With the rapidly growing popularity of short-term residential accommodation (STRA) platforms like Airbnb, there’s an escalating need for better regulatory mechanisms to maintain industry standards. Airbnb, being a pioneer in this industry, has stepped up to the challenge, calling upon the Malaysian government to introduce a robust regulatory system known as the “Three Strikes Law”. This regulation, already in effect in regions such as California and New South Wales, aims to weed out hosts unable to control their noisy guests, thereby significantly enhancing the overall customer experience.
The essence of the Three Strikes Law is fairly straightforward. As stated by Mich Goh, Airbnb’s head of public policy for South East Asia, India, Hong Kong, and Taiwan, if any host receives three complaints regarding noise or nuisance, they will be added to an exclusion register. Consequently, they will lose their privilege to host on the platform. This mechanism functions as an effective deterrent, promoting accountability among the hosts while ensuring a peaceful stay for the guests.
The laws don’t stop there. In the Australian state of New South Wales, STRA hosts and guests are bound by a mandatory code of conduct. Violations of this code result in an addition to a government-maintained exclusion list, thereby preventing non-compliant parties from participating in the STRA industry. Another noteworthy model exists in Victoria, Australia, where a compensation system is in place for strata property residents. In such cases, fines are imposed on errant guests or hosts, and the collected funds are directed to the affected neighbors.
Recognizing the effectiveness of these regulations, Airbnb intends to roll out new guidelines for strata buildings in Malaysia. These guidelines are designed to supplement other initiatives already implemented to maintain industry decorum. Moreover, Airbnb is also making concerted efforts to engage with the Malaysian federal government to jointly regulate the short-term rental industry. This gesture reflects Airbnb’s belief in a symbiotic coexistence with the hotel sector.
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However, it’s essential to note the increasing calls for STRA regulation from various industry stakeholders. The Malaysian Association of Hotels, for instance, has voiced the necessity for a standardized regulatory framework to maintain fair competition and address discrepancies in tax and compliance requirements. This demand for regulation is not limited to Malaysia alone. Regions like Penang have already prohibited all STRA activities in private residential properties, and the Port Dickson Municipal Council is mulling over similar restrictions.
As part of a larger regulatory overhaul, Putrajaya plans to implement nationwide Airbnb regulations, striving to become the first Southeast Asian country to do so. The proposed rules mandate Airbnb hosts to register with the government, obtain operating licenses, and ensure compliance with safety and quality standards. This move addresses existing concerns about safety, taxes, and unfair competition with the traditional hotel industry.
In conclusion, the proposed introduction of the “Three Strikes Law” by Airbnb can potentially be a game-changer for the STRA industry in Malaysia. Its successful implementation could provide an effective blueprint for other nations grappling with similar regulatory challenges.
News based on the malaymail website.
