Accra: For years, customers have lamented the high cost of hotel accommodation in Ghana, often comparing local rates unfavourably with cheaper options abroad. Many argue that the steep prices discourage domestic tourism and holidays. While hoteliers in Ghana have acknowledged these concerns, they continue to implement measures to improve guest experiences despite the prevailing cost structure.
According to Ghana Web, the President of the Ghana Hotels Association, Victor Opoku Minta, stressed that a review of utility tariffs would significantly benefit hotel operators and, in turn, customers. He explained that electricity and water remain the largest operating expenses in the industry. Using a simple breakdown, he said, "If you take a GHS100 hotel bill, roughly GHS20 goes to taxes. The remaining GHS80 has to cover electricity, water, staff salaries, maintenance, and several other expenses required to keep the facility running."
Minta emphasized that if utility tariffs for hotels are reviewed, it will ease the operational burden on businesses, which could eventually reflect in more competitive room rates for customers. This move could potentially make hotel stays more affordable and stimulate domestic tourism.
He further explained that easing the burden of utility tariffs would allow hotels to operate more efficiently and competitively. Consequently, Minta called on the government to review both taxes and utility tariffs affecting the hospitality sector, as the current cost structure is a major contributor to the high price of hotel accommodation in Ghana.