- Date:
- 13 May 2025
The supply and excessive consumption of liquor is associated with several harms. Areas with a high density of licensed venues can experience increased alcohol-related violence and the availability and promotion of alcohol can lead to issues such as anti-social behaviour and public disorder.
Alcohol-related harms also have substantial economic consequences. Research estimates that around 10% of police time is dedicated to dealing with alcohol-related incidents. The total cost to policing across Australia from crime attributed to alcohol is estimated to be around $747 million annually1.
However, alcohol is also an integral part of social life in Australia and plays a significant role in Victoria's social and economic landscape. The liquor industry is a major economic driver and supports over 350,000 jobs across 23,000 licensed venues2. This includes a wide range of sectors such as vineyards, breweries, distilleries, bars, clubs, and retail outlets.
The enjoyment of liquor is embedded in the Australian social fabric, contributing significantly to the hospitality and tourism sectors. Events like food festivals, brewery tours, and wine tasting sessions at cellar doors promote regional tourism and enhance Victoria’s vibrant social landscape.
The need to balance the benefits of the liquor industry and its associated harms require strong regulation to protect the public and provide a foundation in which the industry can responsibly grow. This has necessitated parliament to introduce liquor laws that sets out clear legislative objectives for LCV as the administrative
body to:
Reduce harm
- make sure there are appropriate controls on how alcohol is sold and consumed
- making sure, as much as it is practically possible, that the availability of alcohol enhances, rather than negatively impacts the quality of community life.
- encourage a culture of responsible consumption of alcohol and reduce risky alcohol use and its negative effects on the community.
Reflect community needs
- help develop different types of licensed venues that meet community needs and expectations.
Support growth
- promote the responsible development of the liquor hospitality and live music industries
- regulate sexually explicit entertainment
- regulate licensed places that provide sexually explicit entertainment.
Footnotes
[1] Morgan A & McAtamney A 2009. Key issues in alcohol-related violence. Research in practice no. 4. Canberra: Australian Institute of Criminology. https://www.aic.gov.au/publications/rip/rip4
[2] Victorian State Government, ‘spirits soar as Victorian beverage exports boom’ (Media Release 17 February 2023), https://www.premier.vic.gov.au/spirits-soar-victorian-beverage-exports-boom
Our functions
LCV includes both the Victorian Liquor Commission and a dedicated team in the Department of Justice and Community Safety that supports the Commission in the exercise of its statutory functions under the Liquor Control Reform Act 1998 and regulations.
LCV’s regulatory documents
To ensure consistency in actions and decision-making, LCV is implementing a suite of regulatory documents including its Strategic Plan, Regulatory Approach, and four Regulatory Policies that translate its approach to regulation into key functions.
How we regulate
Like all regulators, LCV is faced with choices on where and how best to dedicate its limited resources to deliver best outcomes and value for the Victorian community.
LCV's regulatory principles
LCV has adopted regulatory principles to guide its approach.
Principle 1 – Risk based
LCV is responsible for regulating over 23,000 licences across the state, underscoring the importance of strategically dedicating its time and resources to achieve effective and meaningful outcomes.
Principle 2 – Collaborative
Effective regulation cannot be achieved in isolation. LCV considers itself as part of a larger integrated regulatory system in which it is committed to working collaboratively with Victoria Police, councils, industry, and communities who each play an important role in harm minimisation.
Principle 3 – Proactive
LCV works to address emerging harms before they impact community. Therefore it takes a proactive approach by continuously assessing the environment to identify emerging issues.
Principle 4 – Transparency
LCV is committed to embedding transparency in its regulatory practice and recognises that open communication and accountability are essential for building trust and engagement with our stakeholders.
Principle 5 – Outcome driven
LCV is dedicated to an outcome-driven regulatory approach, recognising the importance of flexibility in determining the most effective path to achieving its goals.
Updated