Strengthening Regulations and Compliance: BVRMA Holds Discussion on “Understanding Villa Rental Licensing in Bali”

BVRMA Discussion October

Gianyar, October 24, 2025 – The Provincial Government of Bali is tightening regulations and oversight of accommodation businesses, particularly villa rentals, many of which have been operating without proper licenses. This move aims not only to ensure order within the tourism industry but also to enhance safety, comfort, and sustainability for visitors while minimizing the negative impacts of unregulated operations.

Amid intensified inspections and enforcement actions, many villa operators have expressed concerns over the lack of clear information and socialization regarding licensing procedures. Insufficient understanding of operational regulations has become one of the main reasons behind the rise of unlicensed villa businesses. This issue prompted a much-needed dialogue between villa industry stakeholders and government authorities.

To bridge this gap, the Bali Villa Rental Management Association (BVRMA) took the initiative to host a discussion forum titled “Understanding Villa Rental Licensing in Bali” at The Jungle Club Ubud on Friday, October 24, 2025.

The event was attended by representatives from the Provincial Government of Bali, including Yoga Iswara, Head of the Bali Tourism Business Licensing Audit Acceleration Team, as well as officials from the Provincial Tourism Office and the Investment and One-Stop Integrated Services Office (DPMPTSP).

The forum aimed to provide detailed explanations about the regulations and licensing requirements that must be fulfilled by villa operators, management companies, and other accommodation providers. These include building permits, business registration for tourism operations, as well as obligations related to taxation and employment.

Beyond its educational purpose, the event also served as a platform for BVRMA members to share experiences, discuss licensing challenges, and build stronger networks with supporting associations and institutions such as HIPMI (Indonesian Young Entrepreneurs Association) Gianyar & Badung, KADIN (Chamber of Commerce and Industry) Gianyar & Badung, banking institutions, and other accommodation organizations including PHRI (Indonesian Hotel and Restaurant Association) and the Bali Villa Association (BVA).

BVRMA Chairman I Kadek Adnyana explained that this initiative emerged from widespread confusion among villa operators regarding the procedures and documents required for licensing.

“We want to clarify the specific permits that must be fulfilled by villa businesses. Many of our members have faced inspections and even confiscations without being given clear guidance on what documents are required or whom to contact,” he said.

He added that villa operators often face overlapping inspections from different agencies.

“Sometimes they are checked by the Civil Service Police (Satpol PP), other times by the police regarding ABT matters, and then again by PTSP officials. The involvement of multiple agencies creates confusion among our members. That’s why we organized this meeting—to connect practitioners directly with government institutions like PTSP and the Tourism Office, so everyone receives accurate information from official sources, not from third parties seeking personal gain,” explained Adnyana.

One of the most common issues, he noted, is the lack of awareness about zoning regulations.

“For example, some operators don’t realize that a green zone has been reclassified as a yellow zone. These zoning details are critical and must be verified with the relevant authorities before applying for permits to avoid future problems,” he said.

Adnyana expressed hope that through this discussion, BVRMA members will find it easier to complete their licensing processes and operate their businesses smoothly.

“After this event, we expect our members to focus more on improving service quality, which will ultimately strengthen Bali’s tourism reputation,” he added.

He further emphasized that organizing the villa sector is not merely about formality, but also a strategic step to prevent serious issues such as land-use violations, illegal villa operations, increased criminal activity, unfair price competition, and potential loss of regional revenue (PAD).

According to him, collaboration between the government and associations is essential to ensure that Bali’s villa industry grows in a healthy, globally competitive, and community-benefiting manner.

“Through this dialogue, BVRMA aims to strengthen the regulatory and compliance framework for the villa rental sector in Bali. With strong cooperation between the government and industry players, villa management in Bali can become more structured, professional, and sustainable—supporting local economic growth,” concluded Adnyana.

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