Bali Tourism Development Getting Out of Control

Balinese community leaders have called on the government to implement policies that encourage sustainable tourism on the island.

Bali not for sale sign in Ubud. Picture source: Pinterest.

“We urgently need government policies to seriously take control of the rapid development of Bali tourism,” said Bali Community Leaders Alliance (ATMB) coordinator Agung Suryawan Wiranatha.

Established last year, many Balinese community leaders have joined in the alliance, including tourism practitioners.

Agung said ATMB had given several recommendations to government institutions, including the Tourism Ministry and Bali Tourism Agency regarding the suggested policies.

Among the alliance’s recommendations is a moratorium on new hotel construction in southern Bali. It said that Bali needed to stop developing new tourist accommodation for at least the next five to 10 years.

“The increasing number of tourist accommodation in Bali has caused unfair business competition, which led to a hotel price war,” Agung said.

The Indonesian Hotel and Restaurant Association (PHRI) Bali chapter recorded a total of 120,000 hotel rooms across Bali at the end of 2015, most of which were located in southern Bali. The agency alleged that many people offering rooms had not obtained the necessary permits to do so.

PHRI Bali chairman Tjokorda Oka Artha Ardhana Sukawati said the price war had hit Bali’s tourist sector, as many new hotels were offering low prices. An oversupply of hotel rooms has also caused low occupancy.

“The average hotel occupancy rate is now around 60-70 percent. If this situation persists, many hotels will cease operations,” said Ardhana, who is also a member of the alliance.

The increasing number of tourists to the island in the last decade has boosted tourism-related investment. Bali has seen 15 percent foreign tourist arrival growth each year. According Central Statistics Agency (BPS), from January to November 2016 Bali are welcomed 4,485,137 foreign visitors.

“Unfortunately, the development of Bali tourism is not being controlled. We allege that there are many hotels operating without legal permits. The development of new facilities also tends to damage the surrounding environment,” Agung said.

Besides a moratorium on new hotel construction, the alliance also urged the government to consistently enforce Bali’s spatial planning and culture tourism bylaws, which were aimed to protect the region’s culture and nature from uncontrolled development.

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Source: / Author: Ni Komang Erviani


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