Alcohol

Questions and Answers about the Regulation of Alcohol Advertising

Why is alcohol advertising regulated?
Alcohol is a psychoactive drug with a high level of public acceptance of its use and misuse that causes both chronic and acute harms in society. In this way it is different from most other products that are advertised.

Does everybody agree that alcohol advertising should be regulated?
Both policy-makers and industry groups agree that alcohol advertising should be regulated in some way - what is not agreed is how best to achieve that regulation.

How is alcohol advertising currently regulated?
In February 1992, Cabinet approved proposals for the industry to self-regulate alcohol advertising. In 1993, an amendment to the Broadcasting Act 1989 gave the Advertising Standards Authority (ASA) sole jurisdiction over the content of liquor advertisements broadcast on radio and television including responsibility for reviewing the Code on Liquor Advertising.

The ASA, which is funded by the advertising, media and broadcasting industries, has formulated the Advertising Codes of Practice of which the Code for Advertising Liquor is one. All media, advertisers and communications agencies are committed to upholding them.

The ASA has established an independent Advertising Standards Complaints Board (ASCB) whereby any member of the public who considers that there has been a breach of any of the Codes may complain to the ASCB which will seek comments from all interested parties then adjudicate on the matter. If the complaint is upheld, then the offending advertisement must be withdrawn immediately.

While the ASA is an industry body, the ASCB includes four public representatives as well as four representatives from the relevant industries of advertising, media and broadcasting. The Chairperson is also a public representative. There is also an Appeals Board made up of two public representatives and one industry representative.

The Liquor Advertising Pre-Vetting System (LAPS) is a system to ensure that liquor advertisements comply with the Code for Advertising Liquor and other advertising codes. LAPS is a voluntary commitment by the liquor companies belonging to the Association of New Zealand Advertisers Inc (ANZA).

Haven’t there been previous reviews?
When broadcast alcohol advertising was allowed in 1992, the ASA not only gained sole jurisdiction over the content of advertisements it was also given the right to conduct its own reviews of the Code for Advertising Liquor. There have been five reviews since 1992 - the last review took place in 2003 under the Chair of the Rt Hon Sir Michael Hardie Boys.

How did the present review come about?
In December 2004, the Health Select Committee considered the petition of Dr Viola Palmer and 2,869 others. The petition expressed concern about alcohol advertising in New Zealand and requested action by the Government. The Government’s response to this petition was to ask the Inter-Agency Committee on Drug Policy (IACD) to prepare a paper for the Ministerial Committee on Drug Policy (MCDP) exploring the need for a Government-led review of the regulatory regime for alcohol advertising and to outline options for such a review.

At its meeting on 14 June 2005, the MCDP considered the IACD’s recommendations and agreed that there was a need for a Government-led review of the regulatory framework for alcohol advertising and the preferred type of review was an officials’ review.

On 22 May 2006 the Terms of Reference for the review were approved by Cabinet.

What is the Government’s alcohol policy?
The focus of the Government’s alcohol policy is harm minimisation and changing New Zealand’s drinking culture to one where bingeing and intoxication are seen as unacceptable. Responsible marketing is a demand reduction objective of the Government’s alcohol strategy.

What is the goal of the review?
The goal of the review is to assess whether or not the current regulatory framework for alcohol advertising meets the needs of Government policy concerning liquor advertising. The regulatory framework for alcohol advertising should effectively:

ensure alcohol advertising does not conflict with or detract from the need for responsibility and moderation in liquor consumption
support a change in cultural norms from heavy drinking leading to intoxication to moderate drinking and
minimise overall exposure of alcohol advertising to children and young people under the minimum legal purchase age.

What will be covered by the review?
The review will consider alcohol advertising in all its forms, how it is regulated and whether that regulation supports Government’s stated alcohol policy objectives.

Are there any limits on the review?
The review will apply the principles of proportionality and fairness so that any changes to the current regulatory framework are not out of proportion to the potential and real harms associated with alcohol advertising. Any changes must also be justifiable in relation to regulatory frameworks for advertising other products.

How is the review structured?
A Steering Group will oversee the review and develop recommendations for the lead Minister, Hon Damien O’Connor, Associate Minister of Health. The Steering Group will produce an interim report and a final report to Minister O’Connor who will brief the Ministerial Committee on Drug Policy (MCDP).

Will industry groups be involved in the review?
Consultation with industry groups will be undertaken through a stakeholder reference group process. In addition the Executive Director of the Advertising Standards Authority is a member of the Steering Group

What is the time frame?
The government has directed officials to complete the review by the end of 2006.

National Drug Policy New Zealand

Alcohol

Questions and Answers about the Regulation of Alcohol Advertising