One of the key reasons for the confidence in the Australian hospitality and tourism sector is that investors have access to reliable, professional and most importantly, independent statistics about occupancy levels in cities, resort destinations and regional centres.

These have been provided by the Australian Bureau of Statistics (ABS) via the Tourist Accommodation Survey. It used to be quarterly, then became annual and – this month – was threatened with cessation altogether, when ABS was set to cancel the survey due to budgetary constraints.

Fortunately, Trade and Tourism minister Andrew Robb appreciated our concerns about the impactthis could have on future investment decisions, especially foreign investment. He agreed to funding for another year – but that provides only a temporary reprieve.

He has instructed Austrade to look at future funding models for the survey. This is encouraging, though the survey does not actually benefit hotels themselves. The hotels provide the information so the survey can produce accurate results.

The ultimate benefactor is the Australian economy, with the investments generating revenue and jobs. As such, we believe the government should continue to fund the survey as this also ensures its reliability and impartiality is unquestioned. That – as fund managers stress to us – is essential in the due diligence process for many investment decisions.

Unfortunately, Australia has experienced a number of difficult hotel investment eras, when investors made questionable decisions that led to a serious lack of confidence in the hotel property sector. It has taken 20 years for that confidence to return and it is encouraging to see governments and the private sector working collaboratively to provide the right groundwork for increased hotel development. We want that to continue.

Rodger Powell is the managing director, Tourism Accommodation Australia.

Source: SMH - 28 June 14