It could cost Ontario taxpayers more than $1 billion in damages to the Beer Store to keep Premier Doug Ford’s campaign promise to sell beer in corner stores. That’s because of a complex 10-year deal signed by the previous Liberal government with the major breweries that allowed the sale of six-packs in 450 of the province’s 1,500 supermarkets.Under that 27-page “master framework agreement” (MFA) inked in 2015, the brewers agreed to invest $100 million in upgrading beer outlets over four years and to freeze prices for two years.While those terms have already been fulfilled, the Progressive Conservative government wants to renegotiate the deal so beer can be sold in more than 10,000 convenience stores, big-box outlets and supermarkets, as Ford promised in last spring’s election campaign.Sources told the Star the same lawyers for the Ontario government and the major beer companies that hammered out the accord almost four years ago are currently in high-level talks aimed at undoing it.After listening to an AM640 panel on the beer controversy Monday with Global News’ Alan Carter and the Star’s Martin Regg Cohn, the premier called the radio show to chime in.Read more:Happy hour for Ontario as province loosens rules on drinkingFedeli promises an expansion of the sale of beer and wine in Ontario Opinion | Martin Regg Cohn: Ford government looks to Alberta for leadership on booze sales“As for the discussions we’re having with the Beer Store I can’t get into it, but just arbitrarily you guys are throwing out $200 million,” said Ford, apparently referring to the “hundreds of millions” in potential damages mentioned by the journalists.“The reality is Molson’s and Labatt’s and Sleeman’s, their sales are going to go up. Now we put in 10,000 stores. Even if people buy one beer out of those stores, that’s 10,000 additional beers a day.”However, industry offici ...
|
