The Punjab government is mulling over imposing a special COVID cess on liquor sale, while it has set up a three-member committee to assess the actual loss due to the closure of liquor vends in view of the coronavirus outbreak.
Announcing some relief for liquor contractors, Chief Minister Amarinder Singh on Wednesday said his government would provide adjustments to the licencees for losses incurred during the lockdown period starting from March 23 till May 6.
However, he ruled out extension in the contract of liquor vends beyond March 31, 2021, which was the major demand of liquor contractors. They had been seeking 37 more business days which were lost because of the lockdown.
On the issue of home delivery of liquor, Singh has left this option to the liquor contractors, citing the Supreme Court's observations in this regard. He said that provisions of the existing excise policy would continue to be applicable.
The Supreme Court had suggested home delivery/indirect sale of liquor, in its order on May 8, to facilitate social distancing during the period of lockdown.
The government's decision of providing liquor at people's doorsteps drew opposition from several quarters, including wives of two Congress leaders. They had sought review of this decision, fearing that it might lead to increase in domestic violence cases.
The chief minister has set up a Group of Ministers (GOM) to consider the Finance Department's proposal, along with adjustment if any, to be given to licencees in case of future lockdown/s (complete or partial during 2020-21, and any other grievances and difficulties, as may be experienced or raised by the licencees), according to a government release here.
The GoM, comprising the finance minister, education minister and the housing and urban development minister, has also been mandated by the CM to consider the issue of levying a special COVID cess on sale of liquor, as has been done by several other states in the wake of losses incurred due to the prolonged lockdown, it further said.
Singh also constituted a three-member committee of senior officers to assess the actual loss resulting from the closure of liquor vends amid the COVID-19 outbreak.
On Monday, the chief minister was authorised by the council of ministers to approve suitable changes in the state excise policy as warranted due to the pandemic and the resultant curfew.
He accepted the recommendation of the excise department, aligned to the advice of the Finance Department, to maintain the period of contract of liquor vends till March 31, 2021.
It also approved the Finance Department's recommendation to provide proportionate adjustment of the minimum guaranteed quota (MGQ) for the losses incurred in the nine days of lockdown in March.
The revenue, both licence fee and minimum guaranteed revenue (MGR), for the period of loss from April 1 to May 6, may also be adjusted/ re-determined accordingly by the excise department.
The licencees of 2019-20 could not complete the year as on March 31, 2020 as their vends were closed for nine days due to the imposition of curfew from March 23 onwards.
The liquor vends for the year 2020-21, which were due to open on April 1, 2020 in pursuance of the state excise policy 2020-21, could not be opened due to the lockdown.
Despite having the permission to open liquor vends from May 7, the majority of contractors have kept their shops shut, seeking relief from the state government.
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