Draft law aims to certify small hotels, target illegal operators

THA president Surapong Techaruvichit said about 20 per cent of the hotels in the country were operating illegally. “Most of them are small hotels with fewer than 50 rooms and no meeting rooms or other services such as food and lounges.” 

Currently, many hotels categorised as type A (fewer than 50 rooms) or type B (fewer than 50 rooms but with food service) are violating the hotel construction law enforced by the Interior Ministry, the THA claims. Many of these are in Bangkok and six other major tourist destinations.

According to Surapong, the ministry and his association have been working to revise hotel regulations for years. Under a draft law currently under consideration, small hotels will be able to register and qualify for the same certification as larger operations. However, it could take as much as six months for such legislation to take effect. 

The Cabinet on Tuesday approved a draft law proposed by the Interior Ministry to allow type A and B hotels to obtain full certification. Generally type C and D hotels do not create problems, as they are mostly big operations with a range of services.

A THA study found that if small hotels were included in the new regulations, it would be much easier to control services and standards. The study also suggested that the government would be able to earn more tax revenue if small operators were registered.

While the new law is aimed at bringing existing hotels in line, it would also affect all new investments in the hospitality industry nationwide. “The new hotel investment law will also help the entire sector in terms of sustainable growth,” Surapong said.

The Cabinet has also approved developing Phuket as a yacht centre, with a plan for maritime routes linking the island with Singapore and Myanmar. Phuket would also be developed as a hub for cruises and sailing.