President Dr. Mohamed Muizzu: Bill submitted seeks to empower pres. to determine islands and lagoons under council jurisdiction that will be leased for tourism. (Photo/President's Office)
A bill has been submitted to the Parliament on Tuesday which will empower the president to determine islands, land or lagoons issued for tourist resort development on cross subsidy basis as well as islands and lagoons under the jurisdiction of local councils, which will be leased for tourism development purposes.
The government-backed bill proposing the 15th amendment to the Maldives Tourism Act was sponsored by Thimarafushi MP Ahmed Riyaz.
The preliminary debate on the bill had been the only item on agenda at Tuesday’s parliamentary sitting.
According to the bill, it is the responsibility of the council of the respective island or city to determine land from the island or city which will be utilized for tourism purposes under its land use plan.
However, it is up to the president to determine islands and lagoons under the jurisdiction of councils of residential islands that will be leased for tourism development purposes.
This is amendment has been proposed to Article 5 of the Tourism Act.
The Article at present states land, islands or lagoons can be leased for development as tourist resorts or integrated tourist resorts on cross subsidy basis under an economic policy aimed at achieving a general benefit to the state or through a bid announced ahead of time under social policy.
Hence, the new amendment grants vast powers to the president.
Apart from this, the bill also includes amendments aimed at facilitating easements in making payments when individuals who have leased resorts for 50 years extend the lease by an additional 49 years maximum. In this regard, the payment period is extended to six months in the bill and sets a USD 5,000,000 (five million) fee that must be paid in full.
Notably, this is the third amendment proposed to the Tourism Act by the current administration.
Prior to this, the ruling PNC-dominated had passed amendments to the Tourism Act to double the Green Tax and increase TGST and departure tax.