Kota Kinabalu: Penang’s hotel occupancy rate fell below 50 per cent even during the recent Hari Raya holiday season. The Malaysian Association of Hotels (MAH) said hoteliers had anticipated at least a 70 per cent occupancy rate.
Next Year is the Visit Malaysia Year and tourism hotspot states like Sabah and Penang are set to look forward to an influx of tourists to benefit hotels that are saddled with tax that short-term homestays are not liable to pay to the local and tourism authorities.
The Penang International Airport is the third busiest in Malaysia after the Kota Kinabalu International Airport. MAH urged the government to enforce stricter regulations on short-term homestays, such as Airbnb, which are competing with hotels.
Operators of these facilities that are mushrooming are not charged hotel tax and are poorly regulated, some unlicensed even. They are taking away at least 30 per cent of business from properly established hotels that spend a lot on upkeep and meeting compliance, MAH said.
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