South Africa seeks to regulate home sharing platforms for equatable distribution of tourism revenue

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Airbnb
An Airbnb listing. Picture from the company’s official Facebook page.

Cape Town (TAN): South Africa’s tourism ministry is seeking public feedback on a tourism amendment bill that seeks to regulate Airbnb and other home sharing platforms in the country amid increasing worry that they are adversely affecting the tourism sector.

The bill, which was made available online for public inputs on April 12, empowers the tourism minister to determine the limits of such short-term home rentals.

A spokesperson of the South Africa’s tourism department told BusinessTech that the bill aims to make it clear that the tourism minister will control these platforms. “There is currently no other piece of legislation that specifies who is responsible for this regulation,” he said.

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Once the legislation comes into effect, the government could cap the number of nights a guest can stay at a home-sharing facility and also on the income of the host. The spokesperson said these rules intended to have an equitable distribution of the tourism revenue.

The Federated Hospitality Association of South Africa has called for a government crack down on Airbnb.

Reports said the Port Elizabeth Metro Bed and Breakfast Association has said Airbnb had brought in over ZAR 6 million in Nelson Mandela Bay last year, an increase of 65 per cent from the corresponding period in 2017.

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The formal hotel sector, however, only saw an increase of 0.08 per cent in the area.

Airbnb, incidentally, welcomed its 500 millionth guest last month.

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