Collapse of liquor regulatory bodies should concern us all

Revelations that the governance framework of the Gauteng Liquor Board (GLB) has collapsed should concern and anger us all.

An inquiry into the GLB’s affairs found what is known as “regulation by stealth”, meaning liquor laws existed only on paper but were subverted in practice.

The inquiry found self-appointed consultants who are running a parallel governance structure within the liquor licensing ecosystem. These “consultants”, basically a network of unregulated intermediaries, have assumed de facto control of licensing processes.

“They draft applications, manipulate files and orchestrate approvals, often in direct collusion with insiders,” reads a report of an inquiry committee appointed to investigate the GLB last year.

“In many instances, these consultants pre-select outcomes by exploiting procedural loopholes and bribing officials to ‘fast-track’ applications,” the inquiry found.

The inquiry committee, led by former solicitor-general Fhedzisani Pandelani said licensing, which is the board’s core function, has become a procedural charade. A review of the GLB’s files revealed widespread violations of the Gauteng Liquor Act, which prohibits outlets within 500 metres of schools, churches or public facilities. Yet, it said, such licences were routinely issued.

“Applications were approved without local authority consent, incomplete inspection reports, or missing public notices. Files were duplicated, inspection photographs reused and records backdated to regularise unlawful activity,” reads the inquiry report dated November 2025.

It said the two-tier licensing model under the Gauteng Liquor Act — anchored on partnerships with municipalities and local committees — has effectively collapsed.

“This failure has created a policy vacuum where zoning, bylaw enforcement and spatial safety planning are uncoordinated. The result is a proliferation of outlets in residential and vulnerable areas undermining municipal developmental planning under the Spatial Planning and Land Use Management Act and department of co-operative government & traditional affairs frameworks.”

The story of the GLB resurfaces barely four years after the Enyobeni Tavern incident in which 21 youths between the ages of 13 and 21 died.

A South African Human Rights Commission investigation into that incident made similar damning findings against the Eastern Cape Liquor Board (ECLB), police, Buffalo City metropolitan municipality and other government departments.

The SAHRC said the ECLB’s conduct contributed to the violation of “fundamental human rights” in the tragedy, saying the liquor board persisted in issuing liquor licences “without the requisite capacity to adequately monitor and enforce compliance” despite acknowledging “severe human capital challenges”.

In a country with such deeply ingrained and high-risk drinking culture, which has led to public health and crime concerns, we should be talking about stricter policing and bylaws aimed at curbing social harms.

“By continuously issuing liquor licences knowing it would not have the capacity to oversee and inspect the operations of licence holders such as taverns, the ECLB deliberately neglected to protect vulnerable members of society against the illicit trade of alcohol and its associated harms.”

Enforcement appears to be a significant challenge in both jurisdictions. In Gauteng, “fewer than 20 inspectors” are responsible for over 33,000 licensed premises — and an estimated 200,000 illegal ones, the Gauteng inquiry found.

“Inspections are reactive, triggered by complaints rather than intelligence. Follow-ups are inconsistent, often influenced by personal interest or external pressure. This vacuum has allowed a culture of impunity to flourish, eroding community trust and undermining public safety,” reads the report published this week.

In a country with such deeply ingrained and high-risk drinking culture, which has led to public health and crime concerns, we should be talking about stricter policing and bylaws aimed at curbing social harms. Regulatory bodies, municipalities and the police cannot afford to falter.

And yet the two highlighted regulatory bodies cannot withstand scrutiny as they are dominated by issues of governance collapse, corruption and poor enforcement.

Communities must also stand up and demand improved enforcement of liquor bylaws through a combination of municipal law enforcement, police action and play their part through community-based structures with a particular focus on compliance.