OREANDA-NEWS. May 29, 2009. The Expert Council on Developing Competition in the Tourist Industry, at the Federal Antimonopoly Service (FAS Russia) discussed the mechanism of state regulation of classification of tourism facilities (hotels and other accommodation facilities) in view of compliance with the Federal law "On protection of Competition", reported the press-centre of FAS Russia.

Representatives of the Russian Ministry of Sport and Tourism, Rostechregulirovanie (the Federal Agency for Technical Regulation and Metrology), Rosturizm (the Federal Tourism Agency of the Russian Federation, the Russian Hotel Association, the Russian Union of Tourist Industry, the National Tourist Association, and business community took part at the session of the Expert Council.

Currently Rosturizm approved three systems of classification of tourist facilities, including the system of classification of hotels and other accommodation facilities. Under the system предусматривают создание (конкурсный отбор) a central Body of the System (TsoS) must be formed (competitively selected), which is responsible, in particular, for establishing an Attestation Commission; accepting applications for expert assessment whether facilities meet the category standards; and training the System 's experts. TsOS also approved the standards of classification bodies and maintains their Register.

The System also determines the procedures for assessment whether hotels and other accommodation facilities meet the system standards and attesting the facilities for an appropriate category, according to which an applicant signs an agreement with for the classification works and makes an advance payment. TsOS, in its turn, instructs a classification body to organize the work on expert assessment whether hotels or other accommodation facilities fits a particular category.

TsOS forwards the obtained expert conclusion of a classification body on the facility's category to the Attestation Commission to make a decision on assigning a category to a hotel or another accommodation facility. The Attestation Commission makes a decision on assigning a category and forwards it to Rosturizm for approval. Rosturizm issues an order to approve the decision of the Attestation Commission on assigning an appropriate category to a hotel or another accommodation facility. Under the System, classification of hotels and other accommodation facilities is voluntary, and the seeking-category applicants are charged a fee. The payment size and procedures are determined by TsOS; the payments are made to the TsOS accounts.

According to Rostechregulirovanie, currently there are 58 registered systems of voluntary certification of hotel cervices (accommodation facilities) in the Russian Federation. Under the Federal Law "On Technical Regulation", the System of Voluntary Certification can be developed by a legal entity and (or) individual entrepreneur; voluntary confirmation of compliance can take place to establish compliance with national standards, standards of organizations, codes of rules, systems of voluntary certifications or contract terms and conditions.

59 economic entities operate on the market on assessment of hotel compliance to certain requirements, including "Interregional Fund for Sustainable Tourism Development" Non-Profit Organization, which acts as TsOS. It has undeniable advantages over other market participants as the system, to which it is the Central Body, is approved by Rosturizm - a federal executive body.

In this situation, consumers lose because diversity of the systems for assessment of compliance of hotels (other accommodation facilities) does not allow them to make a conclusion on the quality of the hotel services matching the hotel category.

The Federal Antimonopoly Service (FAS Russia) proposed to the Expert Council to discuss an alternative mechanism for classification of tourist facilities, including hotels and accommodation facilities.

FAS Russia's proposals, incorporating the observations of the Expert Council, are the following:

The Ministry of Sport, Tourism and Youth Policy of the Russian Federation approves the systems of voluntary compliance assessment (classification, certification) of tourist facilities, including the closed list of requirements to the participants of the market of the services for compliance assessment of tourist facilities, for accreditation of the above economic entities.

Rostechregulirovanie approves national standards for the facilities that undergo voluntary compliance assessment (hotels and other accommodation facilities, ski slopes, beaches, etc), including confirmation of the category (number of stars); registration of the system of compliance assessment (classification, or certification) of the tourist facilities.

The Ministry of Education and Science of the Russian Federation approved educational programmes to train experts and advance their qualification in assessment whether hotels and other accommodation facilities comply with certain standards.

The Federal Tourism Agency is responsible for: providing accreditation of the market participants that provide the services for expert assessment of category compliance of hotels or other accommodation facilities; maintaining the register of the market participants involved in classification and certification of tourist facilities; maintaining the register of classified (certified) tourist facilities; control оwhether tourist facilities comply with certain standards; control whether activities of the market participants on compliance assessment (classification and certification) of tourist facilities meet certain standards.

The Attestation Commission at Rosturism makes decisions on assigning appropriate categories to hotels on the basis of expert conclusions of accredited organizations.

To implement the described scheme, control and supervision powers over tourism industry should be assigned to a relevant federal executive body, and appropriate amendments should be introduced to the current legislation.

The FAS Russia's proposals on reforming the institution of classification of tourist facilities must be reviewed joints with all interested parties - the authorities, hotels, participants of the market for the services on assessment of hotel standards, as well as consumers of hotel services.

Summing up the discussion, the Expert Council decided to form a Working Group comprising representatives of interested agencies, non-governmental organizations and business community to develop an alternative mechanism for classification of tourist facilities and devise recommendations for introducing appropriate amendments to the legislation.