Understanding local alcohol policy
Alcohol licensing lawyer Pervinder Kaur explains the role of local alcohol policy when it comes to applying for an alcohol licence…
The Sale and Supply of Alcohol Act 2012 (Act) sets out the criteria for assessing alcohol licence applications. In my last article, (Drinksbiz Dec 21-Jan22 issue), I discussed the suitability of the applicant as one of the matters that the decision-makers must take into account. This article focuses on local alcohol policy (LAP) and its relevance in assessing alcohol licence applications.
The Act allows local councils to develop local alcohol policies. A local alcohol policy is a set of decisions made by a local authority in consultation with its community about the sale and supply of alcohol in its geographical area.[1]
LAPs are optional – councils don’t have to have one, and if they want, two or more councils can develop a joint LAP. Once a LAP is adopted, the district licensing committee must take it into consideration when it makes decisions about alcohol licence applications.
“Community preference has an important role to play under the Local Alcohol Policy development process.”
By having a LAP, a council can:
limit trading hours for licensed premises;
limit the location of licences in particular areas or near certain types of facilities such as schools, early childcare centres, kindergarten and/or place of worship;
limit the density of licences by specifying whether new licences or types of licences should be issued in a particular area;
impose conditions on groups of licences, for example a ‘one-way door’ condition that would allow patrons to leave premises but not enter or re-enter after a certain time;
restrict or extend the maximum trading hours set out in the Act.
Community preference has an important role to play under the LAP development process. A LAP is a means by which communities can implement, through participatory processes, some of their own policies on alcohol-related matters in their districts.
Auckland Council’s LAP has been in the news with the recent Court of Appeal decision in relation to the trading hours for off-licences. The council has favoured 9pm closing for off-licence alcohol sales instead of 11pm as was previously allowed. After a long legal battle between the council and supermarket chains, the Court of Appeal has reinstated an Alcohol Regulatory and Licensing Authority (ARLA) decision confirming 9pm closing for off-licence alcohol sales.
When applying for a new licence, it is important to check if there is a LAP in place for that particular geographical area. If there is one, then make sure that your licence application is in line with the specific LAP provisions, i.e. the location of the premises, the distance from other licensed premises, and trading hours etc. An application for an alcohol licence may not be successful if it fails to comply with the LAP.
[1] See https://www.justice.govt.nz/justice-sector-policy/key-initiatives/sale-and-supply-of-alcohol/community-involvement/local-alcohol-policies/
Pervinder Kaur is an Associate at Harkness Henry specialising in alcohol licensing and resource management law.
