Councils given greater powers to set rules in Government alcohol crackdown

Local communities will soon be able to put rules in place around the sale of liquor in their area after the Government announced changes to the legislation on Sunday.

Justice Minister Kiri Allan said the amendments to the Sale and Supply of Alcohol Act 2012 will remove the ability to appeal local alcohol policies (LAPs).

The current appeal process is costing councils and ratepayers millions in legal fees, as alcohol companies and supermarkets have thwarted efforts by local councils to limit the sale of alcohol in their communities, Allan said.

"The law isn't working as intended. Local communities should be able to set their own rules to reduce alcohol harm, but are being blocked at every step by the booze industry," Kiri Allan said.

"When the Act was introduced by the National government, it aimed to ensure the safe and responsible sale and consumption of alcohol. But the Act hasn't worked as intended, creating a system that leaves communities struggling and silenced in their fight against the powerful alcohol industry."

A Bill proposing procedural changes to the alcohol licensing process will be introduced this year, with the aim of passing it into law by mid-next year.

"These amendments are just the first steps in fixing alcohol laws. The Government will be doing future work to look at licensing structures and processes, marketing and sponsorship, pricing, and changes to ensure the law is responsive to new products and retail models," Allan said.

The Justice Minister said a provisional LAP has been in the appeal process for seven years in Auckland, at a reported cost of more than $1 million in legal fees to the Council. The matter is currently before the Supreme Court, which has reserved its decision.

"There are similar stories in Wellington and Christchurch, where Councils have abandoned their efforts to put harm reduction plans in place after facing expensive and lengthy legal opposition," Allan said.

"In total five councils, including the four largest authorities accounting for half of the total population, have halted or abandoned their efforts to implement LAPs."

Allan said she has recently met with a diverse range of communities in South Auckland who shared their experiences in battling against alcohol harm and attempting to reduce the ever-increasing availability of alcohol.

"It was distressing to see the community prevented from taking action by the deep pockets and legal manoeuvres of those who benefit from alcohol sales," she said.

"My top priority is to bring power back to the people. That's why the first phase will focus on immediate reforms to licensing procedures."

The Government is also looking to amend rules around the public's ability to object to a new or renewed alcohol licence application and how objectors can make their case at a licensing hearing.

"The hearings are legalistic in nature, I've heard concerns that the current process can be too formal, with some community groups saying they've felt intimidated and harassed while under cross-examination by highly experienced lawyers representing the interests of those in the alcohol industry," she said.

 "It was always envisaged that people would have the opportunity to be heard when it comes to how alcohol is sold locally. I've heard loud and clear that this part of the Act is not working."

Allan said while no decisions have been made, the Government's intention is to tilt the balance away from the alcohol industry towards giving communities a greater voice, which is to ensure the Government is doing more to address the significant impact alcohol has on New Zealand's communities, whānau and health system.

"In recent years, the Government commissioned two reports that emphasised alcohol as a health and justice issue and recommended strengthening alcohol regulations," she said.

Green drug reform spokesperson Chlöe Swarbrick said she welcomes the Government's announcement.
Green drug reform spokesperson Chlöe Swarbrick said she welcomes the Government's announcement. Photo credit: Newshub

The announcement by the Government has received support from the Greens.

"When communities and the Greens organise to make change happen, we win," Green drug reform spokesperson Chlöe Swarbrick, said.

"At a macro level, alcohol is the most harmful drug in this country, legal or illegal. Reducing corporate power so genuine community decisions can be made has been one of the consistent recommendations from reviews and independent experts."

Swarbrick said she welcomes the Government's move as she has been campaigning for this specific measure for more than a year.

"The responsibility doesn't stop there, because the harm doesn't stop there. The Government has proven they'll change the law when the pressure is on," Swarbrick said.

"They must also adopt our measures to minimise excessive corporate marketing influence saturating our kids' lives, particularly through sports.

"Thank you to everyone who's been fighting this battle for so long. We'll continue to be right by your side."