Dunedin Fine Wines & Spirits wants to renew its liquor licence.
Police already wanted assurances the store would not sell ready-to-drink products (RTDs) or cheap alcohol when it was branded "fine wines and spirits".
However, two student action groups — Students For Sensible Drug Policy Aotearoa (SSDP) and Hold Onto Your Friends (HOYF) — have been denied the chance to participate in the district licensing committee hearing in Dunedin scheduled for October 12.
They have both filed an application to be reconsidered.
A minute issued by the licensing committee on Friday said that the committee had not received any evidence the student population represented by the two organisations regularly frequent the premises nor that the reported interest of either objector was "specific to this premises and application".
"When questioned, the objectors could not gauge the level of student customers at the store," the minute said.
"The onus is on the objector to establish they have a greater interest than the public generally. There is insufficient evidence before the committee to establish this."
SSDP president Jai Whelan said that his organisation was surprised it was not granted standing at the upcoming hearing.
"Of course, we’re aiming to reduce the high levels of alcohol-related harm in Dunedin, and the Octagon is a known area of serious and consistent alcohol-related harm, just a block away from Fine Wines & Spirits," he said.
"The premise is also clearly situated in the CBD, where many students live.
"As you know, we also had standing regarding the licence of Countdown Centre City, very close by."
Mr Whelan said the fact the store was also selling alcohol via Uber Eats was worrying.
"It’s a real grey area as drivers are paid by the delivery and the regulation around serving alcohol to intoxicated people isn’t exactly clear."
HOYF spokeswoman Louisa Mason said she was "not out to ruin anyone’s livelihoods".
"We just want the chance to appear at the hearings, and put the fact of student alcohol harm on record," Ms Mason said.
"I’m hugely, hugely disappointed by this decision. It makes no sense at all."
Dr Liz Gordon, who has provided legal assistance to SSDP, was also "extremely disappointed".
"SSDP have been given status in hearings in the past, and their evidence has always been welcomed by the committee as constructive," Dr Gordon said.
SSDP and HOYF had made submissions asking the committee minute’s decision to be reheard and reversed, and that SSDP and HOYF be granted status at the upcoming hearing of the licence renewal for Dunedin Fine Wines & Spirits, Dr Gordon said.
Dunedin Fine Wines & Spirits store manager Hemanth Padamati said its main customers were "office people" and tourists.
Mr Padamati said the store no longer sold RTDs or cheap alcohol, while Uber Eats drivers would not sell liquor to intoxicated customers.
District licensing committee commissioner Colin Weatherall said the committee would now reassess the rights of SSDP and HOYF to submit at the hearings.