Scrap beer licensing requirement on coffee shops completely: Guan Eng tells govt

GEORGE TOWN – The licensing requirement on coffee shops to sell beer and stout should be scrapped completely as it still allows local authorities in PAS-governed states to consider imposing the policy.

DAP secretary-general Lim Guan Eng today slammed the federal government, urging it to revoke the licensing requirement overseen by local authorities after the Finance Ministry (MoF) relegated this responsibility to the states.

“The previous policy of postponing the enforcement of licensing for coffee shops and restaurants is not reinstated, instead the respective state licensing authority now has the power to decide,” he said in a press conference here today.

Later, in a statement, Lim lambasted MCA president Datuk Seri Wee Ka Siong, saying that the MoF should be pressed to reinstate the previous practice of postponing the licensing enforcement.

He added that Wee should stop deceiving the public over the supposed revocation of the Customs directive.

“Finance Minister (Datuk Seri) Tengku Zafrul (Abdul Aziz) has unequivocally denied in Parliament Transport Minister Wee’s allegations that MoF had revoked the licence requirement.

“By leaving it to the respective state licensing authorities to decide, coffee shops and restaurants in states heavily influenced by the extremist PAS will be burdened with additional licensing costs of up to RM1,300.”

Lim said that so far, only the Pakatan Harapan state governments have announced that they will not enforce the beer and stout licences.

He also questioned if restaurants and coffee shop operators without the said licence are liable to a RM50,000 fine under Section 76 of the Excise Act 1976.

Yesterday, Tengku Zafrul told Dewan Rakyat that state governments have full prerogative to decide whether to mandate liquor licences on businesses.

This means the federal government’s decision to backtrack a policy that requires coffee shops and restaurants to get additional licences to sell beer and stout is not final, as states have the last say.

Tengku Zafrul said that licensing for liquor sales is under the jurisdiction of the Licensing Board, which is appointed through the delegation of the finance minister’s powers to state menteri besar and chief ministers.

“As of today, there are no amendments made to the aforementioned delegation of power, where state governments are given the power to make decisions related to liquor licensing.

“I admit that recently, there has been confusion on the implementation and enforcement of the licensing for the sale of alcoholic beverages at the state level. 

“I would like to give my assurance that the empowerment given to the states through a gazetted order in 1977 remains without any changes.” 

It was reported on Sunday that coffee shops selling beers had been notified last month through a briefing by the Customs Department of the new licensing policy that will take effect on January 1. 

After drawing flak from various quarters, Wee announced on Tuesday that the government has reversed this ruling, and ordered the Customs Department to do likewise. – The Vibes, December 10, 2021