Telangana unveils its excise policy

Hyderabad: Telangana government on Saturday announced its new excise policy for the year 2014-15. The policy will be in force for one year, i.e., from July 1, 2014, to June 30, 2015. As per the new policy, licence to liquor shops will be issued on a fixed fee, and licences will be granted through a draw of lots. There are 2,216 liquor shops in Telangana. However, the modalities for granting licences to bars are yet to be finalised.

The new policy has divided the towns and cities into six categories as per the population based on 2011 census and licence fee has also been fixed accordingly. The licence fee ranges from Rs 32.50 lakh to Rs 90 lakh.  For a area  with a population of 10,000 or less, the licence fee for allotting a liquor shop will be  Rs 32.50 lakh. 

For population of 10,000 to 50,000, it will be Rs 34 lakh, for a population of five lakh to three lakh, the fee will be Rs 42 lakh, for population of three lakh to  five lakh, it is Rs 50 lakh, for population of five lakh to 20 lakh, it is Rs 68 lakh and for population of more than 20 lakh, the amount would be Rs 90lakh.

Excise minister T. Padma Rao said  that a  draw of lots will be held on June 23 to allot licences. He said the government expects to earn revenues of Rs 10,500 crore though sale of liquor this year as against Rs 931 crore earned last year. He added that the government expects to earn Rs 1,080 crore.

With no takers for 175 liquor shops in GHMC limits last year due to high licence fees of Rs 1.04 crore, the government reduced it by Rs 14 lakh this year which would bring down  the fees to Rs 90 lakh.

He said each liquor bottle will have a hologram and barcode and stringent action will be taken against dealers selling liquor at higher prices than the MRP.  “A penalty of Rs 1 lakh will be levied for  the first time offence, Rs 2  lakh for the second time offence and cancellation of shop licence for third time offence,” Mr Rao said.

He said the licence fee in Warangal and Karimnagar has been increased by Rs 4 lakh. Saying that the state will act tough against belt shops, he added that the government is yet to take a decision on allowing toddy shops in GHMC limits, which were banned years ago.