Legislation has officially passed through the Northern Territory Parliament to formally repeal minimum unit pricing (MUP) for alcohol, commonly known as the alcohol floor price.

In 2018, the MUP for alcohol was introduced by the Northern Territory Government as a means of minimising harm associated with high-alcohol, low-cost beverages, applying a minimum price of $1.30 per standard drink on all alcohol products.

Since its introduction, the MUP has faced backlash relating to its ineffectiveness in addressing alcohol-related harm and unfairly targeting responsible drinkers. Welcoming the repeal of the MUP, Retail Drinks Australia CEO Michael Waters has praised the Government’s decision.

“We congratulate Chief Minister, Lia Finocchiaro, for acting on the CLP’s election promise to repeal the MUP which failed to address alcohol-related harm whilst punishing the vast majority of Territorians who drank responsibly.

“The failure of the floor price to positively impact alcohol-related harm was the result of retail sales shifting to products unaffected by the floor price which resulted in its own unintended consequences.

“The previous NT Government’s own review of the MUP noted that a reduction in alcohol-related harms was attributable to other policy measures introduced at the same time as the floor price, such as the introduction of Police Auxiliary Liquor Inspectors (PALIs),” he stated.

While he welcomes the repeal of the MUP, Waters also used the opportunity to highlight the need to shift the focus to other areas of the Liquor Act which he believes need critical amendments, such as raising the arbitrary cap on liquor sales for grocery store licences.

“In repealing the MUP, the NT Government has demonstrated its commitment to enacting common-sense and evidence-based policy measures,” he stated.

“We now turn our attention to other key areas of the Liquor Act requiring amendment, including the unfair 25 per cent liquor sales cap on grocery store licences, and look forward to continuing to work collaboratively with the NT Government to ensure the Act is fit-for-purpose, and strikes the right balance between industry and community needs.”

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