In a bid to boost tourism and create employment opportunities, the Gujarat government has
announced the Heritage Tourism Policy 2020-2025 under which the state government is going to provide financial assistance in the setting up of new heritage hotels, or renovation of
existing ones.

Chief Minister Vijay Rupani declared this policy on September 11 making provisions for
subsidy and tax benefits for the conversion of heritage buildings into hotels, restaurants or
banquet halls as a way of attracting tourists. The policy is aimed at helping Gujarat attain a prominent place on the world tourism map. 

CM Shri @vijayrupanibjp announces the State’s first Heritage Tourism Policy allowing historical monuments, palaces, forts constructed before 1950 to be converted into hotels, heritage museums, heritage banquet halls and restaurants. pic.twitter.com/apfY3qmudw

— CMO Gujarat (@CMOGuj) September 11, 2020

According to the Heritage Tourism Policy, palaces, forts and monuments built before January
1, 1950 can be converted into heritage hotels and museums if the heritage structure is not
damaged or altered.

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A new heritage hotel or an existing one is going to get financial assistance of Rs5-10 crores for expansion or renovation. For investments up to Rs25 crores, the government will give 20 per cent subsidy with a maximum value of Rs5 crores. For investments above Rs25 crores, the maximum subsidy will be Rs10 crores.

For the setting up and renovation of a new heritage museum, heritage restaurant and heritage banquet hall, the government will provide financial aid of Rs45 lakh to Rs1 crore. This aid will be given for five years at 7 per cent interest and cannot exceed Rs30 lakhs per annum. The policy is inclusive of 100 percent electricity duty waiver, rent support in national and international events and marketing assistance.

The Gujarat government has also revised its Home Stay Policy simplifying it and making it more convenient for home owners to transform their homes into tourist accommodations. The
owners will have to pay electricity and property tax as applicable to residential units instead
of commercial units.

Registered owners of homestays who live in the same premise consisting of one to six room units can use rooftop solar energy for electricity. The 100-odd homestays in Gujarat will be provided training by Gujarat Tourism so that they can provide quality hospitality to the visitors. The simplification of the home stay rules will help in providing rural employment alongside promotion of tourism.