A single room in a three-star hotel will cost no more than 133 dollars per day during the Olympic Winter Games in Sochi 2014, while the average price of all hotels in total will be at 68 dollars. These are limits set by the state. Government will regulate the price of tickets for the Olympic competition in Sochi and will not allow speculative overvaluation of tickets.
State regulation of prices for hotels, tickets, and rules for their distribution are described in the draft amendments to the law on organization and holding of the Games, published on the Ministry of Economic Development’s website. It is expected that the Russian government begins with the regulation of hotel prices already in January 2013. Prices will be adjusted according to the hotel category. The organizing committee “Sochi-2014” stressed that “price agreements are a common practice done by all the organizers of major sporting events and Sochi is no exception”.
Now the legislation does not provide for limitations on the cost of hotel rooms and specific amendments are required.
In total there will be a need for 41,000 hotel rooms in Sochi during the Olympics, 20 000 of them are planned to be in newly built hotels. Already in February 2012 Dmitry Chernyshenko, president of the organizing committee informed that contracts have been signed for about 96 percent of the required capacity, which provide approximately 39,000 rooms.
So far ticket prices are unknown – the program ticketing Sochi Olympics will be announced only in the second half of 2012, the organizing committee explained.
It is planned that the distribution of tickets will be selected by one or more operators of the tickets. In order tickets failed to sell at the last competition of the operators, as well as any other individuals, the government proposes to establish specific penalties. For individuals – from five to ten times the cost of resell the tickets, for legal entities – from 500 thousand to 1 million rubles. www.atorus.ru
