Kota Kinabalu: The State Government has been urged to outline measures to ensure the resilience of the tourism industry following rising transportation costs linked to increasing global oil prices.
Sri Tanjong Assemblyman, Justin Wong, said higher diesel prices would directly affect transportation costs for tourism operators in the State.
He noted that many tourist destinations, including islands, remain dependent on diesel-powered generators, and questioned what assistance would be provided to operators amid continued volatility in global oil prices.
“What is the progress of discussions between the Federal and State governments? If subsidies are not implemented promptly, operators will have to bear all the high additional costs daily.
“Many tourism packages are booked in advance, and these costs cannot be passed on to consumers. Therefore, the decision regarding diesel subsidies cannot be delayed and must be implemented as soon as possible,” he said during the State Legislative Assembly sitting.
Justin also proposed that the State Government review annual operating fees and taxes imposed on tourism operators, including considering exemptions to ease financial burdens and improve cash flow.
He said international tourist arrivals could decline if the issue of rising global oil prices is not addressed in the near term.
“With rising prices of goods, foreign tourists may reduce travel. Will the government introduce special packages to encourage domestic tourism?” he asked.
He further suggested that efforts be made to boost domestic tourism, similar to measures implemented during the Covid-19 pandemic, when the Federal Government introduced hotel subsidies to stimulate local travel.
Such measures, he said, would be in line with ongoing efforts to promote Visit Malaysia Year, while helping to support local tourism operators amid current uncertainties.
Justin added that proactive steps are needed to safeguard industry players and maintain the sector’s stability.
