Alcohol Reform Bill now rests with the next Parliament

Earlier this year the Sale and Supply of Alcohol (Improving Alcohol Regulation) Amendment Bill completed the Select Committee stage, with the Justice Committee recommending by majority that the Bill be passed. Importantly, the amendments recommended by the Committee were agreed unanimously.

For clubs, the Bill contains a number of practical changes to the Sale and Supply of Alcohol Act 2012. These include changes to the licensing and objection process, special licences, the availability of zero and low-alcohol products, and extended trading hours for significant televised events, and of course changes to allow clubs to hold an on-licence.

The Select Committee received 243 submissions and heard oral evidence from 62 submitters before reporting the Bill back to Parliament.

Select Committee Recommendations

The Committee has retained the general direction of the Bill, but recommended several changes to what was originally introduced. The recommended amendments cover:

Objections to licence applications

The Bill proposes restricting who can object to a licence application, renewal, variation or certain special licence applications.

As introduced, somebody could object if they lived or worked within the relevant territorial authority, or, if outside that boundary, within one kilometre of the premises.

Following submissions, the Committee has recommended extending that one-kilometre limit to three kilometres. It has also clarified that the distance test only applies to people who live or work outside the territorial authority boundary.

Applicants will have a formal right of reply

The Bill already proposed giving licence applicants 15 working days to respond in writing to an objection.

The Committee has recommended extending this so applicants can also formally respond to reports from Police, Medical Officers of Health and licensing inspectors. The Committee noted that some District Licensing Committees already allow this, but practice is inconsistent around the country.

Not everyone agrees

While the Committee recommended the Bill be passed, both New Zealand Labour Party and the Green Party recorded differing views.

Labour's View

New Zealand Labour Party does not support the Bill.

Labour's principal concern is that restricting who may object could prevent people with a genuine connection to a community from participating in licensing decisions. While Labour acknowledges that increasing the proposed one-kilometre boundary to three kilometres is an improvement, it considers geographical restrictions remain arbitrary.

Labour also opposes preventing licensing committees from declining a renewal because it is inconsistent with a Local Alcohol Policy, arguing this diminishes the effect of policies adopted by local communities.

However, Labour specifically supports the Bill's changes around responsible rapid alcohol delivery and the increased ability to promote zero-alcohol alternatives.

The Green Party's view

The Green Party also opposes the Bill and takes a broader position that it increases the availability and accessibility of alcohol when policy should instead focus more strongly on reducing alcohol-related harm.

Its differing view specifically opposes a number of measures, including restrictions on objections, the applicant's right of reply, the changes relating to Local Alcohol Policies and renewals, allowing clubs to hold on-licences, changes to restaurant off-licences, streamlined special licensing, extended trading hours for significant televised events, and the exemption allowing alcohol to be supplied in hairdressing businesses.

What happens now?

The Bill has been reported back and is formally at the Second Reading stage. However, with the 54th Parliament now dissolved, the practical question is therefore what happens in the 55th Parliament. The future of the Bill will depend on the election result, the make-up of the next Government and Parliament, and decisions taken about reinstating and progressing legislation that was before the House at dissolution.

For Clubs New Zealand, there is plenty in this Bill that remains directly relevant to the day-to-day operation of licensed clubs. We will continue to follow developments closely following the election and keep members informed as the position becomes clearer.