Himachal tourism industry demands waiver on licence fee

Lalit Mohan

Dharamsala, July 23

Tourism has taken a hit after heavy rain and natural disasters in various parts of the state. The stakeholders associated with the tourism industry believe the impact of natural disasters on tourism might last for a long time.

They have demanded that the state government should announce a financial package for the hotel and tourism industry like waiver on annual renewal of licence fee and demand charges for electricity and local taxes so that the industry can tide over the crisis.

Ashwani Bamba, chief adviser of the hotel and restaurant federation, said the recent torrential rain, flashfloods and landslides caused extensive damage to roads and infrastructure in the Kullu-Manali region. Fear psychosis among tourists has resulted in a significant decline in travel bookings, severely impacting businesses across the state. Occupancy in hotels had been reduced to almost zero.

Bamba said there was uncertainty about the safety and accessibility of tourist destinations in the aftermath of these calamitous events. The visitors were hesitant to come to Himachal. The tourism industry, which is a vital contributor to the state’s economy, has come to a grinding halt. The government should extend support to ensure its revival and recovery.

“We appreciate the efforts being made by the government to evacuate stranded tourists and address their safety concerns. However, we emphasise the need for special measures to create confidence among travellers for propping up the industry,” he said.

The Hotel and Restaurant Federation has demanded that the state government should initiate a public awareness campaign to highlight the government’s efforts in restoring infrastructure and ensuring the safety of tourists.

Emphasise should be on the resilience of local communities and their eagerness to welcome visitors. The government should encourage tourism-related businesses to make special offers to attract tourists back to Himachal Pradesh once the situation becomes normal.

They have demanded financial package in the form of waiver of bar licence fee and minimum bar quota lifting and waiving of house tax and garbage collection fee.

As electricity consumption has dipped sharply in hotels, power demand charges should be waived until the tourism revives. The government should provide financial assistance, grants or low-interest loans to struggling tourism businesses to help them overcome the economic challenges, the federation has demanded.

The federation also demanded that the government invests in improving safety measures and infrastructure at key tourist destinations, focusing on flood-resistant infrastructure and early warning systems. The collective efforts of the government, local businesses and communities will be crucial in restoring the state as a thriving and secure destination for travellers.