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Delhi’s new B&B policy was already in the works; Malviya Nagar fire just triggered scrapping

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The devastating fire that ripped through a Bed & Breakfast establishment in south Delhi’s Malviya Nagar on Wednesday, killing 21 people, has prompted the Delhi government to scrap its Bed & Breakfast (B&B) policy.Tourism Minister Kapil Mishra announced that the scheme would be officially withdrawn and all establishments operating under it would be reviewed.”We are going to officially withdraw the Bed and Breakfast scheme, and all establishments licensed under it will be checked,” Mishra said. He added that operators found violating licence conditions would face action, including cancellation of registration.The announcement comes amid allegations that Flourish Stay, where the tragedy occurred, was operating far beyond its approved capacity. According to the minister, the property was granted a Silver-category B&B licence in 2024 for six rooms, valid until 2027. Investigators suspect it was running nearly 25 rooms, including units in the basement, and lacked mandatory fire safety clearances.What was Delhi’s Bed & Breakfast scheme?The B&B scheme allowed homeowners and small property operators to offer short-stay accommodation, including homestays and guesthouses, after obtaining registration from the tourism department.The objective was to utilise existing residential housing stock to provide affordable accommodation for tourists while generating additional income for homeowners.By 2023, the scheme covered more than 2,200 rooms across 432 registered properties in Delhi.Operators were required to maintain guest records, comply with safety and hygiene norms, and share guest details with local police authorities. The scheme also sought to bring small lodging providers into the regulated tourism economy.A new policy was already in the worksThe government’s decision is significant because the tourism department had unveiled a draft Bed & Breakfast Policy 2026 barely a month ago to modernise and expand the framework.The draft proposed two categories—Gold and Silver—replacing the existing classification system. Properties would be graded on room size, sanitation standards, safety measures, furnishings and guest amenities.It also sought to simplify registration through an online self-certification process, allowing owners to obtain registration through deemed approval within seven working days, while retaining the government’s power to conduct surprise inspections.Stricter rules on paperThe proposed policy prescribed detailed standards, including:Only residential properties would qualify.A maximum of eight rooms and 16 beds would be permitted.Compliance with fire safety norms, police verification requirements and municipal by-laws would be mandatory.Owners or caretakers would have to be present on-site.Guest records and identification details would have to be maintained.Fire extinguishers, first-aid kits and emergency contact information would be compulsory.The draft also empowered authorities to suspend, cancel or blacklist establishments for serious violations, misrepresentation or repeated non-compliance.Why the scheme existedThe B&B policy was introduced to expand affordable accommodation options for tourists and business travellers, promote community-based tourism, generate supplementary income for homeowners, reduce pressure on conventional hotels, and ensure basic standards of safety, hygiene and consumer protection through registration and monitoring.Tourism experts have long viewed such schemes as an important component of urban tourism infrastructure, particularly in cities with high tourist footfall and limited affordable lodging options.However, the Malviya Nagar tragedy has now raised serious questions about enforcement and compliance, prompting the Delhi government to abandon the scheme altogether.

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