Dutch regulator targets streamlined licence process with phased requirement system

The Dutch Gambling Authority (KSA) will allow operators to provide licence application paperwork on a phased basis to streamline the process. Under this framework, operators who submit a licence application before 15 April 2021 will not be immediately obliged to provide inspection reports concerning the games they would like to offer through that specific licence. Instead, early applicants will be given until 1 July to provide the necessary inspection and testing reports on any games offered under the proposed licence. Prospective operators are required to have their Dutch market-focused games and IT infrastructure tested by an internationally recognised testing house under the Remote Gaming Act. The KSA has said it remains committed to providing all operators that successfully pass this process with a licence permit, which will now take effect on the revised market launch date of 1 October. The regulator has already committed to setting up a temporary department to deal with the expected influx of licence applications, with early estimates suggesting that as many as 100 operators could apply. Elsewhere, the KSA has revealed that authorities will look to achieve an 80% channelisation rate for regulated sports betting operators in the country’s new online gambling market. The channelisation rate would be lower than counterpart markets in Sweden, where estimates put sports betting channelisation at between 85-87% and the UK, where it is estimated to be over 90%. The revelation comes as part of the KSA’s new ‘Market Vision in Games of Chance’ document, which aims to set out the regulator’s approach to dealing with the new market, as well as informing operators about policy. “This market vision forms an integral advice for a future-proof and consistent system,” the KSA said. “The visions per sub-market can serve as a starting point for more extensive analysis of any future modernisation of legislation and regulations.” The 131-page document examines the existing organisation of the Dutch market and evaluates assessment criteria used for determining the success and failure of the market. It also looks at the regulations required to achieve market success, broken down at an individual sub-market level. The report asserts that the break-up of existing monopoly-based models in the lottery and land-based sports betting sector may be appropriate as the market expands to include new licensees. Part of this could see the government withdrawing as a major shareholder in Holland Casino, which also operates the Dutch lottery. “The current market organisation of the aforementioned games stems from the historical-held policy view of channelisation through a restrictive offer,” the report states. “From the most recent government vision, more room for suitable and attractive offerings and free entry into the upcoming online market can be in the public interest. “This can be safeguarded in the future by means of a market organisation without a legal monopoly and state participation for casino games,” the report adds.