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Hotel occupancy in Bali drops during Apec Summit
Publication Date : 08-10-2013
The average occupancy rate of hotels in Bali, especially in Nusa Dua and the surrounding areas, has dropped quite significantly following the closure of Ngurah Rai International Airport during the ongoing Apec Summit.
Tjokorda Oka Artha Ardana Sukawati, chairman of the Indonesian Hotels and Restaurants Association (PHRI), told Bali Daily on Saturday that the average occupancy of star-rated and non-starred hotels throughout Bali had reached only 35 per cent since early October.
“We usually experience an average occupancy rate of 75 per cent in October. But now the rate has dropped to only 35 per cent,” Sukawati, popularly known as Cok Ace, said, adding that many hotels had received cancellations from their clients.
Cok Ace presumed that the cancellations could be due to the ongoing Apec Summit and the announcement of the airport’s closure during the event.
He said many domestic and foreign tourists had delayed their trips to Bali as the island was now hosting the Apec Summit.
“They have known for long time and have anticipated the closure of the airport on certain days,” he said.
The summit, which attracted thousands of delegates, has brought positive economic benefit to hotels hosting the delegates. “But the other hotels around Bali do not enjoy such good business,” said Cok Ace.
Cok Ace said that the drop in hotel occupancy rates during the 10-day summit would be covered by the increasing number of tourists coming to the island in the future.
“The summit will significantly boost our island’s brand as an international tourist destination,” Cok Ace emphasised.
Jeffrey Wibisono, corporate director of sales and marketing for LV8 Resort Hotel, admitted the drop in occupancy rate was caused by the closure of the airport and flight cancellations.
The new luxury hotel, located in the Canggu area, now has only 15 per cent occupancy. However, Jeffrey said, occupancy would jump to 80 per cent soon after the summit.
“The significant drop in our hotel occupancy is just because of the airport closure during the summit. After the summit, we will be facing high occupancy. Our guests have decided to come to Bali after the summit,” Jeffrey said.