The Himachal Pradesh Tourism Development Corporation (HPTDC) has decided to hand over 14 of its loss-making hotels and cafes to private players for operation and maintenance (ONM). The move aims to improve the corporation’s financial condition.
On June 28, the Cabinet had approved the HPDC proposal despite some opposition from its staff. Notably, HPDC has 1,800 staff members and is one of the 12 loss-making corporations.
Following the Cabinet’s approval, the Tourism Department directed the HPTDC Managing Director to move forward with the plan.
The 14 properties include well-known names such as Kashmir House (Dharamsala), Roscommon Old (Kasauli), Sarvari (Kullu), Apple Blossom (Fagu), Shiwalik (Parwanoo), Ulh (Jogindernagar), Hill Top (Swarghat), Lakeview (Bilaspur), Bhagal (Darlaghat), Mamleshwar (Chindi-Mandi), Giriganga (Kharapatthar-Shimla), Chanshal (Rohru), Tourist Inn (Rajgarh-Sirmaur) and Wayside Amenity (Bhararighat-Solan).
Earlier, on May 6, the Cabinet had advised HPTDC's Board of Directors to consider handing over some units to private operators. The Board agreed to hand over these hotels to private players, aiming to reduce financial losses and improve services without affecting staff.
Anticipating opposition from HPTDC staff, he reassured that only management would change and the ownership will stay with the government and staff terms will remain the same.
To explore solutions, the state government had also appointed retired IAS officer Tarun Shridhar to assess HPTDC’s financial state. He submitted a detailed report recommending reforms to help the corporation get back on track.