EU court to issue opinion on minimum alcohol price
The European Court of Justice will issue an opinion on proposals to introduce legislation in Scotland that would see sharp increases in the price of certain alcoholic drinks as a public health measure.
It will be the first indicator as to whether such an initiative will run foul of EU trade and competition rules.
The Scotch Whisky Association in Britain and other similar organisations have challenged proposals by the Scottish parliament to bring in legislation that would allow for a minimum retail price for alcoholic drinks based on strength and volume.
In Ireland, the general scheme of the Public Health (Alcohol) Bill 2015 provides for minimum pricing.
The full bill, which has been put on hold pending the outcome of the European Court of Justice ruling, is expected to be introduced in the Dáil before the end of the year, if it is deemed compatible with EU legislation.
Similar laws are also being planned by the Northern Ireland Executive.
Health Minister Leo Varadkar has insisted the measure is targeted at those who have a harmful alcohol consumption pattern and should therefore only have a marginal effect on moderate drinkers. He said there was strong and clear scientific evidence an increase in prices reduces hazardous drinking.
The measure was recommended by the Steering Group Report on a National Substance Misuse Strategy 2012.
The Scotch Whisky Association has claimed the proposed legislation would amount to a restriction on the trade of alcoholic beverage between Scotland and other EU countries as well as distorting competition between alcohol producers.
In addition, it states that the price of wine should be determined by normal market forces which would be undermined by a regulated pricing structure.
The association also argues that taxation measures such as excise duties can equally meet the aims of the legislation in a less restrictive manner.
Under the bill, it will be a criminal offence to sell or advertise for sale an alcoholic product at a price below its minimum price.
The Government, like its Scottish counterpart, sees minimum pricing as a way of reducing the excessive and abusive consumption of alcohol and reducing its general harm on society and the health of individuals.
The Scottish Parliament has argued before the European Court of Justice that the measure would also specifically affect the prices of alcoholic beverages which are currently very cheap relative to their strength in a way that taxation measures could not exactly replicate.
It pointed out that the protection of health and human life is a justification provided for under EU law that allows governments to introduce measures that might distort EU trade and competition.
The Scottish Court of Session asked the European Court of Justice to determine whether minimum alcohol pricing is compatible with EU law in terms of how it might restrict the free movement of goods and whether it can be justified on health grounds. An advocate general of the court will deliver an opinion on Thursday.
