The Government today announced proposals to address youth drinking and to tighten the rules around alcohol advertising.

The announcement follows two reviews: one into the sale and supply of liquor to minors and the other to review the regulations around alcohol advertising.

Sale and Supply of liquor review
Justice Minister Mark Burton said the review into the sale and supply of alcohol to minors identified several key issues, including a permissive drinking environment and attitudes by parents and peers, as well as unsupervised consumption of large quantifies of alcohol by minors.

The proposals arising out of this review focus on delaying the onset of youth drinking, ensuring that youth who drink do so in a manner that minimises harm, and ensuring that young people whose drinking is harmful receive appropriate help, Mr Burton said.

"The Government believes this set of proposals is a constructive mix of legislative changes and measures to improve attitudes to limit young people's access to alcohol. Parents' overall responsibility in guiding their children is maintained."

"A key proposal is to reduce blood alcohol content limit to zero for drivers under 20 who do not hold a full licence," said Mark Burton

"Youth, alcohol, and cars are often a lethal combination. Inexperienced drivers are particularly at risk of alcohol-related crashes," said Mark Burton.

Other key proposals include:
regulating social supply by creating an offence for adults (other than parents or guardians) to supply alcohol to a minor who consumes it in a public place;
creating an infringement offence for a minor to supply alcohol to another minor who consumes it in a public place;
Implementing early intervention programmes as an alternative sanction to infringement notices;
implementing a "three strikes and you're out" approach to managers who are convicted three times for selling liquor to a minor within a two-year period; and
amending the law so that the only defence for selling alcohol to a minor is if the seller sighted one of the approved specified age identification documents.

Mr Burton said the changes need to be supported by an appropriate regulatory environment, public awareness and ownership of issues, increased understanding of rights and responsibilities, consistent and effective enforcement, and improved compliance by industry.

Alcohol Advertising review
Associate Health Minister Damien O'Connor also announced that part of the Government reforms include proposals to strengthen regulations around alcohol advertising.

The Government-initiated review looked at the regulatory framework for alcohol advertising to determine whether it was sufficiently aligned with the Government's alcohol policies and harm reduction objectives.

Mr O'Connor said the proposals are based on the recommendations from a steering group including government agencies, health sector and advertising representatives, which consulted widely and released it's report in May.

Mr O'Connor said the review found that alcohol advertising plays a role in shaping the culture of drinking in New Zealand and a small but significant association between the level of exposure to alcohol advertising and alcohol consumption.

The proposals provide a sensible way of addressing one of the contributors to alcohol related harm, he said.

"The new proposed framework for alcohol advertising extends the scope of the self-regulatory system to include all forms of advertising and promotion, recognising that alcohol is increasingly promoted using a range of emerging techniques such as through the Internet. It also strengthens the regulatory system, introduces sanctions and gives the Ministry of Health a role for the first time."

Non-legislative measures are also proposed, including increased monitoring, research, and voluntary codes for alcohol sponsorship and in-store display. The new system will be reviewed after two years of implementation, Mr O'Connor said.

The key proposals:
Strengthening the self-regulatory system, basing it on new legislative provisions to ensure that the system meets public policy goals.
Widening the scope of the system to cover a broader range of marketing techniques across all media, including packaging, labelling, merchandising and "in store" promotions and price promotions.
Independently audited monitoring.
A planned programme of research based on the policy goals.
A review after two years to ensure sufficient progress is being made.

Access the Research New Zealand report at:
http://www.justice.govt.nz/pubs/reports/2007/sale-supply-alcohol/index.html\

Contact:
Simone Jansen (Press Secretary to Mark Burton)
Phone (04)471 9773 or 021 502 914

Kelly Gunn (Acting Press Secretary to Damien O'Connor)
Phone (04) 471 9878 or 021 227 9878

Sale and Supply Q&A

What was the goal of the Review of the Sale and Supply of Liquor to Minors?

The goal of the Review was to reduce the harm associated with the consumption of alcohol by minors.

Why was a Review necessary?

Concerns about youth drinking were highlighted during consideration of the Sale of Liquor (Youth Alcohol Harm Reduction) Bill last year. This Bill proposed raising the legal purchase age to 20. Concerns were raised about how effective this would be in addressing youth drinking issues.

What research is there on youth drinking?

Research New Zealand was commissioned to systematically review the relevant national and international literature on the harms and causes of harm arising from the sale and supply of liquor to minors.

Research shows:

New Zealand's adult binge drinking culture is reflected in the youth drinking culture;
parents are the main suppliers of alcohol to minors (around 60%);
another 30% of supply is by friends and approximately 10% is purchased from licensed premises by minors themselves;
the harm caused to minors is most significant when supply and consumption is unsupervised; and
common locations of alcohol consumption by minors are someone else's home and public places.

What key issues came out of the research?

The key issues are:
a permissive environment and normalisation of youth drinking which is reinforced through alcohol availability, visibility, affordability, and advertising;
permissive attitudes by parents, peers, and other adults toward supply of alcohol to young people;
unsupervised consumption by minors of large quantities of alcohol on private premises and in public places;
illegal sales to minors, in particular from 'problem' retailers such as some grocery and bottle stores; and
the small group of minors who consume large amounts of alcohol regularly.

What are the key proposals arising from the Review?

Solutions to address the harms arising from youth drinking should focus on changing the attitudes and behaviour of young people, parents, and communities.

This change needs to be supported by an appropriate regulatory environment, public awareness and ownership of issues, increased understanding of rights and responsibilities, consistent and effective enforcement, and improved compliance by industry.

Key legislative proposals arising from the Review are:

New offence for adults (other than a parent or guardian) to supply alcohol to a minor who consumes it in a public place

Currently, if a minor drinks in a public place, unaccompanied by their parents or guardians, they can be issued with an infringement notice. The new offence places some responsibility on the supplier, and means that the Police will also be able to prosecute the adult who supplied the liquor (unless the liquor was supplied by the child's parents or guardian).

Currently anyone can supply alcohol to a minor, provided that they did not purchase the alcohol from licensed premises with the intention of supplying it to the minor. This means that in some circumstances it is legal for an older sibling or friends to supply liquor to a minor.

The new offence will fill a gap in the law by prohibiting the direct supply of alcohol to a minor who consumes it in a public place. This will not apply to parents and guardians, who are largely exempted from the current controls on the sale and supply of liquor to minors.

This offence will provide a strong incentive for adults to supervise minors if they supply them with alcohol, regardless of location. If an adult supplies alcohol and does not supervise, there is a risk that the minor will subsequently consume the alcohol in a public place. The risk is avoidable if the adult accompanies or otherwise supervises the minor while they are drinking, or chooses not to supply alcohol at all.

This will place some legal responsibility on to adults for their supply decisions. While the proposal is limited to public places, it will for example apply to situations of private parties that spill out onto the street.

New offence for a minor to supply alcohol to another minor who consumes it in a public place

Besides parents, another key source of the supply of alcohol to minors is other minors. Currently a minor may obtain alcohol from an adult and legally distribute it to friends.

A new infringement offence will prohibit a minor from supplying alcohol to another minor who consumes it in a public place. For example, it would be an offence for a minor to supply or share alcohol with another minor who then consumes it in a public area like a park, square or on the street.

Zero blood alcohol content level for drivers under 20 not on a full licence

Youth, alcohol, and cars are often a lethal combination. Inexperienced drivers are particularly at risk of alcohol-related crashes.

It is proposed that a zero blood alcohol content (BAC) limit be introduced for drivers under 20 years of age who do not hold a full licence. In practice, the Police would have a small amount of discretion to allow for tolerance levels of equipment, medications, and natural alcohol levels in the body of some individuals.

Early intervention programmes

Changing youth behaviour is challenging. Fines are not always effective on their own. Timely interventions can have a greater impact. That is why it is proposed that where a minor commits an alcohol-related infringement offence, the minor will be able to attend a specialist alcohol education information programme in place of paying the infringement fine. This initiative would directly link enforcement and education, by using the enforcement powers of infringement notices to engage young offenders in a positive process aimed at changing their behaviour.

Update fake identification provisions

There are currently three types of photo identification that can be used as evidence of age when purchasing alcohol: passport, driver licence, and HANZ 18+ card. No change is proposed to the list of eligible documents.

However, it is proposed that the offences relating to fake identification be updated to address the misuse of evidence of age documents by minors. The current provisions contain outdated language and are difficult to enforce. These would be updated so that they are based on provisions in the Passports Act 1992

Repeal of 'reasonable belief' defence

Evidence shows that a significant minority of under 18 year olds who drink obtain alcohol by purchasing it themselves (10 to 15 per cent of drinkers). Part of the problem is that, a number of retailers do not seek to verify the age of young purchasers.

One defence for selling or supplying liquor to a minor is if the defendant proves that the person who sold or supplied liquor believed on reasonable grounds that the person to whom it was sold or supplied had attained 18 years, even where the defendant has not sighted identification.

The reforms will repeal this defence of 'reasonable belief'. The only defence to selling liquor to a minor will be if the seller of the alcohol can prove that they sighted identification. This will encourage retailers to minimise the risk of sale to a minor by voluntarily putting in place systems to check age identification.

"three strikes and you're out"

Under this proposal, a manager of a licensed premise will lose their certificate for a period of five years if they receive three convictions, or suspensions/cancellations of their certificate, for selling liquor to a minor within a two-year period.

The "three strikes and you're out" approach would provide a strong incentive for premises to comply with the law. A similar approach is currently used in several States in the USA. The United Kingdom has a new offence of persistently selling alcohol to minors.

What happened to the Targeted Review?

A Review of Sale of Liquor and Liquor Enforcement Issues (The Targeted Review) was commenced in 2005. In late 2005 submissions were invited on a consultation paper. The Targeted Review was subsequently combined with the Review of the Sale and Supply of Liquor to Minors, and progressed concurrently.

What are the key proposals arising from the Review?

The Targeted Review was not intended to be a first principles review of the Act, but to simply examine proposals to enhance its operation. Legislative amendments arising from the Targeted Review are therefore minor in nature.

Two key proposals from the Targeted Review have already been carried out. These include changes to the structure of the Liquor Licensing Authority (LLA), which now comprises four part-time members, three of whom have recently been appointed. Greater flexibility in the appointment of members to the LLA is important to allow adaptation to changing circumstances and workload.

Secondly, the Sale of Liquor Amendment Regulations 2007 adjusted the funding split between District Licensing Agencies (DLAs) and the LLA. The Regulations increase the proportion of principal licensing fees retained by DLAs for their licensing responsibilities. This change recognises that there has been a significant increase in the workload of the DLAs and a consequent reduction in the workload of the LLA.

Why is allowing service stations to sell alcohol not included?

The Targeted Review also considered the sale of liquor from dairies and service stations.

The majority of submitters on the Targeted Review raised concerns around the ability of dairies to enforce the Act. The restriction upon the sale of liquor from dairies was passed by way of conscience vote in 1999. At that time it was not envisaged that service stations be able to sell liquor. Having looked again at the issue it is considered that the disadvantages outweigh the advantages.

Allowing sales from service stations was not specifically proposed in the consultation paper. However, some submitters commented on the issue and some supported the sale of liquor from service stations. These submissions were made by industry organisations and individual service station owners.

The sale of liquor from service stations has been considered in previous reviews of the Act. In the 1999 amendment bill similar issues to the sale of liquor from dairies, were raised with respect to selling liquor from service stations. In particular, with respect to youth drinking as well as being potentially inconsistent with the messages in the anti drink-driving campaigns. Therefore this proposal will not be progressed.

What about broader issues such as availability of alcohol and price?

The focus of this Review was on the sale and supply of liquor to minors. However, the Government is aware of broader issues around the general alcohol environment, including the interface between the Sale of Liquor Act, the Resource Management Act and the Local Government Act. There is a need for ongoing monitoring of these broader issues.

Alcohol Advertising Q&A

How is alcohol advertising regulated currently?

Currently alcohol advertising is regulated by a self-regulatory system administered by the industry-funded Advertising Standards Authority (ASA). The ASA has a voluntary Code for Advertising Liquor (CAL) and its Advertising Standards Complaints Board (ASCB) resolves complaints alleging breaches of the CAL. On receipt of a complaint, the ASCB considers whether the relevant advertisement breaches the CAL. Where a breach is determined the ASCB requests that the advertiser withdraw the advertisement.

How will alcohol advertising regulation change?

The system will move from voluntary self-regulation to enforced self-regulation. This means that expectations will be set out in legislation, including the expectation that all advertisements should comply with the relevant codes. The complaints process will be similar, but there will be "backstop" measures in legislation that can be used in cases of serious or persistent non-compliance.

Will the Advertising Standards Authority still be responsible for the enforcement of alcohol advertising standards?

Yes, although the Director-General of Health will also have enforcement powers that can be used if necessary.

What involvement will Government have?

The Minister of Health and the Minister of Justice will appoint a Liquor Advertising Advisory Body to administer the system. The Advertising Standards Authority will be fulfilling this function. The Government will have a role in research, monitoring and review of the system, and in facilitating the development of voluntary codes for alcohol sponsorship and in-store display. The Director-General of Health will have new powers to issue a "cease and desist" order if the ASA refers a case of serious or persistent non-compliance.

Will there be new offences relating to alcohol advertising?

There will be a new offence for non-conformance with a "cease and desist" order, and fines will apply.

Do the proposals address alcohol sponsorship?

The review of the regulation of alcohol advertising found insufficient evidence to determine whether restrictions on alcohol sponsorship beyond those for other alcohol advertisements were warranted. However, some action is necessary given the broad concerns about the exposure of young people to alcohol products and brands. The Ministry of Health and other relevant organisations will initiate a process to develop voluntary codes around alcohol sponsorship. There will also be further research into sponsorship to help determine whether further restrictions on alcohol sponsorship may be necessary.

How will the changes contribute to reducing alcohol-related harm?

The changes will move New Zealand's system towards international best practice, which indicates that a self-regulatory system should cover all forms of commercial or marketing communication, should be underpinned by a clear legislative framework, and should have stakeholder involvement in the development of codes. Alcohol advertising is one of many factors that contributes to alcohol-related harm, so it is important that action in this area occurs alongside other measures to reduce alcohol-related harm.

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