A South Australian welfare agency has described Port Augusta's cask wine trial as racist with disregard for modern addiction treatment methods.

Customers who walk in to bottle shops in the town are now required to show identification when purchasing cask wine so that their name, address and purchase history can then be recorded and kept on physical in-store registers.

It forms part of a 12-month trial which is designed to reduce public drunkenness and harassment of sales staff.

The trial does not extend to customers who purchase cask wine in cars at drive-through outlets or customers who purchase other types of cheap alcohol.

Welfare group Shelter SA executive director Alice Clark said it was hard to see the trial in its current form as anything but discriminatory.

"I believe they are targeting Aboriginal people specifically," Ms Clark said.

"I find it quite strange that they aren't taking ID details and recording people in cars.

"I can't help but think that it is specially targeting Aboriginal people and it is discriminatory."

When asked to clarify if she considered the policy racist, she replied, "yes".

Alice Clark says it's hard to see the trial in its current form as anything but discriminatory. ( ABC News: Simon Royal )

South Australian Police and the Commissioner for Consumer and Business Services can access the information upon request.

The trial was instigated by Ian's Western Hotel owner, Mark Davies, who is also the Australian Hotels Association representative on the Port Augusta Alcohol Management Group (PAAMG).

Following a recent meeting of the PAAMG the trial was adopted by all other takeaway outlets throughout the town.

Question over trial motivation

Ms Clark said the trial was a narrow approach to a complex issue which would ultimately be ineffective.

"The approach that's been taken in Port Augusta does not take into account a harm minimisation approach — that is our current drug related policy in this country and this state," she said.

"The three stages of the harm minimisation approach are harm reduction, demand reduction and supply control.

"The cask wine policy that is being introduced in Port Augusta only addresses the supply element of a harm reduction approach.

"On its own, there is not a shred of evidence that this supply reduction will be successful."

Ms Clark urged stakeholders in the trial to educate people about the use of alcohol and other drugs as part of a broader strategy.

"We need a system that can provide rehabilitation and treatment for people with alcohol and other drug issues," she said.

Trial management mystery

Ms Clark said a lack of clarity over who was overseeing and managing the trial was concerning.

"I find it difficult to understand exactly how this trial will be rolled out, who owns it, who will implement it, and what the arrangements are for the collection of details," she said.

Ms Clark said while hoteliers and the Australian Hotels Association had good intentions, they were misguided in their belief that the trial would work.

"Last time I checked, that industry was not an expert on drug management and rehabilitation," she said

Ms Clark said reforming the Public Intoxication Act in a "culturally sensitive way" was crucial to impacting alcohol-related issues across the state.

"It's very old fashioned and doesn't allow the public health responses that we need for people who are using drugs and alcohol in a way that's not safe," she said.

Shelter SA executive director Alice Clark says Port Augusta hotel owners are misguided in their belief the trial will work. ( ABC News: Nicola Gage )

Ms Clark said the trial is flawed and policy decisions could not be made in this manner.

"Look behind the reason why people might be abusing drugs or alcohol and look to the poverty that exists, especially for Aboriginal people, living in those [regional] towns," she said.

"Look at the unemployment and the overcrowded conditions they are living in. They are the real problems that need we need to be looking at if we hope to see an improvement in public intoxication."

Local member backs trial

Speaking on ABC local radio, Member for Stuart Dan van Holst Pellekaan said he supported the trial and denied it targeted a group of people.

"You do a trial so you can figure out if it's something you want to do in the longer term," Mr van Holst Pellekaan said.

Dan van Holst Pellekaan, right, supports the trial. ( ABC News: Michael Clements )

"I am very pleased it is linked to a type of alcohol purchase, and in this sense cask wine is generally low-price, high-volume and that is typically consumed by people who have challenges with regards to a range of issues."

Mr van Holst Pellekaan said it was inevitable that someone would be offended by the trial process because it was a requirement for all customers.

"It's not a request for a type of person to provide ID, it's a request for anyone who actually buys cask wine to provide ID," he said.

Mr van Holst Pellekaan said previous requests from Aboriginal leaders in the APY Lands for roadhouses to record sales, personal data and restrict alcohol sales were not dissimilar to this trial.

"This trial is being implemented with the same spirit — trying to find a way to support people who have difficulties with the consumption of alcohol and the other people who are affected by those problems," he said.