Asian destinations turn to tourist fees to fund maintenance and development

Bali is the latest destination in a line of others across the world to impose a visitor fee aimed at preserving the condition of the land, and will likely not be the last to do so as tourism authorities seek ways to better manage tourist flows and fund tourist infrastructure maintenance.

Since February 14 this year, all international visitors entering Bali have to pay a one-time levy of 150,000 rupiah (US$10) per person. The Bali government has said that the collection will be used to fund the preservation of Bali’s unique cultural heritage and to reinforce sustainable tourism efforts. The first year of takings, estimated at 250 billion rupiah, will specifically be used for cultural preservation programmes and critical waste management.



In October last year, the Japanese island of Miyajima, located in Hiroshima Prefecture and famed for the UNESCO World Heritage site of Itsukushima Shrine, began charging an entry tax of 100 yen (US$0.66) per entry or 500 yen for a one-year pass. Hatsukaichi City officials, who oversee Miyajima, say the visitor fee will be used for sustainable tourism development, including measures to alleviate visitor congestion, as well as the maintenance of the ancient shrine.

A tourist fee was also set to commence this year in Thailand, but has since been put on hold. Part of the collection was meant for a new health and accident insurance for foreign tourists, which is now funded by the nation’s coffers. The insurance coverage of up to 500,000 baht (US$13,861) per traveller involved in any accident while holidaying in the country – or up to one million baht in the event of death – is facilitated by Thailand’s Ministry of Tourism and Sports, and the National Institute of Emergency Medicine under the Ministry of Public Health.



Other popular Asian destinations, such as Jeju in South Korea as well as Taketomi and Amami in Japan, are mulling tourist fees.

Jeju intends to use the fees to manage waste brought on by its booming tourism industry. Discussions back in mid-2023 said tourists could expect to pay a fee for every night of stay on the island along with a one-time entry fee and vehicle rental surcharges.

Taketomi in Okinawa, which encompasses World Natural Heritage Site Iriomote island, submitted a draft plan last year for a visitor tax starting in fiscal year 2024. The income would be used to ease the strain on local infrastructure and reduce environmental damage caused by tourists, who numbered more than one million annually pre-pandemic.



Nearby island chain Amami, another World Natural Heritage Site, is also considering imposing taxes or asking for donations from visitors to help protect the endemic species and natural environment that make it one of the world’s biodiversity hotspots.

A welcome charge
Indonesian inbound operators say Bali’s tourism levy, which is a low US$10 equivalent, is not met with resistance, especially not European travellers who are used to higher tourism and accommodation taxes within Europe.

However, they feel that applications and payment systems could be improved. Presently, travellers are required to access a different link each for visa-on-arrivals, e-customs declaration, and the Bali Tourism Levy.

Ricky Setiawanto, director of business development at Panorama Destination, remarked that a single channel for all procedures would have been better for travellers.

Miyajima’s tourist fee, which is small change for travellers, has also not met with resistance.

Read more: https://www.ttgasia.com/2024/03/07/asian-destinations-turn-to-tourist-fees-to-fund-maintenance-and-development/