GVB: Palau competes for vaccine tourists
By Steve Limtiaco Pacific Daily News Aug 12, 2021 0
Pacific Daily News
Rick Cruz/PDN
The Guam Customs and Quarantine Agency launches the implementation of electronic declaration forms to be used by arriving passengers at the A.B. Won Pat International Airport on March 25, 2021. Tourists, visiting Guam from Taiwan, take some time to explore and capture a few images while at the Plaza de España in Hagåtña July 13.
Guam’s vaccination tourism program, which has brought more than 1,500 visitors from Taiwan during the past month, now faces stiff competition from the Republic of Palau, according to the Guam Visitors Bureau.
Because of Palau’s “travel bubble” agreement with Taiwan, fully vaccinated tourists can return to Taiwan more cheaply and easily than if they visit Guam, according to GVB. Palau also is vaccinating Taiwanese visitors for COVID-19.
Taiwanese tourists who leave from Guam must quarantine for 15 days in a hotel in Taiwan, at their own expense. That can cost at least $2,300.
Those who leave from Palau must pay for only five days of hotel quarantine after returning to Taiwan, then are allowed to finish their quarantine at home.
With summer break over in Taiwan, and because of the stiff quarantine requirement, some scheduled Air V&V charter flights to Guam are now expected to be only a third full.
Subsidies
GVB President Carl Gutierrez on Thursday said it’s important to shore up Guam’s Air V&V program with Taiwan by continuing to subsidize charter flights through the end of the year. That would be 19 more flights through December.
“If we don’t share the risk of the next 19 charters, there won’t be 19 charters,” Gutierrez told the GVB board during its regular meeting in Tumon. “Right now, I believe there’s 39 charters over in Palau, and they’re giving vaccinations. We’re trying to stave that off and not be left in the dark.”
He said GVB is negotiating with Lion Air to see if the airline can guarantee charter flights through December.
“Air V&V has been very productive, has been providing a lot of economic activity on the island,” Gutierrez said.
$2 million more
Gutierrez and GVB Vice President Gerry Perez asked the board to approve an additional $2 million in visitor incentives, including airline subsidies, adding to the $1.6 million approved several months ago.
The money comes from internal GVB programs, including funding that otherwise would be spent on capital improvement projects.
“If you don’t allow management to act on time, we’re gonna be left without Air V&V, without any tourists,” Gutierrez said.
Board member Sam Shinohara, who is managing director for United Airlines, said a $50,000 per flight subsidy is most of the cost of a charter flight. He questioned whether it’s worth GVB investing that much money in a single incentive program, at the possible expense of long-term recovery efforts.
After discussion, board members did not entertain management’s request for an additional $2 million.
GVB instead will spend what’s left of the original $1.6 million program budget - about $1 million - to continue to subsidize charter flights, and the board will meet later to approve additional funding.
That means about $600,000 that had been budgeted by GVB for other incentive programs - including money for travel agents, tour operators and visitor hotel room subsidies - won’t be funded at this time.
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