Visitor Levy could see visitors paying multiple times

Visitor Levy could see international visitors paying multiple times to access the DOC estate

Tourism operators are welcoming a proposed tourism levy but say they’re concerned visitors could end up paying multiple times to go on the Department of Conservation (DOC) land.

In a submission to the Ministry of Business, Innovation and Employment, Tourism Export Council of New Zealand (TECNZ) says the proposed International Visitor Conservation and Tourism Levy is welcomed, as local Councils and by default ratepayers can’t continue to foot the bill for tourism infrastructure when tourism demand outstrips the day to day needs of local communities.

TECNZ Chief Executive Judy Chen said, “The projected $57M - $80M raised needs to be reinvested back into tourism across infrastructure and conservation initiatives and transparency in spending is important.”

There is also concern that visitors could be hit with multiple fees for conservation, first through the Visitor Levy and then when visiting DOC estates through commercial operators who already pay a concession accessing the area.

“Paying to access the conservation estate is nothing new. Tourism operators have paid a concession to DOC for years and these costs are passed to the visitor. This new levy effectively means our visitors will be paying twice or more dependent on the type of holiday they choose and how often they access commercial tourism activities on conservation land.”

“Current DOC concessions have targeted group visitors for many years and the new Visitor Levy will further disadvantage visitors travelling in groups. Should the levy go ahead we would like to see a review of the current concessions paid by tour and coach operators to ensure that visitor contribution across the board is equitable.

We have also seen some significant increases in operator concessions recently as DOC has a monopoly in the areas they operate and solely determines the ‘market rate’.

New Zealand is already considered a relatively expensive holiday destination. Our members are concerned that multiple costs imposed on visitors may deter them from enjoying as many of the great tourism sights and activities we have to offer.”

TECNZ has also queried why Australian and Pacific Island visitors will be exempt from paying the levy.

“Almost 1.5 million Australians visited New Zealand in the year to May 2018 which is around half of our international visitors”, Ms Chen said. “This is a significant number of international visitors not having to pay the levy who will still be accessing the same tourism attractions and facilities as those who have paid.”

“Our members feel these exemptions, particularly for the Australian market, leaves a large sum of collectible visitor levy money on the table – around $37.5M if the levy was set at the lowest amount of $25 per person.”

“TECNZ members are supportive of the Visitor Levy, but we need to make sure it is being collected from all international visitors and that they aren’t paying multiple times or unfairly for the same product, in this case that product being the conservation estate.”

ENDS

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