Application process to become a specialist vape retailer

Becoming a specialist vape retailer

A retailer can apply to become a specialist vape retailer if:

• they sell vaping products in New Zealand from at least one retail premises
• the retail premises from which they will sell vaping products is a fixed, permanent structure
• the proportion of their sales from vaping products from their retail premises is at least 70%, or at least 60% if the Vaping Regulatory Authority are satisfied that the lower sales threshold is appropriate in the circumstances
• they are located at least 300 metres away from the boundary of a school or marae.

The sales threshold relates only to the retailer’s physical retail premises – there is no minimum requirement for sales through their website. But a specialist vape retailer must sell vaping products at retail price via their approved website.

An online-only business (one without a physical store) cannot be a specialist vape retailer as they do not have physical retail premises. However, online-only businesses may operate as wholesale distributors of vaping products, provided they do not sell direct to the public.

View a list of the specialist vape retailers in New Zealand

Apply to be a specialist vape retailer via HARP

Apply to be a specialist vape retailer (SVR) online via the Health Advisory and Regulatory Platform (HARP).

Read our HARP user guide before you apply.

If you also have a website you intend to sell vaping products on, then you need to apply for that website to become an approved internet site (AIS).

What to include in your application

In your application for any approved premises, you will need to send us photos of:

• the outside of your premises including the main entrance
• the inside of your premises from the main entrance
• all doors into and out of the premises
• all your points of sale.

Assessment fees per application

Assessment fees apply for each application you make, and you can pay by debit/credit card or request an invoice (to pay by bank transfer) during the application process. Applications will only be processed once the fees have been paid.

The fees are:

• Specialist vape retailer (SVR) $1,600 plus GST (one-off fee)
• Approved vaping premise (AVP) $600 plus GST (one-off fee per premise)
• Approved internet site (AIS) $600 plus GST (one-off fee per website).

Once payment has been received, your application will be assessed. You can check the progress of your applications in HARP.

Ownership changes for specialist vape retailers

You must notify the Ministry of Health about ownership changes if you are a specialist vape retailer (SVR), approved vaping premise (AVP) or have an approved internet site (AIS). If you are uncertain which situation is most applicable to you, please email [email protected].

Changing the approved vaping premise location

As the current SVR holder you must:

• notify the Ministry of Health via [email protected] that you are changing AVP address, indicating the date you will stop all trading as an SVR from the old premises
• withdraw your existing AVP approval in HARP, or email [email protected] with authorisation to withdraw it on your behalf
• submit and pay for a new AVP application for the new vaping premises.

Any new applications will be assessed under the current legislation.

An example for this ownership change is if the lease for your current vape premises is ending, and you have decided to move your vape store to a new building.

Changes to director(s) and/or shareholder(s) of a company listed as an SVR

The SVR, AVP and AIS approvals are not affected by changes to shareholders or directors of a company that is an SVR. That is because a company has its own “legal personality”, and the approvals remain with it despite changes to its ownership.

We know though that directors and shareholders are often the administrative contact for the company when contacting the Ministry of Health. An administrative contact is someone that has the authority to contact the Vaping Regulatory Authority and act on the company’s behalf.

If you want to change who this administrative contact is, both the old and new administrative contacts (directors, shareholders or applicant acting on behalf) must:

• notify [email protected] with confirmation of the change in administrative contact and the date that this change is expected to start.
• The new administrative contact needs to set up an account in the HARP system.
• Once HARP access has been granted, the new administrator will automatically have access to the company’s SVR, AVP and AIS approvals.
• The Ministry of Health will remove the old administrator’s access once the new administrator has access to the business account in HARP.

Example for ownership changes

You are the owner of ABC Vape Limited, a company that holds an SVR approval, and has approval to operate their physical vape store as an AVP at 123 High Street. 

You decide to sell all your shares in the company to another person, and the company will continue to sell vaping products from their AVP at 123 High Street.

Because the company is its own legal entity, the changes to its directors and shareholders does not change its New Zealand Business Number (NZBN). In this situation, the SVR and AVP approvals remain unchanged because those approvals belong to the company, not its directors and shareholders. The new administrator will want to contact the Vaping Regulatory Authority, so that we know who best to contact on behalf of ABC Vape Limited.

Selling an AVP business to another person or entity

The SVR, AVP and AIS approvals cannot be transferred between entities. For instance, these approvals cannot be transferred from one sole-trader to another, or from a sole-trader to a company. Where an AVP changes hands, a new AVP application must be submitted, and the associated fee paid.

Both the old and new owners must notify [email protected] with confirmation of the change and the expected commencement date.

• The old owner needs to withdraw their AVP (and, if applicable, SVR and/or AIS) approval (or provide the Ministry of Health authorisation to withdraw them on the owner’s behalf) before/or on the commencement date.
• The new owner needs to register in HARP and submit and pay for a new AVP (and, if applicable, SVR and/ or AIS) application.

Any new applications will be assessed under the current legislation, so premises that have been approved in the past may not be approved now.

Here’s an example of this ownership change:

You are a sole-trader operating as a specialist vape retailer and you sell your business to another person. Even though the new owner intends to sell from the same premises, the new owner will need to apply to be an SVR and gain approval for the store to be an AVP. You will need to withdraw your AVP approval once you sell your business.

You are a sole-trader operating as a specialist vape retailer. You decide to become a limited liability company to run the vape store. Even if you will be the only director and shareholder of the new company, because the store will be operated by a different legal entity than before, you will need to apply to be an SVR with the newly incorporated limited liability company and gain approval for the store to be an AVP. You will then need to withdraw your AVP approval for the sole-trader, once the AVP and SVR have been approved and transferred to the company.

Cancellations

At any time, a retailer may cancel their approval as an approved specialist vape retailer through HARP.

The Ministry of Health may also suspend or cancel a retailer’s approval as a specialist vape retailer if there are reasonable grounds to believe they are not complying with any required criteria or conditions.

Exemptions for specialist vape retailers

A specialist vape retailer’s approved vaping premises are exempt from the prohibition on vaping within workplaces that came into force on 11 November 2020. This means specialist vape retailers can demonstrate the safe use of vaping products and means customers can try products before purchasing them.

A specialist vape retailer may also display their business or trading name at the outside of their place of business even if it contains a word derived from ‘vape’.

Specialist vape retailers are also exempt from a number of prohibitions on advertising vaping products. Specialist vape retailers may:

• communicate about vaping products to their existing customers, including via email, online messaging, or social media, provided this complies with any relevant regulations
• talk to customers inside their approved vaping premises about vaping products, provided this complies with any relevant regulations
• provide guidance on the safe use of the vaping products available in their approved vaping premises
• distribute vaping products free or at a reduced charge from their approved vaping premises or approved website
• offer the purchaser of vaping products a gift or cash rebate, or the right to participate in a contest, lottery, or game, in consideration for their purchase sell any flavour of vaping products as long as they are notified products
• sell any flavour of vaping products as long as they are notified products.