The NSW government would oppose a renewed push to crack down on problem gambling, even as a federal Labor MP urges more action on poker machines, which he says have created "rivers of tears" for families.
The Sydney Morning Herald says Prime Minister Julia Gillard will begin her second sensitive week of negotiations with independents today, handing three rural MPs proposals on parliamentary reform and meeting the Tasmanian independent Andrew Wilkie to discuss his demands for a $1 bet limit on poker machines.
Mr Wilkie on Sunday described his poker machine demands as a potential "show-stopper". He will also meet Opposition Leader Tony Abbott in Canberra on Monday about securing his support for a minority government.
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Mr Wilkie said on Sunday his preference is for the federal government to work with the states on poker machine reform.
But the NSW Minister for Gaming and Racing, Kevin Greene, indicated the state government would reject the idea of a $1 bet limit, proposed by the Productivity Commission last year.
The Herald says poker machine regulation is a sensitive issue within Labor, and a South Australian federal member has weighed in on the side of more control.
"Pokies cause immense harm in the community and MPs see that harm every week and every month and every year," Nick Champion says. "We've got rivers of gold at the moment flowing to pubs and clubs and rivers of tears in the community and that's not an appropriate situation, its not an ethical situation, and it is about time we had robust debate in the parliament on legislation that implements the Productivity Commission's recommendations."
Mr Greene said the NSW government's position has not changed since the publication of the commission's draft report.
The NSW submission to the Productivity Commission stated that $1 bet limits for poker machines would have "a significant impact on the viability of NSW clubs and hotels given that the current bet limit is $10".
Because the $10 limit has been in place since the late 1980s, it has reduced in real terms, the submission argued.
Mr Wilkie said if the states did not agree to reform, the federal government could overrule them using corporations and telecommunications powers.

