Hotel Rates Also Affected by Carbon Tax – Report
It seems even Australia's hotel accommodation industry won't be spared from the carbon tax.
In a report by The Australian, a survey conducted by the Tourism Accommodation Australia (TAA) revealed three quarters of Australian hotels were planning to increase prices prompted by the implementation of the newly instituted carbon tax. There might actually be others that have raised prices.
"Some hotels have already raised prices in response to increases in their operating costs but the majority are mindful of the ACCC's (Australian Competition and Consumer Commission) threats of price-gouging penalties," Rodger Powell, TAA managing director, was quoted as saying. The ACCC is the nation's antitrust regulator.
"The majority of hotel operators are waiting to see the net effect of the tax on their input costs before finalising new pricing", Mr Powell added.
"It will take some time to further assess the level of cost increases from suppliers."
For the hotel accommodation industry, the carbon tax serves as another blow to wanting to keep and manage costs at low prices.
"This week hotels are also introducing across the board wage increases in line with the recent Fair Work Australia decision for a 2.9 per cent increase in award pay rates,'' he said.
The high Australian dollar likewise impedes growth and sustenance of the Australian tourism sector.
"All of these factors are putting upward pressure on the cost of travel and accommodation in Australia and reducing our international competitiveness."