New Zealand Rolls out Alcohol Law Reform

New Zealand Prime Minister Jacinda Ardern holds a press conference with French President Emmanuel Macron (out of frame) following talks on the sidelines of the 77th session of the United Nations General Assembly at U.N. headquarters in New York on Sept. 20, 2022. Ludovic Marin / AFP via Getty Images

The New Zealand (NZ) government has granted communities greater powers to set their own rules around alcohol sales, but wider alcohol law reform is expected to take time.

Prime Minister Jacinda Ardern said she wasn’t comfortable with the way alcohol was currently marketed in the country.

However, given how “embedded” alcohol advertising and sponsorship was with the community, such as in local sports, it wasn’t something that could be changed quickly, she said.

“We just want to make sure that when we look at this area, we do it in a really considered and thoughtful way,” Ardern told Radio NZ. “We’re clear about the impacts it will likely have, where there has been a reliance on those forms of sponsorship and advertising.”

Under the new changes, the alcohol industry will have its ability to appeal local alcohol policies removed, meaning local councils will have more power to set their own regulations on alcohol sales.

Justice Minister Kiri Allan said the current appeals process was costing councils and taxpayers millions in legal fees as alcohol companies oppose moves by local authorities to limit the sales of alcohol in the community.

“The law isn’t working as intended. Local communities should be able to set their own rules to reduce alcohol harm, but are being blocked at every step by the booze industry,” Allan said.

The government’s next step in the alcohol law reform process will be to look at licensing, marketing, and sponsorships.

“While no decisions have been made our intention is to tilt the balance away from the alcohol industry towards giving the community a greater voice and ensuring we are doing more to address the significant impact alcohol has on our communities, whanau (extended family), and health system,” Allan said.

Impact of Alcohol on New Zealand

According to Action Point, alcohol misuse cost an estimated $7.85 billion to New Zealand society in 2020, including costs from loss of productivity, unemployment, and justice, health, and welfare costs.

This outweighs the $1.2 billion that the government collected through excise tax.

Research has also found that exposure to alcohol sports sponsorship was associated with higher levels of drinking among school children.

Lydia Ko of New Zealand is poured champagne after winning the tournament on the 18th green during the final round of the BMW Ladies Championship at Oak Valley Country Club in Wonju, South Korea, on Oct. 23, 2022. Chung Sung-Jun/Getty Images

Nicki Jackson, the executive director of Alcohol Healthwatch, told Stuff news that she was worried about the timing of the announcement given the election is around the corner, but that removing the appeals process was a good start.

However, she said that the changes didn’t address the fundamental drivers of New Zealand’s drinking culture: availability, price, and marketing.

“In terms of marketing, if we go at it piecemeal ...we just risk the industry moving to other kinds of platforms,” she said.

Allan said two government-commissioned reports have highlighted alcohol to be a health and justice issue and recommended strengthening regulations.

“These reports and their recommendations will help shape decisions on our next steps,” she said.