New KZN Liquor Act:

Friday, 2 May, 2014
Danie Cronje
The remaining sections of the KZN Liquor Licencing Act and KZN Liquor Regulations commenced on the 28th February.

The Act and Regulations bring about a number of changes regarding applications relating to liquor licences and the operation of liquor licenced premises in KZN.

Application for new liquor licences

Additional requirements for applications for new liquor licences include BEE certificates, SAPS clearances, tax clearances and a detailed security plan.

The detailed motivation required must address the need for a liquor outlet in the area, the social economic impact of a liquor outlet, the capability of the applicant to run the outlet and the social responsibility program proposed by the applicant.

The Act contains detailed requirements regarding the publication of new applications including news paper advertisements and the placement of a notice board on the proposed premises.

Major changes for supermarkets

One of the more controversial changes brought about by the regulations are the special conditions for supermarkets selling wine.

In terms of these conditions the area where wine is sold must be a separate and enclosed area with a single entry and exit point.

It must have a separate till point and no minors will be allowed in this area.

According to Danie Cronje, the Director of Liquor Law Services at Cluver Markotter Incorporated, this requirement will cause problems for customers and retailers as customers will not be prepared to leave their children outside the area when going in to select and purchase wine.

According to Cronje representations pointing out this problem were submitted on behalf of supermarkets when the regulations were published for public comment but the comments evidently did not persuade the KZN legislature.

Retailers will be granted one year in which to comply with the requirements regarding the special conditions for retail stores.

Special event permits

The requirements for special events permits are also quite extensive.

Special events permits are also going to be much more expensive.

The application fee is R1000 and the fee per day, a further R1000.

Renewal of licences

When renewing a licence a tax clearance certificate and police clearance certificate will now also be required.

Annual licence fees have also been increased. Those for liquor stores and supermarkets will be R4800 per year and those for restaurants will be R2400 per year.