Cabinet Mulls Casinos Opening In Port

January 9, 2012

[Updated with video] The possibility of allowing cruise ships to open their casinos while docked in Bermuda is an option that he will explore with his Cabinet colleagues, Transport Minister Derrick Burgess said this morning [Jan.9].

“If the casinos were allowed open while the ship is in port, some lines would consider coming in a day earlier, or even leaving a day later, thus staying in Bermuda for an additional night,” said Minister Burgess.

“Either of these options would increase Bermuda’s revenue as well as that of the ship.”

Speaking on attempting to attract smaller ships for Hamilton and St George’s, the Minister said it “becomes an almost impossible task. Those lines that have the smaller ships have them deployed elsewhere and will not move them here as they are not as profitable on this side of the world.”

The 2012 cruise ship schedule lists 140 contract cruise ship visits, with 23 ships scheduled to make ‘occasional visits’ to the island.

All contract cruise ships, except the Veendam, will stop in Dockyard. St George’s will not have any regular cruises visits, with the Old Towne scheduled to have only a handful of occasional ships stopping on the eastern end.

The Minister’s full statement follows below:

Good morning and thank you for coming.

In late December (the 19th through the 21st to be exact) I travelled to Florida to meet with major cruise lines to discuss items of mutual interest.

Over a 2 day period, meetings were held with the presidents, vice-presidents and executive officers of six cruise lines:

  • Norwegian Cruise Line;
  • Royal Caribbean Cruises Limited;
  • Princess Cruises;
  • MSC Cruises;
  • Carnival Cruise Lines and;
  • and Regent Seven Seas Cruises.

The purposes of these meetings were four fold. First and foremost, it was important that I, along with my Permanent Secretary, be introduced to the executive branch of the cruise lines.

Secondly, I was particularly interested in their feedback with respect to the past cruise season – on that note I wish to make it clear that we have also been meeting with all persons who have a part to play here in Bermuda with respect to making this upcoming season an excellent one.

Thirdly, we needed to know from the executives of the cruise lines what they thought we could do better and lastly but by no means least; we were again exploring the possibility of finding a smaller ship for St. George’s and/or Hamilton.

The general consensus amongst the executives was that the season went well with the exception of some transportation issues from time to time (especially during the first part of the season).

The two major partners Norwegian Cruise Lines and Royal Caribbean Cruises Limited, which currently have long term contracts, stand ready to assist with transportation, whether it is on land or via sea. This is an avenue that we will continue to explore.

Almost all cruise lines recounted the recurring theme of onboard revenue. Bermuda is the one of the few ports in the world where ships routinely have multiple night stays and currently the requirement is that the casinos and shops must remain closed while the ships are in port. This has a huge effect on onboard revenue.

With this in mind, it has been made clear that the onboard revenue is achieved mainly through their casinos and shops. There was discussion on whether or not this policy could be changed. I discussed the possibility of opening the casinos. The possibility of opening the Casinos in port is an option that I will explore with my Cabinet colleagues (perhaps a late night option – 10pm to 5am).

If the casinos were allowed open while the ship is in port, some lines would consider coming in a day earlier, or even leaving a day later, thus staying in Bermuda for an additional night. Either of these options would increase Bermuda’s revenue as well as that of the ship.

Please note that at this juncture, I have not talked of opening the shops while in port, but that option could possibly be on the table sometime in the not so distant future as there is always the complaint from the passengers that neither the shops in St. George’s or Hamilton are open on Sundays. I trust that our shops will consider Sunday afternoon openings while ships are in port.

On the question of the smaller ships, this becomes an almost impossible task. Those lines that have the smaller ships have them deployed elsewhere and will not move them here as they are not as profitable on this side of the world.

The one possibility remains with the MSC Lirica and to that end, both the Ministry of Transport and MSC wish to revisit the ‘Lirica’ and conduct another simulation exercise in early 2012.

Our meetings with the cruise lines proved to be very productive. It remains clear that Bermuda remains a popular cruise destination and a quality cruise experience for the guests.

Finally, I should point out that the 2012 cruise season is projected to be one of our best ever with an anticipated injection of some $85 million.

I anticipate, and will work to make sure, that the 2012 season is one of our best ever.

Thank you.

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Comments (36)

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  1. Pathetic Lazy People (PLP) says:

    Cabinet shouldn’t be ‘mulling’ anything. They should be facking DOING SOMETHING!!! They brought in the ridiculous limitations on foreign ownership on real estate with no notice. Now that it has totally killed the industry, they have been ‘mulling’ a possible change back since November. DO IT NOW YOU COMPLETE INCOMPETENTS!

    • Voice of Reason says:

      You forget History, the Government brought a bill and the Opposition in combination with some rebel PLP Backbenchers killed this legislation in 2009 when it was first brought up. We were told then it would cause cruise ships to leave, now that they are gone, maybe the opposition will support the government so the silly PLP backbenchers can vote no as much as they want…. Maybe, just maybe.

  2. Claudio says:

    http://bernews.com/2010/05/gaming-wrapup-vast-majority-of-mps-against/

    MPs who spoke against gaming:

    1.PLP Deputy Premier Paula Cox
    2.PLP Wayne Furbert
    3.PLP Patrice Minors
    4.PLP Elvin James
    5.PLP Alex Scott
    6.PLP Walter Roban*
    7.PLP Randy Horton
    8.PLP Dale Butler
    9.PLP Dame Jennifer Smith
    10.PLP Michael Scott*
    11.PLP Lovitta Foggo
    12.PLP Ashfield DeVent
    13.PLP Dennis Lister
    14.UBP Opposition Leader Kim.Swan
    15.UBP John Barritt
    16.UBP Bob Richards
    17.UBP Dr Grant Gibbons
    18.UBP Patricia Gordon-Pamplin
    19.UBP Louise Jackson
    20.UBP Charles Swan
    21.UBP Cole Simons
    22.UBP Trevor Moniz
    23.BDA Donte Hunt

    On another note, you actually believe the limitations on foreign ownership has killed the industry? Not the overinflated prices?? LOL okaaay buddy.

    • Tired of nonsense says:

      Actually such limitations have contributed to the stagnation of the housing market. While it not be the sole reason it definitely has had an effect,

      The prices have always been overinflated in Bermuda and that did not stop the housing market from being active throughout Bermuda’s recent history.

      Even the PLP has embarked on a review of their own policies as Mr. Perinchief stated in the below article.

      http://bermudasun.bm/main.asp?SectionID=24&SubSectionID=899&ArticleID=53250

      • Carse Yer Wote (Original) says:

        As I said above, they have to do more than ‘review’ the policies. They have to facking do something. That means action not just sitting there sucking their thumbs.

  3. REALISM says:

    they need to let em open it. aint a damn thing else to do nights here!

    • Peaches & Cream says:

      TOTALLY AGREE!!! Not everybody wants to sit up at a bar or nightclub because thats ALL there is! Bring back the local entertainment and at LEAST give them a choice! WTH theyve paid for a cruise with the casino included! Who are Govt to tell them they cant play!!! When they have absolutely nothing else to offer on this Island! SMH

  4. all clogged up says:

    WHY MULL OVER ANY POSSIBILITY OF ADDITIONAL REVENUE SOURCES BEFORE AN ELECTION? INSTEAD OF HIKING IMPORT DUTIES FOR PERSONAL ITEMS, JUST GIVE THE CRUISE SHIP PEOPLE WHAT THEY WANT AT A RESONABLE PRICE

  5. pebblebeach says:

    qlq always mulling…never action anything…except when it benefits and lines the pockets of a few of them and their friends…

  6. disbelief! says:

    It would make more sense, and generate more income to build or create a casino right here on the island and give people the choice to gamble on or off ship.

    • The One (Original) says:

      This would require our politicians to actually do something. Ain’t gonna happen. They’ll just sit saying ‘Oh dear’ over and over until there are no visitors at all. Then they’ll say ‘Oh dear’ again – but still do nothing cos they are useless.

  7. Triangle Drifter says:

    As long as there is no casino available, & convenient, to the ships & as long as there is no nightime entertainment, again convenient to passengers, why not allow shipboard casinos to be open after 9 or 10 & shipboard entertainment available?

    At the risk of of sounding like EFB, don’t strike me down by lightning, if activity is not available shoreside the ship must be permitted to give its customers what they want.

  8. Hmmmmm says:

    So, this schizophrenic Administration is on the cusp of admitting it made a mistake whilst waiting in the wings. Imagine how well-positioned we would’ve been if the Princess had the courage to support gaming and not provide the cover for the others who spoke against the Green Paper.Imagine, rabid critics like Triangle even realize how much sense this makes. This is an EFB “I told you so moment” Paula and its not the first in your tenure either.

    • Triangle Drifter says:

      See Hmmmmm, I treat each issue on its merit. On occasion I can actually agree with the likes of EFB. Never thought you would see the day did you?

      It does not change my overall opinion of him though. don’t celebrate too much.

      • Hmmmmm says:

        “The journey of a thousand miles begins with a single step”. LOL.

    • Voice of Reason says:

      Um, get your facts correct. The current premier & then Minister of Finance supported the bill to let ships open their Casino’s in Port. And a MAJORITY of PLP MPs voted for it.

      Don’t confused Casinos on Cruise Ships with the Green paper, which the premier did speak out against. There is a difference.

      • Hmmmmm says:

        She would never vote against the Government. I recall the vote. A majority of PLP MPs did not vote for it. Had they done so it would’ve been the law of the land today.

  9. Observer says:

    Its about time Minister Burgess, and don’t forget, after that start up with the ships, please don’t hesitate to get the casino developers here in Bermuda by pushing for Casino Bermuda, then we will definately see Bermua revitalize! If PLP dosen’t do it while they are in, the other party will and they will take the perks for the rest of our lives by putting Bermuda back on the map. Pay attention, don’t wait too late as its almost too late now!

  10. In Mark's Opinion says:

    We should be talking with our hotels about casinos first.

    • WellSaid says:

      Like!

      Southampton princess – good candidate – Hamilton princess – not quite as good…

  11. USObserver says:

    There is a difference between being REACTIVE and being PROACTIVE, and neither seems to be working in this case and in others. Oh let’s just stand by and wait to see what happens while the island continues to quickly sink. Everyone for themselves…it won’t and it will bring down a nation.

    Crime and Punishment – Reactive
    Failing Tourism – Reactive
    Failing Education – Reactive
    Failing Family Values – Reactive
    Failing Revenue – Reactive
    Failing Employment – Reactive

    Successful at Making Money by any means necessary – Proactive

  12. Tommy Chong says:

    If letting cruise ships open casinos in port will bring back cancelled cruise ships than what is there to debate. On the other hand why would anyone who’s allowed to gamble onboard need a casino in Bermuda. If casinos in Bermuda are supposed to be our lifeboat why do businesses like gametime on front street have flocks of tourist & locals heading in there as its still a gambling business. One of the resorts that Minister Burgess keeps pushing as a reason gaming will be a success is Atlantis Bahamas. I’ve checked many of Atlantis’ commercials & hardly any have their casino featured in them. For the commercials that show Atlantis casino its only a second out of the thirty seconds. The rest of the commercial features kids on water slides, huge walk through aquarium tunnel & a great looking dance club. Maybe come for our casino is subliminally in the soundtrack? If Bermuda wants to become the Las Vegas of the Atlantic with nothing else to do but casinos & beaches maybe we should also consider escort catalogs in the hotel rooms also since escorts rake in loads for Vegas. OOOH!! My apologies I almost forgot we are a conservative Christian community where prostitution is not exceptable but gambling can be, “mulled over”.

    • WellSaid says:

      “Gametime” isn’t exactly a casino…

      And Atlantis casino is always busy….they make bag loads of hard currency there. The water park, beaches and other activities are nice too but we’re not quite Nassau weather wise

      Hey if we has an island the size of paradise island to develop….maybe?

  13. WellSaid says:

    What is opening casinos in port going to do to generate substantially more money for Bermuda? Of the cruises I’ve been on they NEVER open the casinos or shops in port. Where does the money won in the casinos go? To the cruise operator.

    Yes there (might) be more ships and there will be more passenger tax. The casinos on ships really aren’t that large! We have plenty of space at dockyard for a modest casino, a nice passenger oriented nightclub / bar / restaurant. Bar the locals from gambling, employ a majority bermudian workforce and give the cruise passengers something more to do than buy rum cakes tshirts an trinkets and eat lunch off ship.

    We selling our souls for what is stll likely to be diminishing returns in my opinion.

    We control the gaming,we control the hard offshore income. Sell it to the cruise ships and you sell your soul.

    I think if you check with most cruise lines, I don’t think many are allowed to open their casinos when local choices are available (or it’s not legal).

    Just thinking out loud.

    • Peter says:

      You are correct Wellsaid that they are not allowed to open their casino while in port in other countries. However, it is not an even comparison as those are “day-ports” where the ship does not stay overnight as they do in Bermuda. Hence, this is an even more paramount issue for Cruise lines servicing Bermuda. It is all about the experience for the patrons and should they choose to gamble whilst in port, I believe we should let them if that enhances their experience as they may come back to Bermuda on their next trip…. hopefully via air but that’s another issue :-)

    • In Mark's Opinion says:

      I agree with you Wellsaid , that’s why I said let’s talk with our Hotels first . We need to help ourselves on Island first . I say give all Hotels with 300 rooms or more a casino licence now and for new hotels to get deveopled.

    • Jo Public says:

      I too have cruised quite a bit and yes the casinos are closed when in port….the big difference though is that at between 4:00pm and 6:00pm each day the cruise ships left the port we were in and moved on to another port. While that ship is at sea the Casinos opened and could make the cruise line some extra revenue. The cruise lines do not have that luxury here as they do not move on to another destination. Therefore the entitre time they are here, their revenue makers, casinos and stores are closed. Please note that the minister did not suggest being open all day but rather a suggested time of between 10pm – 5am.

      Remember the cruise lines are in business to make money and they will go to the destinations that not only their customers would like to see but also where they can make the best returns on their investments. If they cant make it here, they will pull up anchor and try somewhere else.

  14. star man says:

    I have no problem with the casinos on cruise ships opening AFTER, say, 8:00 pm.

    Maybe the on-board casinos should feature paid local entertainment as part of the deal to allow them to open.

    You might want to pick-up on that idea Tony B if you see any merit in it….

    • star man says:

      Do the same deal when local casinos are built – in hotels or not. They must employ local live entertainment. That would revive the local music industry. There is SOOOO much talent in Bda; it should be showcased locally.

    • GoodIdea says:

      I would like to see some of that casino revenue going into our coffers, not the cruise line. It is a well proven fact that the house always wins – therefore a casino is a guaranteed income stream. If we own and run it (and employ Bermudian entertainers / staff etc) it’s a win-win situation for Bermuda.

      Sure – open the ship’s casinos in port – we won’t see a dime of that income. And to tell you the truth, I don’t think the man on the street REALLY CARES if they can gamble at night or not. Of the cruise ships I’ve been on, the casino has never been that busy on the nights it was open at sea. I hardly think it’s a make or break consideration for most cruise passengers.

      Being able to gamble in the exotic destination of their cruise might be more appealing – it’s nice to drink a dark and stormy / swizzle / whatever while in port, seeing a LOCAL show and having some fun at a casino/nightclub.

    • GoodIdea says:

      If the government were in a position to negotiate this – and provided we don’t ever allow local casinos, why not have local talent book time on the ship while in port? It can’t be that hard to have a “special night” where they invite local performers to so their shows on board.

      • Kim Smith says:

        @GoodIdea… I’m sure you’ve heard this before but those are VERY GOOD IDEAS!

  15. Joe says:

    So, it goes like this. We allow casinos BUT they:
    1. Must employ/train only Bermudians
    2. Must have Bermudian owners
    3. Must hire all local musicians
    4. Must be built using foreign money
    5. Must have restrictions on who can go into them

    And I am sure there are other issues we can add to this list. Ever wonder why we DON’T have casinos? Or new hotels? Take a look at that list. Who wants to come here and do business under these terms? Apparently no-one.

    • Tommy Chong says:

      I agree, plus the fact that casinos are busiest late at night. How many businesses in Bermuda can employ a sufficient amount of locals to keep them running? Especially when casinos run 24/7 & the only business that does that at the moment in Bermuda is one gas station.

      Why are the ministers not looking at marketing to whole families not just adults? There already are casinos on the east & west U.S. coast so what would make us so special tourist will come here just to gamble.

      I know WellSaid remarked on my comment above about water parks in bermuda typing about our lack of space & weather. To that there is a chain of water park resorts called the great wolf lodge. These resorts make good profits & most are about the size of Fairmount Hotel & are situated in parts of North America that have below zero weather. The trick to these resorts is most of the water park is indoors. I’m sure this can be pulled of in Bermuda if packaged with the idea of family fun in paradise. Casinos in resorts like Atlantis Bahamas are an after thought & the main attraction that there’s something for all not just those who like to gamble. I believe we will waste precious time & money focusing on casinos.

  16. Kim Smith says:

    I fully support the cruise ships being allowed to keep their casinos open while in port. Bermuda needs to develop alternative activities for our cruise visitors and so, while we do that, we can maintain this revenue stream. Furthermore, it seems that no other ports allow them to do this and so we are a trail-blazer in the situation.

    I am NOT in favour of establishing casinos on-island. I think it would be a huge mistake and extremely costly to us in many ways.

  17. Kevin Domanski says:

    The 2012 cruise season is just about on us. Let the ships gamble in port so Bermuda can get high reviews! Bermuda looses nothing but gains everything. Just do it !