HOTEL and resort operators in Cebu are asking Malacañang to mediate and stop the National Power Corp. (Napocor)) from implementing a 20-percent increase in its generation rates starting this month.
With Visayas set to be hit by the biggest increase, they warn that the tourism and hospitality industry in Cebu, already bracing for a tough year because of the global economic recession and tough competition from rival destinations in the region, will lose its edge in the global market.
“Why is the government punishing an industry which is currently flying and has the best hope of helping the country during the crisis?” Hans Hauri, the chairman of the power committee of the Hotels, Resorts and Restaurants Association of Cebu (HRRAC), said.
Hauri, the general manager of Marco Polo Plaza Hotel, warned that with hotels and resorts forced to absorb the increase, many operators may have no choice but to freeze their expansion plans, including the hiring of more workers; or worse, lay off employees.
“Somebody will have to pay for it [the increase],” Hauri warned. He said power bills account for more than 10 percent of the operational costs of hotels and resorts.
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