Below is an overview of the Western Australian liquor licensing system, the different types of liquor licenses and permits, and the liquor licence application process. Links to more detailed information are provided throughout. Further information on how the community can participate in liquor licensing processes and object to liquor licence applications is outlined in Map your steps.
The regulatory body responsible for liquor, the Department of Local Government, Sport and Cultural Industries (DLGSCI), offers a free monthly seminar on "The liquor licensing process for applicants and community". Details are available at Racing, Gaming and Liquor WA
An overview of liquor licensing in Western Australia
In Australia, the liquor licensing process varies by state and territory because of the differing legislation. In Western Australia:
- The Liquor Control Act 1988 controls the sale and supply of alcohol.
- The Department of Local Government, Sport and Cultural Industries (DLGSCI) is an agency of the Government of Western Australia responsible for regulating the liquor, gaming and adult entertainment industries.
- The DLGSCI provides a flow-chart of the liquor licence application process.
The different types of liquor
A liquor licence states where and when alcohol can be served. Different licences are available to suit different businesses or community organisations (e.g. bars, nightclubs, commercial hotels, community clubs, etc.).
Licences and permits
In addition to new liquor licences, licence variations are available for existing liquor licensees that want to change or extend the conditions of their licence.
Details about the different types of licences and permits.
The liquor licence application process
Application
How the community can find out about new licence applications is
covered in Section 3.a.
Liquor licence applications to the DLGSCI are accompanied by a Public Interest Assessment (PIA). A PIA is written by the applicant and provided to the DLGSCI. It provides information on areas including:
- harm and/or health impacts to ‘at-risk’ groups
- social health indicators for the area surrounding the proposed premises
- expected impact on local amenity
- strategies to manage offence, annoyance and disturbance that may result from the premises once operating.
The PIA is available for the public to view alongside the relevant liquor licence application. More information on PIAs:
Advertising
For most applications, DLGSCI requires signage to be placed at the premises and for the application to be advertised online. This helps to inform the community about the application and provides the opportunity to object or comment on the application. Time frames to object are short, often with only two weeks from the time the application is advertised to when an objection or submission is due.
- More information on advertising liquor licence applications.
Approval process
DLGSCI grants liquor licences based on whether you are a 'fit and proper' person to hold a liquor licence, and if granting the licence will be in the public interest. Public objections are considered when deciding whether to grant the licence.
Public objections
Under section 73 of the Liquor Control Act 1988, the public may make an objection to the application. The objections process is designed so the general public, nearby businesses, police, health service providers, other concerned groups and councils can have their say on liquor licence applications that may impact the local area and affect the lives of people living or working near the licensed premises.
Section 36B came into effect on 2 November 2019 and since that time, it has resulted in numerous applications for liquor stores and taverns being refused. Specifically, section 36B(4) requires an applicant for a liquor store licence, hotel licence, tavern licence or prescribed special facility licence to satisfy the licensing authority that local packaged liquor requirements cannot reasonably be met by existing packaged liquor premises in the locality in which the proposed licensed premises are, or are to be, situated.
The licensing authority (Department of Local Government, Sport and Cultural Industries) and Director of Liquor Licensing have interpreted this section in a most conservative manner and many liquor store applications in the metropolitan area in particular have been refused as a consequence.
At the time of publishing, none of the refused applications have been the subject of an appeal to the Supreme Court and so the interpretation of the section remains somewhat in doubt. However, for the time being, the current interpretation of the licensing authority and Liquor Commission will mean that applicants for licences that permit the sale of packaged liquor will have to go to considerable lengths to satisfy the licensing authority that the existing packaged liquor outlets cannot reasonably meet the local packaged liquor requirements.
Based on the published decisions, it appears that applicants need to engage in at least a four step process to meet the requirements of section 36B(4).
First, the applicant must identify all of the existing packaged liquor outlets within the locality.
Secondly, the applicant must undertake a detailed and thorough analysis of the stock range carried by the existing packaged liquor outlets.
Thirdly, the applicant must identify those products that they intend to stock which are not currently stocked by the existing packaged liquor outlets in the locality.
Fourthly, the applicant must demonstrate that there is a local consumer requirement for the unique products that are intended to be provided at the proposed outlet.
Even in circumstances where an applicant can demonstrate that it will sell some items that are not stocked at other outlets, if these unique items only make up a small proportion of the total items to be stocked, the licensing authority may still refuse the application.
The introduction of section 36B(4) has also resulted in a number of existing outlets successfully objecting to new packaged liquor outlets within their locality on the basis that the proposed stock range is not sufficiently different to what is already on offer.
Dwyer Durack can assist applicants and existing packaged liquor outlets to understand and negotiate the requirements of section 36B(4) of the Liquor Control Act.
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Last updated: Nov 20, 2018