New Zealand Legislation: Regulations

Explanatory note

This note is not part of the order, but is intended to indicate its general effect.

This order, which comes into force on 1 July 2009, sets the amount of the Alcohol Advisory Council levy for the 2009/2010 financial year for each class of liquor described in the Alcohol Advisory Council Act 1976 (the Act). This order replaces the earlier Alcohol Advisory Council Order 2009 because that order mistakenly defined the levy by reference to an amount of cents per litre of liquor, whereas it should be defined as an amount of dollars per litre.

The Act was amended earlier this year, and this is the first time that the Alcohol Advisory Council levy has been set using the new classifications and method set out in the amended Act. The new method involves determining a levy payable in respect of each of the 6 classes of liquor described in the Act. The classes are based on the volume of alcohol per litre of liquor. Each class is assigned a rate that broadly represents the amount of alcohol in the various kinds of liquor within that class. The levy is calculated by applying that rate, which results in the highest levy being payable in respect of the class of liquor with the highest alcohol content.

The Act specifies the rate for classes A, C, and D, but describes the rate for classes B, E, and F as variable. Each year, the rate to be applied to those classes must be determined by the Minister, based on the volume of liquor of each class that was imported or manufactured in the previous year. This order therefore sets out the rates used for each class, including the 3 variable rates determined by the Minister, as well as the resulting amount of levy for each class.