KEY POINTS:
Thoroughbred owners have just received a net $3 million injection through the waiving of all nomination and acceptance fees.
The new policy, announced yesterday, is effective from February 1 and is for non-Group and Listed races.
What has become known as free racing was one of the policy initiatives agreed when the three codes were presented with a $32 million annual rebate arranged and announced by Racing Minister Winston Peters.
With the announcement of the policy comes the introduction of a $40 non-acceptance fee, payable for horses that nominate free and do not accept.
As well, there is a $125 scratching fee for horses that accept to run and do not start in races up to $15,000.
For races over $15,000 the scratching fee is $250.
The galloping industry has for the last couple of decades grappled with the problem of too many scratchings, many because there are so many meetings that connections can wait for the next raceday if a horse draws wide.
Thoroughbred Racing chief executive Paul Bittar says there has been much discussion over the introduction of the scratching fee.
Its introduction a decade ago when nothing was returned to racing would have been too cruel on owners.
Bittar points out this is different.
The free racing policy will inject $4 million into the pockets of owners through removing nomination and acceptance fees.
"It is anticipated the withdrawal and scratching fees will generate around $1 million, which means the net result to owners at the gallops will be $3 million. And don't forget the added benefit of no GST leakage, which is a further, say, $300,000, to owners.
"You have to embrace the global view of that," Bittar said. "What we want to create are policies that drive behaviour.
"What we want to encourage is acceptances with an intent to run. That allows some protection for punters."
No one was forgetting how difficult it might be for a horse to win from a wide barrier.
"Yet, again, that comes down to attitude. Regardless of how difficult it might be to win from a wide draw, there is no compulsion to scratch.
"The scratching is the initiative of the owner or the trainer and the scratching fee is an entirely different thing when its free to run. If you don't scratch it's cost you nothing.
"The ideal situation is a stronger co-relation between nomination, acceptance and starting.
"Any suggestion we're taking money away from owners by way of scratching fees is nonsense."
Bittar said financial models done over the last six months clearly showed big benefits even with horses that were scratched.
"For example, if you had a horse under the old system that accepted 10 times and was scratched three times, the overall cost could be up to $2000.
"With the new scratching fee you could do the same thing with a horse and the overall cost would be more like $400 or $500."
If a horse is scratched with a veterinary certificate the scratching fee may be waived.
If a horse is nominated for multiple races on a programme and accepted for one only, a non-acceptance fee will be charged for each race it does not declare for.
If a horse is an acceptor for more than one race and is voluntarily scratched from a race or races, a scratching fee will apply for each race from which it is scratched.
Bittar is an Australian, in whose country racing has been free for a long time and where most major clubs also pay a starter's fee.
"Personally, the idea that you have to pay to take your horse racing doesn't work for me," he says.
Thoroughbred Racing is excited that stakemoney has been raised by a touch more than 25 per cent.
"One of the other initiatives we're working on is a clear distinction between Saturday and mid-week racing, driving horses to our strategic wagering days, and that will have its own set of benefits."