New Zealand

Tourism operators offered interest-free loans for safety audits

18:10 pm on 2 October 2020

Cash-strapped adventure tourism operators are being offered a helping hand to ensure they can complete safety audits.

Photo: 123RF

Every three years, operators have to undergo a safety audit under the Adventure Activities Regulations at an average cost of $4000-$5000.

They can't operate without an audit and many of them will need one in the coming months.

Tourism Industry Aotearoa (TIA) is offering its members interest-free loans to cover up to half of the safety audit fee.

Chief executive Chris Roberts said it was an unprecedented step for the TIA.

"We have explored the possibility of government funding but have been told by Ministers that none is available, so we are using our own balance sheet to support our members," Roberts said.

"Not only are we supporting our operators, particularly small businesses, we are also helping ensure that Kiwi holidaymakers will be able to enjoy these activities over the summer.

"Safety is always the top priority for adventure and outdoor operators. TIA is proud to support this vital sector of our industry through these challenging times."

Worksafe has 312 adventure activity operators registered and about half of them are adventure tourism operators, the rest are in the commercial outdoor sector.

Roberts said the government ministers he contacted had ruled out using the International Visitor Conservation and Tourism Levy.

In a letter sent to the TIA on 24 September, Tourism Minister Kelvin Davis said the levy was unsuitable to cover the audit fees as they were the responsibility of the operators.

He also said most of the $57.3 million of revenue was already assigned, any changes to the fund would need Cabinet sign-off, and the additional funding was going kept for projects that aligned with the levy's goals.

"The government will continue to assess the situation and whether any further interventions may need to be provided," he said.

Tourism Minister Kelvin Davis. Photo: RNZ / Dan Cook

On 14 August, Workplace Relations and Safety Minister Andrew Little wrote a letter to Roberts, saying he understood the additional pressure adventure operators were facing.

"My officials have explored various funding avenues within the Tourism and Workplace Relations and Safety portfolios to understand if safety audit costs could be addressed through alternative means. Currently there are no suitable funding sources within government available to address these costs," Little said.

"I understand that WorkSafe is ensuring that flexibility around audit timings for businesses affected by Covid-19 is available."