Alcohol Law Amendment Bill 2023 undermines the justice to the small liquor retailers- NZIBA

NZ Indian Business Association members from the Liquor industry background have expressed strong displeasure and disappointment with the latest amendments introduced to the Sale and Supply of Alcohol Bill. These amendments to the law hugely discriminate against the entire liquor retail industry, particularly the small businesses as it has shifted the balance shifting the entire balance in disfavour of the licence holders who have invested their lifetime savings building up their businesses working hard through the years. The feedback received from the small retailers in the liquor and hospitality businesses is that they are quite scared of the consequences due to the uncertainty surrounding their future.

Although the intent of the amendment is Alcohol harm minimization, it is disputable that this object will be met with this Act. Most of the provisions in the Act are a cause for concern, the primary one being allowing District Licensing Committees to introduce the new Local Alcohol Policies under which the retrospective approach to existing license holders could result in refusal to license upon renewal if found inconsistent with the new Local Alcohol Policy ( LAP ) on the grounds of density restrictions. NZIBA believes that reducing access does not automatically reduce harm. This can be substantiated by the fact that the number of Alcohol outlets has increased over the last 35 years from 3,000 to 11,000, though proportionately higher compared to the increment in population, the alcohol consumption has declined 25 percent.

The other two main changes that have been introduced include - allowing a person or group to object to the licenses nationwide and also restricting the rights of the license holder or their counsel to interrogate the objectors during the hearings. This snatches the fundamental right of the defence and undermines the justice system. Many of the cases were decided in ARLA in favor of license holders where the objectors failed to justify their objections before the Committee during the hearings, and the removal of this right means devoiding the license holders of their right to the justice system. This law was pushed through in a hurry without giving any consideration to the consequences and ignoring the voices of the various stakeholders can be seen as a contemptuous move against the small businesses, who do not have enough resources required to go through an arduous legal process.

The majority of the outlets are operating their businesses responsibly and there is already stricter legislation in place to check the imbalances and irresponsible sale of liquor, so reducing the number of outlets does not translate to a reduction in consumption. The robust license renewal process, training requirements for the staff, and ongoing checks by the Health Department, Liquor Licensing Inspectorate, and the police adequately ensure harm minimization. One of the strongest arguments placed by the Communities group before the Select Committee is the budget that goes towards addressing the health issues related to alcohol harm, however, it is not based on evidence that the health issues are solely related to alcohol harm, although it might be one of the contributory factors. The effect of alcohol consumption on individual health varies depending on genetics and various other factors.

The vast majority of the population enjoy social drinking in our society and the venues also conduct their operations responsibly, keeping the environment safe. The original Sale and Supply of Alcohol Act 2012 has over the years promoted a culture of safe drinking and the only amendment required was to allow District Licensing Committees ( DLC) to enact the Local Alcohol Policy ( LAP ) to restrict the number of new Licenses in the various localities where there was an actual problem due to the drinking culture. In general, the outlets across the nation are causing no harm and operating responsibly.

NZIBA would continue to strongly object to the new amendments and take up the matter with the new government post-election,

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