Due to limited enforcement resources, the tobacco sales licensing system in Victoria, Australia, needs to be extended until 2026. The new regulation does not cover the sale of vapes, and the enforcement responsibility lies with federal agencies. The high license fees, the lack of authority to close illegal stores, and the staffing of only about 14 inspectors have raised strong concerns among the retail industry and law enforcement agencies.
Key points:
- The state of Victoria in Australia is about to implement a tobacco licensing system, but the enforcement has been postponed until 2026 and does not cover the investigation of vape sales.
- The tobacco license fees in this state are high (1,100-1,500 Australian dollars), much higher than those in other states, which has caused dissatisfaction among retailers.
- Law enforcement resources are limited. There are only about 14 inspectors in the entire state, and they have no authority to close illegal tobacco stores.
- Industry organizations and the police have called for expanding law enforcement powers, reducing licensing fees, and bringing vapes under supervision.
Australia’s Victorian tobacco license delayed until 2026
According to the Herald Sun’s report on April 28th, the state of Victoria in Australia plans to launch a tobacco sales licensing system on July 1, 2025. However, due to delays in law enforcement arrangements, it is expected that the system will not be fully implemented until 2026. According to the latest disclosure. The new system responsible for enforcement will not investigate illegal vape sales because such products are regulated by federal law.
Retailers expressed dissatisfaction with multiple arrangements of the state government, criticizing the delayed launch of the licensing program, its high cost, and the fact that inspectors have no right to close shops selling illegal cigarettes. Victoria is the only state that has not yet established a registration system for tobacco sellers, although relevant proposals were made as early as 2022. According to the current plan. The cost of a tobacco sales license will range from 1,100 to nearly 1,500 Australian dollars. In contrast, the license fee in Queensland is less than 475 Australian dollars and in South Australia it is only 340 Australian dollars.
E-cigarette enforcement gap raises concerns
David Inall, the CEO of the Independent Grocers Association of Australia (MGA), pointed out that the tobacco sales volume of many independent grocery stores has dropped significantly, and the high license fees may force some merchants to withdraw from tobacco sales. Inar emphasized that currently, only about 14 inspectors are deployed to cover the entire state.
- “It would be an unacceptable outcome if compliant retailers bear the full cost but fail to prevent illegal shops from continuing to operate.”
The Victoria police have also demanded that stores selling illegal tobacco be allowed to be sealed up, following the practice of the Alcohol Control Reform Act. Jason Kelly, the head of the Lunar task Force, told a parliamentary committee in 2024 that closing illegal stores and revoking licenses are crucial for combating illegal trade. He pointed out that one of the biggest predicaments for law enforcement agencies at present is that even if they conduct searches, arrests and prosecute, the involved stores can continue to operate the next day.
Industry organizations and the police have called for expanding law enforcement powers
Furthermore, the “Investigation on vapes and Tobacco Control” put forward 27 suggestions, but the state government only “fully supported” 7 of them. A state government spokesperson further clarified that inspectors will not investigate the sale of illegal vapes and tobacco bags. The relevant law enforcement is the responsibility of the Federal Therapeutic Products Administration (TGA), which has delegated some of its enforcement powers to the state health department.
Although the TGA provides funds to local governments to assist in inspections, local environmental health officials are generally cautious about participating in tobacco law enforcement due to the infiltration of serious organized crime into the market. The state government stated that local councils will continue to report illegal activities to the state health department, TGA and the police, and undertake the education of retailers.
Theo Foukkare, the CEO of the Convenience Store Association of Australia (AACS), said that Victoria is facing a “public safety emergency”. He supported the introduction of a tobacco licensing system, considering it a “necessary and belated reform”, but emphasized that the expected results would not be achieved without major adjustments to the law enforcement model and the structure of licensing fees.
