The regulation of cannabis use is not encouraging new users, Leonid McKay, the Executive chairperson of the Authority for the Responsible Use of Cannabis (ARUC), told The Malta Independent on Sunday.
“Cannabis regulation is not about encouraging use among new users; what we are encouraging is a shift from the illicit to the regulated market,” he said, highlighting that the regulations impose a blanket ban on the promoting or marketing of cannabis by licensed associations, that packaging and labelling of cannabis products must adhere to authority specifications ensuring non-attractiveness and inclusion of mandatory warning notices and that there is a ban on building façade signage.
McKay said that cannabis use has presumably been increasing for many years, and holds that regulation itself “did not change the prevalence of cannabis use”.
“What it did is provide an approach where a person no longer has to depend on illicit street cannabis and the contaminants found in it, and instead has access to a safe, regulated source.”
Had the government opted for a commercialised, open market model, then in that case it would have encouraged new users, McKay said.
Earlier this year the first Cannabis Harm Reduction Associations received licences to operate. Currently, five such associations have received a licence.
Interviewed by this newsroom, McKay was asked to detail the process through which ARUC will ensure that these associations will follow the regulations in place.
The associations, he said, have to run a seed to distribution process from beginning to end, “in order to avoid having a situation where an association depends on another or on a third party company aimed at making profit. This safeguards the fundamental principle of maintaining small-scale operations and prevents the emergence of monopolies”. He stressed that the associations themselves are non-profit organisations.
ARUC’s compliance process begins prior to the issuing of a licence to an association, he said. “After an application is submitted, there will be a vetting and governance process, with due diligence being conducted on the individuals to ensure that persons are fit and proper.” The proposed operations and financial aspect will also be vetted, he said. “When these are compliant with our directives, we then issue the so-called in-principle licence, which is not an official licence per se, but confirms that the association is compliant and can start opening a bank account, purchasing or renting equipment and getting the landlords contract for the premises. The licence is then issued when ARUC confirms that the operational and administrative set-up is compliant.”
From there, the association can then proceed with the planting of seeds, he said, adding that ARUC already has a compliance and enforcement team that conducts onsite inspections.
“Right now, we have five operating licenced associations. The first two are expected to start distribution in the first quarter of next year. In the meantime, our compliance team regularly inspects the associations’ premises to check their operations and to check whether the number of plants and equipment is compliant with what they had submitted to the authority on paper.” The operations of the associations will be monitored, he pledged.
Asked about ARUC’s enforcement powers and the role of enforcement officers once distribution begins, he said the law gives the authority the power to enforce by, for example, conducting compliance audits and formal investigations, issuing an order if, for instance, the number of plants are excessive compared to what ARUC had approved, among other things. “We can also suspend or revoke a licence.”
He said that on-site inspections occur regularly and the licencing council is updated on a regular basis.
He gave examples of the fines that can be imposed for regulatory breaches. “If there are minors on site, a maximum €10,000 fine can be issued. If an association has more than 500 members, the fine is €2,000. If an association conducts advertising or marketing, the fine is between €2,000 and €10,000. If an association sells alcohol, it can be fined €2,000. First a formal investigation would take place, the results of which will be passed on to the Commissioner for Justice, who will then be able to issue these kinds of fines.”
Asked how they intend to enforce the rule that a person can only form part of one association, and how they would know that an association isn’t selling to more people under the table, he mentioned the technology ARUC is employing. “The authority will, very soon, have a centralised anonymous IT system.”
“Every association must connect to this system. If someone wants to join an association, they have to show their identification. That person will be given a unique identification number. The authority will not know who the person is and the system is completely anonymous to the authority. When the person presents his/her ID card to the associations, the system will detect whether that person is already a member of an association.”
A person has every right to leave one association and join another, he said, “but you cannot be part of more than one association at the same time”.
If associations are caught selling under the table, he said, the authority would go directly to the police.
He also said that the authority will be able to monitor the associations’ operations through the IT system, including how many plants an association has and the yield of each plant. “We will be monitoring the whole process.” He said that ARUC would be able to tell if an association is cultivating or distributing more than was approved.
Growing cannabis at home was needed despite the regulatory challenges, he says
He was asked whether there was the need to make the shift from decriminalisation to full legalisation, and said the aim is to transition from the illicit market to a regulated market. “We could have done, like other countries, moved from the illicit market to an open commercialised market.” But, he said, he is “strongly against” the idea of an open commercialised market for cannabis, “because the ultimate priority would not be harm reduction, but profit maximisation, and so it wouldn’t be about harm reduction or public health”. Going down that route “would have meant ending up like tobacco and alcohol, and today we can see the damage that was caused”.
He said the idea of growing cannabis at home was needed despite the regulatory challenges it brings with it, as it is “a very important tool to fight the illicit market. But home-growing alone would not help fight the illicit market enough. There are people who for various reasons cannot or do not wish to cultivate cannabis at home, hence the need for a safer space through the cannabis harm reduction associations”.
“The biggest harm reduction element, for me, is that we are not moving towards a commercialised market. Moving in that direction would have been harm promotion, not harm reduction, as we would have been opening the doors to all those seeking a business opportunity. What we aim for is to guide cannabis users away from the perils of the illicit market.”
Asked whether the current system, since it makes cannabis more easily accessible, could lead to a more widespread use of cannabis, he said that he doesn’t believe it will.
He gave examples of other drugs. “In recent years, we have seen a gradual increase in cocaine use, but there were no legal changes. When it comes to heroin, there was no legal change, it was and remains illegal, but its use is showing a downward trend.”
“If we had gone for the free market cannabis model, then yes it would have led to a more widespread use. But what we are doing is offering an alternative to the accessible illegal market. There is a blanket ban on promotion – we are limiting the number of members in an association and there are limits on packaging, there are warnings on packaging that are not attractive to youths, and in addition there can be no signage outside the associations.”
“As long as you have a regulated source without a profit-making industry, I don’t think we would be increasing consumption.”
McKay has experience in dealing with people with drug addiction, having been the director of Caritas for a number of years. Asked whether he felt that the setting up of ARUC was the right way forward for the country, he said: “as long as we don’t change the model and open up the doors to the business market, then this is the right way to do it, by regulating without promoting… by regulating and guiding adult cannabis users towards less risky practices, encouraging delayed initiation of cannabis use and providing education on potential health risks particularly among youths”.
“We believe that the safest way to use cannabis is not to use it at all, but we also acknowledge that prohibition never worked. So ideally the person is informed that what they are using is not risk free. That is why there was the need for an authority, to conduct research, to inform the public and to inform users. I envisage and wish that users gradually shift from the drug dealer to a safer regulated source. That is our role, but we need to be careful and remain faithful to the not-for-profit model, so that we would not have interests, beyond that of public health, becoming involved.”
Told that some people could view the regulation of cannabis as the authorities having failed to tackle drug use, and that this could open the door to such a move, he said they are not going in that direction. “So far, we are sticking ad litteram to the law.” Pressed on concerns about this happening, further down the line, he said: “I am in regular contact with parliamentary secretary Rebecca Buttigieg, who represents the legislator. We constantly discuss issues that crop up. So far there has never been a proposal to change the model to a more open one. The intention has remained clear; to provide an alternative source to the irregular market without promoting further use.” The aim, he said, is to kill off the illegal cannabis distribution market. Asked whether wages for people working at the association will be capped, given that they are non-profit organisations, he confirmed the presence of such caps. He said he is pleased that the applicants are mostly users themselves, who see that through the process they can earn a very decent wage and work in this not-for-profit sector. “Non-profit is not about not earning money, but about not sharing the profit with shareholders.”
Wages of employees must be in line with market rates. Founders and administrators must have been residents of Malta for the past five years, thus emphasising their genuine connection with the local cannabis user community, he said. “They are not remunerated for the roles as administrators. This criterion ensures their commitment to transition from a prohibited to a regulated cannabis sector, with their primary goal of providing a ‘safe source’ for the existing community of cannabis users, free from ulterior motives.”
“There are people, interested in working in this field, to earn a very decent wage while being able to do something they are passionate about. We want the users themselves to lead this process and to move from the irregular, illicit market to the regulated market. We don’t want business-minded people, and we have had business-minded people come to us to form associations and we told them that this is not the right place for them.”
He said that at the end of each year, any surplus will not end up in the hands of private interests, but would be reinvested within the same association – such as in green projects, the buying of premises or more equipment. “The financing for setting up an association comes from the founders of an association or an approved credit institution through a loan agreement. We don’t want third party individuals or hidden hands involved.”
McKay also said that he is “very pleased to notice a considerable decrease in cannabis-related arrests and charges, and related stigma and other social consequences, which is a very important measure of social justice. We strongly believe that harm reduction goes beyond the simplistic harm from the use of cannabis, but should also reduce negative social and legal impacts associated with drug use, drug policies and drug laws”.
Concerns regarding low THC outlets
McKay highlighted a particular concern of his, regarding low THC outlets that have popped up around the country selling semi-synthetic cannabis like HHC. He said he has no issue with grow shops which are spaces selling appropriate equipment and material needed to cultivate cannabis, but is concerned about unregulated commercial low THC outlets marketing synthetic or semi synthetic cannabinoids such as HHC. “That is where I see a problem.”
Asked whether he is pushing for the regulation of these low THC shops, McKay said “yes we are, particularly when it comes to inevitable highly attractive signage”. He said he has already met with parliamentary secretary for Reforms and Equality Buttigieg about the matter.
“We want, first and foremost, to address the legal vacuum regarding these semi-synthetic cannabinoids, sold openly as a replacement for cannabis and THC products. We are also trying to, as much as possible, limit the signage that promotes cannabis on such shop facades.” Asked when the country can expect some form of legislation regarding this, he said they are still in the early stages of discussion, “but I am glad that parliamentary secretary Buttigieg is on the same wavelength as ARUC”. McKay explained that HHC has unknown and possibly harmful health risks. “It is a problem as they are very easily available, even for youths. There are certain compounds that mimic the effects of THC. For us, it is worrying, and ARUC will soon be setting up a consultative committee to see what can be done, as they do not fall under International Drug Controls, so we need to look at how we can address this legal vacuum.”
Campaigns
The ARUC head was asked about the campaigns which it will run. “Our remit is not about prevention per se, its more about harm reduction and how to bring about a positive change to persons who use cannabis. We acknowledge the importance of having public campaigns, without promoting use. We have partnered with Aġenzija Sedqa. There is a portion of the budget for Sedqa that until now was more about drug use in general,” he said. But when the new contract is signed, the campaign will focus on prevention measures for the general public and harm reduction in its broad sense for those who use cannabis.
Asked whether, instead, the message being sent should be “don’t use, but if you must then use legal means” he spoke of the need to be careful about the “no” messages. “We’ve been there and it never worked. So we prefer to provide evidence-based information, in our case on cannabis. I understand the fine line between the no, and the harm reduction model, and it has to be very well thought out. We also need to be careful as to what kind of mediums we will use for the campaigns, which have not yet been defined. We know that ideally, if someone is going to use cannabis, that they as much as possible do so after the age of 25, when the brain would be fully developed.” One of the harm reduction measures, he said, is that every association must have a cannabis strain that does not have a THC level higher than 18%, “as we know that when a young adult consumes high-level THC, particularly at ages below 21, there is the chance of more problematic use at a later stage”, he said, also highlighting this as a harm reduction measure.