Delegates to the Asia-Pacific Economic Cooperation (Apec) meetings in Cebu City are expected to arrive there in eight days, but local officials are feeling uneasy over a serious hospitality industry issue: expensive hotel room rates.
Swamped by complaints that the rates have been jacked up by as much as 120 percent, Gov. Hilario Davide III reminded operators of Apec-accredited hotels that Cebu would be hosting government officials, not vacationing tourists.
Davide and Cebu City Mayor Michael Rama planned to meet with hotel representatives to discuss the problem.
“I am well aware that we cannot impose on them, but we will be making an appeal,” the governor said.
Market-driven
Ambassador Marciano Paynor Jr., director general of the Apec-National Organizing Council, said in a statement that “certain accredited hotels for the Senior Officials’ Meeting scheduled to be held in Cebu in September have quoted significantly higher rates.”
“We have verified that such rate-setting is market-driven and is aligned with rates charged by hotels that are part of their global networks,” he said.
Philippine Foreign Undersecretary Laura del Rosario, who chairs the Apec Senior Officials’ Meeting, pointed out that not all of the 3,000 delegates from 21 Apec member-countries come from rich economies. “We are spending government money (when attending the meetings). We are not CEOs (chief executive officers). Don’t treat us like tourists,” she said.
Paynor did not identify the hotels in his statement, but Del Rosario named three hotels that jacked up rates by more than 120 percent.
Renting the Superior Room at Radisson Blu Hotel, where most of the 90 meetings would be held, cost at least P13,350 per night. Its published rate as of Aug. 5 was only P5,800.
Almost triple
Published rate for a deluxe accommodation at Marco Polo Plaza Cebu cost P4,530 as of Aug. 5, but the price would go up to P11,000 per night during the Apec meetings.
Deluxe Rooms at Cebu City Marriott Hotel would cost P13,800, almost triple the published rate of P5,000 as of Aug. 5.
Del Rosario said her office started receiving the complaints on July 10 when it released a circular identifying the accredited hotels.
It is only in Cebu where there are complaints about the hotel rates, she said. There was none on Boracay Island in Aklan province where the Apec Workshop on the Climate Change Impact on Oceans and Fisheries Resources was held on May 9 and the Second Senior Officials’ Meeting and Related Meetings, from May 10 to 21.
May is considered part of the peak season in the country’s prime tourist destination.
Iloilo’s case
Neither did Del Rosario’s office receive a complaint on hotel rates in Iloilo City, where Apec meetings are also scheduled to be held in September and October.
At least 2,500 delegates are expected to attend the meetings in Iloilo, including the ministerial meeting on small and medium enterprise on Sept. 21 to 25, senior officials forum on disaster management on Sept. 22 to 23, and conference on food security on Sept. 28 to Oct. 6.
Local organizers have encouraged hotel operators to offer and maintain regular rates despite the expected high demand.
“While it is an opportunity for hotels to recover from lower room occupancy in the off-peak season, we don’t want to turn off our guests and give an impression that we are taking advantage of the event,” said Junel Ann Divinagracia, executive director of the Apec local organizing committee.
Divinagracia said 2,336 rooms with 3,758 beds in 34 hotels are being readied for the events from Sept. 21 to Oct. 6. The participants, as well as guests and organizers, are expected to be staying in the city from three weeks to a month.
Most hotels in Iloilo City are charging rack rates for their rooms during the Apec meetings. Rack or published rates are usually discounted during off-peak season.
The peak season for hotels in Iloilo City usually starts from December until February, especially during January when the annual Dinagyang Festival is celebrated and rates usually double for three-nights-four-days packages.
Hotel del Rio, one of the oldest and popular hotels in the city, renovated its 58 rooms and facilities in preparation for the international conferences but will not charge more than its published rates. Its standard rooms cost P2,800 per night, inclusive of breakfast for two, while its presidential suite is at P18,000 per night.
“We have maintained our rates because we want to encourage our guests to come back,” said Maria Isabel Uy, hotel manager.
Days Hotel Iloilo will also maintain its rack rates during the conferences, according to George Wong, acting manager.
Amigo Terrace Hotel is offering a discounted rate for delegates and participants. Superior Room accommodation costs P2,795, exclusive of breakfast, lower than the rack rate of P3,595.
MO2 Westown Hotel in Smallville Commercial Complex will charge rack rates of P2,500 for its Deluxe accommodation during Apec meetings.
Reasonable rate
Some hotels, especially those near Iloilo Convention Center in Mandurriao District where the conferences will be held, will increase their rates by P1,000. Standard Room in Iloilo Business Hotel will cost P4,000 a night from P3,000.
In a statement, Paynor said that while there are nine hotels for Cebu meetings, the delegates can stay in 30 other hotels elsewhere.
“The conference venues were chosen in accordance with international standards and the list of accredited hotels was drawn up to provide the participants a wide range of choices. Those who opt to stay in hotels other than those used as conference venues are provided shuttle transportation for their convenience,” he said in a statement.
But Del Rosario said delegates had no choice but to stay in hotels to be used also as meeting venues, to avoid being late. “They would like to go to cheaper hotels, but they might miss their meetings because of the traffic here,” she said.
Hotel rates in Iloilo City before and during Apec meetings based
on a random survey of the Inquirer
Hotel Room Pre-Apec/night Apec/night
Hotel del Rio
Standard
P2,800 (rack rate)
P2,800
Presidential Suite
P18,000
P18,000
Amigo Terrace Hotel
Superior
P3,595 (rack rate)
P2,795
MO2 Westown Hotel
Deluxe
P2,500 (rack rate)
P2,500
Iloilo Business Hotel
Standard
P3,000
P4,000
Sarabia Manor Hotel
Standard
P4,000 (rack rate)
P2,700
Diversion 21
Hotel
Standard Matrimonial
P2,300 (rack rate)
P2,900
Below is a comparison of accredited Cebu City hotels’ published internet rates as of Aug. 5 and the rates during Apec meetings
Hotel Published rates (as of Aug. 5) Apec rates
Radisson Blu Hotel Superior Room
P5,800
P13,350
Marco Polo Plaza Deluxe Room
P4,530
P11,000
The Marriott Cebu Deluxe Room
P5,000
P13,800