Inside Asian Gaming

INSIDE ASIAN GAMING SEPTEMBER 2018 36 COLUMNISTS might be followed, major walkways between non-gaming amenities do not count, but areas such as the pit and operational areas are considered as part of the total 15,000 square meter limitation imposed on Resorts World Singapore and Marina Bays Sands. One of the other key areas of focus during the regulatory phase will include the casino entry levy and the admission identification process. This will not only include how to collect the entry levy or tax that is applied to locals, but it also includes tracking the number of visits so that locals do not to exceed the parameters established. Since it will be several years before IRs will be operational, there will likely be technological advances such as those in facial recognition or other identifiers that will aid in this social safeguard. Operators must also consider items of the regulations on which they can collectively agree and advocate to form a strong market that balances the regulatory and operational needs. However, they will likely hold their cards close to the vest because of the competitive RFP process, not tipping their hand as they try to secure one of the three potential licenses. Education will be a key element in crafting a strict regulatory market that allows operators to maximize their project for the local and tourist markets. A collective voice from experienced operators in international markets, along with gleaning from other major regulatory bodies in jurisdictions like Nevada, Singapore and Macau, can aide in this education process with the newly formed regulatory body. LOCAL AWARENESS AND RESOURCES One other highly important issue is winning over the hearts and minds of a local community. This will need to be a focus of the RFP process to show support within a community for an operator and their respective proposal. It also goes to the longer play that, if they are selected, the operator will have to continue to receive local approval every five years. However, this goes beyond an operator’s relationship with a local jurisdiction and involves the greater benefits of an integrated resort. Prime Minister Shinzo Abe during the IR Implementation Bill debate stated that he would travel the country talking about the benefits of IRs as a mechanism to generate tourism and investment throughout the country. Both efforts will raise the awareness and benefits that IRs can and will bring to Japan. Running in tandem with this process will be the establishment of responsible gaming measures that were established as part of the Basic Bill on Gambling Addictions Countermeasures. While it is not as detailed in the bill’s language, the bill calls for the framework on gambling addiction to be established by central government while tasking the local government with the execution plan to implement such measures. Any responsible gaming programs developed in Japan should be evidence- based and should focus on all (IR-based and non-IR-based) forms of gambling including pachinko. It will also require the training of individuals to address the small percentage that may develop a problem with gambling. While many outsiders over the next year will question the expediency in themarket, the next year poses as the most important year in the process in setting up the cornerstone for the regulatory structure governing Japan’s integrated resorts. The RFP process will not likely begin until the start of 2020. However, operators must begin to fully develop their ground games, partnerships, relationships with the host prefecture or city and other aspects which will be included as part of the bidding process. All of this will set up an extremely competitive RFP process throughout 2020 with prefectures’ selection of operator groups. Once interested prefectures have made their selection, it will likely be another 18 months before up to three locations are chosen. This extended selection process will serve as a catalyst to making sure that Japan is a successful market by selecting the best operators in the best locations to maximize investment and generate additional tourism. The race begins. A site near the Huis Ten Bosch theme park in Nagasaki has been identified as a possible location for a regional IR