The Queenstown Lakes District Council believes parents must be more accountable for the supply of alcohol to underage drinkers.
It is seeking a law change making it an offence for adults to supply alcohol to any young person other than their own children.
The decision to call for penalties on parents was made at a council meeting in Wanaka on Tuesday, as councillors considered the final version of its submission to the Law Commission regarding changes to the sale of liquor laws.
Initially, staff had recommended the council's submission merely state it should be a legal requirement for adults who supplied liquor to also supervise the young people while they were drinking it.
However, following a debate led by Wanaka Community Board chairman Cr Lyal Cocks, the councillors changed the recommendation to the punitive recommendation.
Cr Cocks acknowledged he was being hard-nosed in suggesting penalties on parents, but he was doing so because there had been underage parties in Wanaka where police had been involved in the planning stages and parents had agreed to supervise alcohol supply, but still drinkers had "run amok".
He referred to a recent 16th birthday party at Hawea Flat where problems arose.
"One of the problems is adults supply their offspring and their [offspring's] friends... As soon as you mention the supply of alcohol for under-18 birthday parties, you've lost the plot... You attract a whole lot of other people and the supervision of under-18s goes out the window," Cr Cocks said.
"If you are having an under-18 party, why are you allowing alcohol?"
QLDC environmental health principal Lee Webster agreed supervision of underagers presented problems, and the Law Commission expected more debate on the issue.
Deputy mayor, Cr John S. Wilson, of Wanaka, agreed with Cr Cocks, but said enforcing the law against parents would be the "reality test".
Education was fine but there needed to be some deterrents, he said.
Cr Vanessa Van Uden, of Queenstown, said penalties on parents sent a strong message.
"There remains a percentage of our population who don't react to education.
While enforcement might seem hard, I support that rather than no change," she said.
The council's submission also called for an increase in the age people could purchase liquor from a bottle store to 20 years, while leaving the age of liquor purchase in a controlled bar at 18 years.
It called for changes to liquor licence conditions, increased licence fees, enhanced powers and functions of district licensing authorities, wider grounds to refuse liquor licences, changes to make it easier to lose a licence and stronger criteria for the suitability of liquor licence applicants.
Lowering blood alcohol limits while driving was also supported.
