The Chairman of the Philippines’ gaming regulator (PAGCOR) has told a Senate committee that he is against newly proposed bills aiming to completely ban online gaming sites (POGOs).
According to local media, Alejandro H. Tengco, the head of PAGCOR, was the sole opponent of three proposals aimed at shutting down online gaming in the nation.
The official noted that an outright ban is unfair for legitimate online gaming companies and IGLs (internet gaming licensees, formerly known as POGOs). He highlighted that the government stood to lose PHP40 billion ($686.55 million) in taxes and fees if the ban were to come into effect.
Tengco furthered that PAGCOR brought in some PHP56 billion ($961.2 million) in gross gaming revenue from the online sector last year.
In the first half of this year, some PHP17.5 billion ($300.38 million) was brought in by PAGCOR from online operators, estimated to swell to PHP42 billion ($720.92 million) for the full year due to license fee collections.
Rather than ban operations, Tengco is pushing for illegal operators to become compliant, register under PAGCOR, and pay their due taxes. This, he estimates, could add an additional PHP200 billion ($3.43 billion) to PHP250 billion ($4.29 billion) in government revenues.
Offshore gaming operators (formerly known as POGOs) have been the cause of many complaints, raids and pushes for legislative changes – due to illegal operators, oftentimes housed in compounds known as POGO hubs, carrying out unlicensed activities including scams and human trafficking, with some allegations of torture.
While PAGCOR has already notified that it’s banning POGO hubs, and already instituted a complete re-application and evaluation of IGLs, many in the public, and in lawmaking bodies, are still discontent with the potential ills of the online sector.
The Philippines is seen as a highly progressive gaming jurisdiction due to allowing both offshore and onshore online gaming – via IGLs and PIGOs, a unique framework within Asia.
