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Small hotels still unable to register, but only in Phuket

Small hotels still unable to register, but only in Phuket

PHUKET: A delegation representing small hotel owners in Phuket has appealed to the Senate for help in allowing small and boutique hotels on the island to legally register as hotels ‒ a task they still cannot complete despite new regulations brought into effect this year specifically allowing them to do so.

tourismeconomics
By The Phuket News

Thursday 28 September 2023 03:59 PM


 

The formal request for help was submitted by the Tourism Council of Thailand (TCT) to Senator Gen Akanit Mueansawat, Chairman of the Senate Public Administration Commission.

Gen Akanit in turn tasked Senator Gen Buntham Oris, who served as chairman of the working group to consider studying solutions to the problems of operating a daily accommodation rental business in 2021, to oversee a Senate investigation into the issue.

Present and joining the “joint problem-solving committee” was Manosit Jangjob, head of the TCT’s small hotel subcommittee, said a report by the Phuket office of the Public Relations Department.

The Ministerial Regulation Specifying the Characteristics of Other Types of Buildings used for Hotel Business (No. 4) B.E. 2023 was signed into effect on June 7 this year by Gen Anupong Paochinda, who was Minister of Interior at the time. The new ministerial regulation, finally allowing small hotels to register to be legally recognised as ‘hotels’, came into effect with its promulgation in the Government Gazette on June 20.

However, despite the ministerial regulation, operators still cannot register their businesses as small hotels due to another ministerial regulation, this one issued by the Ministry of Natural Resources and Environment, said the PR Phuket report.

The MNRE regulation specifically regards area demarcation and environmental protection measures in Phuket province, the report noted.

However, exactly which environmental measures in effect in Phuket prevented small hotels from registering was not explained.

However, when small hotels last year made yet another plea to be able to legally register, one of their requests was to waive the Ministry of Natural Resources and Environment regulation requiring that 30% of the plot area be left undeveloped (the ‘green areas’ rule that requires buildings’ footprint to cover no more than 70% of the total square area of the plot).

The Ministerial Regulation Specifying the Characteristics of Other Types of Buildings used for Hotel Business (No. 4) B.E. 2023 does make it clear that small hotels applying to be legally registered as hotels must comply with all environment protection measures.

The MNRE regulation preventing small hotels in Phuket from registering only became apparent when small hotels tried to register, the delegation said.

The issue affects only small hotels in Phuket trying to became legally registered, the delegation added.

The Boutique Accommodation Consortium - Phuket (BAC Phuket) raised the issue with Prime Minister Srettha Thavisin during his visit to Phuket on Aug 25. PM Srettha has been confirmed to visit Phuket tomorrow (Sept 29).

 

When raising the issue with PM Srettha last month, BAC Phuket also submitted a formal request for help to the Tourism Council of Thailand. TCT President Chamnan Srisawat responded, leading to the Senate’s involvement yesterday.

Of note, TCT President Chamnan was in Phuket in June to head a two-day ‘SME Restart’ event, promoting the fact that small hotels could be finally register as legally recognised hotels.

Wirintra Paphakityotphat, head of the Tourism Council of Thailand (TCT) Region 11 branch, which represents Phuket, Phang Nga and Krabi, was also present in Bangkok yesterday.

Ms Wirintra explained, “The TCT brought the matter to the Chairman of the Senate Committee on Public Administration to help follow up and expedite agencies related to the [respective] laws to help solve the hotel’s licensing problem urgently in order to increase [guest accommodation] supply this coming tourist season.

“This is because a hotel license is necessary [for small hotel operators] to obtain a loan from a bank for use in improving buildings used for hotel business. Hotels that are still closed can be improved and opened in time for this tourism high season, and provide more accommodation for tourists.

“It will stimulate the economy, and increase employment, people’s incomes and generate revenue during the last quarter of the year,” she said.