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Legislative Assembly for the ACT: 1996 Week 6 Hansard (23 May) . . Page.. 1637 ..

MR DE DOMENICO (continuing):

positive reforms this Government is committed to. The Bills provide for ACTTAB to be corporatised on 1 July 1996. In presenting the Betting (Corporatisation) (Consequential Provisions) Bill 1995, I will also be foreshadowing the contents of the second Bill, the Betting (Corporatisation) (Consequential Amendments) Bill 1996.

ACTTAB Ltd was established as the first Territory-owned corporation under the Territory Owned Corporations Act 1990, on 1 January 1991, by the previous Alliance Government. Prior to this, totalisator functions were provided under the auspices of the Gaming and Liquor Authority, which was abolished when the function was transferred under the TOC Act. ACTTAB was incorporated under the Companies Act 1981, on 13 December 1990, and was subject to that Act, other companies law, the TOC Act, and the Betting (Totalizator Administration) Act 1964.

On 1 July 1993, ACTTAB reverted to a statutory authority, a move which was opposed by us as the Opposition in the Assembly at the time. All assets, liabilities and staff of ACTTAB Ltd were transferred to the board as at that date. I should add that the reason for our opposition to ACTTAB becoming a statutory authority was that it would not lead to the best commercial outcome in the best interests of the ACT community. That is precisely the outcome we got as a consequence of VITAB.

Under the Betting (Totalizator Administration) Act 1964, ACTTAB had the exclusive rights to provide totalisator betting services for races and other sporting events held within or outside the Territory. The functions of ACTTAB were to provide totalisator betting facilities in the ACT, conduct lotteries, act as an agent of the person conducting a lottery sale, promote pool betting schemes and provide other services relating to gaming and betting.

Implementation of these Bills will do more than just change the corporate entity of ACTTAB. It will position it financially and commercially to compete with other forms of gambling, allow it to become involved in sports betting, provide an ongoing revenue base to revitalise its operations and allow it to enter into the modern age of interactive gambling and other forms of wagering or gaming activities, subject to relevant ACT legislation.

The Government indicated as part of its election policy that it would seek to corporatise ACTTAB. Consistent with the Betting (Totalizator Administration) Act 1964, the Government's principal objective for corporatisation is to achieve an independent and commercially viable organisation to maximise sustainable returns to the Territory from totalisator betting services and to ensure the efficient and cost-effective operation of ACTTAB. However, corporatisation by itself will not guarantee ACTTAB's financial success. The corporatisation of ACTTAB provides us with a timely opportunity to establish its operation on a sound commercial footing and allow it to compete in terms of marketing, personnel, investment and products.

ACTTAB, as a commercial enterprise, is in competition with other gambling ventures for the gambling dollar; that is, the casino, licensed clubs, bookmakers, et cetera. This competitive situation has intensified, with telephone betting to bookmakers on course and competition with other TABs. In order to remain an effective service provider

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