Himachal Pradesh Tourism Development Corporation (HPTDC) has withdrawn all discounts and concessional facilities extended to VIPs, board members and accredited media persons at its hotels across the state with immediate effect.
The decision was communicated through an order issued by HPTDC Managing Director Rajiv Kumar following directions from the Special Secretary (Tourism and Civil Aviation), Government of Himachal Pradesh.
According to the order, the withdrawal of concessions has been necessitated by the prevailing financial condition of both the state government and the tourism corporation.
The move comes at a time when the state government has approved ₹49.56 lakh as consultancy expenditure for appointing a transaction advisor to facilitate the operation of eight loss-making HPTDC hotels under the public-private partnership (PPP) model.
The tourism department has conveyed approval for depositing the consultancy amount into the account of the Himachal Pradesh Infrastructure Development Board (HPIDB). The expenditure will be recovered from revenue generated through the proposed operation, management and maintenance (OM&M) arrangement.
Eight of HPTDC’s 14 loss-making hotels have been identified for operation under the O&M model. These include Hotel Lake View in Bilaspur, Hotel Mamleshwar in Mandi, Hotel Apple Blossom in Shimla, Hotel Sarvari in Kullu, Hotel Old Roscommon in Kasauli, Hotel Shivalik in Parwanoo, and Hotels Chanshal and Giriganga in the Rohru region.
HPTDC has been facing financial challenges since the Covid-19 pandemic. The corporation’s Board of Directors had recommended handing over the management of the identified hotels under the O&M model, citing continued losses and increasing competition in the hospitality sector.
