Ontario’s convenience store landscape is on the brink of a significant transformation as the province gears up to allow alcohol sales in these retail outlets. Beginning September 5, 2024, more than half of Ontario’s convenience stores will be permitted to stock their shelves with beer, cider, wine, and ready-to-drink alcoholic beverages, marking a pivotal shift in the province’s alcohol retail strategy.
According to the Alcohol and Gaming Commission of Ontario (AGCO), 3,866 convenience stores have already secured their liquor licenses, with 1,617 of these licenses—approximately 42 percent—being issued to gas stations. The development affects more than 50 percent of Ontario’s estimated 6,700 convenience stores.
While convenience stores are set to begin alcohol sales in early September, newly licensed grocery stores will follow suit on October 31. The staggered approach allows for a gradual implementation of the new policy, giving retailers and regulators time to adjust to the expanded marketplace.
The AGCO has emphasized that despite receiving their licenses, stores are strictly prohibited from selling alcohol before the official start dates. To ensure compliance and maintain responsible sales practices, the commission has bolstered its inspection capacity by approximately 25 percent. The increase in oversight is supported by additional funding from the provincial government.
Eligible stores must meet a series of criteria outlined in the province’s Liquor Licence and Control Act to obtain and retain their liquor licenses. These requirements include a comprehensive compliance monitoring process and specific operational guidelines. For instance, employees involved in alcohol sales must be at least 18 years old and complete an AGCO Board-approved training program. Additionally, alcohol sales are restricted to the hours between 7 a.m. and 11 p.m., seven days a week, regardless of a store’s regular operating hours.
Further regulations stipulate that grocery store licensees can only sell beverages with an alcohol content no greater than 7.1 percent by volume, and wine must not exceed 18 percent alcohol content. These measures are designed to promote responsible consumption and align with existing liquor control policies.
The expansion of alcohol sales to convenience stores has not been without controversy. The move prompted a strike by approximately 10,000 Liquor Control Board of Ontario (LCBO) workers earlier this summer, who expressed concerns about the potential impact on their job security. The dispute was resolved with a three-year agreement that includes wage increases, the conversion of casual positions to permanent part-time roles, and assurances against store closures during the contract period.
