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Norwegian Legislators Set Out to Restructure Gambling Laws
By Shane Addinall May 24, 2022 IndustryNorway’s parliamentary proposition for a gambling reform moves forward, and the country may have an overhauled Gambling Act by the beginning of next year.Norway will soon join the list of European countries with streamlined gambling laws. The northern country’s government opened a consultation on the proposed amendments for its fragmented legislation. Stakeholders have three months to weigh in on planned regulatory changes.
Among other things, Norway’s Ministry of Culture and Gender Equality seeks to combine the three separate acts applicable to different segments of the Norwegian gambling industry. The new gambling act will encapsulate the current Lottery Act, Gambling Act, and Totalisator Act.
Set in motion two years ago, the gambling law restructuring includes marketing protocols, player protection guidelines, and greater authority for the country’s regulator.
Regulated State Monopoly
Stakeholders may comment on the proposed amendments through the government’s consultation and can do so until 5 August. Although heavily criticised, the state monopoly remains in place for gambling options in Norway. The new gambling act will merely provide a consolidated regulatory framework within the state-owned monopolies.
Initially proposed in June 2020, the new bill covers outdated legislation dating back to 1927. It includes the 1995 Lottery Act, the 1992 Gambling Act, and the 1927 Totalisator Act. Currently overseen by the Lottery Committee, Ministry of Culture, and the Ministry of Agriculture and Food, the reform proposes a single government department that oversees the country’s gambling regulation.
Regardless of recent studies and warnings from stakeholders that point to increased black-market gambling due to the lack of licensed options in Norway, the gambling overhaul does not propose a change in monopoly rights. Norsk Tipping and Rikstoto hold on to their state-owned advantage.
Protection for Players
When parliament (Storting) created the proposed merged gambling act, they presented statutes with player protection and legal gambling at its heart. The draft decree includes laws on gambling harm prevention, the operator’s duty, protecting minors, and marketing guidelines.
To provide a thorough scope of player protection protocols and those most vulnerable to harm, the Ministry of Culture is responsible for collecting feedback from Norway’s Institute of Addiction, the Civic Ombudsman, and the Department of Children’s Education and Support.
Under the new gambling act, licensed operators may not offer credit options. It makes provision for minimal advertising, as operators may only apply marketing in a manner that attracts players to legal offers. The decree stipulates the prohibition of gambling advertisements accessible to children and any person with an active self-exclusion status.
Operators face specified social responsibility and responsible gambling protocols. Once the bill comes into effect, the Norwegian regulator – Lottstift has the authority to issue penalties and enforce restrictions on any who circumvents the law.
Stamp Out Unlicensed Operators
Abid Q Raja, Norway’s former minister of Culture, Sports, and Equalities, pointed out that the reform comes as parliament seeks to stamp out illegal gambling activities. A significant change is Lottstift’s increase in authority. The regulator plays an integral part in taking down unlicensed operators once the bill comes into force.
Lottstift may take direct action on unlicensed operators and impose fines on any offenders. Once the consultation closes, and they approve the decree, the new rules come into effect on 1 January 2023.
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