The measures adopted on Friday apply to the tourist hotspots of Playa de Palma and Magaluf in Majorca and Sant Antoni in Ibiza, the BBC reported.
The new law includes a string of measures aimed at cracking down on so-called "booze tourism", where visitors are encouraged to binge drink.
Organised pub hopping can no longer be advertised or held in Playa de Palma, Magaluf or Ibiza's West End.
The law also bans happy hours and says party boats can no longer advertise in the three areas or pick up or drop off tourists there.
Alcohol vending machines, free bars and adverts for alcoholic drinks were also forbidden, while authorities said that shops selling alcohol must close from 9.30 p.m. to 8 a.m.
The new regulations have also outlawed "balconing", where people jump from hotel balconies, often into swimming pools. The practice has been linked to a number of tourist deaths and injuries.
Authorities said those caught taking part in the activity would now be forced to leave their hotel and could face fines.
The regional government said the law was the first in Europe to restrict the promotion and sale of alcohol in certain tourist zones, according to the BBC report.
It said the new measures would "fight excesses" and "force a real change in the tourism model of those destinations".
( With inputs from IANS )