It may sound like the latest reality TV show, but grocery outlets in North Bay will be competing in a shop wars of sorts as they go up against other stores from across Northern Ontario and the rest of the province. The outlets will be aiming to be granted a license to sell beer before the close of this year and the bidding process comes after consumers had revealed they wanted more choice when buying beer.
Across Ontario as a whole there will be sixty licenses handed out across the province, but only six will be reserved for regions in Northern Ontario. That means North Bay store owners will be competing for six licenses against owners from Sudbury, Sault Ste, Marie, and Thunder Bay. The licenses will be handed out before the end of this year.
One of the six licenses will be especially for a small grocery store, while two will be reserved for large single grocery outlets. While the changes were announced back in April, it is only today that the bidding process has been opened, and the liberal government says the process will create jobs and boost the economy.
“Consumers told us they want more convenience and choice when it comes to buying beer. We are modernizing our province’s beer retailing system to give people better access to the products they enjoy — and doing it in a prudent and socially responsible way. These changes will also level the playing field for Ontario brewers, helping to create jobs and grow our economy,” said Kathleen Wynne, Premier of Ontario.
While handing out 60 new licenses may not seem like a large amount, it will actually be the biggest legislative change for alcohol since 90 years ago when prohibition ended. By 2017, when other license handouts have been completed, there will be 450 outlets that are carrying beer for the first time. The stores can only sell beer with a volume percentage of 7.1% or less, while the price must be set to match LCBO and the Beer Store.
This move has not received positive reception from all points, with some saying making beer more readily available will increase the risk of alcoholism, will raise drink driving, which in turn leads to more road accidents. While only time will prove that as true or false, any increase in road accident deaths as a result of the new beer laws will have an adverse effect on auto insurance premiums.
Negativity around the project is unlikely to deter shop owners in North Bay from entering the bidding process and potentially receiving a license that will boost revenue streams.