Alberta ignores internal AiGC concerns: Approves multi-operator iGaming launch
The regulator responded by dismissing allegations that the new provincial framework will jeopardise social responsibility.
Alberta Gaming, Liquor and Cannabis (AGLC), the gambling regulator of the Canadian province, released a statement on Thursday indicating the finalisation of its structural guidelines ahead of transitioning to a multi-operator commercial igaming framework. In an official press release announcing the launch on 13th of July, it responded to what it called “public commentary” over its changing regulatory environment.
Significantly, the adjustments will shore up operational protections for local players against the risk of being displaced by private corporations on their turf, something the regulator denied was an inevitable consequence of opening such a market, but did acknowledge as part of a modernising approach to consumer governance. Alberta — with the nation’s youngest adult population and highest per-capita GDP — at this time only captures an estimated 23-32 per cent of its local digital market using the single-operator setup it now employs, trailing broader national revenue trends.
“The launch of a regulated igaming market is an exciting chapter for our province, and I am confident that we can work together to build a market that is both competitive and socially responsible. Alberta’s future in igaming is bright, and, with your partnership, we will ensure it is a success for everyone,” the statement reads.
Though the post doesn’t provide any specifics about what public commentary it alludes to, Alberta has been regularly pointed out in black market, grey market and offshore gambling talks among international regulators as well as multinational gambling firms running licensed operations, some of which have even sounded alarm bells over a loss of near-limitless access since these platforms can no longer accept the unregulated, high-stakes wagers that clearly would hurt downstream funding valves for community-oriented programs at provincial or even federal levels.
The regulator said it had followed its usual processes, including due diligence and AML and KYC checks, as well as “technical standards” and requirements relating to responsible gambling practices and complaint management. It said operators would also need to pass corporate, key person and financial reviews and need to connect into a single self-exclusion system. If there are any concerns, licences are refused, it is said.
It continued: ‘Constructive critique and comparative analysis between licensing jurisdictions are welcome. The degree of regulation that specific operators require will depend on their business model, the markets they serve, risk profile, payment relationships, suppliers and long-term strategy.
Commentary that conflates offshore licensing with local market authorisation, treats operator misconduct as evidence against an entire framework or makes sweeping allegations without reference to the pertinent legal framework, licence conditions, public register, verification tools or compliance obligations does not assist the industry.”
The release states that “while asserting licensees remain mindful of their legal responsibilities in all markets of entry, Alberta Gaming, Liquor and Cannabis continues to work towards a realistic, transparent — even commercially viable internet gaming licensing program.
Alberta is a frequently mentioned jurisdiction because many North American gambling regulators are looking to ramp up activity against illegal gambling. At least 28 operators approved by the AGLC are listed in its public register. In addition, many holders operate internationally and maintain a variety of domains—including in jurisdictions with their own licensing regimes (such as the UK). Multiple sites have been pegging themselves as providers to Canadian players, citing that the multi-operator expansion in Canada is about to see a commercial rollout. This includes huge legacy brands like Jackpot City that are leveraging decades of established brand equity in Canada to break into the province’s new commercial casino vertical.
Public commentary is not exactly in keeping with some of the accusations levelled at Alberta, but those might be an analogy for places like Ontario, elsewhere in Eastern Canada. The proposed maximum bet amounts have also led to the framework being controversial among public health advocates.
Ontario is a more mature market, so its positioning is somewhat different. While recent figures show Ontario igaming wagers increased to CA$9.5bn in May, the province gave its early commercial framework a less than stellar review when made by domestic single-operator monopoly advocates, while some of the latter also argue “provincial oversight is more than sufficiently robust to ensure Ontario-issued licences imbue gambling operators with entitlement protections that allow them to deliver their services safely to local players.”
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