Minister Tau provides update on fourth National Lotteries License

The Minister of Trade, Industry and Competition Parks Tau is still applying his mind on the granting of the fourth National Lotteries License.

“Unfortunately, I am not in a position to make a final decision at this stage. Any such decision at this time would in all good conscience mean that I have not applied my mind with due consideration of all the relevant factors,” the Minister said in a statement on Saturday.

In providing an update, the Minister said he had identified matters that require further evaluation adding that it would be “inappropriate to disclose these issues now and their disclosure could very well prejudice the proper adjudication of the awarding of the license.”

The Minister said the protection of the integrity of the process is of paramount importance.  

This as Tau as the Minster of Trade, Industry and Competition, is  required by the National Lotteries Act to award the national lottery and sport pools license.

“The running of a lottery is a complex undertaking upon which many vulnerable people and important organisations depend. Therefore, in taking my decision, I must choose an applicant which, I believe, will maximise the net proceeds of the National Lottery and sports pools,” he explained.

In addition, the Minister must act in terms of the provisions of the Constitution, which requires a process of adjudication that is fair, equitable, transparent, competitive and cost-effective.

“I am also enjoined to act in accordance with the National Lotteries Act, which requires me to be satisfied that the successful applicant has sufficient experience and know-how and the necessary financial and other resources.

The Minister must also ensure that the owners and managers of the successful applicants are, as the Act states, “fit and proper persons”.

“In addition, I must ensure that no political party or political office-bearer has any direct financial interest in the applicant or a shareholder of the applicant. And, I must choose an applicant that has demonstrated the necessary commitment to the social responsibility programme and to the advancement of those disadvantaged by unfair discrimination.

“For this reason, some of the criteria that are considered are the promotion of our local economy and broad-based black economic empowerment,” he said.

Tau said that he was aware that “the country and the applicants for the licence are anxiously awaiting my decision”. 

“I am also mindful of the complexity and gravity of the issues that must be considered. Therefore, I have decided to postpone my decision pending the consideration of these matters.”

In his statement, the Minister said he was awaiting advice on the best way to ensure the continuation of the national lottery in the interim and the development of a programme to finalise this process, which he have directed must be done after consultation with the National Treasury.

“Throughout this process I have been, and will continue to be, in communication and consultation with the Board of the National Lotteries Commission (NLC),” said the Minister.

At a media briefing in October, NLC Commissioner Jodi Scholtz noted that while the Request for Proposals for the appointment of the Fourth National Lottery Operator was the subject of much interest, engagement with the public and media in that regard would only take place once the process had been concluded in its entirety by Minister Tau.

READ | NLC strategy to be implemented over a six-year period 

–SAnews.gov.za 
 

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