GOVERNMENT agencies have been invited to set up satellite offices at the Philippine Offshore Gaming Operators (Pogo) hubs, so that the processing of requirements the government needs from foreign workers will be more efficient and streamlined, as the hubs are envisioned to be a one-stop shop facility, a gaming executive said.
Kevin Wong, chairman of the Phil-Asian Gaming Expo (PAGE), made the revelation on Friday on the sidelines of the expo at the SMX Convention Center in Pasay City. The expo opened just days after authorities revealed a strategic plan to set up so-called Pogo hubs, in recognition of the big strides made by the government in regulating the sector and maximizing revenue, which grew from just P56 million to P11.9 billion between 2016 and 2018.
“Within the Pogo hub, everything will be there. It’s not just the operators but a lot of one-stop shop solutions will be there. Pagcor [Philippine Amusement and Gaming Corp.] will have an office there. We’ll also invite [the Bureau of Immigration], BIR [Bureau of Internal Revenue]…. So in terms of numbers, visas, the TIN [income tax number], all will be covered,” said Wong, who is also the general manager of the Oriental Group (OG), a gaming firm.
Wong revealed that the OG has invested in the creation of two offshore gaming hubs outside Metro Manila, with one hub being placed in a 10-hectare area in Clark and the other in a 20-hectare property in Cavite.
“We just need the one-stop shop solution from them [the government agencies] so that we don’t have to go all the way [to Manila]. Because if we’re gonna locate in these hubs these aren’t within Metro Manila. If we have to travel all the way to Immigration in Manila, that will take time and waste time for our employees. Unlike if they can set up a satellite office within that Pogo hub,” he added.
Clark as example
He pointed out that the Pogo hub in Clark is already operational, while the one in Cavite is about to open soon.
“Clark is operational. CDC [Clark Development Corp.] is actually very helpful. They try to improve a lot of things. And even, I think, their move to making the visas, the processing faster, having every employee getting a QR [quick response] code. So basically even their approvals, it’s gonna be QR-based. And I hope they can finish that ASAP because the visas in Clark is very different. We got a Subic-Clark working visa,” he said.
OG has partnered with the Manila Electric Co. to set up a substation in its Pogo hub in Cavite to provide its power needs, with the company also in discussions with other companies in terms of providing other environmentally friendly ways to put up or bring in power.
In terms of connectivity and cellular data, it has partnered with Globe Telecom for the Pogo hub.
“They’re gonna set up a cellular tower so that we won’t have any issue with mobile and all the fiber connectivity,” he added.
Wong also explained that the OG is finding ways to make it easier for Pogo companies to hire more local talent, as it is looking to set up an association to help train Filipinos to speak the Chinese language.
“For us, we try to increase the number of Filipinos, typically, [the ratio] should be 60 foreign, 40 local [employees]. We’re trying to find ways on how to increase the number of Filipinos…. Actually, now we plan to set up an association where we can also try to teach the Filipinos how to speak Chinese because if we can remove that hurdle of language, actually if we can hire all Filipinos, why not, but then, language is very crucial,” he said.
Pagcor: Revenues soaring
In her speech at the PAGE, Pagcor Chairman and CEO Andrea D. Domingo said that since 2016 to 2018 revenues collected by the agency from Pogos amounted to a total of P11.9 billion, coming from just P56 million collected before the Duterte administration took over.
“From 2016 to 2018, we have already gotten P11.9 billion in revenues from these. Whereas before we took over, it was only giving P56 million annually to the national government,” Domingo said.
Domingo expects revenues from the sector to hit P8 billion for this year alone.
“On the other hand, we also [are] making business more comfortable and easier for the operators by now licensing Pogo hubs. The Pogo hubs, those who will locate there, will have a license that is good for five years. Those outside it’s good for three years, so they have a choice,” she added.
She pointed out that around 59 operators were convinced to operate in the Philippine market because of the regulation set up by the government agency, adding that a lot is now being done in terms of regulating Pogos, with one being the move to license the creation of Pogo hubs.
Domingo added that Pagcor will now issue gaming employees licenses (GELs), which will serve as proof that the foreign nationals working at Pogos and the operators themselves are paying the correct taxes due the government.
“But all in all, I think that we are progressing. Here we are, for all the world to see, we are offshore gaming operators in the Philippines, we are legal, we ensure fair play. We do not run away from losing bets and we are here to stay,” she said.
Page, the first in the country, is a three-day gaming expo that ran at the SMX Convention Center from July 12 to 14, 2019.