LICENSED bottle shops at Mount Burr and Nangwarry are in jeopardy due to crippling rises in State Government licence fees.
The annual Mount Burr charges are set to skyrocket from $805 to $2800 while
the levy at Nangwarry will climb to $1800.
The unforeseen fee hikes could threaten the viability of the Mount Burr business according to its proprietor George Copelin.
Together with his wife Rosie, they have run the town’s sole retailer since September but the outlook is bleak.
“We cannot figure it out,” Mr Copelin said of the new yearly charge which takes effect in just over 12 months.
“The State Government is putting the onus on small businesses and we cannot absorb the extra costs.
“We provide a service to the community.
“Our customers can come here and buy their packaged alcohol and do not have to drive into Millicent.
“In our seven-days-per-week business, we service the locals as well as visitors and workers in the forest”.
Mr Copelin said one option to cover the higher licence fees from 2020 was to raise the price of products.
However, he said he was reluctant to do so as he was already at a disadvantage to other alcohol retailers who could buy in bulk.
According to Mr Copelin, liquor sales account for 20pc of the general store’s business.
It remains a fuel and food outlet but the post office business was lost some time ago and before the Copelins purchased the business in 2018.
Kevin Dinnison has run the Nangwarry general store and licensed bottle shop for the past 20 years and is disappointed at the State Government stance.
Mr Dinnison said his business could probably cope with a yearly increase of $100 but not a rise of more than double.
“The Liberal Party is supposed to be all for small business but the Premier only seems to be interested in the money,” Mr Dinnison said.
“These [licensing] decisions are making it harder for small businesses to survive.
“Along with everyone else, our power prices are going up and you can do without that.
“We just do not understand why the licence fees have risen as there has been no justification.
“We have been told there was industry consultation but no one consulted with us”.
Mr Dinnison has praised Liberal member for MacKillop Nick McBride for his support on this issue.
“He has been trying to get answers for us.
“He has been in contact three or four times and been to visit us here”.
Mr McBride said he was following the matters raised by Mr Dinnison.
“He has raised his concerns with me about the change in fees under new proposed liquor licensing arrangements and implications of this increase for their business,” Mr McBride said.
“I have written to the Attorney General to seek clarification and further advice on this matter.”
In a statement, the spokesperson for Consumer and Business Services said the recent review of liquor licensing in South Australia recommended sweeping changes to licensing fees through the introduction of a risk-based model.
“The State Government has proposed a new fee structure, striking a balance between supporting a vibrant hospitality industry and protecting the public by encouraging a safe drinking culture,” the spokesperson said.
“The revised fee structure takes into consideration submissions made by industry bodies to the government during consultation and focusses on minimising risk for excessive consumption in areas and circumstances of higher risks.”
Shadow Minister Clare Scriven MLC said she was very concerned about the potential impact of liquor licence fee increases on small businesses.
“This is an increase of over 230 pc,” Ms Scriven said.
“It is not feasible for small businesses, such as the Mount Burr store and other local independents, to absorb that sort of cost.
“Small businesses are the lifeblood of the economy and key to maintaining our small towns.
“Before the election, Stephen Marshall and the Liberals promised lower costs, but we are seeing small business abandoned by this Government.
“We need to stand up for small business, not stand by while they are destroyed.”
