Telangana High Court hears petition challenging non-refundable liquor policy fee

A petition was filed in the Telangana High Court challenging the non-refundable Rs 3 lakh application fee for liquor shops under the state’s Liquor Policy 2025–27. The petitioner argues it is discriminatory and burdensome, especially for weaker sections

By Legal Correspondent

Hyderabad: Justice N V Shravan Kumar of the Telangana High Court on Monday heard a writ petition challenging the Liquor Policy 2025–27, under which the State Government has fixed a non-refundable application fee of Rs 3 lakh for the allotment of liquor shops across Telangana.

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The petition was filed by Gaddam Anil Kumar, a resident of West Maredpally, who contended that the government’s decision to impose such a high and non-refundable fee is arbitrary and discriminatory, especially when no exemption or concession has been provided to applicants belonging to the Goud, Scheduled Caste (SC), and Scheduled Tribe (ST) communities, groups that already have a reservation quota in the allocation of liquor shops.

The petitioner argued that the policy places a heavy financial burden on weaker sections, making it impossible for them to compete for shop allotments. He submitted that the non-refundable nature of the application fee, even for unsuccessful applicants, is unjust and exploitative, as it effectively excludes poor and socially disadvantaged groups from participating in the process.

It was further pointed out that while the government expects liquor sales worth Rs 40,000 crore in 2024–25, it has failed to provide any fee or tax relief to the weaker sections, thereby defeating the purpose of reservation itself.

The petitioner sought a stay on G.O. No. 93, dated September 26, which notified the liquor policy and invited applications for A4 retail liquor shop licences. As per the notification, applications will be accepted till October 23, and allotments will be made through a draw of lots, with successful applicants commencing business from December 1.

During the hearing, Justice Shravan Kumar observed that if the petitioner is not interested in the liquor policy, he may simply choose not to participate in the allotment process. However, the Court directed the Excise Department to submit the government’s response on the issues raised in the petition. The matter was adjourned to November 3 for further hearing.