Bali Governor Wayan Koster has urged the management of online travel agent (OTA) platforms, particularly Airbnb, to remove illegal accommodations from their listings.
The request was delivered in Denpasar during a meeting with Airbnb Southeast Asia representatives based in Singapore.
“If they are not compliant, I hope the villa and tourism service operators will be removed from the Airbnb digital platform,” Koster emphasized as quoted from AntaraNews.
He emphasized that all accommodation providers and tourism services promoted through digital platforms must adhere to Bali Provincial Government regulations in order to realize high-quality, dignified, and culture-based tourism governance.
Remain Open to Investment
Koster wants to ensure that villas and tourism services marketed in Bali have obtained proper permits and fulfilled their tax obligations. He stated that he remains open to anyone wishing to invest or conduct business in Bali, but regulations must be enforced to safeguard the quality and sustainability of the island’s tourism sector.
“If the responsibility for maintaining the quality of Bali’s tourism is placed solely on the Provincial Government, regencies/cities, and the Balinese people, that would be unfair, especially when those who profit from tourism do nothing for Bali,” he said.
Therefore, he called on Airbnb not to indiscriminately promote illegal accommodations on its platform. Beyond enforcement, Koster also invited OTAs to collaborate with the provincial government, including by facilitating the payment of the Foreign Tourist Levy through their digital networks and partnering with the province’s official platform, Love Bali.
“They must also follow the policy direction of the Ministry of Tourism, whereby by the end of March all tourism services must have permits and pay taxes, and for those who fail to comply, we will enforce legal proceedings,” he asserted.
According to Koster, stricter discipline among tourism businesses is essential to prevent damage and losses to Bali. He highlighted the growing number of villas and houses operating as tourist accommodations without proper permits and without paying taxes.
This situation, he said, causes financial losses for the region, even as the government and local communities spend significant resources to maintain environmental cleanliness and preserve Balinese culture.
“With the current pattern, including the rapid growth of villas and houses functioning as accommodations without paying taxes and without permits, Bali is suffering losses, while we are working hard at high cost to keep the environment clean and preserve our culture,” he added.
Responding to the governor’s request, Airbnb Southeast Asia Public Policy Lead Shanta Arul expressed the company’s commitment to complying with all applicable regulations in Bali. She stated that Airbnb would encourage tourism service partners on its platform to fulfill tax obligations and complete licensing requirements.
“Airbnb is very serious in responding to this licensing issue and we are ready to cooperate with the government,” Arul said.
She also noted that Airbnb is prepared to help disseminate Bali Provincial Government regulations to its partners as part of supporting better governance and the long-term sustainability of tourism.