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Tourism company faces $330,000 in cancellation losses as aid reaches cyclone-affected enterprises.

A tour operator in Exmouth has reported a staggering loss of $330,000 in cancellations following the devastation caused by Cyclone Narelle in Western Australia’s northern region.

Businesses are grappling with significant challenges, notably a shortage of accommodations and stringent visa regulations impacting working holiday travelers. In response, the state government has introduced one-time payments reaching up to $20,000 for the affected businesses, with Tourism Minister Reece Whitby indicating that further assistance is on the horizon.

Typically, early mornings in Exmouth during early April are bustling with activity, characterized by tourists boarding minibuses for renowned snorkeling excursions, cafes opening at sunrise, and spotter planes flying over the Ningaloo Reef. However, two weeks after Cyclone Narelle made landfall more than 1,200 kilometers north of Perth, the atmosphere has shifted dramatically.

“The town would normally be completely packed right now, with no available parking spots,” stated restaurant owner Jodie Moir. “But now, the parking lots are deserted.”

Her partner, Adam Moir, who operates two whale shark tour vessels, highlighted the financial impact, noting the loss of $330,000 in bookings since the cyclone struck. “If this situation persists for another six months, it will become quite dire,” he warned. “We might not be able to replace essential equipment, which could lead to reliability issues with the boats next year.”

In a move to support local businesses, the West Australian government has allocated $1.45 million to assist those impacted by the cyclone. Employers with fewer than four staff can claim one-off payments of $10,000, while those with four or more can receive up to $20,000. Additionally, vouchers offering 50% off select tours and experiences along the Coral Coast, which stretches from Cervantes to Exmouth, have been introduced, complementing the emergency support scheme announced by the premier last month.

While Mr. Moir acknowledged that this additional assistance makes a “small difference,” he emphasized that the primary issue lies in the shortage of accommodations. “That’s where the current bottleneck exists,” he explained. “If the state government could allocate resources to send a team of electricians to restore power to the sites, it would expedite the reopening of caravan parks.”

Ms. Moir expressed concern about the cascading effects of the situation, which are driving away working holiday-makers. She has had to let go of seven employees before they could even begin their first shifts. “My workforce comprises 95% backpackers,” Ms. Moir noted. “If they are unable to complete their 88 days of regional work, it could cost them an entire year on their visa. Losing four weeks of work is a significant setback for them.”

During his visit to Exmouth for the announcement, Tourism Minister Reece Whitby assured that more accommodation options will soon be available. “There is accommodation accessible in Coral Bay, Exmouth, and Carnarvon,” he stated, adding that the government will do everything possible to assist businesses that have been severely affected and are facing extended delays.

Mr. Whitby also mentioned that he would consider advocating to the federal Department of Home Affairs to modify visa regulations for impacted backpackers. “If there are issues that require federal government intervention regarding visa requirements, I will address those as well,” he confirmed.

Evan Hall, the chief executive of Tourism Council WA, supported the idea of special allowances for visa holders. “We want to ensure they are eligible for their second and third visas and that they can remain in those towns,” he said. “They are absolutely vital for our recovery.”


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