Australia: Government to offer license for NSW Lotteries

Eric Roozendaal, Treasurer for Australian most populous state, revealed that the government would retain the New South Wales Lotteries’ brands and intellectual property as valuable assets for the community at the expiration of any license.

“Issuing a license for the operation of New South Wales Lotteries means public funds can better be directed to priorities such as health, transport and education,” said Roozendaal. “These funds will come from the proceeds of issuing the license and the continuing receipt of duties.”

“As a strong and resilient business, New South Wales Lotteries is a compelling investment opportunity. We are encouraged by the high degree of interest from prospective buyers of the license.”

While the final terms of any transaction have yet to be determined, the Government revealed that it intends to issue an exclusive license of approximately 30 years providing for the distribution of key lottery products in New South Wales with the exception of keno.

Roozendaal said that lottery distribution models used in other jurisdictions had been considered and revealed that the next step would be to solicit feedback from prospective licensees, key stakeholders and the public on the proposed changes. He stated that formal preparations had already begun with the state expected to begin its tender process over the second half of the year.

“We believe a sole-distributor model has proven to be the most efficient distribution model for lotteries and is, therefore, in the best interests of the community,” said Roozendaal.

“The views of key stakeholders, including employees and New South Wales Lotteries agents would continue to be an important consideration. The fair and equitable treatment of these stakeholders has been central to our deliberations and we intend to ensure their needs are considered.”