Local authorities in Lapu-Lapu City are contemplating a move to lower charges for domestic tourists.
Lapu-Lapu City Government Rotates Plans to Slash Environmental Fees for Local Tourists to Stimulate Tourism Industry
In an endeavor to offer economic relief to stakeholders impacted by the tourism sector, Lapu-Lapu City officials are reconsidering a reduction in the environmental fee for local tourists. The discussion follows the concerns raised by boat operators about a reported decrease in Filipino guests participating in island-hopping activities, together with a thorough assessment of the policy's impact over the last year.
Since May 1, 2024, the city has collected over 22 million pesos in green fees from tourists. Councilor Annabeth Cuizon, in charge of the finance committee, suggested lowering the environmental fee for local visitors from the current rate of 100 pesos to 20 pesos, based on the complaints voiced by some boat operators that the high fee might be dissuading local tourists.
Cuizon explained that the city administration values the input of stakeholders in policy-making. "We carefully listen to the concerns of our local boatmen and others who may be affected by any legislation we enact," she said.
In a separate development, Congressman-elect Junard "Ahong" Chan urged the City Council to revise the environmental fee ordinance to address the economic needs of island-hopping and boat operators. His request followed a consultative meeting where the adjustment of fees was discussed. He highlighted that local residents will continue to enjoy free access to environmental fees, while foreign tourists and non-residents of Lapu-Lapu City will still pay 100 pesos.
The City Council is currently in the process of amending the ordinance, and the revised version could potentially be discussed at the scheduled regular session on June 11.
The potential reduction in the environmental fee may have an influence on future projects funded with revenue from green fees, as the daily baseline could drop from 60,000 pesos to 19,000 pesos. However, Cuizon noted that the city has accumulated savings over the past year that could help mitigate any adverse effects of the proposed adjustment.
Prior to the City Council's approval of the environmental fee ordinance on Dec. 20, 2023, the Hotel, Resort and Restaurant Association of Cebu, Inc. (HRRACI) had expressed strong opposition. The association argued that the fee was hypocritical and warned of its negative impact on the tourism industry, which was struggling to recover from the pandemic and typhoon Odette. The association claimed that the fee might make Lapu-Lapu City less competitive than neighboring destinations with no such charges, potentially leading to fewer reservations, job losses, and financial difficulties for local businesses and residents.
Lapu-Lapu City is known for its Mactan-Cebu International Airport and a wide selection of high-end hotels and resorts, making it a popular tourist destination.
- Lapu-Lapu City officials are reconsidering a reduction in the environmental fee for local tourists to stimulate the tourism industry, following reports of decreased local participation in island-hopping activities.
- Councilor Annabeth Cuizon, responsible for the finance committee, suggested lowering the environmental fee from 100 pesos to 20 pesos based on stakeholder feedback, particularly from boat operators.
- Congressman-elect Junard "Ahong" Chan also urged the City Council to revise the environmental fee ordinance, emphasizing the economic needs of island-hopping and boat operators.
- The potential revision of the environmental fee ordinance, if approved, may affect projects funded with revenue from green fees, as the daily baseline could drop from 60,000 pesos to 19,000 pesos.
- Prior to the approval of the environmental fee ordinance in December 2023, the Hotel, Resort and Restaurant Association of Cebu, Inc. (HRRACI) had expressed opposition, warning of its potential negative impact on the tourism industry and competitiveness of Lapu-Lapu City as a tourist destination.
