The sale of beer, wine and spirits in corner stores and supermarkets would give Ontarians more freedom of choice, but not necessarily lower prices, says Tory Leader Tim Hudak.

Hudak told reporters Tuesday a Progressive Conservative government would “end the LCBO and Beer Store monopolies” without forgoing the revenue from hefty provincial taxes.

“Let’s let the private sector into the alcohol business, let’s have some more competition,” he told reporters outside an LCBO outlet in Toronto’s Liberty Village that refused to let him hold his news conference inside.

Hudak said it’s time Ontario opened up its liquor retailing, like Alberta and other jurisdictions.

“A lot of states and provinces have moved out of the public control of alcohol and they actually found they increased choice and increased revenue for the government at the same time,” he said.

MORE: Compare alcohol prices in Ontario, B.C. and Alberta

In 1985, then Liberal premier David Peterson promised beer and wine in corner stores but could not get the measure passed through the legislature. In 1995, then Tory premier Mike Harris pledged to sell the LCBO before backing off due to the billions in annual proceeds.

Last year, the LCBO contributed about $1.6-billion to provincial coffers.

Hudak addressed social concerns that some — like MADD Canada — might have with easier accessibility to booze, by noting there aren’t “riots in the streets” in other more liberal jurisdictions.

The Beer Store’s Jeff Newton said while consumers assume such changes would mean lower prices, Ontario’s high tax rates on alcohol prevent that.

“Their assumption is automatically that means prices are going down based on their experience from shopping in the corner store … in Florida or Buffalo,” he said.

But Newton said the Ontario tax on a case of 24 cans of beer in Ontario is $9.80, compared to 32 cents in New York or $1.08 in Florida.

With the existing tax structure, he said the cost of distributing beer to thousands of stores — and markups — mean consumers would pay more.

Sobeys, which operates 112 stores in Ontario and supplies 213 franchises, welcomed the initiative, saying what “Tim Hudak is proposing is of great interest to us.”

“We’re supportive of anything that provides our customers with greater choice and convenience,” said Sobeys’ Andrew Walker.

Hudak was vague about a Tory government’s long-term plan for the LCBO, hinting at limits to its control over retail sales and a focus on wholesale distribution.

“Why would you do anything that would actually lose money to the treasury? I actually think a partial sale or a sale of LCBO stores or franchising them (should be examined.) All of those models are valid. I bet you that actually increases revenue at the end of the day.”

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Warren (Smokey) Thomas, president of the Ontario Public Service Employees Union, warned Hudak’s plan threatens as many as 10,000 jobs across the province.

“How many times are we going to go down this same, old path of selling off the incredibly profitable LCBO?” asked Thomas, whose union represents workers at 623 provincially owned stores.

Finance Minister Dwight Duncan panned the “recycled ideas” that hark back to the Harris era.

“They campaigned on privatization in ’95 and the only thing they really sold was Hwy. 407 and that was a bad deal for Ontario,” said Duncan, who considered selling the LCBO before but decided against it because the massive profits bankroll public services.

NDP MPP Peter Tabuns (Toronto-Danforth) said liquor sales are used to fund “vital services like schools and hospitals and we need to retain that revenue stream.”

MADD Canada, which crusades against drunk-driving, fears dire consequences if booze is easier to obtain.

“We have always been opposed to it simply because the more availability there is to alcohol, the more the consumption and the higher the risk of alcohol-related harm,” said MADD’s Carolyn Swinson.

Both the LCBO and Brewers Retail Inc. date back to prohibition, which ended in 1927. The LCBO was established to control the sales of wine and spirits while the government ceded sale of beer to the brewers.

“Why do we have a monopoly when it comes to The Beer Store run predominantly by two companies?” demanded Hudak, referring to the fact the 440-store chain run by Labatt Brewing Company Ltd., Molson Coors Canada, and Sleeman Breweries Ltd., all of which are foreign-owned.

Many alcoholic beverages are sold in corner stores and supermarkets in Quebec, Alberta, and British Columbia and most American states.

On Monday, Hudak vowed to sell off the Ontario Lottery and Gaming Corp., saying it has no business running the day-to-day operation of gaming in Ontario when the private sector could do it just as well or better.

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