OPENING THE SLOVENIAN GAMBLING MARKET – THE PROPOSAL CMS
which would then be able to apply for concessions for individual games of chance in the second stage, or if there will be a different set-up. Moreover, special conditions will be established for betting, as a form of classic games of chance, but the draft Act is vague on this matter. Te presence of new organisers would potentially create a competitive market, putting pressure on the existing two market leaders, which would have to adapt their respective current business models to the new market conditions. Te buy in to the Slovenian gambling market for new organisers of classic games of chance is said to be €500,000, which will be divided between the Foundation for Financing Sports Organisations and the Foundation for financing humanitarian and differently abled organisations.
2. Tere are also significant changes to the ownership requirement for the operators of special games of chance. Within the scope of the current legislation, only the state, local communities and legal persons fully owned by the government and exceptionally private companies (that must abide by strict criteria outlined above) can be owners of entities holding a concession. Te proposed changes will make the conditions less strict in this respect. It is envisioned that the state’s share may not be less than 25 percent plus one share in the case of a joint stock company and not less than 51 percent in the business share of another company form—although it is not clear why this distinction is made.
3. Another proposed change is that employees of casinos and gambling saloons will no longer require a licence to perform their jobs.
THE FATE OF LEGISLATION LEFT TO THE MERCY OF POLITICS
It first started out in 2017 as the response to the EU commission’s notification that the current act is not fully compliant with EU law. Interested parties also saw this as an opportunity to introduce a new legal framework that would not only deal with the non- compliance but would also open up the gambling market, especially the betting market. Te then draft Act was not passed in the end due to a veto from the Slovenian National Council. However, last year the idea was revived, and the draft Act aiming to open up the market was proposed.
As mentioned above, the draft Act has gone through three rounds of revision in the parliament, causing much turmoil. While the government maintains that the proposal would make the sector more transparent, protect consumers and have desirable economic outcomes, especially as numerous Slovenians are already using the services of foreign gambling operators, the opposition parties and some civilian organisations have expressed concern over the effects of the new legislative framework. Tey argue that the draft Act will have harmful effects on the municipalities, consumers, employees in the sector, the funding of sports and humanitarian foundations and that it would set the grounds for the sale of
P100 WIRE / PULSE / INSIGHT / REPORTS
“There are also significant changes to the ownership
requirement for the operators of special games of chance. Within the scope of the current legislation, only the state, local communities and legal
persons fully owned by the government and exceptionally private companies (that must abide by strict criteria outlined above) can be owners of
entities holding a concession. The proposed changes will
make the conditions less strict in this respect. It is envisioned that the state’s share may not be less than 25 percent plus one share in the case of a joint stock company and not less than 51 percent in the business share of another
company form—although it is not clear why this distinction is made. ”
government stakes in the concession holders to foreign private investors.
For these reasons, the opposition has delayed the final decision on the matter by calling for a non-binding referendum to gauge the voting public’s opinion on this matter. Tis means that voting on the draft Act will be postponed until either the parliament decides on the referendum, or the referendum takes place. Te Slovenian general elections were held on 24 April 2022 and this could decide the fate of this piece of legislation. Te election result show that the current government, which proposed the changes to the legislation will be replaced, thus, we will have to wait for the new government to present their view concerning this piece of legislation.
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