Extension of Grace Period for Hotel Operating Licenses
In a swift move by MPs, a crucial bill is set to be expedited through the plenum this week, aiming to extend the grace period for hotels to secure a full operating license. This legislative action comes as a response to the startling revelation that over 90% of hotels are currently operating without the necessary permits.
The urgency of the matter is underscored by the timing of the vote, scheduled for Thursday’s plenary session—the final one before the House breaks for the impending local government elections. The bill, backed by multiple parties including Diko, Dipa, Edek, and the Greens, proposes to prolong the transitional period until the end of the year, allowing hotels and tourist establishments additional time to obtain their operating permits.
This extension is a continuation of a five-year transitional phase initiated in March 2019, which recently expired mid-March. Deputy Tourism Minister Costas Koumis highlighted the predicament, noting that a significant majority of hotel businesses have failed to acquire the certificates necessary for a full operating license. Koumis pointed out that many hotels had expanded or renovated during the tourism surge without updating their permits accordingly.
The proposed legislation suggests extending the compliance deadline to the end of 2024, with an exception for hotels that submit ‘as-built’ plans. These plans are crucial as they depict the actual state of a building post-construction, differentiating from design drawings that represent intended layouts.
Koumis expressed his support for the legislative proposal, acknowledging it as a step towards resolving the widespread issue of hotels lacking proper licensing. The hoteliers association and the fire department also showed support, despite some reservations regarding fire safety regulations within the bill. It was also brought to attention that current laws lack penalties for hotels that do not secure a full operating license, leading many to postpone compliance until the eleventh hour.
As the deadline looms, the hospitality industry watches closely, hopeful that this extension will provide the necessary buffer for hotels to regularize their status and continue contributing to the thriving tourism sector.
