MEC Lebogang Maile Commits to Resolving Liquor Licensing Challenges at Stakeholder Meeting

By Carol Mohlala

In a significant step towards resolving long-standing challenges in the liquor licensing system, the Gauteng MEC for Economic Development, Lebogang Maile, met with key liquor industry stakeholders. The meeting aimed to address pressing issues such as the backlog of liquor license applications, the operational shortcomings of the Gauteng Liquor Board (GLB), and allegations of corruption within the system.

Tackling the Liquor License Backlog

One of the central topics of discussion was the 791 liquor license applications currently in a backlog, with 80% of these applications reportedly rejected. MEC Maile emphasized that addressing this backlog is a top priority for the department, highlighting the need for efficient, transparent, and fair processes.

To this end, the MEC has tasked the Chair of the Gauteng Liquor Board with conducting a thorough review of the backlog to understand the underlying issues causing delays. A key focus will be on providing clear, written reasons to applicants whose applications are rejected, ensuring that they are informed and empowered to address any compliance issues.

“The Liquor Board must expedite its processes, but we will not dictate whether to issue or not issue licenses. The focus is on improving turnaround times and communication,” said MEC Maile.

Streamlining Communication and Improving the Online System

A recurring concern raised by stakeholders was the lack of communication between the GLB and applicants. Several stakeholders expressed frustration over prolonged waiting periods, with some applications pending for years without any updates.

The introduction of the new GLB online system, intended to streamline the licensing process, has faced some implementation challenges. While the system was designed to reject incomplete applications and improve turnaround times, stakeholders raised concerns that it is not functioning as intended.

Some applications are processed within 90 days, while others experience extended delays. In response, MEC Maile acknowledged the flaws in the system and committed to reviewing its performance to ensure that all applications are processed fairly and consistently. “We are working to ensure that the online system functions as it should, with clear communication and regular updates to applicants,” he said.

Addressing Corruption and Unethical Practices

MEC Maile also took a firm stance on corruption within the liquor licensing process, condemning any acts of bribery or the solicitation of “expedition fees” in exchange for faster processing of applications. Stakeholders highlighted instances where applicants were reportedly asked to pay between R10,000 and R50,000 to expedite their licenses.

The MEC encouraged whistleblowers to come forward with information about these unethical practices, assuring them of full protection under the law. He stressed that corrupt officials must face dismissal rather than mere suspension. “We will not tolerate any sabotage of government business. Officials who request bribes will be dealt with decisively,” Maile stated.

Improving Access and Fairness for Township Businesses

Another critical issue raised was the high rejection rate of liquor license applications from township businesses, particularly in areas like Alexandra, where 8 out of 10 applications are denied. MEC Maile assured stakeholders that this imbalance would be addressed, and fairness in the application process would be prioritized.

The meeting also touched on the challenges related to Local Authority Approval (LAA) for license applications, including for restaurants. While precedents had previously been set where LAA was not a requirement, the inconsistent application of this rule has created confusion and delays. A task team will be established to clarify and streamline these processes.

Ensuring Accountability in the GLB

MEC Maile concluded the meeting by outlining clear expectations for the Gauteng Liquor Board. He called for improved accountability, with officials required to be present in the office, answering calls, and responding to emails. He underscored that the board must fulfil its mandate to provide efficient service to the public, in line with the government’s commitment to service delivery.

“The office must be open, calls must be answered, and emails must be attended to. We will not compromise on this,” the MEC reiterated.

The Road Ahead

MEC Maile’s proactive approach to addressing these challenges signals a commitment to ensuring that the Gauteng Liquor Board becomes a well-functioning entity that serves the needs of the province’s liquor traders. By tackling the backlog, improving communication, addressing corruption, and ensuring fair access for all businesses, particularly those in townships, the MEC is laying the foundation for a more accountable and efficient liquor licensing system.

The Department of Economic Development, under MEC Maile’s leadership, will continue to engage with stakeholders and monitor progress closely, ensuring that these reforms translate into tangible improvements for the liquor industry in Gauteng.

For further information and updates on liquor licensing processes, stakeholders are encouraged to engage with the Department via official communication channels.