B

ali is seeing more construction of hotels, apartments, villas and other facilities, despite its limited land and possible environmental degradation.

By the end of 2008, construction was underway on 36 star-rated and non-star-rated hotels. At present, the province has 1,715 hotels including, 150 star-rated ones and 1,565 non-star-rated ones. Growth in the sector between 2003 and 2007 was 13.22 percent, or an average of 3.26 percent per year.

Bali Tourism Agency head I.B. Kade Subhiksu said Monday the provincial administration had frequently warned new investors to stop building hotels and other accommodation facilities in the crowded island.

"There are new hotel constructions underway, including in Badung regency and Denpasar municipality, which have been declared off-limit," he said.

"Construction is still allowed outside the two regions, but only under certain terms and conditions."

Currently there are 265 hotels and accommodation facilities in Denpasar, while Badung has 449 units.

In l993, the provincial administration issued a moratorium on the construction of hotel-related buildings, and this was renewed in 2001.

Most hotels and properties were built in Denpasar and Sanur, and in Kuta, Nusa Dua and Jimbaran in Badung regency, as well as in Ubud in Gianyar regency. Bangli and Jembrana regencies have yet to boast any star-rated hotels.

Udayana University environmentalist Adnyana Manuaba strongly urged the provincial administration to take stern action against investors who violated regulations and caused damage to Bali's ecology.

Many hotels and villas are erected on productive land, such as rice paddies and plantations, threatening the island's food security. The need for abundant clean water and energy sources has also caused concern among environmentalists.

The implementation of the regional autonomy policy has exacerbated the problems between the provincial and regional administrations.

Subhiksu said each region felt it had the right to issue permits for new hotels on the grounds they had their own autonomy.

"The figures are for hotels with licenses only, while there are many private houses being turned into unlicensed accommodation facilities," he said.

Denpasar Deputy Mayor I.G.N. Jaya Negara, for instance, recently accepted an investor's proposal to build the Denpasar Imperial City, claiming the provincial capital still lacked hotel facilities.

Denpasar Tourism Agency head Putu Budiasa said the city needed at least 1,500 hotel rooms, especially during holiday seasons.

Subhiksu said the number of tourist arrivals to Bali had been increasing steadily over the last two years.

"But that doesn't mean we have to build more hotels or villas," he said.

Indonesian Association of Travel Agencies (Asita) Bali head Aloysius Purwa said he had encouraged both the local administrations and investors to take wise action.

"We have to secure Bali's ecosystem," he said.