To modernise the regulatory framework while balancing economic growth with social responsibility
By ULUTAH GINA
Solomon Star, Gizo
The Provincial Minister of Finance, Hon. Ronnie Ghemu, has tabled proposed reforms to liquor licence fees before the Assembly, outlining measures aimed at modernising the regulatory framework while balancing economic growth with social responsibility.
Speaking in the House on Wednesday, Minister Ghemu clarified that the proposed adjustments are not purely revenue-driven, but are intended to ensure the licensing system remains fair, relevant, and responsive to current economic conditions.
He noted that administrative, enforcement, and monitoring costs associated with licensed premises have increased over time, while existing fees have largely remained unchanged.
He stressed the importance of managing the alcohol sector responsibly, highlighting its dual impact on the economy and society.
While alcohol sales contribute to business activity, employment, and overall economic growth, they also pose social risks that require effective regulation.
Minister Ghemu said the proposed reforms were developed following consultations with key stakeholders, adding that the changes are designed to support small and emerging businesses while maintaining a vibrant and responsible hospitality industry.
“The proposed adjustments are reasonable, measured, and necessary to sustain an effective and efficient liquor licensing system,” he told the Assembly.
He commended the proposals to the House for consideration, expressing confidence that the reforms would strengthen the regulatory environment and better reflect present-day realities.
Last year a team from the International Finance Corporation (IFC) visited Gizo to review the Western Province Business Licences Ordinance, with a particular focus on tourism-related licensing fees.
According to the Western Provincial Government (WPG) the current fee structure has not been significantly updated for several years.
With rising administrative costs and the ongoing recovery of the tourism sector following the pandemic, authorities are now looking to standardise fees in line with current economic conditions.
Officials also indicated that efforts are underway to streamline business licensing processes in the province, allowing operators such as eco-lodges and dive resorts to avoid paying multiple overlapping fees.
The review is expected to assess how liquor licensing can be integrated into a more efficient “one-stop” system.
Licence categories under consideration include retail full and beer licences, publican’s licences, nightclub and restaurant licences, and occasional licences.
Officials said the review is timely as Western Province continues efforts to rebuild its tourism industry after years of economic challenges.
