Bali is home to some of the best vacation villas in the world. From exceptional bamboo architecture to dreamy clifftop infinity pools, to authentic cultural homestays, to expansive contemporary homes, there is a vacation villa for every kind of traveler.
The Bali Villa Rental Management Association (BVRMA) is proposing some big changes to the way in which the overall system is managed, and it looks set to change the game for holidaymakers.
The Bali Villa Rental Management Association (BVRMA) is proposing to implement a hotel-style star rating system for Bali’s privately owned holiday villas. The BVRMA are a highly respected association within the tourism space in Bali and typically the changes they set forth are usually brought into effect alongside consultation with the Bali Provincial Government.
Speaking to reporters, the BVRMA Chairman, Kadek Adnyana, said the proposal is still in the review stage, but that his team is working with Bali’s universities to develop classification standards that will serve as a reference for tourists to help clarify villa quality standards, amenities, and pricing for tourists and investors.
Adnyana told reporters, “Our plan at the Bali Villa Rental Management Association is to create a classification for villas, similar to hotels. Before creating this classification, we’ll be conducting studies in collaboration with campuses and universities.”
He explained that, as there are currently no clear standards for villas in Bali that can clearly differentiate quality, tourists find it difficult to choose the right accommodation, and businesses often engage in unfair price competition. Adnyana noted, “Sometimes even beautiful villas have to be sold cheaply due to competition. Some are even poorly maintained but can still sell for very low prices.”
Adnyana explained that the villas will be categorized from one to five stars. The goal is to make facilities, services, and prices more accessible to the market. “This way, it’s clear what the price is, what the amenities are, and so on.” He confirmed that BVRMA aims to complete the study this year, after which it will be discussed with business owners for implementation. He shared, “We hope the study will be completed this year, and we can implement it with villa owners next year.”
The new star system will take a while to come into effect, but tourists booking villas in the near future may start to hear more property managers promoting villas in this way. There will certainly be more updates to come from Adnyana and his team at BVRMA.
In the meantime, the Ministry of Tourism has confirmed over the weekend that it will be cracking down on illegally operating tourism villas in Bali.
Over the last year, the Bali Provincial Government has been doubling down on efforts to curb the number of illegally operated villas in the province, either by closing them down entirely, removing online listings, or giving deadlines for compliance.
The illegal operations are rooted in everything from spatial planning violations for construction, through to outdated or non-existent business licenses and permits. Now the Indonesian Ministry of Tourism has given its backing to the crackdown, but confirmed that it will be offering support to villa operators who want to get their affairs in order.
Speaking at the Bali and Beyond Travel Fair, hosted at the Bali International Convention Center in Nusa Dua this weekend, Indonesia’s Deputy Tourism Minister, Ni Luh Puspa, told reporters that the department had no intention of eliminating or closing unlicensed villas. Instead, the government will provide assistance to accommodation businesses in managing their legal business requirements.
She confirmed, “We’re not removing them, but we’re asking OTAs (online travel agents) to ensure all their merchants have legal status, including a Business Identification Number (NIB).”
Adding “We even assist them in obtaining permits and legal business registration. We collaborated with the Bali Provincial Government for this. So, the Bali Provincial Government fully supports us in this process.”
Ni Luh Puspa clarified that the mission is to level the playing field by bringing all businesses into compliance rather than making life harder for business owners. She noted that the crackdown is not only for increasing tax revenue but to create fair competition for tourism industry players who have met all licensing requirements, and provide safety and peace of mind for tourists.
She shared, “For friends who own hotels, friends who already have villas with complete permits, it would certainly be unfair if, for example, there were accommodations without permits.”
This support and leniency won’t last for long; however, villa and accommodation businesses have only a few months left to get their paperwork in order. Ni Luh Puspa confirmed that an extension has been granted by the Ministry of Tourism.
Concluding, “Actually, we wanted it to be in March. But then the Minister gave the policy to extend it, if I’m not mistaken, until the middle of this year. Whatever the reason, complying with regulations is crucial because it maintains fairness.”
Source: The Bali Sun
