Sri Lanka Tourism turns back the calendar!
File picture of tourists at a waterfall.
The relatively new Tourism Act of 2005 is to be changed under the present government’s vision despite these bodies being established to act independently that have now, after a lapse of just 16 years, caused issues to the efficient running of the organisation.
Mooted by the industry itself back then and hailed as an exemplary model of public-private sector participation in the running of the tourism industry’s state entities, is now seeing another attempt to be changed once again ever since it came into operation in 2007.
“When you have three different boards they concentrate on their matters only,” Tourism Minister Prasanna Ranatunga told the Business Times on Friday.
He explained that there were some issues pertaining to administration and that the Promotion Bureau was not organising events due to the non payment of dues to those that had been employed by the previous government to carry out promotional activities.
The minister noted that the government wants this Tourism Act to be changed and have sought Cabinet approval. But interestingly the paper will not detail the changes required.
In this respect, Mr. Ranatunga said they will seek the proposals from the different associations within the industry and those not represented on these said associations as well like those running hotels and home stays to establish a new Act.
He pointed out that they want to ensure that they will allow the private sector to run the operations with the governments engagement as a monitoring body.
Under the present system there are four bodies namely the Sri Lanka Tourism Development Authority (SLTDA), Sri Lanka Tourism Promotion Bureau (SLTPB), the Sri Lanka Convention Bureau (SLCB) and the Sri Lanka Tourism Institute of Tourism and Hotel Management (SLITHM).
He noted that they want to change the Act and they will take time and carry it out in line with the government’s vision as detailed in the “Saubhagyadekma” by bringing the SLTDA, SLTPB and the SLCB under one body with different boards and retaining the SLITHM separately.
Back in 2010 as well the government attempted to bring back the former Sri Lanka Tourist Board (SLTB) with similar changes.
During the drawing up of the development authority the private sector had at the time reportedly been eager to establish this venture back in 2007 as it resulted in an effective public-private partnership.
The Tourism Development Levy or TDL contributes 70 per cent out of the cess fund to the SLTPB, 14 per cent to the SLTDA, 12 per cent for the SLCB and the balance 4 per cent to the SLITHM.
In the face of the situation faced by the industry today as well, the Sri Lanka Tourism Hotels Association (THASL) and the Sri Lanka Association of Inbound Tour Operators (SLAITO) stated in a media release that they are “not in favour of changing the current Tourism Act of 2005.”
They believe that “if the current Act is implemented efficiently, the tourism industry of Sri Lanka can move forward” and that “if at all, if there is an issue, it is not due to the Act itself but the reluctance to implemnent it the way it should have been”.
They noted that “the only area where a change can be considered is to look at the possibility of merging the back office functions such as finance, HR, IT, legal which will result in a cost saving for the institution.”
Back in 2007 the tourism industry established the Sri Lanka Tourism Development Authority under the Tourism Act of 2005 effectively breaking away from the former SLTB set up that was in place for 41 years prior to the 2005 Act.