Fedhasa demands Airbnb be regulated

Photo: Reuters

Photo: Reuters

Published May 25, 2017

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Online booking platform Airbnb’s non-compliance should be addressed as a matter of urgency to safeguard the tourism sector, the Federated Hospitality Association of South Africa (Fedhasa) says.

Fedhasa has called on the government to intervene to ensure Airbnb becomes industry-compliant and regulated.

Airbnb is an online booking platform that enables homeowners to rent space in their homes to guests for short-term stays. The concept has grown in popularity as travellers seek cost-effective alternatives to hotels.

Speaking at the Indaba Ministerial Session at the Tourism Indaba in Durban last week, Fedhasa chief executive Tshifhiwa Tshivhengwa stressed the importance and need for all accommodation providers to abide by the same set of regulations at all times.

“The hospitality industry as a whole has an obligation to adhere to these various guidelines; they have been created for a reason and it’s vital that they are upheld,” Tshivhengwa said.

“We are not concerned about competition if we are all playing on an even field. What concerns us are new industry players who are listed on Airbnb that don’t follow any regulations - some are not even registered as businesses,” he added.

One of the issues noted is Airbnb’s failure to verify compliance with the South African Liquor Act, leaving it open for an informal renter to supply a complimentary bottle of wine, which, light as it may seem, can unfairly tip the scales in Airbnb’s favour, Fedhasa says.

Economic Opportunities MEC Alan Winde said: “Platforms such as Airbnb expand opportunities to the economy for more residents. The number of Airbnb properties in our region has climbed to 17 500.”

The national Tourism Department did not respond to a request for comment by deadline.

Airbnb’s regional market consultant for Southern Africa, Velma Corcoran, said: “These are baseless allegations filed by lobby groups who want to avoid competition and protect their bottom line.”

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