Bali Hotel Association Urges Government to Ease Permits for Villas Built in Green Zones
The Indonesian Hotel and Restaurant Association (PHRI) Bali chapter has asked local government to simplify the permitting process for villas already built in protected green zones. The request comes amid concerns over the growing number of such villas being listed on booking platforms like Airbnb.
On September 30, 2026, I Gusti Agung Ngurah Rai Suryawijaya, Vice Chairman of the Bali chapter of the Indonesian Hotel and Restaurant Association (PHRI), called on local government to ease the permitting process for villas that have already been constructed in protected green zones (jalur hijau).
The request follows growing concern over the number of Bali villas listed on online booking platforms such as Airbnb. Many of these properties were built with incomplete permits in green zones, and strict regulations currently prevent them from operating legally even after construction is complete.
According to Rai, villa owners seeking to legally list on booking platforms would need to revise their designs in line with the Detailed Spatial Plan (RDTR) and obtain a Regional Taxpayer Identification Number (NPWPD). He noted this would also increase government revenue from Hotel and Restaurant Tax (PHR).
Rai further recommended that the government conduct research into Bali's tourism carrying capacity and evaluate the current moratorium on accommodation construction. He warned that if left unaddressed, the unchecked proliferation of hotels, villas, condotels, guesthouses, and apartments could trigger a price war in the accommodation sector—harming business revenues, threatening staff service incentives, and reducing government tax income.
Things to Consider
When booking a villa, check listing details and local reviews to confirm the property holds official business licensing (NIB). Foreign residents considering long-term stays or rental agreements should consult a real estate agent or lawyer to verify whether a property is located in a protected green zone and has obtained proper tax registration (NPWPD). Given the possibility of tightened regulations affecting unlicensed properties, travelers should also review cancellation policies before booking, as increased enforcement could lead to sudden booking cancellations.
Source: detikcom