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Staying Smart in Bali: How to Book Legal, Safe and Meaningful Stays

RR Ukirsari Manggalani
Coffee shop, restaurant, and hotels in Ubud, Bali [Suara.com/Silfa Humairah Utami]
Coffee shop, restaurant, and hotels in Ubud, Bali [Suara.com/Silfa Humairah Utami]

TheIndonesia.co - Bali isn’t just a destination — it’s a feeling. From its emerald rice terraces to sun-drenched coastlines, the Island of the Gods attracts millions of visitors every year. Travelers come for yoga retreats, temple tours, surf breaks, and soul-stirring sunsets. But beneath this tropical beauty lies a growing concern — the surge of unlicensed accommodations that threaten the very ecosystem visitors cherish.

According to Antara News Agency, the Indonesian Ministry of Tourism recently raised red flags about the number of illegal lodgings — villas, private homes, and even guesthouses — being listed and promoted through foreign online travel agencies (OTAs). These platforms often feature enticingly low prices, but what many tourists don’t realize is that these places operate without proper permits or tax compliance.

Visitors are studying about property at Tui Blue Berawa Canggu, Badung Regency, Bali, Friday (May 16th, 2025), as illustration [ANTARA/Dewa Ketut Sudiarta Wiguna]

Why It Matters: More Than Just Rules

According to Deputy Minister Rizki Handayani Mustafa, the illegal accommodation boom is directly impacting hotel occupancy across top destinations like Bali and other major cities. Local hotels that comply with Indonesia’s strict tourism regulations are losing out to unregulated operators who cut corners — not just in legality but also in safety and service standards.

This kind of unfair competition isn't just a business issue; it affects local jobs, tax revenues, and long-term tourism sustainability. Many of the properties that welcome you with warmth and beauty are run by families and locals who rely on tourism as a vital livelihood. Booking an unlicensed stay may unintentionally divert that support elsewhere.

Nani House 2 Ubud (booking.com)
Villa type of accommodation in Ubud [booking.com]

What the Government Is Doing

To address the issue, Indonesia’s Ministry of Tourism is taking a firm stance. They’re working closely with the Ministry of Investment and the Ministry of Communications and Digital to:

  • Review and regulate permits for properties used as accommodations.
  • Create a task force — like the Bali Tourism Accommodation Monitoring Task Force — to track and act on unlicensed properties.
  • Block illegal platforms that don’t comply with Indonesian electronic system regulations (as outlined in Permenkominfo No. 10/2021).
  • Ensure foreign OTAs operating in Indonesia follow proper legal procedures, including registering as permanent business entities (BUT), owning a business license number (NIB), and adhering to local tax laws.

In short, the government isn’t banning online bookings — they’re ensuring all platforms and hosts play by the same rules.

Dedary Resort Ubud
A lovely place to stay in the heart of Ubud, as an example of staying in Bali [Suara.com]

How You Can Travel Smarter in Bali

As a traveller, your choices carry power. Booking legal and ethical accommodations not only protects your experience but also supports the people and places you’ve come to love. Here’s how to do it right:

1. Book from Licensed Properties

Choose accommodations officially registered with the Indonesian Ministry of Tourism or the local government. These include:

  • Hotels and resorts
    These range from boutique hideaways to international chains. Look for business certifications or ask staff directly about licensing.
  • Registered homestays
    These are ideal for travelers seeking deeper cultural connection. Many Balinese families open their homes to guests with government-approved homestays that offer warm hospitality, clean rooms, and immersive experiences.
  • Guesthouses and eco-lodges
    Bali’s ecotourism scene is growing. Many environmentally conscious properties are legally registered and contribute to the preservation of nature and culture.

2. Use Trusted Booking Platforms

Well-known global platforms such as Airbnb, Agoda, Booking.com, and Traveloka are increasingly taking steps to verify their listings. But to be extra safe:

  • Look for “licensed” or “certified” tags in listings.
  • Read reviews carefully — guests often mention if a place seems “off.”
  • When in doubt, contact the host directly and ask about business licenses.

3. Stay with a Conscience

If a price seems too good to be true, it probably is. Some foreign-based OTAs may offer heavy discounts by bypassing regulatory requirements. Instead of hunting the cheapest rate, consider:

  • Supporting locally-owned properties.
  • Booking directly via hotel websites or trusted Indonesian platforms.
  • Traveling during low season, when registered accommodations often offer significant discounts.

4. Ask for Proof, Respect the Rules

It’s okay — even encouraged — to ask accommodations if they’re registered. A responsible host will be happy to share proof or guide you through their booking system.

Additionally, respect the laws of the land. Just like in any country, being a responsible guest means understanding that your travel choices have ripple effects.

5. Report What You See

If you suspect an illegal operation or have a negative experience, let the local tourism board know. Your feedback could help protect future travelers and promote fair business practices.

Where to Stay Legally in Bali: Recommendations

Ubud Illustration (Instagram)
Tegallang, Ubud offers accommodations surrounded by lush greenery rice fields [Instagram]

Here are a few ideas to inspire responsible choices:

  • Ubud: Opt for certified eco-lodges or family-run guesthouses near rice fields and temples.
  • Canggu: Choose from registered boutique hotels or legal homestays in serene neighborhoods.
  • Seminyak & Kuta: Stick with established hotels and resorts offering clear check-in protocols and visible business licenses.
  • Sidemen, Amed, or Munduk: For a slower, scenic experience, explore legal countryside homestays that reflect Balinese traditions.
  • Local tourism offices in Bali can also help verify accommodations and guide you to ethical options.

The Bigger Picture: Sustainable Travel Starts With You

You came to Bali for its soul — the ceremonies, the landscapes, the smiles. But the island’s charm is only sustainable if everyone — hosts, governments, and travelers — protects it together.

By staying legally, you:

  • Ensure local communities benefit directly.
  • Help Bali preserve its cultural identity.
  • Support a fair economy where everyone has a chance to thrive.

As Rizki Handayani said, the future of tourism isn’t just about volume — it’s about value. Value for the traveler, value for the host, and value for the land.

Temple Beratan sits on the Lake Ulun Danu Beratan [Shutterstock]
Temple Beratan sits on the Lake Ulun Danu Beratan [Shutterstock]

In Closing: Travel With Intention

Bali will always welcome you with open arms. But now, it also invites you to be more than just a guest — to be part of a movement that values ethics, equity, and empathy.

So next time you’re clicking that “book now” button, pause and ask: Is this stay part of the Bali I want to protect?

If yes, you’re not just booking a room — you’re helping Bali stay beautiful for generations to come.

Tag # ubud # bali # staying smart # accommodations # ecosystem

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