SA Lotteries

I seek leave to make a brief explanation before asking the Minister for Government Enterprises a question about SA Lotteries.

The Hon. J.M.A. LENSINK: As I was viewing Channel 10 last Tuesday night, I was interested to see an SA Lotteries advertisement about how much money SA Lotteries has been donating to South Australian charities. My questions are:

1.How much is this advertising campaign costing, including the production costs and advertising fees?

2.What community benefit does the government believe is obtained by advertising the activities of SA Lotteries?

3.Has SA Lotteries been asked to contribute to the budget savings of $9 million for advertising, which is part of the cross budget measures and, if not, why not?

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister Assisting the Minister for Transport, Infrastructure and Energy) (14:27): I thank the honourable member for her important questions. We know that the lotteries do indeed contribute large sums of money to the South Australian government, a good deal of which goes into health related matters.

I do not have the specific figures in front of me today, but I am happy to take those questions on notice and bring back that information. Likewise, I do not have the exact figures in relation to the advertising campaign, but I feel very comfortable saying that it would be only a very small amount compared with the money generated by SA Lotteries and the money it returns to the government, which; in turn, then benefits many members of our community. I have been advised, and to the best of my knowledge, the advertising campaign is simply to generate people's awareness of the competitions conducted by SA Lotteries, particularly when there are big prizes to be won, and to promote the activities of SA Lotteries. As I have said, the community benefits are considerable. Lotteries generate large amounts of money, which is passed on to the state government to be used to fund a large range of community benefits.

To the best of my knowledge, some of those funds go back into the administration of SA Lotteries itself. My advice is that the lotteries pay for themselves, as well as making a considerable contribution to the community. In terms of budget savings, to the best of my knowledge the lotteries pay for themselves out of a small part of the income they generate, and a significant component of the funds goes into government coffers and is passed on to the general community. In terms of the specific figures, I am happy to take that part of the question on notice and bring back a response.

Wednesday 29 April 2009

In reply to the Hon. J.M.A. LENSINK (5 March 2009).

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister Assisting the Minister for Transport, Infrastructure and Energy): I am advised that:

1. SA Lotteries' corporate campaign production advertising cost is $597,000 during 2007-08 and 2008-09.

2. The South Australian community benefits from SA Lotteries with approximately 95 cents in every dollar being returned to the South Australian community in some form, i.e. prizes to players, distributions to the Hospitals Fund and Recreation and Sport Fund, commissions to agents (principally small business operators) and South Australian suppliers of goods and services.

3. SA Lotteries is a self-funded Statutory Authority and has not been asked to contribute to the budget savings of $9 million for advertising.