Andhra Pradesh Notifies New Licensing Norms for Beach Shacks Across State Beaches
The Andhra Pradesh government has notified new licensing guidelines for beach shacks, launching a pilot project in Suryalanka and Visakhapatnam. The policy sets strict compliance, operational hours, and fee structures for selling low-alcoholic beverages in designated coastal zones.
The Andhra Pradesh government has officially introduced new regulatory guidelines governing the issuance of bar licenses for beach shacks located across the state's coastline. This policy initiative, effective for the period between September 1, 2026, and August 31, 2029, seeks to formalize and manage the operation of these establishments along the beach.
New Beach Shack Regulations in Andhra Pradesh
According to the official government order issued by Mukesh Kumar Meena, Principal Secretary for Revenue (Excise), a beach shack is defined as a semi-permanent, eco-friendly structure constructed on designated land provided by the AP Tourism Development Corporation or other relevant state authorities. To qualify for a license, establishments such as star hotels, tourism resorts, and other tourism-registered entities must maintain facilities including a kitchen, designated parking, fencing, and deck beds within a 1,000 to 1,500 square-foot plinth area.
The state has opted for a measured rollout of these beach shacks, with initial pilot operations set for two specific locations: Suryalanka and Visakhapatnam. Under the established fee structure, applicants must submit a non-refundable clearing fee of ₹2 lakh, followed by a ₹10,000 license application fee upon approval. Furthermore, the annual Retail Excise Tax (RET) is set at ₹7.50 lakh for the inaugural year, with a mandatory 10% annual escalation.
Operational Compliance and Licensing Requirements
The guidelines mandate strict operational hours, permitting the service of low-alcoholic beverages like beer, wine, and Ready-to-Drink (RTD) options strictly between 10:00 a.m. and 8:00 p.m. It is important to note that the sale of Indian Made Foreign Liquor or general Foreign Liquor remains strictly prohibited at these sites. Existing bar licensing regulations, particularly those concerning distance restrictions from educational institutions, remain applicable to these beach shack permits.
Applicants are responsible for securing all necessary environmental and safety clearances, including Coastal Regulation Zone (CRZ) approval, FSSAI licenses, and fire safety certificates. Once all documentation is finalized, applications for a bar license are reviewed by the excise deputy commissioner. The government intends to conduct a comprehensive review of the pilot program after one year to assess its impact on employment generation, tourism footfall, and overall compliance. Based on these findings, authorities may decide to expand the initiative to additional coastal regions across the state with adjusted operational parameters.
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