Absurd: Holiday Inn Express $12.95 Energy Recovery Fee

Absurd: Holiday Inn Express $12.95 Energy Recovery Fee

39

There really is no limit to how low some hotels in the United States will go when it comes to nickel-and-diming guests.

Holiday Inn Express Elko charges two ridiculous fees

The Holiday Inn Express Hotel & Suites in Elko, Nevada, is getting some attention on FlyerTalk for the fees that it’s charging (thanks to View from the Wing for flagging this). Specifically, the hotel has two fees all guests must pay, in addition to the standard 15% tax:

  • There’s a $12.95 nightly energy recovery fee
  • There’s a 3% credit card surcharge

The credit card surcharge doesn’t show when you first search for a hotel room, but on the booking page, the total cost breakdown does factor this in. Credit card surcharges for hotels in the United States are incredibly rare, and you really only see rogue hotels trying to pull something like this off.

Even worse is the $12.95 nightly energy recovery fee. I’m not sure what’s worse — that the hotel doesn’t think electricity is something that should be included with the room rate, the amount being charged, or the fact that this fee is barely disclosed.

When you go to book, the $12.95 isn’t added to the room rate, but instead on the final booking page, there’s an “Additional charges” section that lists this fee, and it’s noted that it’s “not included in rate per night.” In other words, most people will completely miss this, and this will be an unpleasant surprise at check-out.

Holiday Inn Express Elko fees

Hotel groups need to rein in their properties

It sure seems like many hotels in the United States have forgotten that they’re in the hospitality industry. Or maybe I’ve just been naively thinking that they’re in the hospitality business, when that hasn’t been the case all along.

The issue is that guests aren’t actually the customers of the major global hotel groups, but rather the hotel owners are. The major hotel groups care about signing new properties and growing their portfolios, and we’re the product that they can sell to prospective hotel investors.

Still, something needs to be done to better prevent hotels from engaging in these kinds of practices. Does IHG know that this hotel is charging a credit card fee? Is Chase okay with that, given that Chase issues the IHG co-branded credit card? Is IHG okay with the hotel charging a $12.95 nightly fee, but not including it in the cost breakdown?

As I’ve often said, hotels should be able to charge whatever rates they want to, and they can break them down however they’d like. What’s important is that there’s transparency about what the total cost of a hotel stay is (including all mandatory fees), and that this is clear from early in the booking process. This way consumers can compare their options, and vote with their wallets.

If a room rate is $100, I don’t care whether you want to say that $40 of it is for the room, $20 of it is for housekeeping, $20 of it is to pay for the mortgage, $10 is for electricity, $10 is for front desk staffing, etc. It doesn’t matter. Just charge me what you’re going to charge me, and tell me how much that’s going to be. But to charge an energy fee and not even clearly disclose it is unethical at best.

Truth be told, I rarely stay at hotels in the United States anymore, and do very little domestic travel. That’s partly because I just don’t enjoy most hotels in the United States very much. Staying at a hotel in the United States is just frustrating more often than not, with a business model in line with what you’d expect from an ultra low cost carrier.

Get ready to pay $12.95 per night for electricity!

Bottom line

The Holiday Inn Express in Elko, Nevada, is charging a $12.95 nightly energy recovery fee, plus a 3% credit card surcharge. While the credit card surcharge is being added to the room total during check-out, the $12.95 energy recovery fee isn’t, and is likely an unpleasant surprise that most guests are finding out about at check-out.

What do you make of the fees being charged by this Holiday Inn Express in Nevada?

Conversations (39)
The comments on this page have not been provided, reviewed, approved or otherwise endorsed by any advertiser, and it is not an advertiser's responsibility to ensure posts and/or questions are answered.
Type your response here.

If you'd like to participate in the discussion, please adhere to our commenting guidelines. Anyone can comment, and your email address will not be published. Register to save your unique username and earn special OMAAT reputation perks!

  1. Russ Guest

    They forgot to add a tip ....

  2. Michael Guest

    Holiday Inn at Tampa Airport

    Looks like the effort to "Nickel & Dime" guests throughout the Holiday Inn network is gathering pace

    I recently stayed at the Holiday Inn near Tampa Airport

    I have stayed many times in the past but since Covid the owners have closed the lounge, initiated a refit of the rooms, which now have the same design & decor as most Holiday Inn Express locations I have stayed at , then...

    Holiday Inn at Tampa Airport

    Looks like the effort to "Nickel & Dime" guests throughout the Holiday Inn network is gathering pace

    I recently stayed at the Holiday Inn near Tampa Airport

    I have stayed many times in the past but since Covid the owners have closed the lounge, initiated a refit of the rooms, which now have the same design & decor as most Holiday Inn Express locations I have stayed at , then they increased prices and what really annoyed me, they have now instituted a "Parking Fee" where previously there was no charge ... and this is "self parking" not the fancy "Valet Parking

    If anyone wishes to see what being "Nickel & Dimed" is all about, book a stay here

    1. Peter Pan Guest

      That property is owned by Ben Mallah. Net worth $500 Million, YouTube subscribers 750,000.

      His YouTube channel shows his personality as a cross between a dumpster fire and Jerry Springer.

  3. Anthony Guest

    Sometimes it is the individual hotel trying to scam.

    But it may also be the corporation testing the waters, take some
    small out of the way hotel and test the scam. They risk less embarrasment if exposed and can claim it was the hotel's idea.

    Sort of like doing focus panals on new products.

    Shamefully all around charging these fees, for any of the hotel corporations.

  4. David Guest

    Absurd is right. All of us need to vote with our wallets and make it known that we will not return to places that charge fees like this, and post reviews letting others know about it.

  5. Jeremy Clark Guest

    In most civilized countries, charging a fee or service that has not been pre-agreed or clearly shown is a breach of what in the UK is called the Trade Descriptions Act. You can refuse to pay it also under Contract Law as it was not part of the "contract" - which may state they have the right to charge fees but the law also says that all terms of a contract MUST be known by...

    In most civilized countries, charging a fee or service that has not been pre-agreed or clearly shown is a breach of what in the UK is called the Trade Descriptions Act. You can refuse to pay it also under Contract Law as it was not part of the "contract" - which may state they have the right to charge fees but the law also says that all terms of a contract MUST be known by the contractee.
    Threaten legal action or just simply pay CASH to the amount you originally agreed to and walk out.

    1. stogieguy7 Diamond

      I agree with this, but respectfully submit that civilized countries also don't jail people for posting nasty things on Facebook.

    2. rrapynot Guest

      Civilized countries jail people for using Facebook for inciting people to burn down hotels housing refugees.

      Uncivilized countries allow a president to carry out an insurrection and suffer no consequences.

    3. Chrissy Guest

      Nit really. There was alot more to the story but there is way too many liberal media that favors the liberal side.

  6. globetrotter Guest

    You must use cc to make a reservation of any kind, such as accommodation, restaurant, airline etc.... I do not see how you pay cash at a chain hotel when they pre-charge you days/ weeks in advance, depends on its policy. If you want to pay cash at check-in, you will face a headache of reversing the prepaid charge. As for a "city tax" in Europe, I assume it is equivalent to the "occupancy tax"...

    You must use cc to make a reservation of any kind, such as accommodation, restaurant, airline etc.... I do not see how you pay cash at a chain hotel when they pre-charge you days/ weeks in advance, depends on its policy. If you want to pay cash at check-in, you will face a headache of reversing the prepaid charge. As for a "city tax" in Europe, I assume it is equivalent to the "occupancy tax" here that goes directly into city/ county coffer. You have to tolerate the abuses from chain hotels if you want to maintain in the loyalty program. You have a choice to stay at independent hotels. I do not make domestic travel and avoid all the abuses and mistreatment from chain hotels, legacy airlines or national car rental companies.

  7. PointsandMilesDoc Member

    3% credit card fee yet they will require a credit card when you check in.
    I'd like to see someone pay in cash and then try to dispute the fee. Will they take it back?

    1. Jeremy Clark Guest

      By law they would have to refund you the fee.

  8. Carl Guest

    Holiday Inn in Williams, Arizona right outside of the grand canyon has the same energy surcharge due to the high energy costs and lack of nearby infrastructure.

    1. NA Guest

      I doubt thats it. Maybe, but zIve heard they rewrite reviws so the owner is shady.

  9. Vito Guest

    “ Staying at a hotel in the United States is just frustrating more often than not, with a business model in line with what you’d expect from an ultra low cost carrier”. In the US case, legacy carriers also behave like this, so you can’t deny there is consistency… lol

  10. dee Guest

    The H Hotel by LAX has a daily line item fee for Safety and Protection of their employees at $10.00 plus fees=$12.95 each day... I never saw any security staff in or near the lobby or other areas. I asked the staff How they were protected with this fee and no one knew the answer..

  11. Weymar Osborne Diamond

    I recently stayed at the Moxy Frankfurt Airport, and when I checked in was charged an additional "city tax" or something along those lines. I haven't ever been charged an additional amount at check-in on a prepaid rate but I didn't think much of it at the time since it was only 2 Euro and I figured maybe it's normal overseas. Obviously aside from in Elko it never really seems to happen much in the US but are additional fees at check in normal in Europe?

    1. Daniel from Finland Guest

      Yeah, many cities charge these. Italy, Greece, Germany... But at least it is a real tax that goes directly to the city.

    2. Daniel from Finland Guest

      Yes, it is normal. Cities in eg. Italy, Greece, Germany tend to charge these. But at least it is a real tax and goes straight to the city.

    3. Michael Guest

      It also applies to Paris,

    4. Weymar Osborne Diamond

      Interesting. I wonder why hotels over there don't just include it as part of the overall rate paid.

    5. view Guest

      Because the city tax does not apply to all guests, business travellers are exempt.

  12. Eric Schmidt Guest

    If that fee is supposed to be honest, well then $13 in energy is about equal to running 2 hair dryers on full blast for 24 hours of the entire time of your stay with them. That's somewhat hard to believe even if you count all the lighting and heating of the common areas as attributable to guests needing to pay for it.
    Definitely it's on the side of a cash grab because-they-can.

  13. Eskimo Guest

    Waiting for breakfast included brands to charge morning nourishment fees.

  14. MBJ Guest

    Well I have pulled IHG and Holiday inn Express specifocally off my booking choices as well as my immediate family when I am.coverimg the bills. I refuse to be nickel and dimed at every corner. Put a daily rate in the reservation and call it a day.

  15. polarbear Gold

    And to add insult to injury you probably do not earn points on these fees.

  16. CPDC10-30 Guest

    At the Aloft Raleigh-Durham Airport Brier Creek, I had an undisclosed “airport convenience fee” of about 10% and also a 3% “credit card convenience “ fee added to my bill. The airport convenience fee is not a tax and it wasn’t charged during a stay a few months prior. Neither were disclosed at booking or check in. Still waiting to hear from Marriott corporate.

    1. CPDC10-30 Guest

      Sorry correction, the “airport convenience fee” was about 3%.

  17. TMagee New Member

    The short answer is that owners will do this until guests no longer accept it. This property has 4.5 stars on both Google and the IHG site, so they have zero incentive to make any changes. Heck, they could probably get away with a parking fee.

    1. Chrissy Guest

      From what Ive been told they will manipulate the reviews.

  18. Alonzo Diamond

    Obviously this isn't good. But I don't understand while businesses just don't bake fees into their room rate. It's never a good look to have a separate line item. Restaurants, coffee shops or hotels. It never looks good because customers will always feel cheated.

    1. Creditcrunch Diamond

      Great Blog on these “fees” and why hotel owners are not motivated to abolish them without customers saying no and voting with their feet!

      https://www.siteminder.com/r/hotel-fees/

  19. ImportViking Gold

    How incredibly expensive is electricity over there, that they need $12.95 (plus tax?) PER NIGHT for just one hotel room? I usually love some absurd humor, but this is beyond me. This sounds more like a scam than anything else. If I had to pay $12.95 in electricity for every room in my house, every single day, I'd be bankrupted in a few weeks. That'd be a few thousand dollars per month (plus tax).

    ...

    How incredibly expensive is electricity over there, that they need $12.95 (plus tax?) PER NIGHT for just one hotel room? I usually love some absurd humor, but this is beyond me. This sounds more like a scam than anything else. If I had to pay $12.95 in electricity for every room in my house, every single day, I'd be bankrupted in a few weeks. That'd be a few thousand dollars per month (plus tax).

    Agreed with Ben: include it in the overall changed price, this will give tons of bad reviews and it gives Holiday Inn an even worse name than it already has (over here at least).

    1. aeroandquiver New Member

      It's a complete scam. Even based on residential rates (which surely they are not paying), according to NV Evergy $12.95 would cover over 100kWh of energy usage in a single day. That's like charging two standard Tesla Model 3s from 0-100% PER DAY, per room. Either they have the world's most energy inefficient building or it's a total scam. Wonder which lol

  20. FNT Delta Diamond Guest

    The Holiday Inn Express in Durango, Colorado charges a similar green energy recovery fee.

    The Westin Houston Medical Center/Museum District in Houston, Texas charged a historic preservation fee that was actually meant to recoup their renovations.

    The HEI-managed Westin in Fort Lauderdale charged guests a service fee if they paid using a Marriott credit card.

    1. stogieguy7 Diamond

      I love this one: a "green energy recovery fee". What utter BS! Let's find a way to rip our customers off. Let's give it a meaningless title (energy recovery, as if we need the $ to somehow recover energy). Oh, and label it "green" so that idiots will actually believe it helps the Earth or something.

      Total scam.

  21. Charles Guest

    I just associate Holiday Inn with taking the government $ to house illegals and I've been boycotting them for years,

    1. James Guest

      Why are you boycotting them? For having a government contract?

Featured Comments Most helpful comments ( as chosen by the OMAAT community ).

The comments on this page have not been provided, reviewed, approved or otherwise endorsed by any advertiser, and it is not an advertiser's responsibility to ensure posts and/or questions are answered.

dee Guest

The H Hotel by LAX has a daily line item fee for Safety and Protection of their employees at $10.00 plus fees=$12.95 each day... I never saw any security staff in or near the lobby or other areas. I asked the staff How they were protected with this fee and no one knew the answer..

2
Eric Schmidt Guest

If that fee is supposed to be honest, well then $13 in energy is about equal to running 2 hair dryers on full blast for 24 hours of the entire time of your stay with them. That's somewhat hard to believe even if you count all the lighting and heating of the common areas as attributable to guests needing to pay for it. Definitely it's on the side of a cash grab because-they-can.

2
CPDC10-30 Guest

At the Aloft Raleigh-Durham Airport Brier Creek, I had an undisclosed “airport convenience fee” of about 10% and also a 3% “credit card convenience “ fee added to my bill. The airport convenience fee is not a tax and it wasn’t charged during a stay a few months prior. Neither were disclosed at booking or check in. Still waiting to hear from Marriott corporate.

2
Meet Ben Schlappig, OMAAT Founder
5,163,247 Miles Traveled

32,614,600 Words Written

35,045 Posts Published

Keep Exploring OMAAT