Eco-tax contribution to apply starting from June 2016

Tourism minister Edward Zammit Lewis has introduced a new environmental contribution measure to generate funds for general infrastructural improvements and to improve the kind of tourism offered by the country.

“The contribution will consist of an income of 50c per tourist over the age of 18 years, capped at €5 per visit, starting from June,” Zammit Lewis said in a press conference earlier today. He explained that the starting date should allow the industry to prepare for the measure.

The contribution will apply to all accommodation guests, including those who host foreign students to Malta so that they can learn English.

The minister added that the earnings from the measure would be administered by the income department and managed by the foundation for the development of touristic zones.

“The foundation will mean that representatives of the Malta Hotels and Restaurants Association (MHRA) will be included to make sure that stakeholders participate in the initiative and to select which areas will benefit from the fund,” he said.

Zammit Lewis added that Malta had experienced another record-breaking year in terms of tourist visits, with over 1.8 million tourist arrivals in 2015.

“The sector is requires to consolidate its performance and to overcome challenges posed by new markets and competitors,” he said explaining that the contribution was meant to continue improving the standards and quality of tourism in the country.

A number of operators present at the press conference were reportedly disappointed at not being consulted prior to the decision.

Zammit Lewis said that the ministry would hold information sessions for interested parties, and he added that the government was also taking necessary measures to reduce unlicensed accommodation.