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Concern over hourly room rentals

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One of the accommodation establishments representative, Mduduzi Msane making a submission.
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EZULWINI – Police have been drawn into a growing dispute in the hospitality sector after operators of hotels, lodges and guesthouses raised the alarm over the proliferation of unregistered hourly accommodation.

Formal operators argue that unregistered establishments offering rooms on an hourly basis are undermining industry standards, creating unfair competition and operating outside existing laws.

The Eswatini Tourism Authority (ETA) confirmed that several cases involving mushrooming unregistered accommodation establishments charging hourly rates across the country, particularly in Manzini, have been reported to the police by the ETA.

The authority took action following complaints from registered accommodation operators, who have decried what they describe as unfair business practices by unregulated entities operating outside the country’s tourism framework.

According to accommodation owners and their representatives, the unregistered establishments do not comply with statutory requirements, including payment of the mandatory bed levy.

The bed levy is three per cent of every bed used per night in the accommodation establishments.

They further alleged that the introduction of hourly accommodation rates is not provided for under the Tourism Act of 2001, placing compliant operators at a competitive disadvantage.

The issue was brought to the fore during a Bed Levy Compliance and Tourism Establishment Grading workshop hosted by the ETA yesterday, which brought together hoteliers, guesthouse operators and B&B owners who voiced concern over what they described as an unregulated and increasingly problematic trend.

Participants expressed concern that the rapid growth of unregistered facilities is undermining industry standards and eroding revenue intended to support tourism development and marketing.

ETA Chief Financial Officer Khulile Dlamini informed the meeting that the matter has been escalated to law enforcement agencies, as operating without registration constitutes a violation of tourism regulations.

Dlamini stressed that registration and grading of tourism establishments are not optional but a legal requirement aimed at ensuring quality, safety and fairness within the sector and also support tourism development and marketing.

*Full article available on Pressreader*

 

Eswatini Tourism Authority Chief Financial Officer Khulile Dlamini.
Eswatini Tourism Authority Chief Financial Officer Khulile Dlamini.
Some of the accommodation establishments representatives following proceedings. (Pics: Sabelo Majola)
Some of the accommodation establishments representatives following proceedings. (Pics: Sabelo Majola)
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