WARRNAMBOOL'S gambling market is set for a shake-up with a Melbourne-based investment company pushing to put 19 electronic gaming machines in Rafferty's Tavern.
S. J. Beaumont Investments, which owns about 15 hotels around the state, has sought a planning permit from Warrnambool City Council to refurbish the hotel and install pokies.
As debate widens nationally on gambling, the Warrnambool application is likely to stir local emotions and long deliberations by councillors on allowing a new venue into the market where players lost more than $19 million in the 2009-10 financial year.
There are already four clubs and two hotels which operate 207 pokies in Warrnambool - 27 below the official cap of 234.
Residents will get their chance to comment with a telephone survey starting tomorrow using a consultant hired by the council to guage views on gambling.
Rafferty's location near a housing commission neighbourhood and industrial estates is likely to be a factor in the debate.
A brief voxpop in the CBD yesterday indicated overwhelming opposition to a new pokies venue.
Beaumont Investments, which also owns the Glenferrie and Franklin hotels in Melbourne, paid $2.47 million for its 19 Warrnambool gaming machine entitlements at open auction last year.
The Standard understands the company is looking to buy Rafferty's subject to planning approval for the pokies.
Gaming Minister Michael O'Brien's office told The Standard yesterday the applicant would also need approval from the Victorian Commission for Gambling Regulation before pokies would could be installed at the venue.
Another potential new pokies operator, Flying Horse Bar and Brewery, which paid $1.04m for eight gaming machine entitlements, is closely watching the issue before deciding if it also will apply for a permit to operate.
Spokesman Matthew Monk said the Rafferty's outcome would help determine if his operation would try for a permit or put them up for sale. "Most likely we would not go ahead with operating them," he said.
Flying Horse Bar and Brewery has already put its 30 Moyne Shire entitlements on the market to recoup the $1m paid at last year's auction.
Moyne has a long-held policy against allowing gaming machines in its territory.
City council communications manager Kim Sweetnam said the application would be advertised allowing community members opportunity to comment.
"To help council in its decision about this application, and any future gaming applications, a survey will be conducted of community attitudes to gambling," she said.
"A company has been contracted to conduct the random sample telephone survey starting Friday."
Federal independent MP Andrew Wilkie wants a compulsory scheme where pokie players will have to pre-set how much they want to lose or play on machines which will accept only $1 bets.
A parliamentary committee wants a smart card system to be introduced by 2014 forcing gamblers to set a limit on what they are prepared to lose through a smart card while smaller clubs will be let off the hook smaller until 2018.
Victoria has opposed a mandatory scheme and propposed a voluntary scheme to limit losses.