Australian online poker might become regulated

Australian online poker is set to be thrown a lifeline, with the government set to look into a licensed and regulated industry.

The online poker community was devastated following the approval of the Interactive Gambling Amendment Act 2016, which has stopped gambling operators like Pokerstars from taking Australian players.

But Senator David Leyonhjlem has revealed that the Communications Minister, Mitch Fifield, wrote a letter advising that his department would be looking into the possibility of Australian onshore operators providing online poker sites.

If successful, the Minister would be required to obtain approval to allow Australian licensed operators to offer online poker from fellow lawmakers.

Fifield reportedly told Leyonhjlem that he has the support of Human Services Minister, Alan Tudge, who introduced the new gambling reforms based on the recommendations made in the Illegal Offshore Wagering Review.

Leyonhjlem has been fighting to legalise online poker ever since the inception of the bill, which amends the Interactive Gambling Act 2001 to prohibit reputable offshore gambling operators from legally offering their services to Australians.

He introduced secondary amendments which would have exempted online poker, as well as blackjack, from the law but he failed.

He then set up a special Senate inquiry into the Participation of Australians in Online Poker, due to the resounding response from the online poker community.

A public consultation period took place, with thousands of poker players, gambling researchers, industry experts, and charities submitting their submissions.

A hearing, held just days before the IGA bill passed through the Senate, saw many researchers and industry experts explain that poker is a game of skill and not nearly as harmful as other online gambling games.

Findings are expected to be handed down on October 18, after the inquiry committee extended the reporting date on September 7.

The move to consider a regulated online poker industry is surprising given Fifield’s stance against regulating online poker during the final debate on the new reforms last month.

“I believe we have won the ‘in-principle’ battle,” Senator Leyonhjelm said.

“The question now will be how to make it happen in practice.”

The Australian Communications and Media Authority (ACMA) has been granted regulatory powers under the new reforms but Leyonhjlem is unsure whether it is suitable to oversee gambling issues.

“Gambling is largely a matter for the states, while communications and taxation are Commonwealth matters,” he said.

“I’m not sure ACMA is an appropriate regulatory agency and would like to see the Government consider something similar to the UK Gambling Commission, which appears to have a good understanding of the risks and benefits associated with online gambling.”

The Australian Online Poker Alliance, a group run by poker player Joseph Del Duca, has shared the news on social media with a strong positive response from Australian players.

Many players said if the government can tax it, it will likely get through.

If it does, it could pave the way for operators like PokerStars to re-enter the Australian market after it exited before the reforms took effect earlier this week. The Australian land-based casino operators such as Crown Resorts and Star may also launch an online poker room.

“I will maintain close contact with Minister Fifield and his Department to ensure this matter maintains momentum,” Leyonhjlem said.

“Australian online poker players deserve to have a safe, regulated environment in which to enjoy their pastime and not be forced into using offshore sites.”