Hyderabad: The Supreme Court order banning liquor outlets near national and state highways would result in closure of more than 70 per cent of existing outlets in the two Telugu States.
If implemented from March 31, 2017, as directed by the top courts, the liquor shops have to be shut ahead of their valid licence period by three months in AP and six months in TS.
Owners are worried about suffering losses if their shops are closed ahead of the licence period. In GHMC limits, they had paid Rs 1.08 crore to set up a liquor shop and Rs 40 lakh for a bar. In the districts, the fee was between Rs 70 lakh and Rs 1 crore, while for bars it was Rs 20 lakh and Rs 35 lakh in TS.
“If 500 metres distance from highways is implemented, hardly a handful of shops will survive in the state. We need to shift our shops to interior villages. This will not be financially viable as we cannot expect consumers to come down to the villages from highways and search for shops. It would be difficult even to recover our licence fee,” said Mr D. Venkateshwar Rao, president, Telangana Wine Dealers Association.
The TS government is implementing the norm of not allowing liquor outlets within 100 metres from highways since last year against 50 metres earlier. Dealers pointed out to the lack of clarity over which road is a highway and which is not.
They argued that roads passing through core areas of the city like Nampally, Malakpet and Rashtrapati Road were being treated as highways since 1956 and government should give provide clarity on this.
“We want the government to appeal in the Supreme Court seeking clarity over what comprises a highway. The government should also give clarity whether they would be compensated for the losses suffered on account of closure of shops few months ahead of our licence period,” he said.
Excise commissioner, R.V. Chandravadan refused to comment on the issue. “We are yet to receive the judgement copy. We will respond only after going through the orders,” he said. AP has nearly 4,200 liquor retail outlets and of them more than 50 per cent are located along highways.
In Telangana state, there are 2,144 liquor shops, 853 bars and 27 clubs, of which over 70 per cent would fall within 500 metres norm. Excise officials say that Excise Rules, 2012 have to be amended in both Telangana and AP to ensure the implementation of SC orders.
