Alberta Heads Towards Ontario-Style Gambling Market Liberalization
Alberta, the third biggest Canadian gambling market, is on the brink of historical changes. The province is to follow Ontario’s footsteps and open the online gaming scene to non-government operators.
Bill 16, enacted in May 2024, has laid a foundation for transformations that will likely have a significant long-term effect on Alberta’s Internet gambling and betting. The province government also expects a positive economic impact from the future open market model.
Albertan gamblers currently have access to 28 land-based casinos, thousands of slot terminals, VLTs, bingo, and the lottery. However, online gambling is limited to Play Alberta, the only regulated provider in the province.
With the new rules to come, things may change drastically, allowing legal online casino gaming to be offered by privately owned operators.
When Will It Happen?
No one is talking about a particular date at this stage. Things are already in motion, but the government prefers a moderate pace to avoid rush and address several yet unresolved issues.
Dale Nally, the Red Tape Reduction Minister of Alberta, emphasized local authorities should find the safest and most responsible way to launch the market. He didn’t give any dates in his latest Summer interview but hinted at a fast roll-out.
A few apprised business insiders said players can expect legal online gambling in Alberta as soon as the beginning of 2025.
Potential Benefits
According to Nally, future changes pursue two main goals: reduce the scope of the illicit market and increase the province’s income from gaming activities.
Alberta’s authorities look at Ontario’s example in this matter. The Alcohol and Gaming Commission of Ontario reported a significant decrease in ‘gray zone’ online gambling after the launch of a regulated market. More than 80% of those interviewed said they play on province-licensed websites.
Ontario’s gambling revenue skyrocketed to $2.4B in 2023, which is a 78% annual increase. Alberta’s government expects a similar effect from the online gambling market liberalization in the province.
Alberta Gaming, Liquor, and Cannabis estimates 2023 gaming net income to be $1.5B. Considering Ontario’s example, the figure might be at least 50% higher when non-province operators enter the market.
Minister Nally noted that the possible economic effect hugely depends on the tax policy. The authorities are still struggling to find a rate that can both boost the province’s gaming revenues and attract gambling operators.
Possible Risks
The opponents of the new rules point to significant problem gambling risks related to the online gambling market launch. They particularly mention Ontario, where casino gaming addiction has become more common in recent years.
Alberta’s authorities seem well aware of the potential problem. They are already working on possible ways to minimize the negative impact. A province-wide self-exclusion program and compulsory limits are among the most discussed solutions to deal with the issue.