Hotels Under Strain, Transfers Disrupted, and Soaring Operating Costs

Persistent fuel shortages are forcing Cuban hotels and tour operators to rely on generators, consolidate excursions and adjust logistics, complicating the island’s post-pandemic tourism recovery

By HNR News Staff Reporter

Cuba’s prolonged fuel shortage is rippling through the country’s hotel and travel industries, adding costs, forcing operational workarounds and complicating the island’s efforts to rebuild tourism post‑pandemic.

Transport is the front line. With gasoline and diesel scarce, state bus services have been cut back, airport transfers are taking longer to arrange, and rental car users frequently struggle to refuel or must queue for hours. Tour operators say some excursions are being consolidated or reduced, especially outside major resort hubs, and airlines have at times planned technical stops to refuel outside Cuba when jet fuel supplies are tight at certain airports.

Inside hotels, managers are spending more to keep properties running. Many rely on generators to bridge rolling blackouts, burning diesel to power air conditioning, water pumps and kitchen equipment. Deliveries of food, beverages and linens are less predictable as suppliers grapple with the same fuel constraints, prompting menu adjustments and tighter inventory management. City properties in Havana and Santiago de Cuba report the most frequent disruptions; large resort complexes in Varadero and the northern cays have generally fared better thanks to government prioritization of key tourism zones.

Vicente de la O Levy, Cuba’s energy minister, acknowledged the supply crunch last year, saying on state television that “the fuel that had been contracted did not arrive,” and warning shortages would persist while the government sought alternative shipments. Officials have since said they are allocating limited fuel and power to sustain essential services and protect the peak tourism season, a critical source of foreign currency.

Hoteliers and tour operators say the fuel shortage is a significant headwind to the recovery, even as demand from Canada, Europe, and regional markets improves.

Operational impacts reported by industry participants include:

– Higher operating costs from generator use and fuel procurement, pressuring margins at state‑run chains and foreign‑managed properties alike.

– Reduced frequency or rerouting of excursions, inter‑provincial transfers and supply runs, particularly to more remote destinations.

– Longer airport transfer times and occasional schedule changes when carriers plan off‑island refueling.

– Guest‑experience issues during outages, from intermittent air conditioning and elevators to delayed housekeeping and food‑and‑beverage service.

– Staffing challenges as employees face longer commutes amid cutbacks in public transport.

Hotel companies with a significant Cuban footprint, including Spain’s Meliá Hotels International and Iberostar, and Canada’s Blue Diamond Resorts, have emphasized continuity while acknowledging a challenging operating environment. “Cuba remains a strategic destination for us,” Meliá’s leadership has said in recent shareholder communications, noting a gradual recovery from the pandemic alongside macroeconomic constraints that include energy availability. Properties have expanded contingency plans, from investing in additional generators and maintenance to staggering energy‑intensive tasks and concentrating guests in fewer buildings during low‑occupancy periods to conserve power.

Tourism officials maintain the sector will be shielded as much as possible. Juan Carlos García Granda, Cuba’s tourism minister, has repeatedly described efforts to guarantee service in the main “tourist poles” during high season, even as nationwide rationing continues.

For travelers, the practical advice from tour operators and foreign embassies has been to allow extra time for overland travel, stay flexible with itineraries, and confirm fuel availability when renting vehicles. For hotel owners and managers, the near‑term equation centers on resilience—keeping core services reliable, communicating transparently with guests and partners, and tightly managing costs—until fuel flows stabilize. Longer term, executives say, sustained recovery will depend on steadier energy supplies and broader economic reforms that ease imports of parts, food and fuel.