Page 5655 - Week 13 - Thursday, 18 November 2010
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Mr Corbell says there has been no real increase in fees, but while increasing the fees he neglects to make a real increase to this threshold.
The obvious result is small businesses, already struggling to stay competitive in the liquor market, will pay the same fees as big business who can absorb the additional costs with relative ease.
Small business will have no choice but to pass these costs onto consumers or restrict trading—forced to earn as much revenue or more with shorter trading hours.
They go on to say:
If the ACT Labor government wants to introduce a risk system based on evidence, then they should first genuinely consult with stakeholders, recognise all sources of evidence without bias, acknowledge the risks that do exist and introduce a fair and equitable fees structure based on capacity to pay …
If the ACT Labor government wants to see the negative community impact of alcohol worsen and small businesses close then they will do all they can to introduce these new Liquor Licensing Fees.
I took the time to read that because it so succinctly summarises the arguments that the Canberra Liberals would have put forward, and I think it is more powerful that the words come from the people of the ACT, the 600 people who have signed the petition and who are supported by a range of other people. They are powerful words because they come from an industry that is frustrated by its exclusion from the process, particularly in relation to the fee schedule.
I will just give some examples of the impact. One off-licensee, a local small business owner who operates three suburban supermarkets and two liquor outlets, has told me that his fees will increase from $15,000 to $42,000 in one fell swoop. And I would like to contrast this with his big chain competitor in the same region, who has a much larger turnover and sale of alcohol than this small businessman’s five outlets combined. The large chain outlet will pay about $13,000 in liquor licensing fees. And there are a whole lot of other examples that I will cite if time allows.
What we see here today is an opportunity to put a halt to a process that will drive businesses to the wall—cause people to close their businesses early or close them entirely. It will create a drying up of hospitality jobs for our young people and it will create anomalies in the market which will mean that only large businesses will survive. And, whether we are looking at on-licences or off-licences, only large businesses will be able to survive because of the inequitable approach in relation to the fee schedule.
Disallowance of this fee schedule does not negate the government’s right to charge licensing fees. The old one will continue. Disallowance of this fee schedule will not stop the ability of police or officers from the ORS doing their work to enforce the laws. Disallowance will not stop the process of the issuing of new licences and permits under the new laws. What it does do is to deny the ACT Labor government its iron-fisted, money-grabbing, unconsulted approach to an industry that is hurting already and will hurt even more if these new laws come into effect.
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