Feud over cut-price alcohol between supermarkets and pubs

THE low-cost liquor war has sparked a feud between major supermarkets and the powerful Australian Hotels Association.

beer

THE low-cost liquor war has sparked a feud between major supermarkets and the powerful Australian Hotels Association.

Coles has accused the AHA of using its political links to influence a "freeze" on liquor licences after being told by the Casino, Liquor and Gaming Control Authority (CLGCA) the current price low-cost booze battle has stalled applications for 17 new bottle shops.

"The Authority is concerned about introducing new outlets offering heavily discounted liquor in local communities vulnerable to alcohol-related harm," Authority chairperson Chris Sidoti said.

The feud comes after The Sunday Telegraph's front page story revealed the CLGCA had given Aldi the green light to sell $1 beers.

Coles, which owns Liquorland and the 1st Choice liquor outlets, has been running a "War declared on liquor prices" campaign in the lead-up to Christmas.

Retailers Woolworths and Aldi have also been ordered to provide more information about alcohol pricing before the Authority determines

their applications.

Coles spokesman Rob Hadler has denied links between discount liquor and alcohol-related harm.

"Industry sources have told us that the AHA is putting pressure on the NSW government and other liquor industry groups to campaign against the retailers," Mr Hadler said.

Communications director for the AHA Jason Bartlett said the allegation by Coles was baseless.

The AHA, which represents 1800 NSW pubs, has close political links with former Liberal Party vice president and powerbroker Michael Photios on their payroll as lobbyist. Former AHA boss Brian Ross was appointed to the CLGCA in August by the Minister for Hospitality George Souris.

Mr Ross stepped down eight days later after a furore erupted over the appointment. The matter has been referred to ICAC.

A spokesperson for Mr Souris said the claims were baseless. "The CLGCA is an independent body at complete arm's length from the Minister. There has been absolutely no lobbying by the AHA," the spokesperson said.