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Airbnb lists more than 1000 properties across Phillip Island. Operators say the council's short stay registration fee makes it difficult for them to compete.
By Catherine Watson
BASS Coast Shire Council is holding firm on a near-doubling of its short-stay registration fee despite a backlash from local operators.
The annual fee has risen from $324 to $600 for properties with up to five bedrooms, an increase of 85 per cent. A new tier of $900 has been introduced for properties with more than five bedrooms.
The fee increase dominated question time at Wednesday’s council meeting, with several operators asking how the council could justify increases so far above the rise in CPI.
Cr Meg Edwards’ 20-part notice of motion calling for a review of the scheme lapsed after she failed to find a seconder among her fellow councillors.
Almost 400 holiday-home owners have now signed a petition calling for the increase to be reversed. It will be presented to the October council meeting.
Destination Phillip Island and the Inverloch Tourism Association are also calling on the council to wind back the increase in line with CPI. The Post understands Airbnb is also likely to become involved in the campaign.
Some property owners say the sharp increase has prompted them to consider withdrawing their properties from the holiday-rental market.
The council says that so far 773 owners have registered their properties this year, and it has no evidence that the number of short-stay properties available for rent has declined.
“How does council justify a registration fee $300 to $900 higher than any other municipality and still hope to encourage tourism to Bass Coast?”
Glenn Morris, president of the Inverloch Tourism Association
Several holiday-home owners questioned why they had not been consulted about the fee increases.
The council pointed to the consultation process for its 2026–27 fees and charges, which were exhibited from April 16 to May 8.
Four public engagement sessions were held in Wonthaggi, Coronet Bay, Newhaven and online, while budget documents were made available through Engage Bass Coast, customer service centres, social media and local newspapers.
The council also rejected the suggestion that the increase should simply have followed CPI.
It said the new fee reflected a review of the costs of operating the program over two years, including 2900 compliance referrals, as well as benchmarking against fees charged by other councils.
The council said its aim was to balance support for the visitor economy with managing the amenity impacts of short-stay accommodation on permanent residents.
“One property generated 37 local law requests, 12 environmental health requests and four SSRA requests.”
Bass Coast Shire Council
Questions were also raised about the new $900 registration fee for properties with more than five bedrooms.
The council said larger properties, which can accommodate significant numbers of people, generate more local-law inquiries involving noise, waste, parking and antisocial behaviour, justifying the higher fee tier.
As an example, it cited one property that had generated 37 local-law requests, 12 environmental-health requests and four SSRA requests.