KSA Announces Horse Racing Wagering Licensing Window

Netherlands gambling regulator Kansspelautoriteit (KSA) has announced that it will officially launch an application process for the horse race betting license in the country next month.

Application Process Opens Next Month

A legal monopoly in the Netherlands, betting on horse racing requires a specialized totalizer license awarded for five years and the currently active one, held by French racing operator ZEturf, is set to expire at the end of June 2022.

The KSA announced it started an open and transparent procedure to award the license for the next five years, covering the period from July 1, 2022 to June 30, 2027, inviting interested parties to submit applications starting from November 1, 2021 till November 30, 2021.

Upon grant, the totalizer license allows the sole incumbent to offer on-course wagering across the Netherlands’ four national race tracks, Drafbaan Groningen, Drafcentrum Alkmaar, Renbaan Duindigt and Victoria Park Wolvega.

The legal tender process will be conducted in two phases. In the first one, all applicants will face an assessment from the KSA on the grounds of “location, continuity, internal supervision, reliability, integrity policy, and demonstrable experience with offline sports betting,” and only those which tick all the boxes will proceed to the next phase.

The second phase will be conditional on the number of applicants that have passed the screening of the first one, and if there is more than one, a draw will be carried out by a Dutch notary. In case only one candidate meets all the criteria assessed in the first round, phase two will not take place and the applicant will be granted the license.

Application Process Timetable

Each operator interested in applying for the license is required to submit an up-front application processing fee of €32,000 ($37,300) that will not be refunded by the KSA in case the application is rejected.

The regulator set forth an estimated schedule for the process, expecting to complete phase one by mid-January, while an official announcement of the winner is expected to take place in February 2022.

The KSA, which has been busy in the recent months assessing applications for online gaming under the new regulatory regime established by the Remote Gambling Act, announced earlier this month a period of industry consultation on how to utilize gambling data operators are required to collect to address gambling harm and ensure a safer gambling environment.

The national gambling regulator also established an Addiction Prevention Fund that will receive funding from taxes paid by online gambling operators alongside the official launch of the new gambling market on October 1, 2021.