Andhra Pradesh Excise grant of bar and wine shop license for 5 years

In exercise of the powers conferred by Section 72 read with Sections 17, 28 and 29 of the Andhra Pradesh Excise Act, 1968 (Act 17 of 1968), and in supersession of all the earlier Rules and orders issued on the subject, the Governor of Andhra Pradesh hereby makes the following Rules:

Rules on How to get wine shop license in Andhra Pradesh Excise Policy for 2019-20

(1) These rules may be called the Andhra Pradesh Excise (Grant of License of selling by Bar and conditions of licence) Rules, 2017.

(2) They shall extend to all the areas where the Andhra Pradesh Excise Act, 1968 is in force.

(3) They shall come into force at once.

Application:-

These rules shall apply for the grant of licence by bar, conditions governing thereof and transport of Indian Made Foreign Liquor and Foreign Liquor by such licensees.

  1. Definitions:-

(1) In these rules unless the context otherwise requires:-

(a) “Act” means the Andhra Pradesh Excise Act, 1968,

(b) “Basic Price” per case of Indian Made Foreign Liquor manufactured within the State includes cost price, cost of holographic Excise adhesive label, freight, handling charges, insurance and in respect of Indian Made Foreign Liquor manufactured outside the State, it also includes Central Sales Tax, Export fee and import fee.

(c) “Bar” means the privilege granted under these Rules to an establishment where food is served, for sale of Indian Made Foreign Liquor and Foreign Liquor, in loose or in sealed bottles for consumption on the licensed premises.

(d) “Beach Shack” means a semi-permanent structure located along the beach and licensed by the local authority to serve food.

(e) “Beer” includes ale, stout, porter and all other fermented liquors usually made from malt.

(f) “Case” of Indian Made Foreign Liquor other than Beer, Wine and Ready to Drink varieties means 9 numbers of 1000 ml, 12 numbers of 750 ml, 24 numbers of 375 ml, 48 numbers of 180 ml, 96 numbers of 90 ml or 150 numbers of 60 ml glass/PET bottles/Aseptic Brick Pack or any other pack as approved by the Commissioner of Prohibition. & Excise.

(g) “Dry day” means a day on which no liquor shall be served in the licensed premises;

(h) “Holographic Excise Adhesive Label” means the label designed and approved by, printed and supplied by under the supervision and control of the Commissioner of Prohibition and Excise, from time to time in different forms for the purpose of its affixture to sealed bottles of different varieties and sizes containing liquor.

(i) “Foreign liquor” includes every liquor imported into India other than Indian Made Foreign Liquor,

(j) “Form” means a form appended to these rules,

(k) “High Way” means National Highway or State Highway as notified by the competent authority.

(l) “Indian Made Foreign Liquor” means liquor produced, manufactured or compounded in India after the manner of Gin, Brandy, Whisky or Rum imported from Foreign Countries and includes, Wine, Beer, Milk punch and other liquors consisting of or containing any such spirits but does not include Foreign liquor”.

(m) ‘Licence’ means licence granted under these rules;

(n) ‘Licensee’ means holder of such licence;

(o) “License Fee” means the annual license fee with an enhancement of 10% annually and includes proportionate license fee.

(p) “Licence period” means a period of 60 months beginning from the 1st July of the first year and ending with 30th June of the fifth year or part thereof.

(q) “Population’ means the figure of population as officially published in the latest census.

(r) “Proportionate License Fee or proportionate non-refundable registration charge” for the purpose of collection of license fee and non-refundable registration charge means the License fee or the non-refundable registration charge calculated proportionately to one quarter of the License period.

  Provided that a part of quarter shall be reckoned as a whole quarter. 

(s) Ready to Drink alcoholic beverage means any low alcoholic beverage made from spirit or any alcoholic beverage as base with admixture of natural juices and / or artificial flavors, spices, coloring agents and sugar containing added alcohol of not more than 8% V/v, usually carbonated.

(t) “Registration Charge” means the non-refundable registration charge fixed per annum with an enhancement of 10% annually and includes proportionate non-refundable registration charge.

(u) “Transport Permit” means a permit issued by the competent officer for transport of Indian Made Foreign Liquor & Foreign Liquor from the Government / Andhra Pradesh Beverages Corporation Ltd. / Andhra Pradesh State Beverages Corporation Ltd. depot to the licensed premises.

(v) Wine means the fermented juice of grapes or other fruits with or without the addition of sugar or jaggery, the fermentation being produced by the yeast naturally present on the skin of fruit or added externally and having alcoholic strength not exceeding 42% v/v by proof spirit and includes Fortified Wines, Red Wines, Sparkling Wines and Sweet Wines.

(2) The words and expressions used but not defined in these rules shall have the meanings assigned to them in the Andhra Pradesh Excise Act, 1968 and Andhra Pradesh Excise (Import, Export and Transport of Indian Made Foreign Liquor and Foreign Liquor – Permits) Rules, 2005.

Licenses:-
(i) License in Form-2B may be granted to an establishment licensed by the local authority to serve food such as a Hotel or a Restaurant, for the sale of Indian Made Foreign Liquor and Foreign Liquor in glasses, pegs or in sealed bottles for consumption within the licensed premises but not for removing it out of the licensed premises. Such licence may be granted to the establishments functioning in Nagar Panchayats, Municipalities and within a belt area of 2kms from the periphery of such Municipalities and Municipal corporations and within a belt area of 5kms from the periphery of such Municipal Corporations and in Tourism Centers (except places of religious tourism) as notified by the Department of Tourism of the Central Government or by the State Government in the Tourism policy and in the tourism resorts registered with the Tourism Department in order to promote tourism in the State and Micro Brewery license holders.

(ii) Licence in Form-2B(P), may be granted to an establishment licensed by the local authority to serve food such as a Hotel or a Restaurant for the sale of Beer, Wine and Ready to Drink alcoholic beverages in glasses or pegs or in sealed bottles for consumption within the licensed premises but not for removing it out of the licensed premises. Such licence may be granted to the establishments functioning in Municipal Corporations and Tourism centers (except places of religious tourism) as notified by the Department of Tourism of the Central Government or by the State Government in the Tourism Policy in Beach Shacks recognized by the APTDC and in Tourism resorts registered with the Tourism Department to promote tourism in the State.

Licensing authority :-

The Commissioner of Prohibition and Excise shall be competent to grant prior clearance and the Deputy Commissioner shall be competent to grant the privilege of Bar. The Prohibition and Excise Superintendent shall issue the License in the prescribed Form. Existing licences granted under the Andhra Pradesh Excise (Grant of Licence of selling by Bar and Beer and Wine parlors and conditions of licence) Rules, 2005:- The Andhra Pradesh Excise (Grant of Licence of selling by Bar and Beer and Wine parlors and conditions of licence) Rules, 2005 shall cease to operate on the commencement of these Rules and all the licensees who have been granted licenses under the Andhra Pradesh Excise (Grant of Licence of selling by Bar and Beer and Wine parlors and conditions of licence) Rules, 2005, and continued till the commencement of these Rules shall be entitled for grant of licenses under these Rules subject to payment of non-refundable application fee, non-refundable registration charge and license fee as prescribed and fulfillment of other conditions laid down under these Rules.

Establishment of bars:-
Subject to such directions as may be issued by the Government from time to time, new bar licenses may be granted in Urban Local Bodies where there are either no bars or inadequate number of bars by following a population criteria of one bar upto 30,000 population and in its multiples.

Provided that grant of licenses in Form-2B for star hotels (3-star & above), Micro Breweries and tourism centers (except religious tourism) as notified by the Department of Tourism of the Central Government or by the State Government in the Tourism policy and in the tourism resorts registered with the Tourism Department shall be on filing prescribed applications and subject to fulfillment of eligibility conditions, irrespective of population of the place.

Provided further that all the existing licensees who are entitled for grant of licenses under Rule 6 shall file application online in Form-E1 for enrollment duly paying the non-refundable application fee, non-refundable registration charge and license fee as prescribed under these Rules and submit application form in Form-1B along with Form-BR1(system generated) on or before the last date and time notified by the license issuing authority for registration and grant of license.

Provided also that in case the existing licensee who is entitled for grant of license under Rule 6 fails to apply on or before the last date and time notified or a bar licence other than that of star hotel (3- Star and above), Micro Brewery or Tourism Center is cancelled, such bar may be notified duly calling for applications for grant of fresh license.

  1. Procedure for selection of applicants for grant of license in Form-2B:-
    1) Where it is proposed to grant license to sell Indian Made Foreign Liquor & Foreign Liquor by bar in Form-2B, the license issuing authority may call for applications for grant of licenses in the Nagar Panchayats,
    Municipalities including the belt areas of 2 KM from the periphery of
    such Municipalities and Municipal Corporations including the belt area of 5 KM from the periphery of such Municipal Corporations, as approved by the Commissioner of Prohibition & Excise by issuing a notification in the district gazette at least 5 days in advance of the date
    of selection containing the following particulars, namely:-

(a) Serial number and name of the Nagar Panchayat / Municipality / Municipal Corporation in which the bar will be established.

(b) The place of selection with time and date.

(c) The Last date, time and place for receipt of applications.

(d) The period of license, non-refundable application fee, nonrefundable registration charge and license fee.

(e) Procedure of online enrolment by the applicant(s) for registration.

(f) Any other relevant matter.

2) Submission of applications for enrolment for registration and selection for grant of license:-

(a) (i) The applicant shall enroll through online for registration with the license issuing authority by filling application in Form-E1 for participating in the selection process of Bar.

(ii) After enrolment as laid down in the sub-Rule 2(a)(i), the applicant shall obtain Form-1B, and Entry Pass in Form-EB1, both system-generated, for each bar separately for onward submission to the license issuing authority as laid down under these Rules.

(b) The application in Form-1B shall be submitted by the applicant for each bar separately in an envelope addressed to the license issuing authority on or before the last date and time notified for receipt of such applications along with the following:
(i) A Challan for Rs.2,00,000/- towards non-refundable application fee.

(ii) Two recent passport size photographs.

(iii) Self attested Photostat copies of PAN Card & Aadhar Card

(iv) Two years Income Tax/VAT returns.

(v) Demand Draft for an amount of Rs.3,00,000/- (Rupees Three lakhs only) towards earnest money deposit drawn in favour of the License issuing Authority to be adjusted against the licence fee/non-refundable registration charge payable if Bar licence is granted on selection of the applicant or returned if the same is not granted or refused due to any reason.

(vi) Copy of plan of the proposed premises.

(vii) If the proposed premises is rented, copy of consent letter of the owner for establishment of bar.

(viii) A copy of Trade License containing the details of hotel/restaurant etc., licensed by the competent local authority to serve food.

(3) Applications not accompanied by the relevant documents/ enclosures specified in sub-Rule (2) shall be forthwith rejected by the license issuing authority with the approval of the District Collector.

(4) Every application shall be taken into consideration if it is presented on or before the prescribed date and time and no application shall be received after the prescribed date and time notified by the license issuing authority.

(5) Entry Pass in Form-EB1 shall be issued to the applicant if the application is accepted by the license issuing authority and no person other than the officers on duty and persons duly authorized by the selection authority shall enter the place of selection without presenting Entry Pass.

(6) The selection process shall be taken up at the place, time and date notified in the presence of the applicants who are available at the time of selection.

Provided that if the District Collector considers that the selection process should be postponed to a future date/time or shifted to a different venue for any reason, he may do so by recording the reasons there for and after notifying the same to the applicants.

(7) The selection process shall be taken up bar-wise as notified in the District Gazette.

Provided that the Commissioner of Prohibition & Excise may for reason(s) to be recorded in writing, withdraw any bar from the selection process before the same is commenced.

(8) At the commencement of the selection process, the selection authority shall first announce the number and names of applicants who have filed applications for that particular bar.

(9) Where there is only one application for the bar notified, if the license issuing authority is satisfied that the applicant is eligible for grant of license, he shall declare the applicant as selected for grant of license.

(10) (a) Where there are two or more applications for a bar notified, the selection among the eligible applicants for grant of license shall be by drawl of LOT by the District Collector, who shall be the selection authority to conduct the process of selection of applicants for grant of license.

(b) The drawl of LOT as provided in sub-Rule (a) may be either manual or through a computer as may be decided by the
Commissioner of Prohibition. & Excise.

(11) The selected applicant shall follow the procedure prescribed under these Rules to obtain the license.

(12) In case the selected applicant fails to obtain the license within (45) days of such selection, the earnest money deposit submitted along with the application in the form of demand draft shall stand forfeited to the Government.

  1. Application and procedure for grant of Licence:-
    (1) A person intending to establish Bar in Form-2B in star hotel (3-star and above), tourism center (other than religious tourism place) and Micro Brewery or in Form-2B(P), as the case may be, may submit an application in Form-1A to the Commissioner of Prohibition and Excise enclosing a challan of Rs.2,00,000/- towards non-refundable application fee to get prior clearance.

(2) The Commissioner having due regard to requirement and other factors as he deems fit and subject to the directions of the Government as may be issued from time to time in this regard, may grant prior clearance in Form-2A to such of the applicants covered under sub-rule (1).

Provided that it shall not be necessary for the existing licensee who is entitled for grant of license under Rule 6 and the applicant selected for grant of license in Form-2B under Rule 8 to obtain prior clearance in Form-2A.
Provided further that the existing licensee who is entitled for grant of license under Rule 6 shall remit Rs.2,00,000/- towards non-refundable application fee and enclose the challan to the application form in Form-1B.
Provided also that the selection or grant of prior clearance shall not confer any right on the applicant for grant of licence. The holder shall not claim for any compensation or loss in case the licence is not granted.
(3) (a) The holder of prior clearance, the existing licensee who is entitled for grant of license under Rule 6 or the applicant selected for grant of license under Rule 8, as the case may be, may apply in Form-1B for grant of licence in the prescribed form to the Prohibition and Excise Superintendent concerned where the applicant’s premises is to be licensed.

(b) No application in Form-1B shall be submitted by the applicant unless he registers with the Prohibition & Excise Superintendent concerned and obtains Registration Certificate in Form-BR1.

(4) Registration Certificate in Form-BR1 shall be issued to the applicant on payment of non-refundable registration charge prescribed under Rule 14.

(5) The Prohibition and Excise Superintendent, after making such enquiry as he may think necessary, to ascertain the bona fides of the applicant and verifying the particulars furnished in the application should examine the suitability of the premises for granting Bar and forward the same to the Deputy Commissioner of Prohibition and Excise along with his report.

(6) The Deputy Commissioner, after causing such enquiry as he may deem fit, may grant the licence.

(7) The applicant before issue of licence shall execute a counterpart agreement in Form-4B, on the stamp paper of requisite value as per the provisions of the Indian Stamp Act, 1899.

  1. Persons not eligible for grant of licence:- The following persons are not eligible for grant of licences:-

(i) persons below the age of twenty one years,

(ii) persons who are undischarged insolvents or who have been convicted of offences under the provisions of the Act or the Customs Act, 1962 or Narcotics Drugs and Psychotropic Substances Act, 1985 (Central Act 61 of 1985) or convicted under Andhra Pradesh intoxicating liquors (Prohibition of Advertisements) Act, 1978 or convicted of non-bailable offences or are habitual offenders.

(iii) Persons suffering from leprosy or other contagious disease only in cases where such persons have to handle the stocks of liquor or beer in premises or elsewhere personally,

(iv) Defaulters in the payment of excise revenue to the Government.

  1. Restrictions on the grant of Licence:-

(1) A licence in Form-2B or 2B(P) shall not be granted.

(i) Unless the premises has:-

(a) A minimum plinth area of 200 Sq. Meters.

Provided that the minimum plinth area for Beach Shack shall be 100 Sq. Mts.

(b) Sanitary equipment like wash basins, washrooms separately for ladies and gents.
(c) Facility of cooking and serving complete meals of good quality to the consumers as licensed by local authority by providing a kitchen with a minimum plinth area of 15 Sq.Mtrs.
(d) Air conditioning or Air cooling facility in consumption rooms and halls of licensed premises.
(e) Adequate vehicle parking arrangement.

(ii) Unless the premises is situated within 100 meters from educational institutions recognized by the Government, places of public worship such as Temples registered with the Endowments Department, Mosques registered with the Wakf Board, Churches, established and managed by a registered Christian organization or society and Hospitals.

(iii) Within 500 meters of predominantly residential area, but licenses may be granted if the proposed premises is located on a main road used for shopping purposes.

Provided that the restrictions in clauses (i) to (iii) shall not be applicable to Star Hotels (3 Star and above) certified by the Tourism Department of the Central Government.

(iv) Within a distance of 500 Mts. of the outer edge of the national or state highway or of a service lane along the highway and the premises shall not be either visible or directly accessible from a national or state highway.

Provided that in case of areas comprised in local bodies with a population of 20,000 or less, the distance shall be 220 Mts.
(v) Unless the applicant produces Trade License from the local authority concerned and relevant License under the Food Safety and Standards Act-2006 issued by competent authority.
(vi) Unless the applicant produces lease deed on a Stamp paper for the proposed licensed premises from the owner of the premises.

Explanation:- For the purpose of this rule

“Place of public worship” means a temple registered with the Endowment Department, Mosque registered with Wakf Board and Church “established and managed by a registered Christian organization / society” and includes such other religious institutions, as the State Government may by order specify in this behalf;

(a) “Educational Institutions” means any Primary school, Middle School and High School recognized by the State Government or Central Government, Junior College or any College affiliated to any University established by law:

(b) “High Way” means National Highway or State Highway as notified by the competent authority.

(c) “Hospital” means any hospital which is managed or owned by a local authority, State Government or Central Government or any private hospital and has a provision of more than thirty (30) beds.
The distances referred to above shall be measured from the midpoint of the entrance of the proposed Bar premises along with the nearest path by which pedestrian ordinarily reaches the outer edge of the national / state highway or service lane, mid-point of the nearest gate of the hospital, institution or place of public worship, if there is a compound wall and if there is no compound wall to the mid-point of the nearest entrance of the Institution/ place of public worship, or the entrance of the first house of the predominantly residential area.

  1. Failure to comply with directions entails rejection of application:- Failure to remit fees or to rectify the defects or to comply with other directions relating to the premises, within the time allowed shall entail rejection of an application.
  2. Period of the Licence and commencement of business:-

Every license shall be valid for five years commencing from 1st July of the first year ending with 30th June of the fifth year, subject to payment of licence fee and non-refundable registration charge as prescribed.
Provided that the licence issued on or after the 1st July shall be valid up to the 30th June of the fifth year.
Provided further that a licence granted for a part of the licence period shall be valid for such period as may be specified by the licensing authority.
Provided also that every licensee shall commence his business from 1st July, or such other date as may be specified in the licence and shall keep the Bar open every day during the hours fixed till the expiry of the licence period with sufficient stock of Indian Made Foreign Liquor & Foreign Liquor unless the closure of the Bar is ordered by the competent authority for the period specified.
Before issue of a licence, the licensee shall execute a counterpart agreement in Form-4B on the stamp paper of requisite value as per the provisions of the Indian Stamp Act, 1899.

  1. Non-refundable registration charge and License Fee:-

(1) The mode of levying non-refundable registration charge and license fee shall be on the basis of population.

(2) The annual non-refundable registration charge and license fee for each of the licenses shall be as follows :

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