Alberta government tells AGLC to cancel raise in minimum price for alcohol at bars

Alberta government tells AGLC to cancel raise in minimum price for alcohol at bars

Reversal comes less than 2 weeks after changes were announced

Less than two weeks after the Alberta Gaming, Liquor and Cannabis Commission (AGLC) raised the minimum prices that bars and restaurants need to charge for alcoholic drinks, the regulatory body has been instructed to change course.

Service Alberta and Red Tape Reduction Minister Dale Nally announced Monday that the decision to raise the minimum prices has been reversed.

“Alberta’s government is proud to support our hospitality and liquor industry as they create jobs, attract visitors and deliver memorable experiences for Albertans and tourists alike,” he said in a statement.

“We have since directed AGLC to reverse this decision, effective immediately, to provide businesses and Albertans with greater certainty and consistency.”

In a statement posted on Facebook, Premier Danielle Smith thanked Nally for directing the AGLC to reverse its decision regarding liquor price amendments.

On June 9, the AGLC announced it had set the minimum price for draft beer at $0.25 per ounce, up from $0.16 per ounce.

Your next pint could cost $2 more as AGLC raises minimum price for alcohol at bars

That meant that a 20-ounce pint of beer would cost a minimum of $5, up from the previous minimum of $3.20.

The minimum prices of bottled or canned beers, ciders, coolers and spirits and liqueurs were increased from a minimum of $2.75 per can or bottle to $4 per can or bottle.

Earlier this month, an AGLC spokesperson told CBC News the decision to raise minimum prices was made — at least in part — to reduce alcohol-related harms “by encouraging moderation and discouraging binge-drinking behaviours.”

Group representing eateries supports reversal

Mona Pinder is the executive director of the Alberta Hospitality Association, an organization which represents approximately 900 restaurants in the province.

Pinder said she first heard about the AGLC’s decision to raise minimum prices from a colleague who saw CBC News’ coverage of the increase.

She said neither had been notified by the AGLC directly.

Pinder said the biggest issue most members had with the AGLC’s decision was what she said was a lack of communication.

She said raising the minimum price establishments must charge impacts how they do business.

“It’s the ability to do the pricing incentives,” Pinder said in an interview with CBC News.

“So it’s not necessarily their regular pricing, but it’s the happy hours or the specials for the [Calgary] Stampede, those kinds of things.”

Pinder said she felt the AGLC’s announcement of its decision to raise minimum prices was “lost” as it was tied in with an announcement that 6 a.m liquor service would be allowed in restaurants and pubs.

In a statement to CBC News, the AGLC said “it understands the concerns raised by the public and government about consistency in minimum drink prices and is reversing the recent changes as directed by Minister Nally.”

“The change is effective immediately and an updated policy has been posted.”

Serra Hamilton is a reporter with CBC News in Edmonton. She has previously worked as a reporter for Cabin Radio in the NWT and for The Signal in Halifax. She can be reached at serra.hamilton@cbc.ca.