A sea change in the gaming industry is coming as the Philippine Amusement and Gaming Corporation. or PAGCOR, transitions into a "purely regulatory" body.

Senator Win Gatchalian said PAGCOR's move will effectively prevent a "conflict of interest" within the agency's dual functions as a regulator and operator.

"Its decision to transition to becoming a purely regulatory body is commendable, representing a significant stride towards improving the governance of the gaming industry," Gatchalian, who chairs the Senate Committee on Ways and Mens, told reporters.

Senator Grace Poe cited the PAGCOR's move as a "step in the right direction" as it cannot "wear two hats at a time" at the same time.

"It gives the agency a conflicting role that has raised misgivings about its capability to effectively regulate the gaming industry," she said.

Poe stressed the need to regulate the Philippine Offshore Gaming Operators and other unauthorized gambling operations, which have brought social ills to the country and deprived the government of earnings.

Benefits of improved regulation
"If PAGCOR can effectively regulate the gaming industry and weed out unscrupulous activities, then it could even generate better revenues to help fund more government projects," she added.

PAGCOR chairman and chief executive officer, Alejandro Tengco, said the move is part of the agency's goal to "level the playing field and ensure future growth and viability for all gaming industry players."

"We have started preparing for this transition in earnest, and we are starting where it matters most — within PAGCOR itself," he said in his remarks during the opening of the IAG Academy Summit at the Hilton Manila last 13 September.

Tengco said the transitioning process is expected to be completed by 2025.

Gatchalian said he believes that the separation of PAGCOR's regulatory and commercial functions "will not only attract more private sector investments but also elevate the country's stature as a premier gaming destination in the region."

"Consequently, this is poised to significantly boost government revenues derived from the gaming industry," he added.

Gatchalian wants PAGCOR to impose stiffer penalties against illegalities perpetrated by the Philippine Offshore Gaming Operators in the country.