L-G approves AAP govt's move to extend excise licence validity

New Delhi: Delhi Lt Governor VK Saxena on Monday approved the AAP government's move to extend excise licence of private liquor vends as well as hotels and bars by a month, holding out hope that alcohol supply would be resumed in a city that had to observe an unofficial dry day.

No alcohol was served in bars, pubs, restaurants and hotels and none could be bought either as permits expired on July 31.

The Lt Governor has approved the Delhi government's proposal, sent late last night, for extending the Excise Policy 2021-22 by a month, officials said.

The excise department in an order stated that the retail and wholesale licenses will be extended to August 31 on payment of the requisite license fee.

It also directed to revert to the previous regime of excise duty-based policy that was prevalent before November 17, 2021, from September 1.

Further, it issued an order saying new category of licence L-38, not present in the old regime, will be allowed to continue till its expiry. The L-38 licenses are meant for serving liquor at events such as parties and weddings.

Another order said the licenses given under Hotels, Clubs and Restaurant (HCR) category from September 1 will be deemed to have been issued under the old excise policy, operational before November 17.

Some restaurateurs also said that although the process for extension of licence will be done online, it will take at least a day or two to complete it, which would mean people will have to wait for their liquor.

"This extension has been approved essentially as a limited transitory measure considering the tenure of existing licences that expired on July 31, 2022, and to maintain the confidence of people at large in the administration," said sources in the L-G office.

The L-G has noted that there was "no other option" but to agree with the Delhi Cabinet decision taken on Sunday to extend the tenure of the existing retail and wholesale licence for one month's time for stock clearance, and to avoid closure of retail and wholesale vends, as well as prevent any law and order situation due to non-availability of liquor in the city, they said.

The excise licence will be issued by the government on payment of license fee for the extended period. The private retail liquor vends that apply for extension will operate till August 31.

The Delhi government as announced by Deputy Chief Minister Manish Sisodia last Saturday will revert to old excise policy regime and operate liquor stores through its four corporations, from September 1.

Meanwhile, AAP said that the whole chaos surrounding the New Excise Policy is nothing but a ploy of the BJP-ruled Central Government, who is their nominee itself.

"For the sake of politics, they have taken to antics that are going to hurt the economic situation of the national capital. The BJP and its nominee L-G, are the same people who have been repeatedly threatening liquor licensees by coercing the ED & CBI to take their agenda forward," it said.

The four corporations - DSIIDC, DTTDC, DCCWS and DSCSC - ran 475 liquor stores out of total the 864 in Delhi under the old excise policy regime. The private stores licences held by individuals numbered 389.

There were 468 operational private liquor vends in Delhi till their licence expired on Sunday. Under Excise Policy 2021-22, Delhi government had divided the city into 32 zones, each having maximum 27 liquor vends, licence for which were issued to 14 private firms through open auction. Out of total 849 liquor vends, only around 639 had managed to open since November 2021.

Currently, among the zonal licensees, nine have already quit the business and three more have expressed their intent to do so, officials said. The Excise Policy 2021-22 was extended by the government till July 31 was withdrawn in the backdrop of a CBI probe recommended by the Lt Governor into alleged violation of rules and procedural lapses in its implementation.

The policy was extended twice since April this year, as the government was still working on a revised excise policy for 2022-23 for which necessary approvals were yet to be taken.