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    Home » South Australia extends digital and visual effects rebate to games industry
    NEWS

    South Australia extends digital and visual effects rebate to games industry

    Royce WilsonBy Royce WilsonJune 22, 2020
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    SOUTH Australia’s burgeoning game development industry is set for a multimillion boost, following a decision by the state government extend the Post-Production Digital and Visual Effects (PDV) rebate to the game development industry as well as the film and TV sectors.

    The PDV rebate is a 10 per cent rebate on qualifying production expenditure in South Australia, and its extension to video game development is believed to be a first for an Australian state government.

    South Australian Trade Minister David Ridgway said the PDV rebate was being extended partly as an acknowledgement of the incredible growth of the gaming industry – as well as the flow-on benefits to other industries..

    “This is an incredible growth industry and this rebate will not only help attract international games companies to South Australia, it will bolster the long-term growth of local players and other industries using the same technologies,” he said.

    “This is an incredible growth industry and this rebate will not only help attract international games companies to South Australia, it will bolster the long-term growth of local players and other industries using the same technologies.”

    The announcement has been wholeheartedly welcomed by gaming industry representatives too;  gaming industry peak body IGEA hopes it will generate jobs in the Festival State, as well as helping transform the local game development industry.

     In a media release earlier today, IGEA said:

    “For years IGEA has prosecuted the case for screen industry rebates and incentives to be extended to Australian game development studios, including in our submission to South Australia’s ‘Growth State’ consultation earlier this year. Recent times have again proven that playing games is an extremely popular form of entertainment across the globe. Games are not only played for fun, but also as a way to connect and educate across different demographics.

     Australia has historically lagged behind most other advanced economies in terms of government policies to attract and expand local game studios, but South Australia’s decision today is a wonderful step forward.  It is imperative and economically sensible that Australian game development studios remain globally competitive in delivering content, digital skills and technology to this evergreen industry.”

    IGEA CEO Ron Curry said it was exciting to see the South Australian government’s appreciation of the creative and economic importance of video games, as well as its “commitment to accelerating the growth and transformation of the sector with tax incentives”.

    “We acknowledge and congratulate the leadership position it has taken,” he said.

     “In taking the first steps to provide equitable levers of assistance across the screen industries, South Australia will likely enjoy growth in employment of creative, high-tech and digitally literate staff who have adaptable, transferrable skills that can be utilised across the entire creative sector.

    “A thriving game development industry will see a growth in export revenue not only for the state of South Australia, but for the country. 

    “This decision also serves as a critical reminder to the Australian Government of the important benefits of extending the federal PDV offset – which works hand-in-hand with state-based PDV rebates – to include video game development.”

    Mr Curry said as the country’s peak video games industry association, IGEA was pleased to have been involved in getting the initiative off the ground and looked forward to continuing their work with the South Australian government to ensure the initiative’s success.

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