Pot stakeholder group wants marijuana sold through private stores, not government-run shops

Marijuana will be legalized in Canada on July 1, 2018, but where it will be sold in Alberta is still up in the air.

The Alberta Federation of Labour thinks the province should sell marijuana in government-run stores, like provincial liquor stores do in Ontario.

But the Alberta Cannabis Stakeholders Group (ACSG) thinks that would be a waste of time, money and stifle investment in a new industry.

The group wants the province to make the industry private and governed by the Alberta Gaming and Liquor Commission (AGLC), touting 98 per cent compliance rate of the AGLC’s current mandate around alcohol.

“The Alberta government doesn’t need to reinvent the wheel,” ACSG spokesperson Jason Kujath said. “Ontario spent upwards of $3.7-billion in operating costs of the LCBO last year.”

The AGLC is responsible for over 1,540 liquor stores in Alberta.

Kujath thinks a private industry will be safer for the public, will bring investment and business and create jobs.

“We have the ability to create upwards of 2,000 jobs immediately just in private retail, and the number is likely closer to 4,000, when the very limited number of public stores that would be opened by the government,” Kujath said. “Due to time as it would be hard to open up 250 stores by July 1.”

Comparing Alberta’s private alcohol model to Ontario’s public model, Kujath suggests it would cost $1.5-billion to set up and would only generate $635-million in tax revenue.

The group thinks the province should allow the AGLC to have oversight of age requirements, identification processes, licensing, distribution and operating criteria.

The ACSG sent a letter to the province outlining the benefits of making the industry private. (The letter can be read below)

Kujath suggests the private option, governed by the AGLC, would only cost $36-million and bring in an estimated $855-million profit, which is a return of 2,375 per cent.

The letter goes on to suggest around 15,000 full-time jobs will be created over time and with the new industry, ancillary industries would likely pop up and create more jobs.

The Alberta government is currently seeking public and stakeholder input on how to sell marijuana and expects to refine and release the final version of the Alberta Cannabis Framework “Winter 2018.”