Swedish lotto experts advising on tenders

Mon, Nov 12, 2012, 00:00

One of the world’s leading lottery industry specialists is advising the Government on how to manage the upcoming lottery tendering process.

Swedish consultants QLot were appointed as co-advisers to the process along with Davy Corporate Finance last month. However, the company’s involvement in the process only came to light over the weekend when it posted an announcement on its website. The Stockholm-based consultancy said it had been appointed to work in co-operation with Davy as financial and commercial advisers to Minister for Public Expenditure Brendan Howlin in relation to the licence sale.

QLot recently ran a similar tendering process on behalf of the Austrian government and said it was proud to be selected by the “Irish Government for such a high-profile project in one of Europe’s prime lottery markets”.

Mr Howlin plans to auction an extended 20-year licence to run the State’s lottery in return for an upfront payment, part of which will fund the proposed children’s hospital.

QLot president Ales Kulich said the work being undertaken regarding the next Irish licence was at a “very intensive phase”.

Pre-internet era

He said that in parallel to drawing up the tender QLot was advising the Government on how best to overhaul regulations governing operation of the lottery which date from the pre-internet era.

Mr Howlin has already signalled his intention to relax the rules pertaining to online sales, which oblige players to go through a cumbersome registration process, in an attempt to increase the saleability of the licence.

“We are reviewing the legislation as well as the relevant licence so that it fits the Government’s intent, short and long term,” said Mr Kulich. He declined to specify the terms of his company’s contract but said QLot would be advising the Government “throughout the preparation as well as execution of the tendering process”.

The competition for the licence will not now commence until the early part of next year, later than originally planned, according to informed sources. The existing licence, which was issued to current holder An Post in 2001, expires at the end of June next year.

A department spokeswoman said it was Mr Howlin’s intention to seek Government approval for a new lottery Bill in the current Dáil session and, subject to approval, the Bill would be published shortly afterwards.

Mr Howlin last month formally appointed Davy as his department’s special advisers to the process.

The Dublin-based consultancy was one of nine applicants considered for the role by the department.