In a rare and significant development, the Mpumalanga Economic Regulator (MER) has issued a Request for Proposals (RFP) for the allocation of 20 new bookmaker licenses—a long-awaited moment for South Africa’s gambling and regulatory landscape. Notably, Mpumalanga has emerged as one of the country’s leading jurisdictions in the realm of online betting.
This marks a notable regulatory milestone. It has been many years since new licenses were last available in the province, leading to inflated secondary market pricing even for dormant or inactive licenses. The reopening of this process signals a meaningful shift in provincial licensing policy and improved market accessibility.
Key regulatory and structural takeaways:
- One license per premises/URL: Multi-brand operators will need to plan accordingly.
- Mandatory local presence: All operational functions (retail, admin, IT, call centres) must be based in Mpumalanga.
Transformation-focused evaluation – Emphasis on local black ownership, job creation, enterprise development, and B-BBEE compliance.
Socio-economic contributions required:
- 0.1% of GGR to the National Responsible Gambling Programme
- 1% of GGR to Corporate Social Investment within Mpumalanga
Structured, multi-phase selection process – Including proposal screening, public participation, and probity investigations.
Fees:
- Application fee: R5,000
- Investigation deposit: R25,000 per license
These fees are comparatively modest especially when measured against licensing costs in other provinces.
This is a development of particular interest to operators, investors and stakeholders in the gambling and betting sectors. I’ll be closely monitoring the process and welcome any discussions around the regulatory and strategic considerations it raises.
