English
Reporter: How did the gambling market evolve last year?
Dan Ghiţă: It hasn't exactly evolved, it has stagnated. Everyone has waited for months to find out what the new regulations sound like, and so nobody has ventured to make investments without knowing the circumstances. The organizers of game of chance, and the specialized associations included, have followed the evolution of the large number of legislative initiatives, which concerned the fundamental amendments of the legislation, some going as far as to prohibit some games of chance, under the pretense of the protection of minors. We will remember 2014 as a very difficult year for our industry.
Reporter: What is the size of the gambling market?
Dan Ghiţă: According to some statistical data, but unconfirmed by official sources, the gambling market amounts to approximately 1 billion Euros a year. This amount also takes into account the horizontal influence extending into other areas of activity.
Reporter: How much of the sector is the black market?
Dan Ghiţă: It is impossible to present accurate numbers on that matter. What I can tell you with certainty is the fact that after the creation of the National Office of Games of Chance, or which has as its important mission the control of gambling, the black market portion of the industry has significantly decreased. And through the coming into effect of the new legislation, Emergency Government Ordinance 92/2014, the control will be achievable under much better circumstances and will also include the activities pertaining to the exploitation of games of chance (import, distribution, production, sale, repairs etc.)
Reporter: What estimates do you have for 2015, tied to the evolution of the area?
Dan Ghiţă: Considering the new legislative framework, which came into effect on February 13th 2015, we can say that, at least from the perspective of online gambling and of gambling tourism, there will be a significant growth of the gambling market, including the increase of the revenues of the state budget. I think that there will be some consolidations, as well as entries of new operators, especially on these segments that we have mentioned - online and for tourists. We are hoping that the granting of ten year licenses to gambling organizers, as opposed to five-year licenses previously, will lead to stability and predictability, which favor a dynamic economic environment and one which we can see new investments in.
Reporter: What are the drawbacks of the sector that you represent?
Dan Ghiţă: Unfortunately, we are still "the beneficiaries" of a mistaken, distorted image, in the mass-media and in the way the general public perceives us. ROMBET has taken important steps towards an open, sincere conveying of the true face of the gambling industry, an economic activity which has a significant contribution to Romania's economy and society. We are hoping that, through unity and responsibility, we will change the negative perception of our industry. We are representatives of a absolutely not ordinary industry, with extraordinary people, with turnovers that have a huge impact on the state budget, we have to say these things loud and clear. We have to exit this grey area, and get rid of the prejudices that portray us as an industry that is full of lawlessness, extremely opaque.
Reporter: What solutions should there be passed for the remediation of this situation?
Dan Ghiţă: First of all, we need a better and more effective communication, that every association in the sector would participate in, the gambling organizers along with all the factors for the influencing of the public opinion. We must eliminate all the thinking stereotypes, which are not based on correct, complete and verifiable information and data. I also think that the increased social involvement of the gambling industry - social responsibility is also very important. Since we are talking about an industry which represents a delicate issue, that has a strong emotional impact on the public, we need to make sure that we are doing everything in our power to protect the vulnerable categories, especially minors. Especially after the passing of the new legislation, a favorable environment has been created for the activity through the program called Responsible Gambling. ROMBET, together with the other associations in the industry, will stand by the specialized governmental body, ONJN, in the creation and the proper functioning of the public interest foundation dedicated to responsible gambling.
• "Gambling can be a significant engine for the growth of national tourism"
Reporter: What is your take on the new regulations in the sector?
Dan Ghiţă: First of all, we salute the opening of the Romanian market to online gambling. Of course, in compliance with every measure of protection for vulnerable categories and particularly, by restricting minors' access to every category of games. It is a promising area and which, like the authorities hope and like we do too, will attract numerous investors. ROMBET will make available to all those interested its whole experience and specialized expertise, and will always be ready to offer advice and solutions in the area of gambling.
I praise the provision introduced in the new law concerning the creation of a foundation dedicated to responsible gambling, an approach that we, of ROMBET, strongly believe in and have always supported. Furthermore, the European Commission strongly recommends that member states pass legislation that offers protection to categories that are at risk of developing gambling problems. A strong and mature industry is one that is responsible to all gambling participants.
The growth of games of chance in touristic areas of national interest is an idea that we have supported for a very long time. Gambling, as shown by the experience of other countries, can be a significant engine for the development of national tourism.
It should also be mentioned that the new legal provisions bring clarifications needed for the licensing and authorization procedures and conditions, as well as important stipulations concerning the daily operation, through the elimination of excessive bureaucratic requirements. I would mention, in that regard, the example of the unequivocal provision that gambling organizers are bound exclusively to the provisions of the gambling legislation, without the need to obtain additional authorizations, approvals, additional fees, permits or licenses from other central or local authorities.
Unfortunately, there are still some provisions that discriminate in favor of state capital, in relation to private capital. We know that gambling represents a state monopoly, but we think that it is precisely because of that angle that the state should treat everyone that operates in this business in an indiscriminate manner.
Looking over the legislative changes which we are intensely debating in this period, I noticed that a unified level of taxation for all types of games still hasn't been implemented.
Reporter: How does the online gambling segment function currently?
Dan Ghiţă: Prior to the coming into effect of the Government Emergency Ordinance 92, online gambling in Romania happened without the existence of legally licensed and authorized operators. Essentially, Romanian online operators were placing themselves outside the law. After the correct implementation of the new legislation, everybody is hoping that we will see the appearance of the first online gambling companies that will operate legally in Romania as well. Like we were also saying at ICE Totally Gaming 2015 - the biggest European event dedicated to our industry and taking place in London - Romania must wisely and with much dedication play the card of online games. It is an opportunity that is as beautiful as it is challenging. It can be an extraordinary thing for our gambling industry, for the economy, for the tens of thousands of professionals that want to work in this sector. In London, I talked to numerous foreign investors attracted by the real possibility of the opening of the Romanian market for online gambling opening up.
Reporter: What is your opinion on the fee hike and the introduction of the so-called "vice tax" for slot machines?
Dan Ghiţă: Indeed, the authorization and licensing fees have been increased and an additional vice tax has been introduced, but the requirement to issue entrance tickets for slot-machine locations has been eliminated, as it was a system that was difficult to manage for organizers and which proved completely ineffective in making players become more responsible.
Reporter: What do you think should have been included in the new law?
Dan Ghiţă: Like any law, this one has certain vulnerable spots as well, which can be corrected and improved in the future, especially once we have behind the experience and the reactions of the industry, after the implementation of the new legislation.
Reporter: What novelties are the implementation norms bound to bring?
Dan Ghiţă: Broadly speaking, the norms would bring completions, explanations and clarifications of some general provisions included in the new law. Through the norms, several important aspects will be regulated:
- the new technical conditions for the licensing and authorization of operators;
- the establishing of the conditions for the operators conducting their activity, during the period of transition to the new legislation;
- specifying the technical specifications for the new so-called "limited risk" gambling machines, (AWPs).
Reporter: 2014 was also the year that saw the creation of ROMBET. What does the balance sheet of this year look and what are your objectives for this year?
Dan Ghiţă: In less than one year after its creation, over 25 names in the industry have subscribed to the creed of ROMBET - Unity, Transparency and Action. Our members represent the backbone of the association, it is for them that we have created ROMBET, and in 2015 we will dedicate all of our efforts to them, because they have a great need for us. The new legislation has come into effect, and therefore, we need to support all gambling organizers in order for the transition to the new norms to be as easy and predictable as possible.
We have conducted numerous projects, we have begun redefining the industry in the press that reported predominantly on negative and often times untrue things, and we have created reliable partners, Romanians or foreigners, together with whom we are building changes for the better. In connection to that, I will mention the partnership with RGA - Remote Gambling Association -, a prestigious British association.
As an acknowledgment of our total involvement in the good operation of the Romanian gambling industry came the awards received at the end of last year for "The most active association in the gambling industry", and "Personality of the year 2014 in gambling", respectively.
We will continue to make available all of our experiences and knowledge that we have accumulated, to the Responsible Gambling project, in which we strongly believe. Besides, as we have found out in London, all over the world the focus is on a responsible industry, an industry that would protect its customers and would send them a simple, but powerful message - "gambling should mean fun, entertainment, not risks or problems".
I insist that in 2015 as well we should be focusing on changing the warped image that Romanians have about the world of gambling. We will be preparing events that will reveal our true worth, without prejudices, without myths. I am convinced that we will announce new partnerships and projects.
Reporter: Thank you!
Euro
Dolar SUA
Franc elveţian
Liră sterlină
Gram de aur
