Industry seeks say on levy spending
The tourism industry says it’s important money gathered through a new international visitor levy is wisely spent and it is still unclear how it will be allocated.
Tourism Industry Aotearoa chief executive Chris Roberts is confident the levy of $25 to $35 a head will not deter international visitors from coming here, even though those paying online via a new electronic travel authority (ETA) will face an additional $9 charge.
He said the decision to exempt short-haul markets such as Australia and the Pacific islands from the levy was undoubtedly tied to the Closer Economic Relations agreement with Australia, but it was an important concession that the industry had pushed hard for.
‘‘It was that trans-Tasman market where it could have an impact on because it’s price sensitive, especially the holiday market, and with even a small increase Australians could decide to go to Bali or Fiji instead of New Zealand.’’
Roberts said it was not clear how the money collected – an estimated $57 million to $80m a year – would be split between conservation and tourism, what sort of projects should be funded, how the decisions should be made, and by whom.
Those details are yet to be hammered out in the consultation process launched yesterday. The range of options outlined in the Government announcement ranged from basics such as building toilets to developing visitor attractions.
‘‘It needs to be wisely spent … on behalf of the visitors who are paying; the tourism industry needs to have a say on where the money goes,’’ Roberts said.
The Tourism Export Council, which represents inbound tour operators and other tourism businesses, is heartened by the prospect of more money to improve infrastructure.
Chief executive Judy Chen said the council’s members were supportive of the levy only if it was invested back into the industry, and she said collecting the money via the ETA was a good option.
‘‘One seamless process of collection at point of entry is also a far better option than numerous and varying targeted rates put in place across the country by local councils, as we have started to see emerge.’’
Queenstown Lakes District mayor Jim Boult said he was disappointed with the Government’s proposal because a bed tax was a more ‘‘logical’’ way of funding infrastructure, and he would keep lobbying for it.