Postpone sustainability fee on hotels, Selangor govt told

Postpone sustainability fee on hotels, Selangor govt told

Malaysian Budget and Business Hotels Association also calls for a minimum grace period of six months to allow hotels to prepare for the imposition of the fee.

The Malaysian Budget and Business Hotels Association said hotels risk operational disruptions, disputes with guests and compliance issues without a clearly defined framework for the upcoming sustainability fee.
PETALING JAYA:
The Malaysian Budget and Business Hotels Association (MyBHA) today urged the Selangor government to postpone the implementation of the sustainability fee on hotels.

MyBHA said it was not opposed to state-imposed taxes or fees, but that such measures must be implemented transparently, fairly and with proper preparation.

“At present, licensed hoteliers face significant uncertainty and operational challenges due to the absence of detailed instructions on how fees are to be collected, reported and remitted.

“Without a clearly defined framework, hotels risk operational disruptions, disputes with guests and compliance issues,” MyBHA president Sri Ganesh Michiel said in a statement.

He called for a minimum six-month grace period to allow hotels to prepare for the imposition of the fee.

He said a grace period would allow hotels to upgrade their systems, train their staff, communicate effectively with guests and ensure full compliance.

Sri Ganesh said such responsibilities posed a serious challenge for budget and business hotels operating on thin profit margins, potentially threatening their long-term sustainability.

“It is the responsible approach that protects consumers and businesses alike,” he said.

On Nov 21, the state government said it would impose the sustainability fee on tourists from Jan 1 to safeguard the state’s heritage and environment.

Local government and tourism committee chairman Ng Suee Lim said the fee would range from RM2 for homestays to RM7 for five-star hotels, with proceeds to fund conservation and tourism development.

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