Kota Kinabalu: City Hall said reinstating the original licence fee rates under the Kota Kinabalu City (Hotels and Lodging Houses) By-laws 1966 is justified for the sake of the city’s development.
Mayor Datuk Seri Dr Sabin Samitah said the fees have not been increased but instead returned to original rates imposed in 1966 but cancelled in 1989 due to the sluggish economy and dwindling tourist arrivals.
“It was a move to help the hotel industry where they only had to pay RM10 (per room) a year.
“Try ask them the daily rates. For example, hawkers in Foh Sang are paying only RM3 a day which is RM90 per month. So why are hotels avoiding the government’s original rates when there are an influx of tourists and hotels are overbooked,” he said after a walkabout at the Lintasan Deasoka Ramadan Bazaar on Thursday which featured 170 stalls. Others under City Hall purview are Sembulan, Tanjung Aru and Indah Permai.
City Hall’s move was condemned by hoteliers, particularly two and three star establishments, which said would soon have to close shop due to the hike.
Sabin said two to three star hotels only have to pay RM1.60 per room a day. They do not have to pay if vacant.
“We have engaged with them and we are hoping they are open to help the city as we need the funds for upgrading works especially concerning hygiene.
“There is more waste today compared to the 60s. We have to pay to clean it up, beautify pavements, among others. How can this be achieved with RM10 per room per year?
“Five star hotels, you know how much they charge per night’s stay and we are only asking RM4.60.
“We need the funding to pay for electricity and cleanup works including at sea and rivers. If they are still polluted City Hall will get the blame and shame from tourists in and out the country.
“I really hope hoteliers can give their cooperation as the State Government has been supportive to cap them at RM10 per year from 1989 to 2024,” he said.
As of Jan 15, more than 50 per cent of hotel operators, totalling 99 establishments, have paid their hotel and lodging house licence fees for January 2025 when the law came into effect on Jan 1.
Sabin said the hygiene levels are up to standards following rigorous monitoring especially in terms of live cooking and disposing of oil.
“This is to avoid pests from encroaching our city. To date no summonses have been issued for this matter but enforcers have driven away a few illegal vendors,” he said, adding that another 21 bazaars have applied to come under the City Hall jurisdiction.
