Liquor Laws -  The publication of the Draft Gauteng Liquor Bill has been commented on extensively during the past week.    This isn’t surprising, given how many businesses rely on a liquor licence to generate their main or substantial additional source of income.    The role of the general public has also become more prominent and will have to take note of the section of the Liquor Bill which applies to them.

The main issues which have been raised are the following :  

Section 53 (1) of the Liquor Bill determines that a liquor licensee may not "sell, supply or give liquor to minors, anyone wearing a school uniform, anyone who appears intoxicated, or "a pregnant woman".   This section is mainly the result of the concern over the foetal alcohol syndrome.   However, it is anticipated that a number of court cases may be the result if it is contained in its present form in the final liquor act.  The reason may seem “obvious”, but many women do not appear pregnant until they have been pregnant for 6 months.

Liquor Licence applicants will have to tighten up on their commitment to Black Economic Empowerment.   Section 17 in the draft Bill authorises the MEC for Economic Development to "issue Regulations directing that all applicants must meet a certain BBBEE status within a determined period of time".    This reflects on the main role of shebeens, which offers many black entrepreneurs the opportunity to start their own business.

• A “wine club licence” has been introduced, which only allows the sale of wine to members of a wine club. 
• A micro-manufacturer (winery or brewery) or distillery may only sell its liquor to other liquor licence holders.   This means that they have to obtain special consent from the Liquor Board to enable them to sell directly to the public.
• Supermarkets will still prohibed from selling wine of more than 14%.  The new Western Cape Liquor Act will allow the sale of wine with an alcohol content of up to 16.5%. 

The powers of Inspectors have been increased.   They will also have the status of “peace officers”, which is similar to the powers of the police.    Licence holders will have to be very wary, as any licensed business can be closed at the whim of an inspector.

• The Bill also states that the Liquor Board may consider the number of licensed liquor outlets per the population in a particular area.
• Passengers are also prohibit from drinking in a car.
• The MEC's powers to control the industry in the province are exceptionally wide.  The MEC will announce details of regulations, including operating hours.
• Those persons who want to sell liquor on boats or in airport lounges will now be able to apply for a liquor licence specifically for their purposes.

(Article by LiquorWise)

Liquor Laws -  The Draft Gauteng Liquor Bill has met with harsh criticism from all major role players in the liquor industry.    Some of the comments made were the following : “ill-conceived, impractical, one-sided, badly drafted and naïve”.  The public has 30 days to comment on the Bill, which published in a Gauteng provincial gazette on 24 January 2012.

LiquorWise, national liquor licensing experts, is of the opinion that parts of the Liquor Act will be difficult to enforce.   A lot of the issues could have been addressed had the Gauteng Government presented the industry bodies such as experienced consultants/lawyers and manufacturers with the draft for comment, before proceeding to publish in the provincial gazette.

LiquorWise referred to the section relating to the prohibition to sell liquor to a pregnant woman.    The obvious problem is how one can tell whether a woman is pregnant.   On the other hand, she may be buying liquor for the cocktail party she will be hosting!

Some of the comments from other industry role players :

Lawyer – The Bill should be withdrawn and followed by a group discussion between municipalities and other role players in the liquor world.    The industry should comment extensively to enable a practical law to be implemented.

ARA (Industry Association for Responsible Alcohol Use) -  “The prohibitions are enforced  in principle,  but some could be hard to enforce.

SALTA - . "We believe unborn children have rights too, we cannot support the practice of drinking while pregnant ."

Opposition politician -  “The pregnant woman provision was likely to have "all sorts of unanticipated consequences in the law courts".