Public feedback sought on changes to law covering travel agents
Singapore
THE Trade and Industry Ministry and the Singapore Tourism Board (STB) are seeking public feedback on proposed changes to the Travel Agents Act and Regulations.
These changes include additional measures against industry malpractices and enhanced investigative and enforcement powers.
To protect consumers, the government is looking at cutting down the length of time given to travel agents to explain themselves in order to retain their licence from 21 days to 14 days. This will allow for more timely enforcement action.
It is also looking at additional licensing conditions for travel insurance to give consumers the option to buy insurance that covers insolvency of travel agencies.
To further protect consumers, existing safeguards will be expanded regarding changes to tours, inaccurate and erroneous advertisements, settlement of disputes and cancellation of bookings.
STB will be empowered to gather evidence from relevant third parties when investigating travel agents and unlicensed individuals of errant behaviour.
The maximum fine for unlicensed travel agent activities will also be raised to S$25,000 from S$10,000, while the maximum composition sum for compoundable offences will be raised to S$5,000 or half of the maximum fine prescribed, whichever is lower.
But to encourage innovation, the government is also proposing to remove some regulatory requirements. To facilitate a pro-business environment, it is proposing a tiered licensing regime and reduction of compliance costs.
Senior Minister of State for Trade and Industry Sim Ann said: "The majority of our travel agents are professional and conduct their businesses responsibly. But as the travel industry transforms and consumer expectations evolve, we need to update the regulatory framework to safeguard the interests of consumers and also ensure that the business environment allows travel agents to innovate and grow."
The public consultation exercise will last till July 12.
The Travel Agents Act was last amended in 1993, while the last change to the Travel Agents Regulations was made in 2007.
