In a major decision aimed at boosting tourism and the hospitality sector, the Andhra Pradesh Prohibition & Excise Department has issued orders reducing the non-refundable registration charges for setting up bars in 3-star and higher-rated hotels.

 

Previously, under the guidelines set by the earlier government, the license fee was ₹5 lakh, and the registration fee was ₹50 lakh per year. However, after receiving representations from the Andhra Pradesh Tourism Development Corporation and the AP Hotels Association — highlighting that registration charges in Andhra Pradesh were significantly higher compared to other states — the government has decided to revise the charges.

As per the new orders, while the license fee remains ₹5 lakh, the annual registration charges have been reduced to ₹20 lakh, marking a significant reduction of more than 50%. The government stated that this decision was made to encourage growth in the tourism and hospitality sectors, making Andhra Pradesh more competitive with neighboring states.

 

This move is expected to promote investment, enhance tourism infrastructure, and improve the state's overall hospitality standards.