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Combatting Illegal Levies: Protecting Bali’s Reputation as a Premier Tourist Destination

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Illegal Levies Plague Bali: A Threat to the Island’s Image as a Tourist Destination

January 31, 2025 | Jakarta – As Bali continues to charm visitors with its stunning landscapes and rich cultural heritage, a troubling practice is emerging that could tarnish its reputation as a premier tourist destination. Various reports have highlighted the rising phenomenon of illegal levies being imposed on newcomers to the island, raising concerns about the impact on Bali’s image as a welcoming paradise.

The Rise of Illegal Levies

In recent years, newcomers to Balinese traditional villages have increasingly faced demands for illegal levies, often varying based on the individual’s status. These payments have primarily been enforced by local traditional security officers known as pecalang, a role traditionally designed to uphold village safety and customs. However, their function has reportedly shifted, with many pecalangs now seeking to collect money from these newcomers under the guise of protecting village interests.

This change has not gone unnoticed. Many newcomers have expressed discomfort and dissatisfaction, labeling the situation as extortion rather than a legitimate practice rooted in tradition. The legitimacy of these fees has sparked outrage and confusion, turning what should be a mutually beneficial relationship between visitors and locals into a source of tension.

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Underlying Tensions and Economic Disparities

While Bali’s allure stems from its natural beauty and cultural richness, there lies an underlying tension related to the growing influence of newcomers—particularly in the realm of tourism and property ownership. Land, tourist attractions, and hospitality ventures are increasingly being controlled by outsiders, generating resentment among local communities. This transformation creates a perceived economic imbalance that further complicates relationships between locals and newcomers.

However, local discontent does not provide justification for illegal extortion practices that undermine the island’s reputation. Balinese cultural values emphasize hospitality and kindness, essential traits that are at risk of being overshadowed by these unscrupulous activities.

The Need for Regulatory Action

In response to the troubling rise of illegal levies, urgent measures are needed from regional authorities. Suggestions for sustaining social harmony include policies aimed at fostering partnerships between incoming entrepreneurs and local stakeholders, as well as moderating land ownership for outsiders, especially in sacred areas.

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Current regulations governing the collection of levies from outsiders—including Bali Regional Regulation No. 4/201—are not being effectively implemented. According to data from the Bali Ombudsman for 2023, of the 1,500 traditional villages in Bali, only one has adhered to proper levy standards. Many villages continue to impose arbitrary fees, ranging from Rp20,000 to Rp60,000 per person per month, often without clear justification.

Call for Evaluation and Inclusion

There is a pressing need for thorough evaluations by the regional government and village leaders to establish a more equitable system for all. The allocation of funds, such as the Rp300 million provided by the provincial government, must be scrutinized to assess its effectiveness. Alternative funding models, like cross subsidies from local administrative village accounts, could be explored to support this initiative.

Moreover, it is imperative that regulations are enforced fairly, avoiding discriminatory practices based on ethnicity, religion, or other affiliations. Preserving Bali’s hospitality must remain a priority, ensuring that the island continues to flourish as a beloved destination for travelers from around the globe.

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Conclusion

The illegal levy practices currently emerging in Bali pose a significant threat to its image as a world-class tourism destination. With proper regulatory action, Bali can reaffirm its commitment to welcoming visitors while maintaining its rich cultural integrity and supporting local communities. The island’s reputation as the Island of the Gods, known for its stunning natural beauty and warm-hearted people, should not be overshadowed by illegal practices that compromise the very essence of what makes Bali unique.

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